Stimuli to modernize aircraft and rolling stock

The aircraft, helicopters, engines and trains involved in public passenger transportation services and the operational or financial leasing services will be exempted from VAT and customs duties, IPN reports, quoting the draft budgetary-fiscal and customs policy for 2015, which was approved by the Government.

Minister of Finance Anatol Arapu said the exemption from VAT will create more favorable conditions for the national economic entities and will contribute to increasing their competitiveness on the international market. Many of the units of transport are very old and the processes of modernizing the aircraft and rolling stock are stagnant. One of the reasons is the mandatory import duties.

Under the draft budgetary-fiscal and customs policy for 2015, the air ambulance services will be included in the category of medical services that are exempted from VAT, while the VAT on search-rescue services will be zero because these services are financed with money from the mandatory health insurance funds, while in the case of medically uninsured persons from the state budget, and the VAT makes these services more expensive.

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