However, this might be just the calm before the storm. Important changes are ahead, as the Ministry of Finance has upheld its commitment to re-write the Tax Code. Just to put this into perspective, this is somewhat similar to the exercise carried out in 2003 when the Tax Code was introduced in Romania. KPMG is heavily involved in this exercise, aiming to represent the interests of the humble taxpayer. Weekly meetings are held both internally and externally - with representatives of the Ministry of Finance in which we make our suggestions on the drafting of the new Code, based on the experiences of our clients. The effort is definitely worthwhile. If successful, the end result should be a user friendly Tax Code and a seamless transition to the new rules.
As a side note, a legal regulatory issue also has some tax implications for companies in the green energy sector. Uncertainties in relation to the law on green certificates (i.e. whether the number of green certificates will be reduced, and whether there will be any grandfathering rules for already operational projects) have put the market in a standstill mode. Investors – current and potential –have been forced to reconsider their business forecasts and amend their tax assumptions to correspond to the new regulatory environment.