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The example comes from the west of the country, from the Vladimirescu commune, the largest in Arad county. Here, the new administration has announced that it will reduce more local taxes by about 50% for next year.
With this measure, it will return to the level of those taxes and fees of 2019. This would not have happened here if there had not been a political consensus at the City Council level, that is, some politicians who understood that they must first put themselves at the service of the citizenry. .
Arad’s people didn’t like the increase
Locals expressed dissatisfaction with some higher taxes and fees in 2020, and local authorities were present at the reception. Thus, the mayor of the Vladimirescu commune, Mihai Mag (PNL), announced the decision.
In a statement released Monday by Agerpres, the mayor revealed that he will return to the tax level in 2019 in the face of discontent expressed more and more frequently and vehemently by the locals. Mag explained to the people that the tax increase is related to the new provisions of the Tax Code.
“At the end of 2019, we proposed a project that increased taxes only by 4.1%, which represents the minimum mandatory indexation provided by the Tax Code. But there was no political consensus to put the draft on the meeting agenda. By not having an adopted project, local taxes and fees from 2020 have automatically increased to the maximum value provided in the Tax Code, that is, an average of 50% at the level of the Vladimirescu commune, “said the mayor.
Moral reparation under local pressure
Continuing with his speech, the mayor of the Vladimirescu commune pointed out that the people of the area will pay only a few additional lei for a house or land. A very important aspect, especially now that the parliamentary elections are approaching.
“It was a shock to many residents, and now we are fixing this and going back to the tax level in 2019, to which only the mandatory minimum indexation applies, which can mean a few lei for a house or land,” added Mihai Mag. Mayor agrees that without PSD’s consent, this approach would have been more difficult to implement.
The Social Democrats have given up their pride
Even if PNL and USR formed a majority at the local level, PSD councilors also played an important role in this decision. “Fortunately, we also have the support of PSD, there have been discussions on this issue.
Everyone wants to reduce taxes, so the bill will be put to the vote at the first regular meeting, which will take place in the second half of November, ”said the mayor of the largest commune in Arad county. Also, some taxes will be even lower than in 2019.
For example, it is aimed at those destined to the rental of some city hall spaces or for the issuance of documents. “Precisely because we are going through difficult times, people need support, and in my opinion, the role of an administration is to be with the citizen, that is, the partner of the common man,” added Mag.
Tax from 97 lei to 69
In addition, according to the published decisional transparency project, a tax of 217 lei will be charged for a residential building of 160 square meters, compared to the 308 it had in 2020. In addition, for a land of 650 square meters, the tax will be 69 lei, compared to 97 lei, as it was a year ago.
Regarding the budgetary impact that this reduction will have, the mayor stressed that approximately 240,000 lei will be lost in 2021. And this will happen under the conditions in which the Vladimirescu commune has approximately 15,000 inhabitants.
As a number of inhabitants, the town near Arad also exceeds the cities of the region, estimating the local administration that the real population is about 18,000 people. Thousands of residents who have built houses in the new developed suburbs in the last 20 years still live in Arad.
Budget of tens of millions of lei
“The commune’s annual budget exceeds 20 million lei. In 2019, when taxes were not yet increased, the budget was 24,119,000 lei, of which 2,500,000 lei represented non-refundable European funds.
Mihai Mag won his first term as mayor in the September 27 elections, with 49% of the vote. In the previous term, he was deputy mayor. In the Vladimirescu City Council, the PNL has eight seats and the USR has three, the two parties ensuring the majority. The PSD has five councilors and Pro Româna, one councilor ”, Agerpres points out.
