RCS & RDS. Orange, Telekom, Vodafone, ANCOM WARNING

RCS & RDS. Orange, Telekom, Vodafone are at the center of a very important warning made by ANCOM for the Romanian Government, this is what the institution said.

RCS & RDS warning

RCS & RDS. Orange, Telekom, Vodafone are the target of a very important warning issued by ANCOM, which claims that turnover tax imposed by the Romanian Government by the end of 2018 it would be illegal. ANCOM claims that this tax on the turnover of mobile phone operators in Romania would be contrary to the European legislation that Romania must respect, so RCS & RDS, Orange, Telekom, Vodafone could get rid of it.

RCS & RDS. It seems that on December 20th, ANCOM would have sent a document to the Romanian Government detailing why the new turnover tax cannot be imposed because it contravenes European legislation. Basically, EU law allows operators like RCS & RDS, and the rest, to have a monitoring fee imposed by institutions like ANCOM, but only to cover their administrative costs, i.e. exactly as the old one is, not applied.

RCS & RDS. Orange, Telekom, Vodafone, ANCOM WARNING

RCS & RDS. Together with the other mobile phone operators, it did not pay this tax, which represents 0.4% of the turnover, in the last 10 years because ANCOM was self-financed, ending up with 1 billion LEI in its accounts. Moreover, according to European legislation, the money collected from this tax imposed on RCS & RDS, and the other telecom companies, cannot be used in other ways than to finance ANCOM, but the Government wants to digitize the state apparatus.

RCS & RDS warning com

RCS & RDS. Practically, the tax imposed by the Romanian Government through Ordinance 114/2018 could be challenged in court and canceled completely because it contravenes EU legislation, which Romania must fully respect. In this idea, it is very possible that RCS & RDS and the other telecommunication service providers will never end up paying a single penny based on it, all intensely criticizing the measure taken by the Romanian Government, without any success for now.

RCS & RDS. The money that would be collected through this tax would be used for a purpose that would benefit all citizens, but if the tax itself is illegal, then nothing will be collected.