Food and hospitality services sector calls for the elimination of the income tax on the gross minimum wage for 3-5 years

Redacția mai 12, 2021 0 comentarii
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The hotels and restaurants industry (the HoReCa sector) in Romania is calling on the Government to eliminate taxes on the gross minimum wage for the next 3 to 5 years, as a compensatory measure for the losses suffered by this industry during the pandemic, said Daniel Mischie, president of the Romanian Hotels and Restaurants Employers’ Organization (HORA), as quoted by Agerpres.

“There are currently discussions with representatives of the Government for compensation, compensation, both on Law 224 and 20% of the difference in turnover 2020 versus 2019, but we are also in discussions for compensation, compensation for the period during which the industry was restricted and still is in 2021. These compensations should be in the form of a difference in turnover, or we have come up with a proposal whereby, given the staff shortage and the labor crisis in this industry, employees should benefit from zero taxes on the gross national minimum wage for 3 to 5 years, which could also be a national test,” Mischie said.

Paul Ene, State Secretary in the Ministry of Economy, pointed out that the HoReCa sector could be included in a pilot project to implement this measure starting next year. “In connection with HORA’s proposal for zero minimum wage taxes in the HoReCa industry, the governing coalition has assumed through the government program that, depending on what the budget will look like next year, we have a pilot where we want to apply this measure. We at the Ministry of Economy want the HoReCa area and tourism to be part of this pilot area to offer our support and show that it is a good measure for the entire economy,” Ene said.

Translated from Romanian by Service For Life S.R.L.

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