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The main point of the election campaign carried out by PNL (the National Liberal Party) - PD (the Democrat Party) Alliance was the use of a single tax rate starting with January 2005. Yesterday vice PM Adriean Videanu stated it was allowed to postpone such date for 6 months. But later on he claimed Tariceanu's government was going to stick to the date announce during the election campaign. His first statement referred to modifications on the fiscal code that had to be set 2 months before starting to use them, according to the law. It is likely that the vice PM should have omitted the fact that the Executive could stick to January 1 2005 by means of emergency ordinance. Such indecision might severely harm the image of Tariceanu's Cabinet at the very beginning of mandate. Videanu's mumbling expressed yesterday follows other confuse statements we are to remind, since the new rulers have come up with a new view on politics. It is just unacceptable to make Gheorghe Dobre Minister of Transport, since he helped the coal miners reach Bucharest. It is also unacceptable to nominate Cristina Parvulescu for the government team. He failed in answering basic questions concerning the EU integration. In the very day he announced the future PM, president Traian Basescu yelled at some reporter from Antena 1. After he got nominated, the Executive leader reminded us of his arrogant predecessor and explained journalist it was inappropriate to take his picture while he was coughing. In case the present rulers' wish to bring new approach to politics is real, then deeds must replace statements.

"The specification saying modifications on the Fiscal Code are to be used 6 months after they are adopted functions as recommendation only and it may be disregarded with no difficulty, if necessary. Nastase's government also appealed to such derogation, as it worked on the Fiscal Code modifications that were applied before 6 months since adoption. Moreover, this specification gets to be applied in the first day of the year following the one when the modification was operated. Therefore if new rules are applied at the middle of next year, the specification will be disobeyed. The government's power to issue simple ordinances during parliamentary leave could find solution for applying modifications starting with January 1 2005, especially that this is about positive measures that would simplify fiscal procedures. But to delay till June 30 2005 the use of fiscal modifications would complicate things a lot, as both the income tax and the profit tax are yearly taxes and they should be calculating using two different systems, which is very complicated. The delay can neither be explained by lack of program on the implementation of the single tax rate, for the latter has existed since one years ago, when the team coordinated by minister Tanasescu also elaborated an evaluation of the impact on the budget. The evaluation was showing that at the time it would have been possible to set a 19% single tax on income with no difficulty.

Mihai Ionescu, President of the National Association of Romanian Exporters and Importers: Single tax is urgent

"The cut form 25% to 16% on the tax on profit and the use if a 16% single rate of the income tax should be applied as soon as possible. We would have liked it to have been set yesterday. But we can't give opinion, in case there are juridical difficulties. To exporters it is no advantage is these changes get to be applied beginning with the midyear, since exporters should have calculations in keeping with the present rules for half a year and in keeping with other rulers for the second half of the year. But it is preferable that the new modifications the Executive has come up with should be applied from June 30 2005 on rather than not be applied at all. (A.M.V.)