Moldovan farmers voice fears over potential increase in land tax

Chisinau, 1 February /MOLDPRES/- According to “UniAgroProtect” Union of Agricultural Producers, a potential increase from 1.5 lei to 1.73 lei in the land tax could worsen farmers’ situation, taking into account that 2015 was a very difficult year for them.

“It is not a good idea. I do not think it is economically and ethically correct to increase fiscal pressure on agricultural producers, taking into account that they had already been hurt by the 30-40-per-cent increase in the price of farming resources in 2015, doubling of interest rates and by the unpaid subventions for 2015, accounting for 450 million lei,” UniAgroProtect head, Alexandru Slusari said.

Moreover, farmers had to cope with an excessive drought during the growth of their spring crops.

“It would be more rationally if the land tax share stayed unchanged and the introduction of the consolidated tax be brought into discussion again. The latter will enclose more taxes and fees paid by the farmers,” Slusari noted.

The Finance Ministry suggests that the land tax for farming land and land inside and outside located areas be increased by 15 per cent. The increase, which is provided in the fiscal policy draft law for 2016, is necessary to enlarge the income into the budgets of local public authorities and ensure their financial autonomy.

(Reporter V. Bercu, Editor L. Alcaza)