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Fiscal and Budgetary Responsibility in the Debate about the Fiscal Code

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It goes without saying that Romania needs lower taxation, but the proper sequencing is very important, in order not to create vulnerability in the fiscal and budgetary framework. The VAT reduction measure is, of course, desirable. The problem is putting this measure in the same basket with the other ones, and all at once. This all-inclusive approach destroys its own chances of success. Because in order to reduce taxation in a sustainable, healthy manner we first need to rethink the construction of the state budget, to create budgetary policy based on clear priorities. Without this, the state budget will continue to dissipate public money, and the fiscal-budgetary framework will suffer because of lack of coherence. 

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Cosmin Marinescu