MADISON

I just came across a piece of news that, if true, would be the best thing for Romanian luxury consumers, not to even mention Madison and its clients.

For a long time now I have tried to get journalists’ attention over the fact that Romania was the ONLY country in the EU who taxed the alcohol in fragrances the same way as the alcohol imported in beverages!  Therefore, excise tax ranging form 15% to 35% had to be paid by perfume importers (such as myself), and later reflected in the end price.  As if it weren’t bad enough that our list price we get from our suppliers is already 10% higher than Western Europe, we had to deal with the excise tax, as well, and had to nurture the commonly held view of our local consumers that “we” (the retailers) take unfair advantage of our consumers and have prohibitive prices.

This tax was not in line with any EU practice (maybe with the Indian laws, from what I found) and I really hope they abolish it; I cannot wait to lower the prices accordingly!

The question is, how is the State going to make up for the huge hole in their budget?  Because, if you didn’t know, we had to pay this excise tax before we even put the product on the shelves, so regardless of the fact that we sold it or not, the State cashed in.

Goodbye to excise taxes, Realitatea.net

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