Weekly Policy and Political Report, January 25-29, 2016
Political debates on the electoral law continue to divide the local political scene. While the National Liberals demanded Prime Minister Dacian Cioloș to issue an emergency ordinance reinstating the two-round vote on local elections, the Social Democrats strongly oppose the proposition, rendering it unconstitutional. PSD’s Liviu Dragnea went as far as warning that his party would boycott the election if the Government forces the change to a two-round system for local elections. 


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Progress Report on Fiscal Policies January 25-29, 2016
Tax checks, local taxes, and international regulations are the main fiscal challenges that companies are facing in 2016, Ernst & Young warns. Apart from the tax modifications brought by the new Tax Code this year, equally important but less noticed are the ones in the Tax Procedure Code. In case of the latter, tax consultants stress that the Tax Procedure Code is a crucial element for companies that have to go to Court to justify their documents, since the "tendency to criminalize tax problems" has become one of the main concerns of local companies.  


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Progress Report on Fiscal Policies, January 18 -22, 2016
A relevant topic for discussion this week has been the correlation of the recently enforced Fiscal Code with the Fiscal Procedure Code that came into effect in mid-January. Tax advisers adopt a cautious stance toward the enforcement of the new legislation, given the current practices of tax authorities that tend to use fiscal controls as preliminary to criminal investigations. The correlation of the two codes and the taxation methodology represents the issue at stake for the upcoming period. It is worth noticing that tax authorities appear to be more responsive to the market, as recently the head of ANAF announced an agreement for mutual assistance between the authority he runs and medium and large taxpayers. By proposing the option of mutual assistance, ANAF aims at lowering the bureaucratic burden for large taxpayers, as well as at simplifying the control procedures. This way, ANAF aims to introduce a simplification of the fiscal procedure for companies based on cooperation.


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Weekly Policy and Political Report, January 18-22
Debates over the modification of the electoral legislation continued over the past week, with the two main politic parties taking opposite sides in the debate over the two-round local elections to be held on June 5. PNL demanded PM Dacian Cioloș to pass an emergency ordinance modifying the electoral law for the locals to a two-round system, while PSD strongly opposed this request, arguing that it is unconstitutional to amend the electoral law during the election year. On the other hand, Constitutional Court Judge Augustin Zegrean informed that as long as the elections are organized in a democratic manner, the number of rounds or the modification of the law are political matters that do not interfere with the provisions of the Constitution.


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Weekly Policy and Political Report, January 11-15, 2016
Last week confirmed the positive economic outlooks for Romania in 2016, with an anticipated growth of 3.9% this year, the highest growth rate in Europe. Also, World Bank and IMF announced the continuation of their cooperation with Romania, and in the case of IMF, a new representative in the person of Reza Baqir. World Bank and the Government have signed a Memorandum that will enable the international financial institution to continue providing technical assistance services to Romanian public institutions until 2023. This agreement comes in the context in which PM Dacian Cioloș announced a reorganization of the public authorities along EU standards. The agreement also comes in line with the main aims of the technocratic Cabinet, namely modernization of the state apparatus and reshaping the relation between citizens and public authorities, and the absorption of EU funds, since the assistance services will be financed via the European Structural and Investment Funds, within the 2014-2020 period.


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