Moldovan Parliament Passed Bill on Consolidated Agricultural Tax
OREANDA-NEWS. April 01, 2013. Besides, the bill stipulates a change in the method of paying the agricultural VAT so that 8% of the 20% VAT would be transferred to the budget, 12% staying on accounts of farmers and being spent on production only.
According to Minister of Agriculture and Food Industry Vasile Bumacov, the consolidated tax will replace 6 of 9 taxes paid in agriculture, namely the profits tax, the land tax, the real estate tax, the road toll and other local taxes. As before, farmers will have to pay VAT and contributions to the social insurance and mandatory health insurance funds. According to Vasile Bumacov, a rate of the consolidated agricultural tax will vary depending on fertility of lands farmers own.
The consolidated tax rate is calculated as a mark given for quality of a soil and multiplied by the average rate of 3.1 leis per point/hectare. A point/hectare characterizes quality of land, its fertility and agricultural value. 50% of the total sum of the tax must be paid before September, 30, with another half to be paid till November, 30.
According to the Agricultural Minister, with the single tax being introduced, a total sum of taxes imposed on farmers will not increase. But the introduction will be beneficial for both: the state and farmers, who will not have anymore to waste time as paying 6 different taxes at different offices.