New amendments of the Fiscal Code and of the Fiscal Procedure Code
Citeste varianta in limba romana

InfoTax no. 46, March 2014

GEO no. 8/2014, published in the Official Gazette no. 151/28.02.2014, brings a series of amendments to the Fiscal Code and of the Fiscal Procedure Code with immediate application, out of which we hereby present you the most important.

I. Profits tax

- there are excluded from non-taxable incomes, incomes derived from sale/assignment of participating titles held in a Romanian legal person by a legal person residing in a state with which Romania has not concluded a convention for avoidance of double taxation

II. VAT

- it is regulated the VAT regime for electronic, telecommunications, broadcasting and television services, entering into force starting 1st of January 2015

- in case of supplies of electricity, where the buyer fulfils all the conditions set by the law for application of the reverse charge mechanism, but has failed to transmit the affidavit to the relevant tax authority until 10.12.2013, a grace period is granted for its submission, until 31.03.2014

III. Excise duties

- there are exempt from payment of excise duties, cars and jeeps having an engine capacity equal or greater than 3,000 cm3 that are assessed as historical cars in accordance with GO no. 27/2011 on road transport

IV. Fiscal Procedure Code

- it is eliminated the obligation to certificate of the annual tax returns, the later becoming optional

- the level of the late payment interest is reduced from 0,04%/day to 0,03%/day

- payers of employment income, of remuneration paid to directors and other persons treated as such, of life insurance products not covered by other EU instruments and of pensions, must submit a statement regarding the income paid to each beneficiary who is a resident of another EU member state, until the last day of February of the current year, for the previous year

- resident persons of EU member states, who obtain income from immovable property situated in Romania, have the obligation to submit a statement regarding the realized income until the 25th of May of the current year, for the previous year. At the same time, persons residing in EU member states who have acquired ownership over immovable property by the date of publication of the present GEO, have to submit the statement until the 30th of June 2014

- it is regulated the procedure for antifraud inspection

- in case of offsetting receivables that are subject to refunds, the receivables are exigible at the date when that right to refund is born, e.g. at the payment date for the amounts paid in excess of the due tax liabilities, at the date set by the law for submission of the annual profits tax return (under the regulations applicable until the date of the present GEO, the receivables were exigible at the date when the refund application was submitted)

- the VAT refund applications up to RON 45,000, submitted after 1st of March 2014, will be solved with subsequent tax inspection

- it is introduced a new procedure for reimbursement of tax receivables collected by withholding, including withholding tax, which exceed the quota set by the conventions for avoidance of double taxation, respectively the EU law.