Interest-free tax payment in 8 tranches

Interest-free tax payment in 8 tranches

The Finance Ministry is considering a new extraordinary measure for the payment of taxes this year, in more installments than normal, after a better-than-expected performance of public revenues in March.

Ministry officials are in favor of increasing the number tranches for all tax payments, saying that the income tax which is normally paid in three installments (in July, September and November) could be spread out over eight monthly tranches. They same could apply to the Single Property Tax (ENFIA).

Other ideas under examination provide for a 10-tranche arrangement with a very low interest rate for the payment of dues created as a result of the coronavirus crisis. Older debts will be settled according to the standard payment plan of the Finance Ministry between 24 and 48 tranches, but with higher interest.

The ministry is further considering allowing all taxpayers access to the instrument for 120 tranches, but again only for debts and taxes dating since the outbreak of the coronavirus crisis last month.

In March state revenues lagged by only 15 percent, despite most enterprises going into a quarantine.

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