New agriculture minister wants to introduce penalty tax on unworked land

Autor: Liviu Iancu 12.09.2010

Valeriu Tabără, the new agriculture minister, has told Mediafax news agency in an interview that the methods to increase productivity are taxing land, taxing agricultural crops, reverse taxation, and control of imports, especially in sectors where Romania produces sufficient amounts. "A penalty tax should be introduced for those who don't work their land and we are sure to come to this taxation, which targets not only unincorporated areas, privately-held plots, but also public properties. The taxation level could for instance be equivalent to the subsidy per hectare, i.e. 50-60 euros. This will be for the obligation to work the land," said Valeriu Tabără, who is aware that taxation of unworked land, around three million hectares, is connected to the land register, a yet unsolved issue at national level.
Tabără is also talking about a prospective taxation on acquisitions "for which steps need to continue to be taken with the European Commission in order for the draft to be accepted. "I don't think the solution will be to levy a reduced VAT on the finished product, but along the entire chain (...)," Tabără said.