Nexia ABS is supporting you in digital transformation
Few online systems are already implemented in Romania or in process of testing for implementation to align with European norms and reporting. The dynamic is increased lately and since the processes become mandatory faster our experts are ready to support entrepreneurs to comply with new requirements.
e-Invoice live
E-Invoice is operating starting with 2024, being mandatory in B2B relations. Although many errors appeared in the first month, the Fiscal Authority is working to solve issues and improve the platform. Increasing number of the processed invoices and companies’ specific situations created a lot of buzz in the market. After applied corrections no duplication is possible. ANAF organizes periodical webinars for public information and adopts improvements based on software implementation partners and customers’ feedback. Self-invoicing will allow to correct mistakes.
Romania is now the fourth country in EU to implement this system to limit tax evasion. The term is 5 working days to transmit it from issuing date but no more than 5 days from the deadline. No sanctions apply until April.
Over 60% of the entrepreneurs find the system complicated and difficult to support the initiative.
RO e-Transport
Obligation to report in RO e-Transport applies also for international transport of goods, regardless of whether or not they are goods with a high fiscal risk. The acces is done through VPS of the taxpayer, based on a digital certificate approved by ANAF. System automatically generates a unique identification code (UIT), which will be transmitted to the carriers. Sanctions consist of a fine from RON 20,000 to RON 100,000, in the case of legal entities, as well as confiscation of the value of the undeclared goods, entering into force on July 1st, 2024.
e-VAT to be implemented
RO e-VAT system is estimated to become operational from August 1st 2024.
This will provide taxpayers with prepared VAT statements, which will have to be completed with additional information in some cases.
e-VAT will initially be based only on electronic invoices and tax receipts, so pre-filling cannot cover operations in the B2C relationship.
Company financial aid
Firms can apply to obtain public financing for the following programs:
- Social enterprises – for acting as grants administrators, up to EUR 100 000 for selected social entrepreneurs, at least a 10% contribution;
- Investition I9, until April – NGO up to EUR 70000 for IT accessories;
- Listing to the Bucharest Stock Exchange, until May – up to EUR 300 000 per each project and obtained from European funds.
Digital Calendar to 2025
Terms for the use or implementation by the Ministry of Finance of the digital information modules:
a) RO e-Invoice: March 1st, 2024;
b) RO e-Cash registers: April 1st, 2024;
c) RO e-TVA: August 1st, 2024;
d) RO e-Transport: September 1st, 2024;
e) RO e-Seal: January 1st, 2025;
f) other modules: March 1st, 2025.
e-Invoice data to be kept in XML
The XML type data downloaded from the SPV are mandatory and must be kept in this format. ❎
O.U.G. no. 120/2021 specifies that the original copy of the electronic invoice is the XML file accompanied by the electronic seal of the Ministry of Finance.
In practice, the invoice sent and received through the e-Invoice system, including those downloaded from the SPV, must be kept as such. The date of communication of the electronic invoice to the recipient is considered as the date on which the electronic invoice is available for download from the RO e-Invoice system.
Data are available in the system to be downloaded for 60 days from the moment of publication, than to be archived electronically and released only upon request.
Inflation vs trade margins
Romanian Government’s measure to limit trade margins on several agricultural and food products, is extended until March 31, 2024 while the list of products has been narrowed.
The ceiling was tested initially for three months, being extended twice to keep the inflation low. Inflation indeed steadily decreased but food prices were also impacted at the beginning of 2024 by the fiscal changes implemented.
Financial situations for 2023
Deadlines for submitting annual financial statements differ depending on the type of reporting entity. Thus, for legal entities (companies, national companies / companies, autonomous companies, national research and development institutes, subunits in Romania, which belong to non-resident legal entities, other than those belonging to the European Economic Area) the submission deadline is 150 days from the end of the financial year 2023, (29.05.2024) or 90 days, if they are in liquidation proceedings (1.04.2024), while for associations, foundations, subunits of non-resident legal entities based in the European Economic Area, the submission deadline is 120 days (30.04.2024).
RetuRO SGR system
Implementation of warranty-return system for non-reusable primary packaging started and progressively will cover the retail market. Consumers will pay a guarantee of 0.5 RON on each article marked as SGR packaging. The amount can be returned during 24 months in different forms once the packaging is also returned in designated places from retailers to automated machines, in cash or vouchers. Retailers should register and report in the application.
International sanctions
New norms are implemented to align sanctions at all levels to Romanian legislation.
ANAF, the fiscal authority, will monitor, identify, and have the right to block and stop any funds or activity contrary to the international agreements.
NBR monetary policy
National Bank of Romania is maintaining the interest rate for monetary policy to 7% per year There were expectations to be decreased but inflation in January increased due to new fiscal measures applied. On deposits the interest rate is at 6% while on lending facility the interest is 8%.
Nexia ABS
Nexia ABS Financial Services is a tax and accounting consulting company that offers integrated and customized services for its clients in various fields of activity. The company is formed by a team of experienced and specialized professionals who focus on the individual needs of each client and offer solutions tailored to their specific needs.
Nexia ABS Financial Services offers accounting, taxation, payroll, reporting services for all categories of companies active in different fields of activity such as construction, real estate, energy, production and trade. Our extensive experience is gained from partnerships concluded with large companies from Türkiye, but also with European and international partners.
Moreover, Nexia ABS Financial Services is part of the global Nexia International network, which provides access to an extensive network of international experts and resources. This allows its clients to benefit from local and international expertise as well as a better understanding of global markets.
Our team of experts at Nexia ABS Financial Services are at your disposal and can offer you personalized services for your business needs. We are proud to acknowledge that we are the architects of the figures for strategic investors in Romania.
Link to last report: https://www.nexiaadvicero.eu/en/brief-romania-news-q4-brief-romania-news-q4/
Contact: nicoleta.vrajescu@nexia-abs.com Website: www.nexiaabs.com