Romania’s Senate approved on September 1 the new Fiscal Code, accepting the amendments agreed by political leaders last week, including the gradual reduction of VAT.

The VAT rate will go down from 24% to 20% starting January 1, next year, and will further drop to 19% starting January 1, 2017, according to the new Fiscal Code. The tax on buildings will be removed starting January 1, 2017, except for the special agriculture buildings, for which the tax will be removed starting January 1, 2016. The special excise duty on fuel will go down starting January 1, 2017.

The Senate approved the draft of the new Fiscal Code with 131 votes “for”, one abstention and four votes “against”, reports local Mediafax. The Fiscal Code also needs to be approved by the Chamber of Deputies and then to be promulgated by the President.

editor@romania-insider.com