Individuals with an annual income of more than 360 thousand lei will lose their right to personal exemption from income tax.

Individuals with an annual income of more than 360 thousand lei will lose their right to personal exemption from income tax.

This is envisaged by amendments to the Tax Code adopted by parliament under the bill on tax measures agreed with the IMF. The Ministry of Finance initiated this measure in order to return the elements of progressive taxation, which suggests that individuals with high incomes make a greater contribution to the country's budget. Considering that the amount of annual personal exemption will remain at the level of 24 thousand lei (this is exactly the amount the individual’s taxable income is reduced when calculating the income tax payable), an individual with a monthly income of more than 30 thousand lei per month will pay an additional 240 lei to the budget per month. According to the Ministry of Finance, in 2018, 4891 people received an annual income of over 360 thousand lei. The proposed tax measure, according to the department, will bring to the budget an additional about 14 million lei.// 17.08.2019 — InfoMarket.

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