PSD supports progressive taxation of income

Interim Chairperson of the Social Democratic Party (PSD) Marcel Ciolacu argued that it is "incorrect" for the National Liberal Party (PNL) to support the elimination of special pensions - "a right already won", "except" for the pensions of magistrates and the military, adding that Social Democrats are in favor of "a progressive taxation of income" and have submitted in Parliament a draft law in this regard. 

"Our point of view, and we have a bill now in Parliament, is to introduce a progressive taxation of income. It is almost incorrect to come [ed.n. - to government] and discuss a right that has already been won, but I do not want to go into the electoral logic in which PNL is still playing, that goes like: 'We will eliminate all special pensions except... We either eliminate them all, or we have exceptions," said Ciolacu, at the end of the PSD interim Standing Bureau meeting, when asked about the PNL announcement on the elimination of the special pensions except for those of the military and magistrates. 

The PSD leader informed that the party is considering conducting an impact study to see how the "income ceilings" should be taxed and to phrase the necessary amendments. 

Regarding the accumulation of the pension with the state salary, Ciolacu said that "it is a fair principle that a salary from the budget should not be combined with a pension still from the budget". 

"This does not mean that if it is promoted by law, because only by law can it be promoted, it will be constitutional. I have looked very closely at the CCR [the Constitutional Court of Romania] decision during Boc's government, we do not know if they will prohibit it or not. However, the law must have some rules in exceptional cases and here we are talking about teachers or physicians in certain geographical areas that cannot be covered or where those communities do not find people who want to provide these services. An OUG [Government Emergency Ordinance] is out of the question, as the Court has ruled, has already voiced an opinion and we will see if, by law, the Court will have another point of view," he explained.