site.btaFinance Minister Goranov: No Need to Raise New External Debt

Finance Minister Goranov: No Need to Raise New External Debt

Sofia, September 29 (BTA) - There is no need to raise new
external debt because this year the government has managed to
collect 1.6 billion leva more in revenues from insurance
contributions, VAT and excise duty, said Finance Minister
Vladislav Goranov, emerging from a meeting of the National
Council for Tripartite Cooperation (NCTC) on Tuesday.

Goranov said that during the discussions on the external debt,
the government had set the maximum ceiling in order to close a
debate that was difficult for the Bulgarian public. The Minister
 commented Tuesday's decision of the Constitutional Court to
dismiss a motion by 48 MPs challenging the ratification of an 8
billion euro debt issue over the next three years.

Goranov said he was open to discuss capping the ceiling of cash
payments from 15,000 to 5,000 leva but this will put obstacles
to the commercial exchange.

The Minister said that discussion on what tax deductions will be
 made for luxury properties and cars will continue for another
week. He added that the private use of company assets is
unacceptable from the point of view of the VAT Directive and 
Bulgaria's VAT Act. He said that 95 per cent of new luxury cars
are registered in the name of businesses to avoid payment of
taxes. Goranov speculated that VAT revenues will be boosted by
tens of millions.