Prime Minister announced this during a Cabinet meeting on Wednesday. According to him, tax reform is very important, but some communication errors were made earlier, and it was first presented at an inopportune time—during the scandal surrounding the MoldATSA company. There was harsh criticism from the public and the business community. At the same time, Vasile Tofan emphasized that the issue of tax reform cannot be removed from the agenda because the way the state shapes its tax policy largely determines how the economy will function. "It is important that we focus on this tax reform to ensure economic growth. And if the economy grows, the budget will receive even more revenue," said Prime Minister. He noted that the tax reform concept will be presented on August 6 and outlined some of its key points. "In a nutshell, the essence of this tax policy will be as follows: we will lower taxes on labor, stimulate investment, raise taxes on harmful habits, and very carefully harmonize certain taxes, including VAT," Vasile Tofan noted. He explained that the authorities intend to lower taxes on labor to encourage the payment of official salaries and make paying salaries "under the table" less attractive. Incentives for investment will also be provided. At the same time, the tax reform package also calls for higher taxes on harmful habits, including cigarettes, alcohol, and gambling. Regarding VAT, Prime Minister noted that the initial tax reform proposal was too ambitious and did not take certain economic vulnerabilities into account. The new version of the reform will aim to balance VAT rates for goods and services such as food, gas, and energy. "In this new version, we will act more responsibly, which will also protect the most vulnerable households, including with regard to VAT on food, gas, and energy," said Vasile Tofan. According to him, the tax reform proposal will be presented tomorrow, after which it will be opened for public discussions. // 05.08.2026 — InfoMarket