2026 Finance Bill: Comprehensive Tax Measures to Strengthen Social Cohesion and Combat the Informal Economy
The 2026 Finance Bill, currently submitted to Parliament, includes a wide array of tax measures primarily aimed at combating the informal economy, completing the tax reform in the final year of the current government term, while enhancing social cohesion through the extension of the social contribution for solidarity on profits and income. The law’s explanatory memorandum seeks to establish an integrated tax framework that achieves greater tax fairness, aligns with the digital transformation in tax collection, and ensures transparency and efficiency in performance. Key priorities include combating the informal sector by expanding the tax base and reducing unreported transactions.
The bill proposes extending withholding at source to encompass service bonuses and real estate rental income, along with imposing an additional registration fee of 2% on transfer contracts for unregistered properties or business assets to encourage the use of formal financial channels. Furthermore, it obliges manufacturing facilities to settle the value-added tax on new industrial waste and metals, and review the tax payment on profits derived from movable capital to ensure effective collection and streamline procedures.
The draft supports investment in sports enterprises and provides tax exemptions for fertilizers and plant supports to bolster agriculture, reduce production costs, and enhance food security. It also facilitates VAT exemptions for investment funds and applies favorable rates for microfinance institutions to support funding for small projects and encourage entrepreneurship.
The extension of the social contribution for solidarity on profits and income signifies the continued funding of social projects and programs and reflects the state’s commitment to supporting social protection and achieving greater equity.
The project aligns with digital transformation by simplifying access to the tax administration’s electronic address, adapting electronic bookkeeping, updating stamp duties after digitization, organizing procedures regarding business difficulties, and clarifying the tax system for public contracts, thereby enhancing legal clarity in institutional transactions.
If approved in its current form, the project will represent a strategic step towards establishing an integrated tax system that supports the formal economy, ensures the sustainability of social programs, and accompanies the digital transformation of tax administration.
