Yesterday, July 9, on B1.ro, a wider discussion about Romania as a regional "leader" in fuel prices. B1.ro made some nice cartoons showing the comparative prices of petrol and diesel (Romania versus other countries) which were a good support for our discussion. The most perplexing aspect that emerges from the regional picture is how does Hungary (with a VAT of 27%) manage to have a lower diesel price than Romania (which has a VAT of 21%)?... The culprit is the excise tax, which has doubled in our country (compared to what it was 2 years ago). The inability of the state to collect revenues for the state budget cannot be solved by excessively taxing those who are still "alive" (from an economic point of view). By maintaining excessive taxation, the Romanian state hits directly on the middle class, which is sent to a precarious / subsistence regime.
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