Local view for "http://purl.org/linkedpolitics/eu/plenary/2011-10-13-Speech-4-043-000"

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"Madam President, I, too, would like to congratulate my colleague, Mr Casa, for drafting this excellent report. VAT receipts are a major source of revenue for national budgets. However, during a recession, it is preferable to avoid raising the VAT rate and other taxes when an alternative is available. For example, raising the VAT rate by five percentage points in Romania, from 19% to 24%, has had an adverse impact on business, exerting pressure on this sector. Initially regarded as the way to economic recovery, according to the analyses, this measure has delayed Romania’s exit from recession, and it would have been appropriate to implement it in two stages. Romania is currently one of the Member States with the highest VAT rate and needs to adopt measures to stimulate investments and the absorption of European funds."@en1
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