Nazare said the Government wants to shift the focus from a turnover tax on multinational companies—which, in fact, hinders economic growth and prevents those companies from investing—to a tax that targets the very area through which these multinationals export their profits.

“For 2024, we've identified nearly RON 15 billion (around €3.02 billion) in affiliate-related expenses across four key categories. We've created a new tax model, similar to the US Base Erosion Tax, which sets a 3% deductible limit on these costs. Any expenses above this 3% are considered non-deductible and will be taxed at 16%," said the Minister.

Nazare added that the new tax on affiliates should replace the turnover tax currently in place for companies with a revenue of over €50 million.