TAXATION OF INCOME FROM AGRICULTURAL ACTIVITIES BASED ON INCOME RATE

Abstract

The paper presents a series of aspects regarding the changes of the income tax system from the agricultural activities of small farmers, individuals based on income norms. From February 1, 2013, by Government Ordinance 8/2013, was introduced the tax for income from agricultural activities, based on income norms for income from the cultivation of land, growth and exploitation of animals kept for any purpose, including those leased, whether or not is provided the proof of the use of the products. Taxpayers who carry out such activities are required to complete and submit a single return regarding income tax and social security contributions due by individuals. The objective of the works is the presentation of the agricultural activities for which the tax is established on the basis of income norms that are detailed according to the category of lands and animals that the farmer raises and the presentation of the modifications of this tax introduced in 2013. The methods used consisted in collecting data from the Romanian Fiscal Code and specific legislation. This taxation increases the fiscal pressure on farmers' incomes and, implicitly, contributes to the reduction of the living standard, as well as to the discouragement of the business environment, especially regarding the increase of investments.