Moldovan government supports farmers: new facilities for refunding of value added tax, preparations for reimbursement of excise on diesel
The government is identifying new measures to support farmers, in the context of the situation in the Middle East, during the peak of the spring agricultural works campaign. The cabinet of ministers today approved amendments to the Fiscal Code that provide for facilitating the process of refunding the value added tax (VAT) for farmers.
The amendments extend the VAT refund period until December 2026 and simplify the refund procedure. “The goal is to ensure liquidity for farmers, in order to minimize the emerging risks – related to logistics and prices – so that the spring campaign can start with fewer difficulties for farmers,” said Agriculture and Food Industry Minister Ludmila Catlabuga.
At the same time, the draft government decision that provides for a 100-per cent refund of the excise duty on diesel used in the spring campaign is in the process of being promoted. This measure will reduce pressure on prices.
“In the long term, I hope we can already do this starting next year. Our goal is to reach a level where up to 90 per cent of excise duties in agriculture are refunded, and the VAT refund mechanism operates on a regular basis, not only on a temporary and urgent basis,” said Finance Minister Andrian Gavrilita.
The measures were identified by the Agriculture and Food Industry Ministry, along with the Finance Ministry and the State Tax Service. “The Agriculture and Food Industry Ministry will always stand by farmers and will act promptly to support their activities and reduce pressures and risks in agriculture,” added Minister Catlabuga.
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