Businesses from the left bank of the River Nistru familiarized with Moldovan tax legislation

25 Mar 2013

20 businesses from the left bank of the Nistru River learned more about the Republic of Moldova’s fiscal legislation during a working session organized in Ribnita by the Chamber of Commerce and Industry of Moldova (CCI), with the support of the UNDP-EU “Support to Confidence Building Measures” Programme. This was the 12th seminar organized for business persons from both banks of the River Nistru in order to facilitate their activities and establish working relationships and collaboration. The topics that had been tackled during the previous seminars had been suggested by the local business people, focusing mainly on the normative framework and other legal aspects related to commercial relations and business.

In the opening of the workshop, Galina Popic, Director of "Intereconomiservice", an enterprise from Ribnita affiliated to the CCI from Moldova, said: “In the Transnistrian region there are businesses registered temporarily on the right side of the Nistru River to allow them carry out import-export activities. They encounter problems related to taxes and VAT payment, as the rules are different on the two sides of the river. I believe that fiscal legislation should be explicit, without leaving any space for interpretation and not containing provisions that exclude each other”.

Raisa Bejan, expert in accounting, informed the participants about the peculiarities of the Tax Code of the Republic of Moldova, referring specifically to issues of income tax, excise duties, VAT, and tax administration, while Elena Cozma, a university professor, explained the Transnistrian region’s tax situation.

“Business people need consultancy services in this area. We found out new information and we now know how to act in future. On the left side of the Nistru River there is no VAT, the normative framework is not functional, and that’s why it is really difficult. It is really good that decision-makers ask for our opinion”, noted the accountant Oxana Rusu.

The 12 seminars that have been organized are part of the business development projects supported by the UNDP-EU “Support to Confidence Building Measures” Programme. These projects provide for the following directions: education in business area, business development services (study visits, consultancy services), support for business infrastructure by creating business incubators, feasibility study on establishment of micro-finance facility in the Transnistrian region. All these projects are interlinked and offer valuable support for the development of small and medium enterprises on the both sides of the River Nistru.

The “Support to Confidence Building Measures” Programme contributes to confidence building on both sides of the Nistru River by involving local authorities, civil society, the business community, and other stakeholders interested in economic and social development of local communities. The Programme carries out activities in five basic areas: business development, civil society, renovation of social infrastructure through local development and health and environment.

The “Support to Confidence Building Measures” Programme is implemented during the period 2012-2015. The total budget of the Programme accounts for 10,600,000 Euro, provided by the European Union (9,500,000 Euro) and UNDP Moldova (1,100,000 Euro).

Contact Information

Natalia Djandjgava, Project Officer, SCBM Programme, Tel: (+ 22 373) 839 865, natalia.djandjgava@undp.org; Natalia Costas, Communication Consultant, SCBM Programme, Tel: (+ 373) 69221141, natalia.costas@undp.org