Romania's opposition pledges tax cut to woo voters
November 6, 2012 10:28 PM EST
Romania's new alliance of centre-right political parties is promising to cut the single corporate and personal income tax rate if it wins next month's election, saying it wants to attract more foreign investment to the European Union's second-poorest country.
The Alliance for the Romanian Right (ARD) has poll ratings of about 20 percent but could become part of a coalition if the ruling Social Liberal Union (USL) fails to achieve an outright majority on December 9.
The ARD is dominated by the Democrat-Liberal Party (PDL), which was in government until April but remains unpopular for enforcing austerity measures taken to comply with its 5 billion-euro IMF-led aid deal, including pay cuts and a hike in sales taxes.
The ARD pledged to cut the single rate tax to 12 percent, from the current 16 percent, and also lower employers' social contributions and raise the minimum wage.
"This means that more money will come to Romania, more foreign investment and Romanian companies will have more money for growth," the party said in a statement on Tuesday.
The governing USL has poll ratings of just over 50 percent but if it falls short of a majority President Traian Basescu could nominate a political ally from the ARD as prime minister to form a coalition.
The USL tried and failed to remove Basescu from office in the summer in a dispute which drew sharp criticism from the European Union and United States, which said the government was undermining the rule of law.
The ARD also said it would raise the minimum wage from 700 lei ($200) a month to 850 in 2013 and 1,000 in 2015 and cut companies' social security contributions by 5 percent, from the current level of about 30 percent, from 2015.
($1 = 3.5399 Romanian lei)
(Reporting by Sam Cage; Editing by Greg Mahlich)
Join the Conversation
- Tourre on stand says email in SEC case 'not accurate'
- Syrian authorities blocking access to needy in Homs - Red Cross
- Faith in European Union at low ebb, EU poll says
- Former UBS banker gets 18 months, $1 million fine, for muni bid-rigging scheme
- U.S. judge halts challenges to Detroit's bankruptcy bid
- Nexus 6, 8 Release Date is Halloween 2014 as Android L Intro Set for October 16
- Samsung Galaxy Note 4 vs Samsung Galaxy S5: Battle of the Samsung Flagship Smartphones
- Moto G 2014 v Asus Zenfone 5 – Specification Comparison Shows Zenfone 5 Is A Good Alternative for Moto G
- Android 5.0 L Nexus 4, Nexus 5, Nexus 7 Release in October, Google Employees Offer Hint
- Apple iPad Air 2, OS X Yosemite Release Date Set For October, While iPad Mini 3 With Retina Headed For 2015 Release
- U.S and Canada Fighter Jets Chase Out Russian Jets Near Alaska: Air Space Violation Not Confirmed
- Purported Xiaomi Redmi Note Successor Powered With Monstrous Processor Under Wraps, Will Take On Meizu MX4