The Minister of Finance told the business environment a story about tax increases: the blid theory or the widow’s widow

2023-07-20 11:14:00

The authorities held meetings with various business associations regarding future tax increases. The Minister of Finance from the PNL, Marcel Boloș, also participated in some of them. He came up with a theory of the blid, more precisely of Bănuță Văduva, as a metaphor for future fiscal changes, i.e. tax increases.

Marcel BolosPhoto: AGERPRES

Gilda Lazăr, director of Corporate Affairs & Communications JTI Romania, Moldova and Bulgaria, confirmed what Boloș told the representatives of the business environment.

  • “We’ve also seen the debates that the Liberals don’t want tax increases. The liberal leaders who say this have probably not talked to the Minister of Finance – Marcel Boloș. He has a completely different perspective”.

“What is the blid theory? The Minister of Finance is a priest. He gave us the example of Bănuță Văduvei”, she said.

  • “This theory is already famous in the political environment. I met several officials from the authorities who already know her”.

You have also seen in the movies: at the end of the service, someone comes with a plate and everyone puts a penny there. It’s called: The Widow’s Money.

“The world needs to see you turn a dime. With that penny, you can’t do anything, theoretically, but at the end when all the pennies in that bowl, in that plate, are collected, with that amount you can do something”, says Lazar.

According to her, it would be regarding a kind of solidarity of need because you have to demonstrate it in front of the community.

“Otherwise, if you have something and want to give it to the charity box, the world doesn’t see you, you don’t know, nobody praises you. This is the theory promoted by the Minister of Finance and we will have to learn to live with it”, Gilda Lazăr also stated, during a CLCC conference.

She says she doesn’t know how anyone can think prices will drop when taxes are being raised. Taxes are always borne by the consumer and are directly reflected in inflation.

At the moment, at the level of the Coalition there is no strategy, no impact analysis, but only a collection of ideas regarding tax increases.

“From the meetings we have had so far and at the level of the prime minister and the deputy prime minister, and at the level of the leader of the Senate, we have tried to understand what is wanted. It’s very simple: You need money. Because money is needed, as usual they point the finger at the industries that bring money to the budget”, says Gilda Lazăr.

Marcel Boloș considers the taxation of vices a holy matter / He proposed an experiment to the companies

“I have not seen concrete proposals to reduce expenses, but to give more. There are hundreds of secretaries of state, a lot of employees regarding whom not much is known. There is no proposal to tidy up the garden, but a proposal to collect as much as possible from all kinds of places”, said Lazăr.

  • “For Mr. Boloș, the taxation of vices is a holy matter, so to speak. He told us that he does not conceive a package of measures without taxing vices.”

“The vices, as his lordship calls them, are already very taxed. Regarding tobacco, we have just finished negotiating a growth calendar for a few months. It is a 5-year calendar implemented since last year and two increases have already taken place: in August and April”, she also stated.

According to her, how many times did excise duty increase suddenly and uncontrollably, let’s look at 2009-2010, or in 2014, smuggling also increased.

She told that Boloș told them that they will increase the excise tax, and if smuggling increases, then they will modify along the way, they will fix it.

“You can’t do trial and error, an experiment with an industry that is a colossus. It represents 7% of tax revenues, over 45% of excise revenues. You can’t play,” stated Gilda Lazăr.

Read also:

Government sources: In Romania there will be only 2 VAT rates – 9% and 19%. How much will be in the hotel system and how much will the minimum wage in construction increase if CASS is eliminated

The variants put on the table by PSD and PNL to cover the budget hole. Where do the “visions” of social democrats and liberals diverge and what did they agree on?

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