Way of distribution of taxes in local budgets to be changed in Moldova

Chisinau, 20 November /MOLDPRES/ - A new way of distribution of taxes in the local budgets will be enforced in Moldova. The parliament’s commission for public administration considered two draft laws providing for this fact today.

The first draft proposes the transfer of the tax on the income of private people at the place of residence, which allows, according to the authors, increasing the incomes of the local budgets. Also, the overall volume of the tax on the income of private people from villages and cities, except for the towns and cities district centres, is suggested to be increased from 75 per cent to 100 per cent and from cities or towns districts centres – from 20 to 50 per cent.   

The draft also establishes the inclusion of the transfers to the local budgets of the tax on the income of legal entities in a volume of 50 per cent, collected on the territory of the concerned administrative and territorial unit.   

The second draft also sees the establishment of two quotas of transfers from the tax on the income of private people, collected on the territory of the concerned administrative and territorial unit. The first quota, for the budgets of villages and communes, as well as of the towns and cities, excepting the municipalities’ district centres, are suggested to be set at 100 per cent. The second quota, for the budgets of the municipalities’ district centres and the Chisinau and Balti municipalities, will stand at 50 per cent.    

According to estimations, the draft laws suggested will contribute to the increase in the incomes of the local public authorities by 1.9 billion lei through their re-distribution within the state budget.  

The two drafts are to be merged and considered at the parliament plenary meeting.