Over 1,300 NGOs in Romania call on political parties to clarify position on tax benefits for non-profit sector

22 November 2024

More than 1,300 non-profit organizations active in Romania have issued an open letter to political parties, urging them to publicly outline their positions regarding fiscal measures that support the non-governmental sector. The letter, presented at a press conference in Bucharest on November 21, emphasizes the vital role tax incentives play in enabling NGOs to address public interest issues, often stepping in where state resources fall short.

The document also warns that potential legislative changes in the 2024 electoral year could reduce or eliminate these essential benefits, directly undermining NGOs' ability to serve vulnerable communities.

The open letter seeks clarity on three key points, namely the parties' stance on the Sponsorship Law, a key tool for funding social, educational, health, and environmental initiatives; their commitment to maintaining the 20% tax credit mechanism, which allows companies to support NGO projects; and their plans for future collaboration between the state and the non-governmental sector.

"Fiscal incentives are not privileges but necessities for continuing our mission," stated Carmen Uscatu, co-founder of Dăruiește Viață, one of the signatory organizations.

Dăruiește Viață co-founder Oana Gheorghiu added: "The year 2025 will be difficult and full of challenges. We fear that, once again, NGOs will be the first to face fiscal measures that will limit our activity. The future of our projects and the fate of the millions of Romanians we support depend on the decisions made now."

Non-profits contribute 1.54% to Romania's GDP and employ over 127,000 professionals in critical fields like healthcare, education, environment, and social assistance, the signatories noted in the press release. Projects carried out with the support of fiscal incentives have helped millions of Romanians in vulnerable situations, especially in areas where the state lacks the necessary resources, they further explained.

The full text of the open letter is available here.

irina.marica@romania-insider.com

(Photo source: Asociatia MAME)

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Over 1,300 NGOs in Romania call on political parties to clarify position on tax benefits for non-profit sector

22 November 2024

More than 1,300 non-profit organizations active in Romania have issued an open letter to political parties, urging them to publicly outline their positions regarding fiscal measures that support the non-governmental sector. The letter, presented at a press conference in Bucharest on November 21, emphasizes the vital role tax incentives play in enabling NGOs to address public interest issues, often stepping in where state resources fall short.

The document also warns that potential legislative changes in the 2024 electoral year could reduce or eliminate these essential benefits, directly undermining NGOs' ability to serve vulnerable communities.

The open letter seeks clarity on three key points, namely the parties' stance on the Sponsorship Law, a key tool for funding social, educational, health, and environmental initiatives; their commitment to maintaining the 20% tax credit mechanism, which allows companies to support NGO projects; and their plans for future collaboration between the state and the non-governmental sector.

"Fiscal incentives are not privileges but necessities for continuing our mission," stated Carmen Uscatu, co-founder of Dăruiește Viață, one of the signatory organizations.

Dăruiește Viață co-founder Oana Gheorghiu added: "The year 2025 will be difficult and full of challenges. We fear that, once again, NGOs will be the first to face fiscal measures that will limit our activity. The future of our projects and the fate of the millions of Romanians we support depend on the decisions made now."

Non-profits contribute 1.54% to Romania's GDP and employ over 127,000 professionals in critical fields like healthcare, education, environment, and social assistance, the signatories noted in the press release. Projects carried out with the support of fiscal incentives have helped millions of Romanians in vulnerable situations, especially in areas where the state lacks the necessary resources, they further explained.

The full text of the open letter is available here.

irina.marica@romania-insider.com

(Photo source: Asociatia MAME)

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