Moldova (bbabo.net), - The project of PAS deputy Vladimir Bol has been registered in the Parliament. The document provides for the cancellation of excise rates provided for by the current tax legislation when importing used tractors and cultivators, reports logos.press.md

He proposes to exclude some commodity items from Table 3 of Appendix No. 2 of Section IV of the Tax Code. We are talking about used tractors - single-axle, wheeled for semi-trailers, caterpillar, wheeled, for agricultural work and for forestry of various capacities, for which special excise taxes have been applied since last year, depending on the engine size and service life.

In the explanatory note to the draft, its author writes that until 2020, the legislation did not prohibit the import of used agricultural machinery of a certain age. Initially, the legislation should not impose a ban on the import of goods (with the exception of those that are prohibited from moving within the country, such as drugs), especially since Moldova is not a manufacturer of agricultural machinery. But in 2020, in order to limit the import of certain goods that pollute the environment, changes were made to it.

Today, cultivators classified under headings 870110,000, 870120, 870130000, 870191900, 870192900, 870193900, 870194900, 870195900, new and used, with a service life of up to 12 years inclusive, are not subject to excise duty. And if the term is from 13 to 15 years inclusive, then in case of their acquisition, the rate of 10 lei / 1 cubic meter is applied. cm, at the age of 16 to 18 years - 20 lei / cc, from 19 years and older - 60 lei / cc.

Tractors of headings 870191100, 870192100, 870193100, 870194100, 870195100 with a service life of up to 20 years are not subject to excise duty. If it is from 21 to 23 years old, then the excise tax is levied at a rate of 10 lei / cu. cm, from 24 to 26 years old - 20 lei / cub. cm, over 27 years old - 60 lei / cc.

The author of the initiative clarifies that in 2021, only three tractors with a service life of more than 20 years were imported to Moldova. The amount of excises amounted to 1.1 million lei. For the import of a K700 tractor (manufactured in 1989) with a customs value of 16,000 euros, an excise tax in the amount of 892,000 lei was paid.

According to Vladimir Bol, the proposed measure will increase the income of farmers and redirect their resources to the export of agricultural products. In general, this will contribute to building up the potential of the industry, which is strategic for the Moldovan economy, he emphasizes.

The head of the company Prodcar (Negureni village, Telenesht district) for the production of horticultural products, Nikolay Paskal, positively evaluates the project. “Now we're saving on everything to stay in the market,” he says. “New tractors have risen in price, and if I buy a good European tractor, which is two years old, it will be about half the price, and it will be possible to work on it for another ten years.”

“This to some extent solves the problem at this stage, but not strategically,” said Alexander Slusari, a former deputy and ex-head of UniAgroProtect. - On the one hand, it is a problem of poverty. Many farmers do not have the money to buy good equipment, even second-hand ones, and thus they try to somehow improve production. On the other hand, this is not the best way in terms of the development and competitiveness of the agricultural business and the environment. When the state fails to cope with poverty by increasing the income of farmers, it takes such steps.”

In his opinion, it is necessary to revise upward the subsidy fund and the conditions for providing assistance from it. And also stop supporting agricultural holdings, and provide more support to small farmers. This is a different model of agriculture. It requires a little more time, although we have already lost it.

“The amount of excise tax or its absence will not greatly affect the efficiency of agriculture, especially since farmers practically do not pay VAT to the budget,” says Sergey Temrin, Director of Concept. - But everywhere (including in Europe) the state buys out farmers' crops (and at the market price) if they cannot find buyers. As long as our bananas are cheaper than apples, we will not be able to improve agriculture.”

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