Further expanding the business band benefiting a reduced profit tax rate of five percent only would help companies to grow, boost investment and increase the number of their employees, fighting at the same time the informality and tax evasion in economy. Prime Minister Edi Rama, who visited “ItalDivani”, a design and furniture manufacturing enterprise in Kamez, Tirana outskirts, pointed out that easing the fiscal burden for over 11 000 business, which will benefit from a profit tax rate of five percent down from a previous 15 percent rate, would also yield tangible results in the government’s drive to fight informality in the economy.

“It is very important for us that this business category benefits from fiscal incentives and generate more employment, as well as it helps to fight informality and tax evasion, as it helps us in the entire consolidation process of transparency in economy,” PM Rama said.

Stivi Loka, the company manager said that factory plans to expand its activity and range of products, saying the government’s package to cut taxes is helping business.

“We currently have a showroom in Tirana and a large number of social networking followers who make online orders. The new fiscal package helps us a lot,” he said.

***

Business community, small and household business in particular, acknowledge that lowering the profit tax from a previous 15 percent rate to five percent only, will be translated into business growth and it will significantly help to fight informality. “Art peciglas”, a company operating in processing of plastics and plexiglass materials, is another business operator benefiting under the government’s new fiscal package.

Prime Minister Edi Rama visited the “Art Peciglas” company premises.

“This is a family business. We are involved in plexiglass processing for the marketing sector mainly. Our business’ annual turnover to date is estimated at around 80 million lek. The government’s measure will help our business a lot,” Ylli Picalli, “Art Peciglas” administrator said.

“We increased the annual turnover threshold from 80 million to 140 million and cut the profit tax rate to only five percent so that business operators do not seek to hide turnover, or pay others to do so. By doing so, we will reduce cost of this fake accounts and fight informality in the economy,” PM Rama stated.

The entrepreneur added that his business has been growing year after year, but he is now mulling plans to further expand activity and increase the company’s earnings, as well as employee salaries.

“We currently hire seven people. There is much room for more. I will rise salaries. We work with various companies, including pharmacies, hotels, marketing operators,” he said.

“We have high expectations from this government measure. It eases fiscal burden significantly. There are around 11 000 operators, representing the most interesting part of the business with great potential to grow more, boost investment and employment,” the Premier said.