Investors still have time to get ready for the new StockExchange tax, as the law draft for the modification of the FiscalCode has not been approved, yet. Until then, they can build upstrategies to restructure their portfolio so as they can pay assmall as possible a tax when it comes into effect. What solutionsdo they have? The government wants to levy a 16% tax on all capitalmarket gains, irrespective of the holding period. At present,investors holding portfolios older than a year, which areprofitable, can cash in on their profits at a tax of just 1%. Asolution is to transfer the stock portfolio to an offshore firmfrom a tax haven, significantly reducing tax burdens for investorswith large portfolios. The Brokers' Association says it has agreedwith Finance Minister Sebastian Vladescu on a system through whichindividual investors on the Stock Exchange should carry forwardtheir losses of a year to the next five years, reducing gaintaxation base. These changes are likely to come up with themodification of legislation.
