DECISION No 44 of January 22, 2004
for the approval of the Methodological Norms for the enforcement of Law no 571/2003 on the Fiscal Code
Note:
Text in force since July 1, 2008. This text is not republished, but updated with informatics means. The text does not include IX, referring to local taxes and fees that are not administrated by ANAF.
Pursuant to art. 108 of the Constitution of Romania, republished, and to art. 1 par. (1) and art. 5 par. (3) of Law no 571/2003 on the Fiscal Code,
The Government of Romania adopts the present decision.
ART. 1
The Methodological Norms for the enforcement of Law no 571/2003 on the Fiscal Code, set forth in the annex that is part of the present decision.
ART. 2
On the date of entry into force of this Code, there shall be abrogated:
a) Order no 635/2002 of the Minister of Public Finances for the approval of the Indications referring to the application of the conventions or agreements to avoid the double taxation, concluded by Romania with different states, published in the Official Gazette of Romania, Part I, no 390 of June 7, 2002;
b) Order no 1.828/2003 of the Minister of Public Finances on the documents needed for the acquisition of excisable products under tax exemption, published in the Official Gazette of Romania, Part I, no 13 of January 8, 2004;
c) Order no 1.852/2003 of the Minister of Public Finances on the pattern of markings to be applied on excisable products and the purchase procedure, published in the Official Gazette of Romania, Part I, no 16 of January 8, 2004;
d) Order no 1.853/2003 of the Minister of Public Finances on the fiscal documents used in the excisable products fields, published in the Official Gazette of Romania, Part I, no 17 of January 9, 2004;
e) Order no 1.845/2003 of the Minister of Public Finances on the norms for the application of certain provisions under Title VI "Value Added Tax" of Law no 571/2003 on the Fiscal Code published in the Official Gazette of Romania, Part I, no 14 of January 8, 2004.
ANNEX 1
Methodological Norms for the enforcement of Law no 571/2003 on the Fiscal Code
Fiscal Code:
TITLE I
General provisions
[...]
Definition of the permanent establishment
ART. 8
(1) For purposes of the present code, a permanent establishment is a location through which the activity of a non-resident is wholly or partly carried out, either directly or through a dependent agent.
(2) A permanent establishment includes a place of management, branch, office, factory, shop, workshop, as well as a mine, oil or gas well, quarry or other place of extraction of natural resources.
(3) A permanent office includes a building site, a construction, assembly or installation project or supervisory activities in connection therewith only if the site, project, or activities last more than 6 months.
(4) By way of derogation from provisions of par. (1) - (3), a permanent establishment does not include the following:
a) the use of a facility solely for the purpose of storage or display of products or goods belonging to a non-resident;
b) the maintenance of a stock of products or goods belonging to a non-resident solely for the purpose of storage or display;
c) the maintenance of a stock of products or goods belonging to a non-resident solely for the purpose of processing by another person;
d) the sale of products or goods belonging to a non-resident that have been displayed during a non-permanent or occasional fair or exhibition if the products or goods are sold no later than one month after the conclusion of the fair or exhibition;
e) the maintenance of a fixed place of activity solely for the purpose of purchasing products or goods or collecting information for a non-resident;
f) the maintenance of a fixed place of activity solely for the purpose of carrying out for a non-resident any activity of a preparatory or auxiliary nature;
g) the maintenance of a fixed place of activity solely for any combination of activities provided in let. a) – f), provided that the entire activity carried out at such fixed place is preparatory or auxiliary in nature.
(5) By way of derogation from provisions of par. (1) and (2), a non-resident is considered to have a permanent establishment in Romania with respect to activities which a person, other than an agent with independent status, undertakes on behalf of the non-resident if the person is acting in Romania on behalf of the non-resident and if one of the following conditions is met:
a) the person is authorized and exercises in Romania the authority to conclude contracts on behalf of the non-resident, unless the activities in question are limited to those provided in par. (4) letter. a) - f);
b) the person maintains in Romania a stock of products or goods from which the person delivers products or goods on behalf of the non-resident.
(6) A non-resident is not considered to have a permanent office in Romania unless it carries out an activity in Romania through a broker, agent, general commissioner or any other intermediary agent with independent status, provided that such activity is the regular activity of the agent according to the description in the constitutive documents. If the activities of such agent are carried out wholly or almost wholly on behalf of the non-resident and conditions exist between the non-resident and the agent in their commercial and financial relations which differ from those which would exist between independent persons, then the agent is not considered to be an agent with independent status.
(7) A non-resident is not considered to have a permanent office in Romania unless it controls or is controlled by a resident or by a person carrying out an activity in Romania through a permanent office or otherwise.
(8) For the purposes of the present Code, the permanent office of a natural person is considered to be a fixed base.
Methodological Norms:
1. The term" location through which the activity of a non-resident is wholly or partly carried out" covers any buildings, equipments or installations used to carry out the non-resident's activity, regardless whether they are used exclusively or not to this end. A place of activity exists also where buildings are not built nor needed for the carrying out of non-resident's activities, but the latter only disposes of such place. It is not important if the buildings, equipments or the installations detained by the owner are rented or are differently at the non-resident's disposal. A place of activity may be represented by a stand in a market or it may be located in another company's building when a non-resident permanently has at his/her disposal certain buildings or parts of buildings, owned by another company.
2. It is enough for a resident to have at his/her disposal a location used for economic activities for this place to represent a place of activity and no official legal right is required for the said place to be used.
3. Though no official legal right is required for the use of such place so that it may be used as a permanent registered office, the simple presence of a non-resident at a certain location does not mean that the location concerned is at the disposal of the said non-resident. This principle is reflected in the following situations where the representatives of a non-resident are present at the locations of another company:
a) A seller visiting, on a regular basis, a main client so as to receive orders and meets the procurement director in his/her office. In such case the client's building is not at the company's disposal that the seller is working for and does not represent a fix place of activity which the non-resident's activities are carried out through. However, based on the existing situations, there may be applied par. (5) of art. 8 of the Fiscal Code so as to consider it as a permanent registered office.
b) An employee of a company that is allowed, on long term, to use an office within the registered office of another company, in order to make sure that the latter observes the obligations undertaken through the contract concluded with the first company. In such case, the employee carries out activities connected to the object of activity of the first company, and the office found within the registered office of the other company which is at his/her disposal shall not represent a permanent office for his/her employer unless he/she can use the office long enough to transform it into a "place of activity" and unless the activities carried out in such office exceed the activities set forth under par. (4) of art. 8 of the Fiscal Code.
c) A road transportation company using on short term a delivery platform within its client's deposit, intended for the delivery of the goods purchased by the said client. In such case, the presence of the road transportation company on the delivery platform is short and the company shall not consider that place as being at its disposal and therefore it shall not represent the company's permanent office.
d) A painter that, for a two-year period, spends three days a week in a big office building belonging to his/her main client. In such case, the presence of the painter in the said office building where he/she performs his/her activity / paints, represents the painter's permanent office.
4. The words "through which" must be applied in all situations where economic activities are carried out at a certain location which it is at his/her disposal to this end. Thus, a company employed for a road pavement shall be considered to carry out its activity "though" the location where the activity is performed.
5. The place of activity must be "fix" so that there might be a connection between the place of activity and a certain geographical spot. The period of time a company from a contracting state operates in the other contracting state is not important unless such operations are carried out at a different place; however this does not mean that the equipment representing the place of activity must necessarily be fixed on the ground. It is enough for the equipment to remain in a certain place. When the economic activities of a company are moved to neighbouring locations, a series of difficulties in establishing whether there is a sole "place of activity" or more, may arise. Should two places of activity exist and should all the other conditions of the permanent office are met, the company shall have at each of the two locations a permanent office. A place of activity shall be considered as sole place of activity, when a certain location, where the activities are moved to, may be identified as a sole unit for the said activity, both from a commercial and geographical standpoint. This principle may be illustrated as follows:
a) A mine represents a sole place of activity, even if the activities may be moved from one location to another within the same mine as the said mine represents a sole geographic and commercial unit for the mining activity. A "office hotel" where a consultancy company rents offices on a regular basis, is considered to be a sole place of activity for the said company as, in such case, the building represents a sole geographic unit, and the hotel is the sole place of activity of the consultancy company concerned. A pedestrian street, an open market or a market place where a trader has his/her stand represents the sole place of activity of the said trader.
b) The fact that the activities may be carried out in a limited geographical area does imply that the said area shall be considered a sole place of activity. Thus, when a painter works successively, for different clients based on a number of contracts with no connection between them, in a big office building and no contract exists for a complex building painting project, the building is not considered as a sole place of activity. On the other hand, if a painter carries out, within a sole contract, works in the entire building for a sole client, this contract represents a sole project and the building as a whole is a sole place of activity for the painting works, as it represents a sole unit both from a commercial and geographic standpoint .
c) An area where the activities are carried out as part of a sole project representing a unitary whole from a commercial standpoint and that does not meet the same geographic conditions, does not represent a sole place of activity. Thus, when a consultant works in different branches at different locations within a sole vocational training project intended for the employees of a bank, each branch shall be considered separately. If the said consultant moves from an office to another within the same branch, he/she shall be considered to remain at the same place of activity. The sole location of the branch shall be classified as geographically unitary, but this shall be not be applied should the consultant move to branches situated at different locations.
6. As the place of activity must be fix, such place shall be considered permanent if it has a certain permanence degree. A place of activity shall be thus considered permanent if it has been maintained as such for a period of time exceeding 6 months. Thus, for the activities of repetitive nature, each period of time that the place of activity is used for, shall be analysed based on the number of occasions the said place has been used on, occasions that might go on several years.
A place of activity may represent however a permanent office if it exists only for a short period of time. Thus:
a) temporary activity interruption shall not be perceived as the closure of the permanent office. When a certain place of activity is used only for short time intervals, on a regular basis on long term, the place of activity shall not be considered as strictly temporary.
b) When a place of activity is used for short time intervals by several similar companies managed by the same person or by shareholders. In such case the place of activity shall be considered as used only for temporary purposes by each company .
c) When a place of activity that was initially conceived to be used for a short period of time so it did not represent a permanent office, but which in fact is longer maintained, becomes a fix place of activity and is retroactive transformed into a permanent office. A place of activity may also be a permanent office as from its establishment even if there existed, in practice, only for a short period of time, if it was liquidated due to special circumstances as the failure of the investment.
7. For a place of activity to be a permanent office, the company using it must integrally or partially carry out its activities through such place. The activity shall not be a permanent in the sense that there shall not be any interruption in the operations, and such operations shall be carried out on regular basis.
8. When the tangible assets, as the machineries, industrial, commercial or scientific equipments, buildings or non-tangible assets as patents, procedures and other similar properties are rented or granted in leasing to third parties through a fix place held by a company belonging to a Contracting State in the other State, such activity shall generally confer to the place of activity the character of permanent office. It is the same for the case when a fix place of activity is set as capital. If a company within a state rents or grants in leasing machineries, equipments, buildings or non-tangible assets held by a company belonging to the other State without this rental to maintain a fix place of activity in the other State, then the machineries, equipments, the building or the rented non-tangible assets do not represent a permanent office of the owner unless the object of the contract is limited to the simple rent of the machineries, equipments: This is applies also when the owner provides personnel after the installation intended for the equipment operation provided that his/her responsibility is limited to the operation and the maintenance of the equipment managed, controlled by the owner whom also is responsible for it. If the personnel has larger responsibilities, such as the participation to the decisions concerning the works the equipment shall be used for or if the personnel operates, provides service works, monitors and maintains the equipment that the owner controls and is responsible for, then the owner's activity may exceed the simple rental of the equipment and may represent an entrepreneurial activity. In such case, it shall be considered as a permanent office it the permanence criterion is met.
9. A company's activity is mainly carried out by the entrepreneur or by the personnel employed and remunerated by the company. Such personnel includes employees and other persons receiving instructions from the company as dependant agents. The prerogatives of such personnel in its relationships with third parties are irrelevant. It is not important if the dependant agent is authorized or not to conclude contracts if he/she performs his/her tasks in a fix place of activity. A permanent office is also considered as such when the company's activity is mainly carried out by means of automatic equipments, the activities of the personnel being limited to the assemblage, operation, control and maintenance of such equipment. Therefore, the slot machines, the sale machines and the other similar equipments installed by a company of a State in the other State represents a permanent office according to the other activities performed by the company, besides the initial installation of the machines. A permanent place of activity is not considered as such if the company only installs the machines and subsequently it rents them to a different company. A permanent office is considered as such when the company installing the machines handles on its own the operation and maintenance of such machines. This applies also in case of machines are operated and maintained by a company's dependant agent.
10. A permanent place of activity exists as soon as the company starts to carry out its activity in a fix place of activity. This applies in case the company prepares the activity that it shall permanently serve as the place of activity. The period of time that the place of activity is incorporated for by the company shall not be considered provided that such activity is substantially different from the activity that the place of activity shall serve for. The permanent office shall cease to exist once the fix place of activity is renounced at or the activity carried out in such office ends, respectively when all the acts and measures connected to the previous activities of the permanent office are concluded such as the finalization of the ongoing transactions, the maintenance and reparation of machineries. A temporary interruption of the operations shall not be perceived as a ceasing activity. If the fix place of activity is rented to a different company, this shall be normally used for the activities of that company and not for the owner's activities; generally the permanent office of the owner ceases to exist except for the cases when the latter continues to carry out his/her activity on his/her own through the fixed place of activity.
E-commerce
11. Even if a location where the automatic equipment is operated by a company may represent the permanent office in the country it is located in, one must distinguish between the computer that may be installed in a location so that it may represent , in certain cases, a permanent office and the data and the software used by the respective equipment or stored on it. Thus, an Internet website combining software and electronic data does not represent a tangible assets, it has not a location that may be considered as a "place of activity" and there is not a "place, such as buildings or, in certain cases, equipments or machineries" for the software and the data representing the website. The server that the website is stored on and by means of which it is made available, is an equipment having a physical location and the physical location may represent a "permanent place of activity" of the company operating the server.
12. The difference between the websites and the server it is stored on and used from is important as the company operating the server may be different from the company carrying out activities through the website. The use of a website is quite frequent among companies carrying activities that may be hosted on the server of an Internet services provider. Even if the fees paid to a Internet services provider within a settlement may be based on the space of the disk used to store the software and the data necessary for the website, these contracts do not imply that the server and its location are at the company's disposal even if the said company could establish that the website shall be hosted on a server in a certain location. In such case the company is not physically present to the said location as the website is not tangible. In such cases, it shall not be considered that the company obtained a place of activity as a result of the settlement regarding the website hosting. Should the company carrying out its activity through a website have the server at its disposal, own or rent the server that website is stored on and used from and operate this server, the place that the server is located on represents a permanent office of the company if the other conditions of the article are met.
13. The computer in a certain location may represent a permanent office only if it is a permanent place. In case of a server, the possibility for the server to be moved is irrelevant, even if the server is indeed moved or not. For a server to represent a permanent place of activity, it shall be situated in a certain place during a period of time long enough to be considered permanent.
14. In order to establish whether the activity of a company is totally or partially carried out through such equipment one must analyze, depending on the case, if due to such equipment, the company has at its disposal facilities where the company's activity functions are fulfilled.
15. When a company operates a computer at a certain location, there may exist a permanent office even if the presence of a company's employees is not needed at the said location to operate the computer. The presence of the personnel is not necessary for a company to be considered as carrying out its activities partially or totally at a location, when the presence of the personnel is not required for the carrying out any activities to such location. This situation shall apply to the e-commerce to the same extend as it is applied to other activities where the equipment functions automatically such as the automatic pumping equipment used in the exploitation of the natural resources.
16. Another aspect is the one connected to the fact that a permanent office shall not be considered as such when the e-commerce operations carried out through a computer in a certain location from a country are limited to preparation and auxiliary activities described under par. (4) art. 8 of the Fiscal Code. In order to establish if certain activities carried out in such a location fall under the provisions of par. (4) art. 8 of the Fiscal Code shall be analyzed based on the case, taking into account the different functions fulfilled by the company through the respective equipment. The activities that are generally perceived as preparation or auxiliary activities include:
- providing communication relations - very similar to a telephonic line - between the suppliers and the clients;
- publicity for goods and services;
- transfer of information through a mirror server so as to assure the security and the efficiency;
- gathering data from the market for the company;
- providing of information.
17. There is a permanent office when such functions represent the essential and significant part of the business activity or when the other central functions of the company are accomplished through a computer, the equipment representing a permanent place of activity of the company, as such functions exceed the activities set forth under par. (4) of art. 8 of the Fiscal Code.
18. The core functions of a certain company depend on the nature of the activity performed by the respective company. Certain Internet services suppliers have as object of activity the servers operation intended for the website hosting or of other applications for other companies. For such Internet services providers, servers operation offering services to the clients represent a component of the commercial activity that is not considered a preparatory or auxiliary activity.
A company called "e-tailer" or "e-trader" whose activity is represented by the sale of products by means of Internet and not by the servers operations; the performance of the services through a locations is not enough reason to conclude that the activities carried out to that location are more than preparatory and auxiliary activities. In such situation the nature of the activities carried out shall be analyzed from the perspective of the activities performed by the company. If such activities are strictly preparatory or auxiliary compared to the Internet products selling and the location is used to operate a server hosting a website which, as it happens in most cases, is exclusively used for the promotion, presentation of the products catalogue or for the provision of information to the potential clients, there shall be applied par. (4) of art. 8 of the Fiscal Code and the locations shall not be considered a permanent office. If the functions relating to the sale are carried out at that location, such as, through the conclusion of the contract with the client, the payment processing and products delivery that are automatically carried out through the equipment situated at that place, such activities cannot be considered as strictly preparatory and auxiliary.
19. With regard to the application of par. (5) of art. 8 of the Fiscal Code, on the establishment whether an Internet services provider represents a permanent office when it provides the website hosting services for other companies, one may assess the applicability of par. (5) of art. 8 from the Fiscal Code. Par. (5) of art. 8 from the Fiscal Code is not applied for the Internet services providers are not considered agents of the companies the websites belong to, as they do not have the authority to conclude contracts on behalf of these companies and they do not concluded normally such contracts, or as they are considered as independent agents acting in accordance with their regular activity, fact stressed upon by the fact that such agents host website for different companies. It is also obvious that as the website through which a company carrying its activity is not a "person" in itself, according to the definition under par. 20 par. (1) of art. 7 of the Fiscal Code, par. (5) of art. 8 of the Fiscal Code that cannot be applied in order to consider that there is a permanent office in the virtue of the fact that the website is a company's agent, according to par.
20. For the definition of the permanent office there shall be taken into account the comments under art. 5 "Permanent Office" of the Model of the Convention to avoid the double taxation of the Organization for Economic Co-operation and Development.
21. (1) To apply art. 8 of the Fiscal Code, the Romanian legal persons have the obligation to register the contracts concluded with the foreign legal persons or the non-resident physical persons providing on the Romanian territory construction, assemblage, surveillance, consultancy, technical assistance services as well as services referring to other activities.
The contracts shall be registered with the territorial fiscal bodies in the area where the Romanian legal persons benefiting from the above mentioned activities have their fiscal domicile, according to the procedure instituted through the order of the National Agency for Fiscal Administration.
The contracts concluded by the Romanian legal persons with the foreign legal persons or non-resident natural persons for activities carried out outside the Romanian territory are not subject of the registration, in accordance with the present provisions.
(2) In order to classify a construction site or a construction project, assemblage or supervisory activities relating to construction and other similar activities as permanent offices the date of beginning the activity as set within the contracts concluded with the Romanian legal persons as beneficiaries shall be taken into account or other information that prove the beginning of the activity. The periods of time consumed for the fulfilment of contracts closely related to the first contract that has been executed shall be added to the period of time consumed for the fulfilment of the basis contract.
(3) The non-resident natural or legal persons (foreign persons) providing services such as construction, assemblage, surveillance, consultancy, technical assistance services and any other activity, in Romania through a permanent office, are bound to submit tax decisions to the territorial fiscal body where the permanent office of the taxpayer is registered with, within the term established by the law.
Fiscal Code:
[...]
Special provisions for application of Fiscal Code
ART. 11
(1) In determining the amount of a tax or fee for the purposes of the present Code, the fiscal authorities may disregard a transaction that does not have an economic purpose or they may re-classify a transaction to reflect the economic content of the transaction.
(2) In the case of a transaction between affiliated persons, the fiscal authorities may adjust the amount of the income or fo the expenses of every person, as required, in order to reflect the market price for the goods or services provided within the transaction. In determining the market price for transactions between affiliated persons, the most appropriate of the following methods shall be used:
a) the comparable price method, by which the market price is determined based on prices paid to other persons that sell comparable goods or services to independent persons;
b) the cost plus method, by which the market price is determined based on the costs of the good or service provided through the transaction, increased by an appropriate profit margin;
c) the resale price method, by which the market price is established based on the resale price of the good or service sold to an independent person, diminished by the selling expenses, other expenses and of the taxpayer and a profit margin;
d) any other method acknowledged within the guidelines on the transfer prices issued by the Organization for Economic Co-operation and Development.
Methodological Norms:
22. The fiscal authorities from Romania may reconsider the records of the affiliated person in Romania, in order to calculate the fiscal obligations of the affiliated persons and in order to perform a fiscal assessment, if following the special relations between the affiliated Romanian person and the foreign one, such records do not illustrate the real taxable profits generated in Romania. The records of the affiliated persons shall not be considered when the transactions between such persons are based on commercial terms on the free market and neither in case of transactions between Romanian legal affiliated persons. The records to be reconsidered are the ones referring to the incomes, expenses so that the fiscal obligation of the affiliated persons may be calculated. The records of the affiliated persons shall not be considered in case of transactions between such persons that are based on commercial terms on the free market, or in case of transactions between independent persons.
In case Romania concluded a convention to avoid the double taxation with the State whose resident is the foreign affiliated person, the records shall be consider for the fiscal assessment by the Romanian authorities in corroboration with the amicable procedure set forth in the said convention. In this sense, when Romania includes among the profits of a person registered in Romania and accordingly imposes the profits a person resident in a different state had paid taxes for in his/her resident state, and the profits thus included are profits that would have belonged to the person in Romania if the conditions established between the two persons had been the ones agreed upon among independent persons, the state of residence of the foreign affiliated persons may proceed to the modification of the tax amount established for those profits.
When adjusting the profits among the affiliated persons the prescription terms provided by the internal legislation of the States where the concerned affiliated persons are resident in shall be taken into account, in case by the convention for the avoidance of the double taxation was not otherwise specified.
The adjustment of the profits of the affiliated persons does not lead to the modification of the financial statements of the affiliated persons.
When establishing the market price for transactions, the fiscal authorities shall not take into account the effective circumstances that the parties participant to the transaction could not have been known at the date of its execution and that, if known, would have led to an underestimation or overestimation by the parties of the transaction value.
The authorities establish the market price of such transactions by applying the method used by the taxpayer, except for the cases when the method used does not reflect the market price of the goods or services provided within the transaction. In such case, the fiscal authorities shall apply the most appropriate of the methods set fort under art. 11 par. (2) of the Fiscal Code.
23. For the estimation of the transactions market price, one of following methods may be used:
a) price comparison method;
b) the cost plus method;
c) the resale price method;
d) any other method acknowledged within the guidelines on the transfer prices issued by the Organization for Economic Co-operation and Development.
24. Generally speaking, the market price is determined in connection with the comparable uncontrolled transactions. A transaction is considered as uncontrolled if it is performed between independent persons.
25. Price Comparison Method
The determination of the market price is based on the comparison of the analysed transaction price with the prices used by other entities independent from that, when comparable products or services are sold. For the goods, merchandise or services transfer between affiliated persons, the market price is that price that the independent persons would have agreed upon, within the existing market conditions, comparable from a commercial standpoint for the goods or merchandise transfer, identical or similar, in comparable quantities, at the same point in the production and distribution chain and within comparable delivery and payment conditions. In this sense, in order to establish the market value, one may appeal to:
a) comparing the prices agreed on between affiliated persons with the prices agreed upon with independent persons, for comparable le transactions (internal prices comparison);
b) comparing the prices agreed upon between independent persons, for comparable transactions (external prices comparison).
For the application of the price comparison method, the transaction market price is determined by comparing the price of sale of identical or similar goods or services sold in comparable quantities with the price of sale of the goods and services assessed. If the quantities are not comparable, the sale price for the identical or similar goods and services, sold in different quantities, shall be used. For this, the sale price shall be corrected with the differences , plus or minus, that may be determined by the difference in quantity.
26. Cost plus method
To determine the market price, the method is based on the increase of the main costs with a profit margin corresponding to the field of activity of the taxpayer. The point of departure for this method, in case of transfer of goods and services among affiliated persons, is represented by the costs of the services manufacturer or provider. These costs are established by using the same calculation method that the person performing the transfer bases also his/her policy to determine the prices for the independent persons. The amount to be added to the cost thus established shall consider a profit margin corresponding to the field of activity of the taxpayer. In such case, the market price of the transaction controlled represents the result of adding the above mentioned costs to the profit. In case of goods or services transferred through several affiliated persons, this method shall be applied separately for each stage, considering the role and the concrete activities of each affiliated person. The cost plus the provider's profit in a controlled transaction shall be accordingly established in reference to the cost plus profit of the same provider compared to the uncontrolled transactions. Furthermore, the method that may be used is the cost plus profit gained in comparable transactions by an independent person.
27. Resale price method
As far as this method is concerned the market price is determined based on the price of resale of the products and services to independent entities, diminished by the sale expenses, other expenses of the taxpayer and a profit margin. This method is applied starting from the price that a product purchased from an affiliated person is sold with to an independent person. Such price (resale price) is then reduced with a gross corresponding margin (resale price margin), representing the value that the last seller within the group tries to cover with his/her sale expenses and other operating expenses according to the activities carried out (considering the assets used and the risk undertaken) and to make a corresponding profit. In such case , the market price for the transfer of the good between affiliated entities is the price that remains after the deduction of the gross margin and after adjusting it with other costs associated to the product purchase. The margin of the resale price of the last seller in a controlled transaction may be determined by reference to the resale profit margin, that the same last seller gains through the goods procured and sold within comparable uncontrolled transactions. The profit margin of the last sale carried out by an independent person within comparable uncontrolled transactions may be used as well.
When establishing the valued of the resale price margin the following aspects must be considered:
a) factors referring to the period of time between the initial purchase and the resale, including the ones referring to changes appeared on the market with regard to the expenses, exchange rate and inflation;
b) modifications appeared in the status and the degree of use of the goods that are subject to the transaction, including the modifications appeared through the technological progress in a certain field;
c) the exclusive right of the reseller to sell certain goods or right that may have an impact on a certain price margin.
Usually, the resale price method is used in the case that the one that resell does not increase substantially the product value. The method may also be sued when, before resale, the goods are still processed and in such circumstances , the appropriate margin may be established.
28. For the purpose of art. 11 par. (2) letter (d) from the Fiscal Code, through other methods acknowledged by the guidelines on the transfer prices issued by the Organization for Economic Co-operation and Development we mean the net margin method and the profit share method.
29. Net margin method
The net margin method implies the calculation of the profit net margin, obtained by a person following one or more transactions cu affiliated persons and the estimation of such margin based on the level obtained by the same person in transactions with independent persons or based on the margin obtained in comparable transactions performed by independent persons.
The net margin method implies the comparison between certain financial factors of the affiliated persons and the same indicators of the independent persons, acting within the same field of activity.
In using the net margin method the differences between the persons whose margins are comparable shall also be considered. To this purpose the following factors shall be taken into account: the competitiveness of other taxpayers on the market and of the equivalent goods, the efficiency and the management strategy, the market position, the difference in the cost structure and the business expertise level.
30. Profit share method
The profit share method shall be used when the transactions performed between the affiliated persons are interdependent so that it is not possible to identify comparable transactions. This method implies the estimation of the profit obtained by the affiliated persons following one or more transactions and the sharing of these profits among the affiliated persons, proportionally tp the profit obtained by independent persons. The sharing of the profits shall be performed through an appropriate estimation of the incomes and of the costs incurred by each person following one or more transactions. The profits shall be shared so that the sharing may reflect the performed functions, the risks undertaken and the assets used by each party.
31. When comparing the transactions between the affiliated persons and the independent ones, the following aspects shall be considered:
a) the differences determined by the particularities of the material and non-material goods or services that are subject to the comparable transactions, to the extent that these particularities affect the market price of the object of the transaction concerned;
b) the functions fulfilled by the persons within the concerned transactions.
When analyzing the functions of the persons participant in a transaction the following aspects must be considered: the economic importance of the functions fulfilled by each participant, the sharing of the risks and responsibilities between the parties participating to the transaction, the volume of the involved resources, machines and equipment, the value of the used intangible assets.
32. In determining the market price for transactions between affiliated persons, one of the above mentioned methods shall be used. In order to establish the most appropriate method the following elements shall be considered:
a) the method that is closest to the circumstances the prices submitted to the free market competition on markets comparable from a commercial standpoint are established in ;
b) the method which the data resulted from the effective functioning of the affiliated persons are available for, involved in transactions submitted to the free competition;
c) the precision degree that adjustment may be performed so as to obtain a certain comparability;
d) the circumstances of the individual case;
e) the activities carried out by the different affiliated persons;
f) the method used must correspond to the market's data and the taxpayer's activities;
g) the documentation that may be submitted by the taxpayer.
33. Circumstances of the individual case to be considered for the examination of the market price:
a) type, status., quality and the update degree of goods, merchandise and transferred services;
b) market's conditions on which goods, merchandise or services are used, consumed, treated, processed or sold to independent persons;
c) activities carried out and the stages in the production and distribution chain of the entities involved;
d) clauses included in the transfer contracts on: obligations, payment terms, deductions, reductions, guarantees granted, risk undertaking;
e) in case of long term transfer relations, the relating advantages and risks;
f) special competition conditions.
34. For the application of the methods set forth under art. 11 par. (2) from the Fiscal Code the data and documents registered when the contract was concluded, shall be taken into account.
In case of long term contracts it is necessary to notice if third independent parties consider the associated risks, when concluding such contracts ( for instance, clauses referring to the price update).
If special financial arrangements are agreed upon with regard to the transfer of goods or services (payment conditions or credit facilities for the client, different from the general practice), in case of partial material supply by the client or auxiliary services, when determining the market price, these factors shall also be considered.
35. For the application of the methods set forth under art. 11 par. (2) from the Fiscal Code shall not be considered the prices that have been influenced by special competition circumstances, such as:
a) prices practiced on closed special markets, where these prices are established differently from the conditions on the market where the transfer is performed;
b) prices exposed to the special discounts relating to the introduction of new products on the market;
c) prices that are influenced by the public authorities regulations.
36. When the market price for the services with transactions between affiliated persons, the fiscal authorities examine first if the independent persons, with an appropriate conduct, would have concluded such transaction under the circumstances set forth by the affiliated persons.
In case of services provisions the normal tariffs are considered for every kind of activity or standard tariffs existing in the fields (transport, insurance). If no comparable tariffs exist, the "cost plus" method shall be used.
37. In case of publicity costs, they are deducted by those affiliated persons that are to benefit from the publicity or, if necessary, are allocated proportionally to the benefit. In case the publicity costs are incurred by the parent-company on behalf of the group as a whole, they are non-deductible for the controlled person.
When calculating the profit, the fiscal authorities estimate the expenses for publicity of the affiliated persons, proportionally to the benefits gained by these persons from publicity. If a taxpayer spends money on publicity that another affiliated person also benefits from, that implies that the first person provided to the latter commercial services, proportional to the nature and area of the provided services by an independent publicity company.
In order to set in a clearer way the proportions of the amounts spent by any person on publicity that tow or more affiliated persons benefit from, the markets the publicity addressed to and the market quota of the concerned persons affiliated in selling goods and services the publicity was made fro, shall also be considered.
38. when a taxpayer grants a loan (credit) to an affiliated person or when he/she receives such a loan (credit), regardless of its nature and destination, the market price for such a service is represented by the interest that has been agreed on by independent persons for such services provided in comparable circumstances, including the commission for credit, respectively loan administration.
In case of the financing services between affiliated persons, for the allocation of the incomes, it shall be analyzed:
a) if the loan granted is in the interest of the beneficiary's activity and was used as such;
b) if there was a profit distribution chart.
The classification of the loan in the profit distribution chart shall be implied if at the date of granting the loan it is not necessarily expected a reimbursement of the loan or if the contract includes clauses unfavourable for the payer.
When examining the interest, the following shall be considered: the amount and the duration of the loan, the nature and purpose of the loan, the guarantee involved, the exchanges risks and the costs of the exchange risks insurance measures as well as other circumstances for granting the loan.
Reporting the loan conditions is based on the interest rates applied in comparable circumstances and in the same foreign currency area by an independent person. The measures that the independent persons may have taken to share the exchange risk shall also be taken into account (for instance: clauses preserving the value of the loan in real terms, a c
39. In case of interests related to the suppliers of goods and services it is necessary to assess if the cost of the interest is a habitual commercial practice or if the parties involved in the transaction require interest where, in comparable transactions, the goods and services are mutually transferred. This analysis items have in view also other forms of incomes or costs assimilated to interests.
40. When the market price for the intellectual property rights within transactions between affiliated persons, the fiscal authorities examine first if the independent persons, with an appropriate conduct, would have concluded such transaction under the circumstances set forth by the affiliated persons.
In case of intellectual property rights, such as: the rights to use patents, licences, know-how and other items as such, the costs for the use of property are not deducted separately if they are transferred in connection with the supply of goods or services and if they are included in their price.
41. In case of administration and management services within the group the following are considered:
a) between the affiliated persons the costs for the administration, management, control, consultancy or similar positions are deducted at central or regional level through the parent-company, in the name of the group as a sole unit. A remuneration for such activities may not be asked for, as their legal base is the legal relation governing the form of organization of business or any other norms establishing relations between the entities. Such expenses may only be deducted if the said entities provide additional services to the affiliated persons or if the price of goods and the supplied services tariff include also the services or the administrative costs. Such costs cannot be deducted by a subsidiary that uses these services only for their own conditions, due to their relation from a legal standpoint, moreover because they would not have used such services if they had been independent persons;
b) the services must be provided de facto. The simple existence of the services within a group is not enough for, as a general rule, the independent persons pay only for services that have been provided de facto.
For the application of the present Methodological Norms, the fiscal authorities shall consider also the guidelines on the transfer prices, issued by the Organization for Economic Co-operation and Development.
Fiscal Code:
TITLE II
Profit tax
CHAPTER 1
General provisions
Taxpayers
ART. 13
The following persons, who are hereafter referred to as taxpayers, are required to pay the profit tax according to the present title:
a) Romanian legal persons;
Methodological Norms:
1. Are part of this category the national companies, national societies, city authorities, regardless of subordination, trading companies, regardless of their legal form of organization and type of property, including those with participation of foreign capital or full foreign capital, and other agricultural companies forms of agricultural associations with legal personality, cooperative organizations, financial institutions and credit institutions, foundations, associations, organizations and any other entity having the legal status of a legal person constituted in accordance with the Romanian legislation.
2. In the case of Romanian legal persons who hold interests in the capital of other companies and who draft consolidated financial statements, the tax shall be calculated for and paid by each legal person in the group.
Fiscal Code:
b) foreign legal persons that carry out their activity through a permanent establishment in Romania;
Methodological Norms:
3. The foreign legal persons, such as: companies, foundations, associations, organizations and any similar entity, incorporated and organized in accordance with the legislation of another country become subject to taxation when they carry out their activity, totally or partially, through permanent office in Romania, as defined in the Fiscal Code, since the beginning of the office activity.
Fiscal Code:
Exemptions
ART. 15
(1) The following taxpayers are exempt from the payment of profit tax: [...]
d) Romanian foundations established as a result of a legacy;
Methodological Norms:
4. The foundation organized as result of a legacy, in accordance with Government Ordinance no 26/2006 on associations and foundations, as amended and further completed, is the subject of law established by one or more persons who, on the basis of a legal act for the cause of death, is a heritage affected permanently and irrevocably affected in achieving a purpose of general interest or, if the case, community.
5. *** Abrogated
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f) religious cults, for incomes obtained from the production and sale of objects and products necessary for the cult activity, according to law, and for incomes obtained from rents, provided that the respective amounts are used, during the current year or following years, for the maintenance and operation of the cult units, for construction, repair and consolidation works of cult houses and ecclesiastic buildings, for education and actions specific to religious cults, including incomes from cash compensations obtained as a result of reparatory measures as provided by laws regarding the reconstitution of the right of ownership;
g) accredited private education institutions, as well as those authorized, for incomes utilized, during the current year or following years, according to Law on education no. 84/1995, republished, as amended and further completed, and the Government Emergency Ordinance no. 174/2001, as regards certain measures for the improvement of higher education financing, with subsequent modifications;
Methodological Norms:
6. Incomes obtained from economic activities by the taxpayers provided under art. 15 par. (1) lit. f), g) şi h) from the Fiscal Code and that are used for other purposes than the one expresses under the before mentioned letter, are submitted to the taxation with the quota provided under art. 17 of the Fiscal Code. In order to determine the taxable base of the revenues obtained the expenses less expense incurred to achieve these incomes.
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(2) Non-profit organizations, trade unions and owners associations are exempt from the payment of profit tax for the following types of incomes: [...]
k) incomes obtained from advertising and publicity, realized by non-profit organizations of public utility, according to the law of organization and operation, in the field of culture, scientific research, education, sport, health, as well as by chambers of commerce and industry, trade unions and owners associations.
Methodological Norms:
7. The deductible incomes from advertising and publicity are the incomes obtained from renting publicity spaces within: buildings, lands, T-shorts, books, magazines, newspapers etc. The incomes described above are not included in the incomes previously obtained from intermediary services in advertising and publicity.
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(3) Non-profit organizations, trade unions and owners associations are exempt from the payment of profit tax for incomes realized from economic activities that do not exceed the equivalent in ROL of 15,000 euro for a fiscal year, but not more than 10 percent of the total incomes exempt from the payment of profit tax as provided in par. (2). The organizations provided in the present paragraph owe profit tax for the portion of the taxable profit that corresponds to incomes other than those provided in par. (2) or in the present paragraph, a tax that is calculated by applying the rate provided in art. 17 par. (1) or art. 18, as the case may be.
Methodological Norms:
8. The non-profit organizations that obtain incomes, other than the ones mentioned under art. 15 par. (2) from the Fiscal Code, and exceed the limit provided under par. (3) shall pay a tax on the corresponding profit. The taxable profit shall be determined in accordance with the provisions of chapter II, Title II of the Fiscal Code. For this purpose the following shall be considered:
a) establishing the non-taxable incomes provided in art. 15 par. (2) of the Fiscal Code;
a) determining the non-taxable incomes provided in art. 15 par. (3) of the Fiscal Code, by making the following steps:
- calculating the equivalent in lei of 15,000 euro using an average exchange rate EUR / ROL communicated by the National Bank of Romania for the respective fiscal year;
- calculating the value of the 10% of the incomes provided in let. a);
- establishing the non-taxable incomes provided in art. 15 par. (3) of the Fiscal Code as the smaller value for the amount established in accordance with the previous statements;
c) establishing the non-taxable incomes by adding the amounts from let. a) and b);
d) determining the taxable incomes by subtracting the total incomes from the ones provided at let. c);
e) calculating the taxable incomes corresponding to the taxable incomes from let. (d), taking into account the following:
(i) setting the expenses incurred for the purposes of the taxable income of let. (d). It is appropriate for the taxpayer of to use keys corresponding to the redistribution of common expenses;
(ii) establishing the deductible value of the expenses determined in accordance with the rules under pt. (i), by taking into account the provisions of art. 21 of the Fiscal Code;
(iii) establishing taxable incomes as the difference between taxable incomes from the pt. (d) and the deductible expenses set out at pt. (ii);
f) calculating the income tax by applying the rate provided in art. 17 par. (1) or art. 18 of the Fiscal Code, as the case may be, on the taxable income set forth at let. e).
8^1. The incomes achieved by non-profit organizations through the sportsmen transfer are considered taxable incomes when determining the taxable income.
8^2. The provisions of par. (2) and par. (3) of art. 15 of Law no 571/2003 of the Fiscal Code, as amended and further completed, are applicable also to the legal persons that are incorporated and function according to Law no 1/2000 on the reconstitution of the ownership right over the agrarian and forestry lands, as amended and further completed.
Fiscal Code:
Fiscal year
ART. 16
(1) The fiscal year is the calendar year.
(2) In the case of a taxpayer that is established or ceases to exist during a fiscal year, the taxable period is the period of the calendar year for which the taxpayer existed.
Methodological Norms:
9. In the case of the establishing of a taxpayer in a fiscal year the taxable period begins:
a) at the date of its registration with the Trade Registry, if it has this obligation;
b) at the date of entry in the register kept by the competent courts, if it has this obligation;
c) at the date of completion or, as the case may be, of application of contracts of association, in the case of associations which legal persons do not result from.
10. Taxable period ends in the case of mergers or divisions which have the effect of the cessation of legal existence of legal persons subject to such operations, at the following dates:
a) in case of incorporating one or more new companies, at the date if its registration with the Trade Registry of the new company or of the last of them;
b) in other cases, at the date of registration with the Trade Registry of the mention on the increase of the registered capital of the absorbing company.
In the case of liquidation of a taxpayer in a fiscal year, the taxable period ceases simultaneously with the date of its striking off from the registry the incorporation has been registered with.
Fiscal Code:
Minimum tax for night-bars, night-clubs, discotheques, casinos and sports betting
ART. 18
Taxpayers that carry out activities in the nature of night-bars, night-clubs, discotheques, casinos or sports betting and for which the profit tax owed for the activities provided in this article is less than 5% of the respective incomes are required to pay a tax equal to 5% of such realized incomes.
Methodological Norms:
11. Under the provisions of art. 18 of the Fiscal Code fall the taxpayers that carry out activities in the nature of night-bars, night-clubs, discotheques, casinos or sports betting classified as such in accordance with the legislation in force; they shall organize and perform accounting books in order to make available the incomes and expenses related to such activities. In determining the profits related to such activities, the expenses with the management and administration and other common expenses of the taxpayer in proportion to the revenues from these activities shall also be considered. If the tax on profits due is less than 5% of the incomes resulted from these activities, the taxpayer is required to pay a tax of 5% of such incomes. This shall be added to the value of the tax related to other activities, tax calculated in accordance with Title II of the Fiscal Code. Incomes to be taken into account for the application of the quota of 5% of the incomes related to the concerned activities, recorded in accordance with the accounting regulations.
Fiscal Code:
CHAPTER 2
Computation of taxable profit
General rules
ART. 19
(1) The taxable profit is to be calculated as the difference between incomes realized from any source and expenses made for the purpose of the realization of incomes, in a fiscal year, from which non-taxable incomes are deducted and to which non-deductible expenses are added. In determining the taxable profit, other elements similar to incomes and expenses are also to be taken into account according to norms of application.
Methodological Norms:
12. The incomes and expenses to be taken into account wghen determining the taxable income are the ones recorded in the accounting books in accordance with the accounting regulation based on the Accounting Law no 82/1991, republished, as subsequently amended and completed, as well as with other items similar to the incomes and expenses, where the non-taxable incomes are computed as the difference between the non-taxable incomes and non-deductible expenses, in accordance with the provisions of art. 21 of the Fiscal Code.
Examples of items similar to incomes:
- favorable exchange rates differences, resulting from the assessment of receivables and liabilities in foreign currency, recorded in the accounting books in the reported result, as generated by the restatement or transposition;
- the reserves from the re-assessment of the fixed assets in accordance with the provisions of art. 22 par. (5) of the Fiscal Code.
Examples of similar items of expenses:
- unfavourable exchange rates differences, resulting from the assessment of receivables and liabilities in foreign currency recorded in the accounting in the reported, as a result of the restatement or transposition;
- the expenditure with the not depreciated value of the expenses for research and development and fixed assets such as the nature of the inventory items which was recorded financial result. In such case, the expenditure is fiscally deductible for the period that remained to be depreciated, respectively the initial period determined in accordance with the law, minus the period for which the depreciation was calculated. The same applies to the inventory item, stocks and temporary arrangements registered in the financial report when reiterating the annual financial statements.
The incomes and expenses generated by the subsequent assessment and execution of the derivatives recorded in accordance with the accounting legislation, are taken into account when establishing the taxable income.
13. The incomes and the expenses recorded incorrectly or omitted are corrected by adjusting the taxable income of the fiscal period to which they belong. If a taxpayer ascertains that after submitting the annual declaration an income or expense item was omitted or recorded incorrectly, the taxpayer is bound to submit the rectifying declaration AB for the respective fiscal year. If following this correction it results an additional amount for payment of tax, then for this amount is due to interest and penalties for delay under the laws in force.
14. When calculating the taxable incomes, the limits of the deductible expenses provided by the legislation in force shall apply quarterly or according to the present methodological norms, as the case may be, so that at the end of the year they could observe the legal provisions. For the taxpayers having the obligation to pay the tax on annual income, the limit of the deductible expenses provided in the legislation in force shall apply annually.
15. For determining the taxable incomes, the taxpayers have the obligation to draw up a fiscal register, in one copy, composed of at least 100 files, preserved on paper or electronic support. The register shall be filled in chronological order, and the information recorded must correspond to the fiscal operations and with the data presented in the tax return. The fiscal register shall be filled in every time the information contained in the fiscal statement is obtained after processing the data resulting from the accounting records. The modality of filling in the fiscal register is left at the sole discretion of each taxpayer, based on the nature of his/her activity and based on his/her business needs. These refer to: the calculation of interests and of the exchange rate differences that may be fiscally deducted, discounts and income tax exemptions, the fiscal records of the sales with the payment in installements, the fiscal value in case of carrying out the operation provided in art. 27 of the Fiscal Code, other such operations.
Fiscal Code:
(3) Taxpayers that have elected, until April 30, 2005, according to law, to take into account the taxation of incomes related to the instalment sales contracts, as instalments become receivable, are to continue to benefit from this facility during the carrying out of the respective contracts, the expenses corresponding to such incomes are deductible on the same dates, based on the proportion of instalments recorded under the contract to the total value of the contract.
Methodological Norms:
16. For the taxpayers that chose, when delivering the goods, executing the works or supplying services, the taxation of the related contracts with the payment in unsettlements until April 30, 2005, the incomes and the expenses related to the movable and immovable goods produced, to the works executed and to the services provided, fructified based on a contract with the payment in unsettlements, are taxable or deductible, while the rates come to their maturity date, during the respective contracts.
Fiscal Code:
(4) In the case of taxpayers that carry out international service activities, on the basis of conventions to which Romania is a party, incomes and expenses effected for the purpose of realizing such incomes are to be taken into account in determining the taxable profit according to special norms established in accordance with regulations from these conventions.
Methodological Norms:
17. Within this paragraph are included the taxpayers carrying out international services which apply the recording and incomes and expenses deduction regulations established through programs of application of the conventions that Romania is part of (e.g.: post services, telecommunications, international transports).
Fiscal Code:
Non-taxable incomes
ART. 20
The following incomes are not taxable in computing taxable profit:
a) dividends received from a Romanian legal person.
b) favourable differences of value for participation titles that are recorded as the result of the incorporation of reserves, benefits or issuance premiums by the legal persons where the participation titles are held, as well as by the differences of valuation of long-term financial investments representing shares held to affiliated companies, participation titles and investments held as assets, recorded as such according to accounting regulations. Such differences are taxable on the date of their transfer for free, assignment, withdrawal, liquidation of the financial investments as well as on the date of the withdrawal of the social capital in the legal person in which the participation titles are held;[...]
Methodological Norms:
18. For the purposes of art. 20 let. a) of Law no 571/2003 of the Fiscal Code, as amended and further completed, the dividends to be collected/collected by a taxpayer from a Romanian legal person, represents non-taxable incomes at the date of their registration in the accounting books, in accordance with the accounting regulations.
19. To apply the provisions of art. 20 let. b) of Law no 571/2003 on the Fiscal Code, as amended and further completed, the long term financial investments represent the assets thus registered in accordance with the accounting regulations, consisting of: shares held within affiliated companies, participation titles and investments held as assets.
On the date of their free transfer, of the assignment of the participation titles or of the withdrawal of the registered capital held with a legal person, as well as on the date of liquidation of the financial investments, the fiscal value used for the calculation of the profit/loss is the one that the participation titles, respectively the financial investments had before recording the respective favourable differences.
Fiscal Code:
[...]
c) incomes from the cancellation of expenses for which no deduction was allowed, incomes from the reduction or cancellation of provisions for which no deduction was allowed and incomes from the recovery of non-deductible expenses;
[...]
Methodological Norms:
20. Non-taxable incomes are considered the incomes by which are recovered the expenses that no deduction was granted when effecting them, such as: the reimbursement of the income tax paid during the previous periods, the restitution of interests and/or penalties due to delay, the incomes resulting from annulment of provisions that have been considered as non-deductible expenses on the date of their establishment and such others.
Fiscal Code:
[...]
d) non-taxable incomes, expressly provided in accordance with memoranda approved by normative acts.
Methodological Norms:
21. The taxpayers for whom, through agreements and memoranda approved by the normative acts, it was provided that the income related to certain activities is not taxable, have the obligation to organize and maintain the accounting records for the delimitation of the incomes and expenses related to such activities. When determining the income related to such activities the management and administration expenses shall also be taken into account as well as other common expenses of the taxpayer, proportional with the incomes obtained from such activities, in case the accounting records do not ensure the necessary information to identify them, as the case may be.
Fiscal Code:
The fiscal regime of the dividends received from member states of the European Union
ART. 20^1
(1) After the date when Romanian joins the European Union, are also not taxable:
a) dividends received from a Romanian legal person, a parent company, from one of its subsidiaries located in a member state, if the Romanian legal person cumulatively satisfies the following conditions:
1. pays the tax profit, according to the provisions of the Title II, without the possibility of an option or exception;
2. holds a minimum of 15% by share capital of a legal person from a member state, respectively a minimum of 10%, beginning with January 1st, 2009;
3. At the date of the registration of the income resulted from dividends holds the minimum participation as provided in par. 2, for an uninterrupted period of more than 2 years.
Also not taxable dividends received from a Romanian legal person through its permanent location located in a Member State, when the Romanian legal person cumulatively fulfils the conditions provided in par. 1 - 3.
b) dividends received from the registered offices in Romania of some foreign legal persons from other member states or from parent companies, which are distributed by their subsidiaries located in member states, when the foreign legal person cumulatively fulfils the following conditions:
1. has one of the organisation forms provided in par. (4);
2. according to the fiscal legislation of the member state, this legal person is considered to be a resident of the respective member state and, based on a convention for the avoidance of double taxation concluded with a third Member State, is not considered to have a fiscal office located outside of the European Union;
3. pays, according to the fiscal legislation of a member state, without the possibility of an option or exception, profit tax or another similar tax;
4. holds a minimum of 15% by the share capital of a subsidiary located in a member state, respectively a minimum participation of 10%, beginning with January 1st, 2009;
5. at the date of the registration of the income resulted from dividends by the registered office in Romania, the foreign legal person holds the minimum participation as provided in par. 4, for an uninterrupted period of more than 2 years. [...]
Methodological Norms:
21^1. To apply the provisions of art. 20^1 of Law no 571/2003 on the Fiscal Code, as amended and further completed, the condition related to the minimal ownership period of 2 years, shall be understood by taking into account the decision of the European Court of Justice in the related cases: Denkavit International BV, VITIC Amsterdam BV and Voormeer BV v Bundesamt fur Finanzen - C-284/94, C-291/94 şi C-292/94. Thus if, when a parent-company, Romanian legal person, respectively a permanent office of the parent-company, foreign legal person from a Member State registers a dividend and the condition referring to the minimal period of ownership of 2 years is not met, the income from the dividends shall be subject to taxation. Subsequently, during the fiscal year where the condition is met, the taxpayer follows to benefit from the recalculation of the annual income tax for the year when it was subject of taxation. For this purpose, the taxpayer must submit the rectifying declaration on the income tax.
21^2. To fulfil the condition under pt. 3 let. b) par. (1) of Law no 571/2003 on the Fiscal Code, as amended and further completed, the parent companies, foreign legal persons, must pay, in accordance with the fiscal legislation of a Member State, without the possibility of making any option or exception, one of the following taxes:
- tax of companies/vennootschapsbelasting, in Belgium;
- selskabsskat, in Danemark;
- Korperschaftsteuer, in Germany;
- phdros eisodematos uomikou prosopon, in Greece;
- impuesto sobre sociedades, in Spain;
- impot sur les societes, in France;
- corporation tax, in Irland;
- imposta sul reddito delle persone giuridiche, in Italy;
- impot sur le revenu des collectivites, in Luxemburg;
- vennootschapsbelasting, in Holland;
- Korperschaftsteuer, in Austria;
- imposto sobre o rendimento da pessoas colectivas, in Portugal;
- y hteisojen tulovero/inkomstskatten for samfund, in Finland;
- statlig inkomstskatt, in Sweden;
- corporation tax, in the United Kingdom of Great Britain and Northern Ireland;
- D an z prijmu pravnickych osob, in Czech Republic;
- T ulumaks, in Estonia;
- phdros eisodematos, in Cyprus;
- uznemumu ienakuma nodoklis, in Latvia;
- P elno mokestis, in Lithuania;
- T arsasagi ado, in Hungary;
- T axxa fuq l-income, in Malta;
- P odatek dochodowy od osob prawnych, in Poland;
- D avek od dobicka praznih oseb, in Slovenia;
- D an z prijmu pravnickych osob, in Slovakia;
- korporativen dank, in Bulgaria.
21^3. For the application of provisions in art. 20^1 of Law no 571/2003 on the Fiscal Code, as amended and further completed, the organization forms for the Romanian and Bulgarian legal persons, the parent companies are:
- the companies incorporated based on the Romanian legislation, knows as "societăţi pe acţiuni", "societăţi în comandită pe acţiuni", "societăţi cu răspundere limitată";
- companies incorporated in accordance with the Bulgarian legislation, known as "sbiratelnoto drujestvo", "komanditnoto drujestvo", "drujestvoto s ogranicena otgovornost", "akţionernoto drujestvo", "komanditnoto drujestvo s akţii.
Fiscal Code:
Expenses
ART. 21
(1) For the determination of taxable profit, expenses are deductible only if the expenses are effected for the purpose of the realization of taxable incomes, including those that are regulated by normative acts in force.
Methodological Norms:
22. The expenses are effected for the purpose of realization of taxable incomes are expenses registered with the realisation and trading of the goods, services supply or works execution, including those regulated by normative acts in force.
23. For the purpose of art. 21 par. (1) of the Fiscal Code, the following are also expenses effected so as to achieve taxable incomes:
a) expenses effected for editing the publications that are registered as returns for the period of determination of the taxable income based on the supporting documents and within the limit of the rates set forth in the distribution contracts, provided that the incomes and expenses are reflected in the accounting records in accordance with the accounting regulations;
b) expenses generated by the value added tax as a result of the pro-rate application, in accordance with the provisions set forth in Title VI "Value Added Tax" of the Fiscal Code, as well as with other situations when the value added tax is registered on expenses, in case the value added tax is related to goods or services procured for achieving taxable incomes;
c) expenses representing the value of the alienated trading receivables, in accordance with the legislation;
d) the penalties due to delay or interest-damages established in accordance with the law, within the economic contracts concluded with residents, are deductible expenses, respectively taxable incomes while being registered;
e) the technological losses that are included in own consumption standard required to manufacture a product or to supply a service;
f) expenses effected for the transportation of the employees from and to the working unit.
24. There are not deductible, when calculating the taxable income the expenses registered by the taxpayer representing differences in value related to the own shares procured and subsequently annulled after their procurement in case as the ones provided in Law no 31/1990 on the trading companies, republished, as amended and further completed.
Fiscal Code:
(2) Expenses effected for the purpose of income realization and: [...]
b) expenses effected, according to law, for labour protection and expenses effected for the prevention of labour accidents and professional illness;
Methodological Norms:
25. Within this provision are included the expenses incurred for this purpose, if the activities' specific may be classified as belonging to one of the fields the observance of the labour protection norms, established in accordance with the relevant legislation, is mandatory for.
Fiscal Code:
c) expenses with the insurance premiums for insurance against accidents at work, diseases or occupational hazards;
Methodological Norms:
26. Under the provisions of art. 21 par. (2) let. c) of the Fiscal Code fall the expenses representing the contributions for the insurance of work accidents and professional diseases, incurred in accordance with Law no 346/2002 on the insurance against work accidents and professional diseases, as amended and further completed. The expenses with the insurance premiums for professional risk, carried out according to the specific legislation, are deductible when calculating the taxable income.
Fiscal Code:
[...]
e) expenses of transport and accommodation within the country and abroad effected by employees and administrators, as well as for other assimilated individuals, provided by norms;
[...]
Methodological Norms:
27. The capacity of administrator results from the articles of incorporation of the taxpayer of from the administration/mandate contract. For the purpose of art. 21 par. (2) let. e) of the Fiscal Code, the persons assimilated to the employees include also:
a) directors carrying out their activity based on the mandate contract, in accordance with the legislation;
b) resident natural persons and/or detached non-residents, in accordance with the law, in case the taxpayer bears the legal rights due to such persons.
28. *** Abrogated
Fiscal Code:
f) contributions to the mutual guarantee reserve of the central house of credit co-operatives;
Methodological Norms:
29. Under the provisions of art. 21 par. (2) let. f) of the Fiscal Code are included the contributions of the credit cooperatives affiliated to the central house of the credit cooperatives for establishing the mutual guarantee reserve, in accordance with the legal provisions.
Fiscal Code:
g) subscription fees, dues and mandatory contributions, as regulated by normative acts in force, as well as contributions to the fund intended for the negotiation of the collective labour contract;
Methodological Norms:
30. Under the provisions of art. 21 par. (2) let. g) of the Fiscal Code are included the expenses for the subscription fees, dues and mandatory contributions, established through normative acts, for the practice of professions such as: accounting expert, charted accountant, architect, doctor, financial auditor, lawyer, notary and such others. The contributions to the fund intended for the negotiation of collective work contract are the ones due to the owners associations, in accordance with the provisions of Law on the owners associations no 356/2001.
31. *** Abrogated
32. *** Abrogated
Fiscal Code:
n) losses recorded when writing off from the records uncollected receivables, in the following cases:
1. the completion of the bankruptcy procedure of the debtors on the basis of a court decision;
2. the death of the debtor and the receivable cannot be recovered from his/her heirs;
3. the debtor is dissolved, in the case of limited liability company with a sole associate, or liquidated, without any successor;
4. the debtor is confronted with major financial difficulties that affect his/her entire patrimony.
Methodological Norms:
32^1. The major financial difficulties affecting the entire patrimony of the debtor are the ones resulting from exceptional situations determined by natural calamities, epidemics, epizooties, industrial or nuclear accidents, fires, social or economic phenomena, external circumstances or war.
Fiscal Code:
(3) The following expenses have limited deductibility:
a) protocol expenses within the limit of 2% of the difference between total taxable incomes and total expenses related to taxable incomes, other than protocol expenses and profit tax expenses;
Methodological Norms:
33. The calculation base which the rate of 2% applies to, is the difference between the sum of incomes and the expenses registered in accordance with the accounting regulations, to which fiscal adjustments are made. Thus, from the sum of the expenses with the current and outstanding income, protocol expenses, expenses related to the non-taxable incomes shall be subtracted and from the sum of the incomes, the non-taxable income shall be subtracted.
34. *** Abrogated
Fiscal Code:
d) perishables, within the limits established by specialized bodies of the central administration, together with specialized institutions, with the endorsement of the Ministry of Public Finance;
Methodological Norms:
35. The technological losses that are included in own consumption standard required to manufacture a product or to obtain a service are not considered perishables;
Fiscal Code:
[...]
j) expenses effected on behalf of an employee to an optional occupational pension scheme, within the limit of an amount equal to the equivalent in lei to Euro 200 during the fiscal year for each participant;
k) expenses for private health insurance premiums, within the limit of an amount equal to the equivalent in lei to Euro 200 euro during the fiscal year for each participant;
Methodological Norms:
35^1. Under the provisions of art. 21 par. (3) let. j) of Law no 571/2003 on the Fiscal Code, as amended and further completed, are included the expenses recorded by an employer on behalf of the employee, in the optional occupational pension schemes, in accordance with the provisions of Law no 204/2006 on the facultative pensions, within the limit of an amount equal to the equivalent in lei to Euro 200 during a fiscal year, for each participant. The exchange rate necessary to determine the equivalent in Euro is the exchange rate LEU/EUR communicated by the National Bank of Romania at the date the expenses are recorded.
35^2. Deductible when determining the taxable income, in accordance with the provisions of art. 21 par. (3) let. k) of Law no 571/2003 on the Fiscal Code, as amended and further modified, are the expenses for the voluntary health insurance premium, incurred by the employer in accordance with the Law on the reform in health no 95/2006, as amended and further completed. The exchange rate necessary to determine the equivalent in Euro is the exchange rate LEU/EUR communicated by the National Bank of Romania at the date the expenses are recorded.
Fiscal Code:
l) expenses for the operation, maintenance and repair of job dwellings located in the locality of the social office or where the company has secondary locations, deductible within the limit corresponding to the constructed areas as provided in the Law on dwellings no, that shall be increased from a fiscal standpoint with 10% . The non-deductible difference shall be recovered from beneficiaries, respectively tenants/residents;
Methodological Norms:
36. In case of a job dwelling given for use to an employee or administrator, the expenses incurred for its operation, maintenance and repair are deductible within the limit corresponding to the relation between the constructed areas as provided in the Law on dwellings no 114/1996, as amended and republished, increased by 10% and the total surface of such job dwelling.
Fiscal Code:
m) expenses of operation, maintenance and repairs related to an office within a dwelling owned by a person who is a natural person, used for personal purposes, deductible within the limit corresponding to the areas made available to the company on the basis of contracts entered into between the parties, for this purpose;
Methodological Norms:
37. If the office of a taxpayer is within a dwelling owned by a person who is a natural person, the expenses of operation, maintenance and repairs are deductible within the limit determined based on the relation between the surface put at the disposal of the taxpayer, mentioned in the contract concluded between the parties, and the total surface of the dwelling. The taxpayer shall justify the expenses of operation, maintenance and repairs related to an office with supporting legal documents, such as the contracts concluded with providers of utilities and other such documents.
Fiscal Code:
(4) The following expenses are not deductible:
a) own expenses of the taxpayer for the profit tax payable, including differences from preceding years or from the current year, as well as profit tax or income tax paid abroad. Non-deductible are also expenses for taxes that were not withheld at source on behalf of non-resident natural and legal persons, for incomes realized from Romania;
Methodological Norms:
38. Non-deductible are the expenses on the income tax, including those representing the differences between the previous years or the current year as well as the incomes paid abroad. Non-deductible are also expenses for taxes withheld at source on behalf of non-resident natural and legal persons, for incomes realized from Romania. Non-deductible are the expenses on the differed income tax recorded by the taxpayer.
Fiscal Code:
b) interest/late payments, fines, confiscations and late-payment penalties payable to Romanian authorities, according to legal provisions. Fines, interest, penalties or additions payable to foreign authorities, or within the framework of economic contracts concluded with non-resident persons in Romania and/or foreign authorities are non-deductible expenses, with the exception of additions the regime of which is regulated by the conventions for the avoidance of double taxation.
Methodological Norms:
39. Romanian authorities refer to all central and local public administration bodies that monitor and collect fees, increases and penalties for delay, carry out seizure procedures in accordance with the legal provisions.
40. The increases and penalties due as result of the economic contracts concluded with non-resident persons in Romania are non-deductible expenses.
As an exception from the previous paragraph, the increases due as a result of the economic contracts concluded with non-resident persons in Romania which, according to the conventions regarding the double taxation are considered interests, are expenses that may be deducted when calculation the taxable income in accordance with the provisions of Title II of the Fiscal Code.
Fiscal Code:
[...]
c) expenses relating to goods in the nature of inventory or tangible assets that are missing from stock or that are damaged and non-chargeable, for which an insurance contract was not entered into, as well as related value-added tax, if such tax is payable according to the provisions of Title VI. The stocks and the depreciable fixed assets, destroyed as a result of natural disasters or other cases of force majeure, under the conditions provided by norms; [...]
Methodological Norms:
41. Expenses related to goods in the nature of inventory or tangible assets that are ascertained missing from stock or that are damaged and non-chargeable, including the related value added tax, as the case may be, for which insurance contracts was not entered into, are not subject to the provisions of art. 21 par. (4) let. c) of Law no 571/2003 on the Fiscal Code, as amended and further completed.
42. For the purposes of art. 21 par. (4) let. c) of the Fiscal Code the expenses relating to inventory and depreciable fixed assets that were damaged as a result of natural disasters or other cases of force majeure are considered deductible expenses when calculating the taxable income, if they are recorded in the declared areas, in accordance with the special legal provisions for each field, affected by natural disasters or other force majeure cases. At the same time, deductible are also the expenses relating to inventory and depreciable damaged by epidemics, epizooties, industrial or nuclear accidents, fire, social or economic phenomena, external circumstances or war. The social and economic phenomena, the external circumstances and the cases of war are the ones set forth in Law on the State reserves no 82/1992, as amended and further completed.
Fiscal Code:
e) expenses made in favour of shareholders or associates, other than those generated by payments for goods delivered or services supplied to the taxpayer, at the market price for such goods or services;
Methodological Norms:
43. The following expenses incurred to the benefit of the participants are deductible:
a) the expenses for the depreciation, maintenance and repair of the transportation means used by the participants, to their benefit;
b) the assets, goods and services provided to participants, as well as the works carried out to their benefit;
c) the expenses incurred for the rent and the maintenance of the places made available for them;
d) the expenses representing the difference between the market price and the preferential purchase price, in case of share transactions carried out within the stock options plan;
d) other expenses to their benefit.
Fiscal Code:
f) expenses recorded for accounting purposes that do not have as a basis a justifying document, according to law, by which are proved the carrying out of operations or the entry into inventory, as the case may be, according to norms;
Methodological Norms:
44. The entries in the accounting records are made chronologically and systematically, based on the writs standing as a supporting documents committing the persons that drafted them, in accordance with the accounting regulations in force.
Fiscal Code:
h) expenses determined due to unfavourable differences of value for participation titles in legal persons where the participation is held, as well as unfavourable differences of value related to long term bonds, with the exception of those determined due to their sale-assignment;
Methodological Norms:
45. The expenses representing the loss of value of the participation titles, as a result of the reduction of the amount of the registered capital of the trading company holding the titles of participation or as a result of the ratio on the stock market, are non-deductible when calculating the taxable income.
46. The expenses representing the value of the transitioned or assigned participation titles are not subject to the present provisions.
47. In case selling the titles of participation, the taxable income shall be determined as the difference between the value obtained after the sale and the nominal value in case of the first sale or the acquisition cost or the fiscal value as defined in art. 27 of the Fiscal Code, as the case may be. When removing the participation titles from the inventory one may appeal to one of the methods normally used for removing them from the accounting books.
Fiscal Code:
[...]
i) expenses related to the non-taxable incomes, with the exception of those provided in art. 20 let. c);
[...]
Methodological Norms:
47^1. The incomes from dividends received from Romanian or foreign legal persons do not have, when determining the taxable income, related expenses.
Fiscal Code:
m) expenses for services of management, consulting, assistance or other supplies of services for which the taxpayer may not justify the necessity of such supply for the purpose of the own activities carried out and for which contracts are not concluded;
Methodological Norms:
48. In order to deduct the expenses for services of management, consulting, assistance or other supplies of services, the following conditions shall be cumulatively met:
- the services shall be indeed provided, executed based a contract concluded between parties or based on any contractual form provided by the law; the veridicity of the supplied services shall be verified as follows: situations of works, minutes of reception, work reports, feasibility, market studies, market or any other suitable material;
- the taxpayer must prove that such expenses are occasioned by the needs resulting from the specific activities carried out.
Not a subject of the condition regarding the conclusion of services contracts, provided in art. 21 par. (4) let. m) of the Fiscal Code, are the occasional services provided by authorized natural persons and by legal persons, such as: services of maintenance and repair of the assets, postal services, communication and multiplication services, parking, transportation and other such services.
49. For services of management, consulting and technical assistance provided by non-residents affiliated to the taxpayer, when analyzing the transactions so as to determine the expenses deductibility, the principles set forth on the comment to article 9 on the taxation of associated enterprises from the Model of the Convention regarding the income taxes and the capital taxes, shall be taken into account. The analysis shall focus on:
(i) the parties involved;
(ii) the nature of the supplied services;
(iii) items leading to acknowledge the expenses and incomes based on the supporting documents attesting the supply of such services.
Fiscal Code:
p) expenses of sponsorship and/or patronage and the expenses related to private scholarships granted according to law; the taxpayers that effect sponsorship and/or acts of patronage, according to the provisions of the Law no. 32/1994 on sponsorship, as further amended, and to the Law on libraries no. 334/2002, republished, with further modifications and completions as well as those who grant private scholarships, according to law, deduct from the profit tax owed the related amounts, if the total of these expenses cumulatively satisfies the following conditions:
1. it is within the limit of 3 to hundred of the turnover;
2. does not exceed 20% of the payable income tax.
Within these limits are included also the expenses of sponsorship of public law libraries, for the purpose of the construction of locations, facilities, the acquisition of information technology and specific documents, the financing of professional training programs for librarians, exchanges of specialists, scholarships, participation in international congresses.
Methodological Norms:
49^1. Example of calculation the difference between the expenses for sponsorship and the payable income tax.
A taxpayer paying an income tax concludes a sponsorship contract in accordance with the law on sponsorship, as a sponsor, in amount of 15,000,000 lei. The sponsorship contract ends on February 2, 2005.
When calculating the taxable income for quarter I of 2005, the taxpayer submits the following financial data:
Incomes from the sale of goods = 1,000,000,000 lei
Incomes resulted from supplying services = 2,000,000 lei
_________________
Total turnover 1,002,000,000 lei
Expenses related to goods = 750,000,000 lei
Personnel expenses = 20,000,000 lei
Other operation expenses = 90,000,000 lei
_________________
of which:
15,000,000 lei sponsorship
Total expenses 860,000,000 lei
Calculation of the taxable income for quarter I 2005:
Taxable income = 1,002,000,000 - 860,000,000 + 15,000,000 = 157,000,000 lei.
Income tax before subtracting the expenses for the sponsorship:
157,000,000 x 16% = 25,120,000 lei.
Considering the conditions of deduction provided under par. 21 par. (4) let. p) of the Fiscal Code, by applying the limits, the values are:
- 3 to thousand of the turnover representing 3,006,000 lei;
- 20% of the income tax before the deduction of the sponsorship expenses represents 5,024,000 lei.
The amount to be subtracted from the income tax is 3,006,000 lei.
For quarter I 2005 the payable income tax is of:
25,120,000 - 3,006,000 = 22,114,000 lei.
The taxpayers making sponsorships and/or patronages, according to Law no 32/1994 on sponsorship, as amended and further completed and to the Law on libraries no 334/2002, republished, as amended and further modified and/or granting private scholarship, based on a contract, according to Law no 376/2004 on the private scholarships, as further amended, subtract from the payable income tax the related amount, if such amounts are expenses that cumulatively meet the conditions provided in art. 21 par. (4) let. p) of Law no 571/2003 on the Fiscal Code, as amended and further completed.
Fiscal Code:
Provisions and reserves
ART. 22
(1) The taxpayer is allowed a deduction for reserves and provisions only in accordance with the present article, as follows:
a) the legal reserve is deductible within the limit of 5% of the accounting profit, before the determination of the profit tax, from which non-taxable incomes are deducted and to which expenses related to such non-taxable incomes are added, until the reserve fund equals one-fifth of the subscribed and paid-in social capital or of the patrimony, as the case may be, according to laws of organization and operation. In the case where this is used to cover losses or is distributed in any form, the subsequent reconstitution of the reserve is no longer deductible in computing taxable profit. As an exception, the reserve constituted by legal persons that furnish utilities to companies that are undergoing restructuring, reorganization or privatization may be used to cover the losses of value of share packages obtained further to the procedure of conversion of receivables and the amounts intended for subsequent reconstitution are deductible in computing taxable profit;
Methodological Norms:
50. The reduced rate of 5% provided in art. 22 par. (1) let. a) of the Fiscal Code shall apply to the difference between the total incomes, from where the non-taxable incomes are subtracted, and the total expenses, from where the expenses with the income tax and the expenses related to non-taxable incomes, registered in the accounting books. The reserve shall be are calculated from the beginning of the year, being deductible when calculating the quarter or annual income tax, as the case may be. Within the non-taxable incomes to be subtracted when determining the calculation basis for the reserve, are also included the incomes provided in art. 20 of the Fiscal Code, except for the ones provided under let. c) of the same article. The reserves thus established shall be completed or diminished according to the level of the accounting income from the calculation period. As well, the increase or diminishing of the reserves thus established shall be performed also based on the level of the subscribed and paid up capital or of the patrimony. If, as a result for reorganization operations, the legal reserve of the beneficiary legal person exceeds the fifth part of the registered capital or patrimony, as the case may be, the diminishing of the legal reserve, at the level set forth by law, is not compulsory.
51. If such reserve is used to cover the losses or it is distributed under any form, the reserve subsequently established, within the same limit, is no longer deductible when calculating the taxable income.
Fiscal Code:
b) provisions for guarantees of good performance granted to customers;
Methodological Norms:
52. The provisions for guarantees of good execution performance granted to customers shall be established on a quarterly basis only for the goods delivered, the works executed and the services supplied during the respective quarter for which a guarantee is granted during the subsequent months, at the level of the rates provided in the contracts concluded or at the level of the guarantee percentage set forth in the tariff of the works executed or services supplied.
For the construction works that require good execution guarantees, as specified in provisions of the concluded contracts, such provisions shall be established on a quarterly basis, within the limit of the rates set by the contracts, provided that the incomes fully reflect the value of the works performed and confirmed by the beneficiary on the basis of work situations.
The registration within the incomes of the provisions established for the good execution guarantees is done while incurring the expenses for remedies or when the good execution guarantees provided in the contract expires.
The same shall also apply to the provisions for good execution guarantee provided in the external contracts, granted in accordance with the law on manufacturers and services suppliers, in case of complex exports, proportional to the rate of participation in carrying out such services, provided that they are distinctly set forth in the contracts concluded or in the tariff of the works executed and in the invoices issued.
Complex export refers to the export of equipment, installations or parts of installations, with or without the relating technology, licenses, know-how, technical assistance, design, construction and assemblage, operation and reception works, as well as spare parts and related materials, as defined in accordance with normative acts in force.
The geological design-exploration works, works of mineral resources exploitation, electrical networks constructions, well drilling works, constructions of scaffolds, installations and transportation pipelines, storage and distribution of petroleum products and natural gas as well as the creation of complete ships, objectives in the areas such agriculture, land improvements, hydro technical, forestry arrangements, organization of forestry exploitation and such others, as defined in accordance with the normative acts in force.
Fiscal Code:
c) provisions established within the limit of 20% beginning with January 1, 2004, 25% beginning with January 1, 2005, 30% beginning with January 1, 2006, of the value of receivables from customers, recorded by taxpayers other than those provided in par. (1), let. d), f), g) and i), that cumulatively satisfy the following conditions:
1. they are recorded after January 1st, 2004;
2. they are not paid for a period of more than 270 days from the maturity date;
3. they are not guaranteed by another person;
4. they are payable by a person that is not an affiliated person of the taxpayer;
5. they were included in the taxable incomes of the taxpayer.
Methodological Norms:
53. The receivables from the clients represent amounts due by internal and external clients, for products, semi-finished products, materials, goods etc. sold, performed as works and supplied as services, based on invoices, registered after January 1, 2004 and not collected during a period exceeding 270 days from the date of maturity.
The diminishing or annulment of the provisions shall be made by recording them in the receivable account, proportional to the value collected or by their registration in the expenses account.
In the case of receivables in foreign currency, the provision is deductible on the level of the value influenced by the favourable or unfavourable differences of the exchange rate that occurs during evaluation. The value of the provisions for receivables from the clients is taken in account when determining the taxable income during the trimester when met the conditions provided in art. 22 of the Fiscal Code and shall not exceed their value, registered in the accounting books for the current fiscal year or during the previous years. The percentages provided under art. 22 par. (1) let. c) of the Fiscal Code, applied for the receivables registered starting with the fiscal years 2004, 2005 respectively 2006 shall not be recalculated.
The exepnses representing losses from the uncertain receivables or in litigation not collected, registered on the occasion of writing them off, are deductible for the part covered by the provision established in accordance with art. 22 of the Fiscal Code.
Fiscal Code:
e) reserves established by banking trading companies or other authorized credit institutions, as well as the mortgage credit companies, in accordance with the incorporation and operation legislation;
Methodological Norms:
54. The reserves deductible from a fiscal standpoint, including the fund for general banking risks, in the case of banks, as well as in the case of branches of banks of Romania, foreign legal persons, shall be calculated on a monthly basis within the rates and limits provided in Law no 58/1998 on the banking activity, as amended and further completed.
Fiscal Code:
g) the legal reserves and provisions established by the National Bank of Romania, in accordance with the legislation in force;
Methodological Norms:
55. The legal reserves established on a monthly basis from the profit of the National Bank of Romania, within the rates and limits established according with the legislation.
Fiscal Code:
h) the technical reserves established by insurance and re-insurance companies, as provided by legal provisions of organization and operation. For insurance contracts that are ceded in reinsurance, the reserves are to be reduced by so that the level of the reserves cover the portion of the risk that remains with the insurer, after the deduction of re-insurance;
Methodological Norms:
56. In case of insurance and re-insurance companies, the technical reserves are deductible, as calculated in accordance with the provisions of Law no 32/2000 on the insurance companies and insurance surveillance, as amended and further completed. Pursuant to the provisions of this law, the insurance premium and damages reserves are established in share-parts corresponding to the risks that did not expiry during the year the premium were collected..
Fiscal Code:
ART. 22
(1) [...]
l) the provisions established by the airline companies in Romania for covering the maintenance and repair costs for the aircraft park and for the related components, according to the maintenance programs regarding the aircrafts, accordingly approved by the Romanian Civil Aeronautical Authority.
Methodological Norms:
56^1. For the application of provisions in art. 22 par. (1) let. l) of Law no 571/2003 on the Fiscal Code, as amended and further completed, the airline companies form Romania deduct, when calculation the taxable income, the provisions established for covering the costs of maintenance and repair of the aircraft park and of the related components, in accordance with the maintenance programs regarding the aircrafts, accordingly approved by the Romanian Civil Aeronautical Authority, at a level set based on the aircraft type, the number of hours of flight approved and of the tariff of the provider, provided in the contract concluded with this one.
Fiscal Code:
(2) Taxpayers that are authorized to carry out activities in the field of exploitation of natural resources are required to record in the accounting records and to deduct provisions for the restoration of damaged lands and for their return to the economic, forestry or agricultural circuit, within the limit of 1 percent of the difference between incomes and expenses from exploitation, during the entire period of the operation and exploitation of the natural resources.
Methodological Norms:
57. The provisions stipulated in art. 22 par. (2) of the Fiscal Code are mandatory for the taxpayers who have an field of activity the mineral, natural gas resource exploitation and for the holders of petroleum agreements.
Fiscal Code:
(5) A reduction or cancellation of any provision or reserve that was previously deducted is to be included in taxable incomes, regardless whether the reduction or cancellation is attributable to a change in the destination of the provision or reserve, a distribution of the provision or reserve to participants in any form, the liquidation, division or merger of the taxpayer, or any other reason. The provisions of this paragraph are not to apply if another taxpayer takes over a provision or reserve in connection with a division or merger and the rules of this article continue to apply to such provision or reserve.
Methodological Norms:
57^1. To apply the provisions of art. 22 par. (5), corroborated with the provisions of art. 19 of the Fiscal Code, the surplus resulted from reassessing the tangible assets, that were previously deductible, shown in accordance with the accounting regulation in the account "Financial result" or in the account "Other reserves", separately analyzed, shall be taxed when the following occur: the modification of the destination of the reserve, the reserve distribution to participants, under any form, liquidation, division, the merge of the taxpayer or any other reason, including their use for covering the accounting losses. For the calculation of the taxable income, such amounts are items similar to the incomes.
The registration and maintenance of the own capital, respectively the accounts of reserves or the financial report, distinct analyzed, of the reserves established based on normative acts shall not be considered as a modification of the destination or distribution.
Fiscal Code:
(6) Amounts recorded as legal reserves and reserves representing fiscal facilities may not be used to increase the social capital or to cover losses. In the case where the provisions of this paragraph are not observed, the profit tax is to be re-calculated for such amounts and interest and late-payment penalties are to be determined from the date when such facilities applied, as provided by law. Reserves for the impacts of the rate of exchange for foreign currency related to the appreciation of foreign currency amounts that are established according to law and that are recorded by banking companies, Romanian legal persons and branches of foreign banks that carry out activity in Romania are not subject to tax.
Methodological Norms:
58. Under the provisions of art. 22 par. (6) of the Fiscal Code are not included the amounts recorded in the reserve accounts or own financing sources, in accordance with the regulations on the income tax:
a) the amounts representing the net differences resulted from the assessment of the amounts available in currency, in accordance with normative acts in force, that were non-taxable;
b) exemptions and reductions of the income tax shall apply on the invested income in accordance with the provisions of law, including the amount of the invested income, the difference between the reduced tax rate for the export of goods and/or services and the standard rate, as well as the ones provided in special laws.
Fiscal Code:
Interest expenses and differences in the foreign currency exchange rate
ART. 23
(1) Interest expenses are fully deductible in the case where the degree of indebtedness of the capital is less or equal to three. The degree of indebtedness of the capital is to be determined as the proportion of borrowed capital with a period of reimbursement of more than one year to the own capital, as the average of existing values at the beginning of the year and at the end of the period for which the profit tax is determined. Borrowed capital means the total credits and loans with a period of reimbursement of more than one year in accordance with contractual clauses.
(2) ) In the case where the degree of indebtedness of the capital is more than three, interest expenses and net losses from differences in the rate of exchange for foreign currency are not deductible. They are to be carried over to the following period, under the conditions of par. (1), until they are fully deducted.
(3) In the case where expenses from differences in the rate of exchange for foreign currency of the taxpayer exceed incomes from differences in the rate of exchange for foreign currency, the difference is to be treated as interest expense for purposes of par. (1), and the deductibility of such difference is subject to the limitations provided in par. (1). Expenses from differences in the rate of exchange for foreign currency that are limited in accordance with this paragraph are those related to the loans that were taken into account in determining the degree of indebtedness of the capital.
(4) Interest and losses from differences in the rate of exchange for foreign currency that relate to loans obtained directly or indirectly from international development banks and similar organizations specified in norms and loans guaranteed by the state, those related to loans from Romanian or foreign credit institutions, from non-banking financial institutions, loans from legal persons that grant loans according to law, as well as loans obtained based on the bonds traded on a regulated market are not subject to the provisions of the present article.
(5) In the case of loans obtained from other entities, with the exception of those provided in par. (4), the deductible interests are limited to:
a) the level of the reference interest rate of the National Bank of Romania that corresponds to the last month in a quarter, for loans denominated in ROL; and
b) the level of an annual interest rate of 9%, for loans denominated in foreign currency. This level of interest rate is to apply in determining the taxable profit related to fiscal year 2004. The level of interest rate for loans denominated in foreign currency is to be updated by Government decision.
(6) The limit provided in par. (5) is to apply separately for each loan, before applying the provisions of par. (1) and (2).
(7) The provisions of par. (1) - (3) are not to apply to banking companies, Romanian legal persons, branches of foreign banks that carry out activity in Romania, leasing companies for leasing operations, mortgage credit companies, credit institutions, as well as non-banking financial institutions.
(8) In the case of a foreign legal person that carries out activity through a permanent location in Romania, the provisions of the present article are to apply by considering the own capital.
Methodological Norms:
59. In order to determine the value of the deductible value of the interest expenses the adjustments are first carried out in accordance with art. 23 par. (5) of the Fiscal Code. The value of the interest expenses exceeding the deductibility level provided under art. 23 par. (5) of the Fiscal Code is non-deductible, and the following period shall no longer taken into account.
60. In case the own capital has a negative value or the indebtedness degree is higher than 3, the interest expenses and the net loss resulted from the foreign currency exchange rate shall not be deductible. They are to be carried over to the following period, under the conditions of par. 23 par. (1), of the Fiscal Code, until they are fully deducted.
61. Under the provisions of art. 23 par. (3) of the Fiscal Code, is included only the net loss resulted from the foreign currency exchange rate relating to the borrowed capital.
62. For the purpose of art. 23 par. (4) and (7) of Law no 571/2003 of the Fiscal Code, as amended and further completed, the credit institutions, Romanian legal persons, are the ones authorized, in accordance with law, by the National Bank of Romania.
63. For the purpose of art. 23 par. (1) of the Fiscal Code, borrowed capital refers to the total amount of credits and loans to be reimbursed a year after the conclusion of the contract, except for the ones provided in par. (4) of art. 23 of the Fiscal Code, regardless of the date they were contracted.
The borrowed capital also includes the credits or the loans to be reimbursed before a year, in case the reimbursement term is extended, and the current reimbursement period, added to the previous reimbursement periods of the credits and loans they extend, exceeds one year.
64. The own capital includes the registered capital, legal reserves, other reserves, the non-distributed profit, the result of the exercise and other own capital items established in accordance with the legal regulations. In case of permanent offices, the own capital includes the endowment capital made available by the foreign legal person for carrying out its activity in Romania, in accordance with the authorization documents, legal reserves, other reserves, the result of the exercise and other own capital items established in accordance with the legal regulations.
65. The following shall be considered when calculating the deductibility of the interest expenses:
a) for the loans engaged from other entities, except for those provided in art. 23 par. (4) of the Fiscal Code, shall be applied the limit provided in art. 23 par. (5) of the same normative act, regardless of the date they were contracted on;
b) for the purpose of application of art. 23 par. (5) let. a) of the Fiscal Code, the level of the reference interest rate, acknowledged when calculating the taxable income, is the one from the last month of the trimester for which the income tax in calculated for, published by the National Bank of Romania in the Official Gazette of Romania, Part I;
c) the modality of calculation of the interest, in accordance with art. 23 par. (5) of the Fiscal Code, shall be the one corresponding to the modality of calculating the interest relating to the loans;
d) the result of the financial exercise took into account when determining the own capital for the end of the period is the one recorded by the taxpayer before calculating the income tax.
66. The interest expenses added to the net loss resulted from differences in the rate of exchange for foreign currency relating to the loans having a period of reimbursement of more than a year, taken into account when calculating the indebtedness degree, are deductible when determining the income tax in accordance with the provisions of art. 23 par. (1) of the Fiscal Code.
67. In order to determine the income tax, the indebtedness degree shall be calculated as the ratio between the average of the borrowed capital and the average of the own capital. In order to calculate such averages there shall be used the values existing at the beginning of the year and at the end of the period for which the income tax is determined, as follows:
Borrowed capital(the beginning of the fiscal year) +
Borrowed capital (end of the period)
----------------------------------------------
2
Indebtedness degree = ---------------------------------------------- ----
Own capital (beginning of the fiscal year) +
Own capital (end of the period)
----------------------------------------------
2
as follows:
Borrowed capital(the beginning of the fiscal year) +
Borrowed capital (end of the period)
Indebtedness degree = ---------------------------------------------- ----
Own capital (beginning of the fiscal year) +
Own capital (end of the period)
68. In case the indebtness degrees thus determined is smaller or equal to three, the interest expenses and the net loss from the exchange rates are entirely deductible after applying the adjustments provided in art. 23 par. (5) of the Fiscal Code.
69. If the indebtness degree thus determined is bigger than three, the total amount of the interest expenses and of the expenses for the net loss from the exchanges rate are not deductible during the period of calculation of the income tax, following to be reported during the next period, becoming thus subject of the limitation provided in art. 23 par. (1) of the Fiscal Code for the reporting period.
70. For the purposes of art. 23 par. (4) of Law no 571/2003 on the Fiscal Code, as amended and further completed, international development banks refer to:
- International Bank for Reconstruction and Development (IBRD), International Finance Corporation (IFC) and International Development Association (IDA);
- The European Investment Bank (EIB);
- European Bank for Reconstruction and Development (EBRD);
- Banks and similar organizations for cooperation and regional development.
Loan guaranteed by the state means the loan guaranteed by the state in accordance with the Law on Public debt no 313/2004, as further amended.
Under the provisions of art. 23 par. (4) of Law no 571/2003 on the Fiscal Code, as amended and further completed, are also included the interests/losses from foreign exchange rates, relating to loans obtained based on the bonds issued, in accordance with the law, by the trading companies by observing the specific requirements regarding the admission to trade on a regulated market from Romania, in accordance with the provisions of Law no 297/2004 on the capital market, as amended and further completed, as well as the ones admitted for trading on foreign securities market regulated by the relevant authority in the field of the respective States.
70^1. In order to determine the taxable income starting with the fiscal year 2007, the level of the interest rate for the loans in foreign currency is of 7% .
Fiscal Code:
ART. 24
[...]
(11) Fiscal depreciation is to be computed as follows:
a) starting with the month that follows the month in which the depreciable fixed asset is put into operation;
b) for investment expenses effected from own sources to fixed assets from the public domain, over the normal period of use, over the remaining normal period of use or over the period of the contract of concession or rental, as the case may be;
c) for investment expenses effected to fixed assets under concession, rental or under the administration of the person that effected the investment, over the period of the contract or over the normal period of use, as the case may be;
d) for investment expenses effected for the improvement of land, on a straight-line basis over a period of 10 years;
e) the depreciation of mining buildings and constructions, salt mines with extraction in solution by wells, quarries, current exploitations, for solid mineral substances and those in the industry of oil extraction, for which the period of use is limited by the duration of the reserves and which may not be given other uses after the exhaustion of the reserves, as well as investments for uncovering, is to be computed per unit of product, depending on the exploitable reserve of useful mineral substance.
The depreciation per unit of product is to be computed as follows:
1. every 5 years for mines, quarries, oil extraction, as well as investment expenses for uncovering;
2. every 10 years for salt mines;
f) means of transport may be depreciated also based on the number of kilometers or the number of hours of operation as provided in technical books, for those acquired after January 1, 2004;
g) for job dwellings, depreciation is fiscally deductible up to the level corresponding to the constructed area as provided by the law on dwellings;
h) only for cars used under the conditions provided in art. 21 par. (3) letter n).
Methodological Norms:
70^2. For the period when the depreciable fixed assets are not used at least once a month, the recovery of the remaining not depreciated fiscal value shall be performed for the remaining normal period of use, starting with the month following their re-instalment, by recalculating the fiscal depreciation ratio.
To apply the provisions of let. c) par. (11) of Law no 571/2003 on the Fiscal Code, as amended and further modified, the fiscal depreciation of the investment expenses fir the assigned fixed assets, rented or under the administration of a person, shall be calculated based on the initial period of the contract, regardless whether it is subsequently extended or, on the remaining normal period of use, in accordance with the taxpayer's option, starting with the month following the investment execution.
Fiscal Code:
Fiscal depreciation
ART. 24 [...]
(8) In the case of the declining balance method of depreciation, the depreciation is to be computed by multiplying the straight-line rates of depreciation by one of the following coefficients:
a) 1.5, if the normal period of use of the depreciable fixed asset is between 2 and 5 years;
b) 2.0, if the normal period of use of the depreciable fixed asset is between 5 and 10 years;
c) 2.5, if the normal period of use of the depreciable fixed asset is more than 10 years.
Methodological Norms:
71. Example of calculating the depreciation by using the declining balance method. For a fixed asset the following data are given:
- the input value: 350,000,000 lei;
- the normal operation period, according to the catalogue: 10 years;
- annual depreciation ratio: 100/10 = 10%;
- annual declining depreciation ratio: 10% x 2,0 = 20%;
Annual depreciation shall be calculated as follows:
___________________________________________________________________________
Years Calculation method Declining Remaining value
annual depreciation (lei)
(lei)
___________________________________________________________________________
1350,000,000 x 20% 70,000,000 280,000,000
___________________________________________________________________________
2 280,000,000 x 20% 56,000.000 224,000,000
___________________________________________________________________________
3224,000,000 x 20% 44,800,000 179,200,000
___________________________________________________________________________
4179,200,000 x 20% 35,840,000 143,360,000
___________________________________________________________________________
5143,360,000 x 20% 28,672,000 114,688,000
___________________________________________________________________________
6 114,688,000 x 20% = 114,688,000 / 5 22,937,600 91,750,400
___________________________________________________________________________
7 22,937,600 68,812,800
___________________________________________________________________________
8 22,937,600 45,875,200
___________________________________________________________________________
9 22,937,600 22,937,600
___________________________________________________________________________
10 22,937,600 0
___________________________________________________________________________
Fiscal Code:
(12) Taxpayers that invested in a depreciable fixed asset or in depreciable patents and which deducted depreciation expenses equal to 20% of the input value of such assets as provided by law on the date that the fixed asset or patent is put into operation until April 30 2005, are required to retain the depreciable fixed assets in their patrimony at least for a period equal to one half their normal period of use. In the case where the provisions of this paragraph are not observed, the profit tax is to be re-calculated and interest and late-payment penalties are to be determined from the date when such facilities applied, as provided by law.
Methodological Norms:
71^1. Under the provisions of art. 24 par. (12) of the Fiscal Code are also included the fixed depreciable assets as constructions.
For the investments deemed fixed depreciable assets in accordance with the provisions of art. 24 par. (3) of the Fiscal Code, the taxpayers shall not benefit of the provisions of art. 24 par. (12) of the same normative act.
For depreciable fixed assets provided in art. 24 par. (3) let. b) of the Fiscal Code, the 20% deduction shall apply on the date they are put into operation, on the occasion of the final reception, to the entire value of the depreciable fixed asset. In such case, the fiscal value remaining to be recovered, shall be determined, on the remaining normal period of use, as the difference between the 20% deduction of the total value of the depreciable fixed asset and the depreciation calculated until the date of the final reception.
The depreciation expenses representing the 20% deduction provided in art. 24 par. (12) of the Fiscal Code are deductible only for the depreciable fixed assets, respectively for the depreciable patents recorded and put into operation until April 30, 2005: The remaining fiscal value shall be determined by subtracting from the input value of the depreciable fixed assets/patents concerned, the amount equal to 20% of the fiscal deduction and shall be recovered during the normal operation period. In case during the normal operation periods they have been recalculated, in accordance with the legal norms in force, the period for which exists the obligation to keep in patrimony such fixed assets shall be corroborated with the recalculated normal operation periods.
71^2. Example for the application of provisions of art. 24 par. (12) of the Fiscal Code;
A taxpayer carrying out its activity in the material and goods warehousing field, acquires on September 15, 2004, a warehouse-building that it puts into operation on September 20, 2004. The input value of the warehouse-building is of 30,000,000 thousand lei. The normal operation period of the building, in accordance with the Catalogue on the classification and normal operation periods for the fixed assets, is of 50 years. The taxpayer, from an accounting standpoint, uses the linear depreciation. From an accounting standpoint, the taxpayer applies the facility provided in art. 24 par. (12) of the Fiscal Code. As a result of applying the provisions of art. 24 par. (12) of the Fiscal Code, the taxpayer shall record the following situation:
- it fiscally deducts, in September 2004, a 20% ration from the input value of the depreciable fixed asset: 20% x 30,000,000 thousand lei = 6,.000,000 thousand lei;
- the value to be fiscally recovered for the next 600 months, starting with September 2004, 30,000,000 thousand lei - 6,000,000 thousand lei = 24,000,000 thousand lei;
- the monthly fiscal depreciation in October 2004 until September 2005, 40,000 thousand lei (24,000,000 thousand lei/600 months).
- thousand lei -
__________________________________________________
Month Fiscal Depreciation
depreciation expenses
recorded
from an accounting standpoint
__________________________________________________
September 2004 6,000,000 0
__________________________________________________
October 2004 40,000 50,000
__________________________________________________
November 2004 40,000 50,000
__________________________________________________
December 2004 40,000 50,000
__________________________________________________
January 2005 40,000 50,000
__________________________________________________
... ... ... ... ... ... ... ... ...
__________________________________________________
August 2054 40,000 50,000
__________________________________________________
September 2054 40,000 50,000
__________________________________________________
TOTAL: 30.000.000 30,000,000
__________________________________________________
Fiscal Code:
(16) Taxpayers that invest in fixed assets that are destined for the prevention of labour accidents and professional illness, as well as for the creation and operation of medical cabinets, may deduct the entire value of the investment in computing taxable profit on the date when it is put into operation or may recover these expenses by depreciation deductions, as provided by the provisions of the present article.
Methodological Norms:
71^3. Under the provisions of art. 24 par. (16) of the Fiscal Code are included the depreciable fixed assets intended for preventing labour accidents and professional illnesses and certified by bodies acknowledged by the Ministry of Labour, Social Solidarity and Family, in accordance with the provisions of Law on the labour protection no 90/1996, as republished.
Fiscal Code:
(10) Expenses related to the acquisition of patents, copyrights, licenses, trademarks or production marks and other similar values, as well as development expenses, that from the accounting point of view are intangible assets, are to be recovered through straight-line depreciation deductions over the period of the contract or the period of use, as the case may be. Expenses related to the acquisition or production of software are to be recovered through straight-line depreciation deductions over a period of 3 years. The depreciation for patents may be determined by using the declining balance method of depreciation or the accelerated method of depreciation.
Methodological Norms:
71^4. For the classification of the development expenses as intangible assets the criterion provided in the applicable accounting regulations shall be applied.
Fiscal Code:
(15) For depreciable fixed assets, depreciation deductions are to be determined without taking into account the depreciation for accounting purposes nor any accounting reassessment. The gain or loss resulting from the sale or from the removal from operation of such fixed assets is to be computed based on the fiscal value of such fixed assets, which is the entry value of the fixed assets reduced by fiscal depreciation. For fixed assets for which the accounting value is recorded in stock on December 31, 2003, the depreciation is to be computed based on the remaining not depreciated value by using the depreciation methods that were applied until this date. The remaining non depreciated value, in case of sold depreciable fixed assets, is deductible when calculating the income tax in case they are fructified through specialized units or call of tenders organized in accordance with the law.
Methodological Norms:
71^5. In order to determine the fiscal value in case of transfer of lands with accounting value, as well as for determining the fiscal value to be depreciated yet in case of depreciable fixed assets recorded in the balance on December 31, 2003, in the fiscal input value are also included the reassessments made, according to the law, before that date.
In order to determine the fiscal value of the lands, respectively of the fiscal value to be depreciated yet in case of depreciable fixed assets, the accounting reassessments performed after January 1, 2007 shall also be taken into account as well as the part left to be depreciated from the accounting reassessments performed before January 1, 2004 - December 31, 2006, shown on December 31, 2006. The accounting reassessments performed after January 1, 2004 for the depreciable fixed assets that shall no longer have a fiscal value not depreciated yet on the date of the reassessment shall not be recovered through the fiscal depreciation.
If after December 31, 2003 a reassessment determining a decrease of their value shall be performed, then the reserved obtained by the reassessment shall be decreased within the limit of the creditor balance of the reserve, in decreasing order of the reserve recordings, and the fiscal value of the lands and the remaining value not depreciated yet of the depreciable fixed assets shall be recalculated accordingly. In such case, the part of the reserve from the reassessment that was previously deducted shall be included in the taxable incomes of the period for which the reassessment operations after December 31, 2003 .
The remaining not depreciated fiscal value means the difference between the input fiscal value and the final depreciation value. The input fiscal value also includes the value added tax became non-deductible, in accordance with the provisions of Title VI "Value added tax".
71^6. To apply the provisions of art. 24 par. (15) of the Fiscal Code, the expenses recorded as collection of a fixed asset with the input value incompletely deducted, are expenses incurred so as to achieve taxable incomes.
Collecting a fixed asset refers to cease the operation of such asset, its dismounting and the sale of the components thus resulted or using it in the current activity of the taxpayer.
71^7. The expenses incurred for the depreciation of the intangible assets relating to the immobilized capital with the accounting value shown in the balance on December 31, 2003 are deductible when calculating the taxable income, for the period left to be depreciated, based on not depreciated value.
Fiscal Code:
Leasing contracts
ART. 25
(1) In the case of finance leasing, the lessee is treated from a fiscal viewpoint as the owner, while in the case of operational leasing, the lessor has such capacity. The depreciation of the goods that are the subject of a leasing contract is to be made by the lessee in the case of finance leasing and by the lessor in the case of operational leasing and the expenses are deductible as provided by art. 24.
(2) In the case of finance leasing, the lessee deducts the interest, while in the case of operational leasing, the lesser deducts the rent (lease instalment).
Methodological Norms:
72. The classification of the leasing operations is performed by considering the provisions of art. 7 par. (1) pt. 7 and 8 of the Fiscal Code and the clauses of the leasing contract.
Fiscal Code:
Fiscal losses
ART. 26
(1) Annual loss, as established by the profit tax declaration, is to be recovered from the taxable profits obtained during the following 5 years. The recovery of losses is to be made in the sequence that such losses are recorded, at each deadline for the payment of the profit tax, as provided by the legal provisions in force for the year when such loss is recorded.
(2) The fiscal loss recorded by a taxpayer that ceases to exist due to division or merger may not be recovered by any newly formed taxpayer or by those that take over the patrimony of the absorbed company, as the case may be.
(3) In the case of foreign legal persons, the provisions of par. (1) are to apply by taking into account only the incomes and expenses attributable to a permanent location in Romania.
(4) Taxpayers that were required to pay income tax and that previously realized a fiscal loss are subject to provisions of par. (1) starting from the date when they return to the taxation system regulated by the present title. Such loss is to be recovered over the period between the date of recording the fiscal loss and the 5-year limit.
Methodological Norms:
73. The recovery of losses is to be made in the sequence that such losses are recorded, at each deadline for the payment of the profit tax, as provided by the legal provisions in force for the year when such loss is recorded.
74. The fiscal loss represents the amount recorded in the tax return of the previous year.
75. In case the recovery of loss accounting is performed from the legal reserves, established from the profit before taxation, the subsequent re-establishment of the legal reserves shall no longer be a deductible amount when calculating the taxable income.
76. The legal person from whose patrimony a part is detached as a result of a division operation and that continues its existence as a legal person recovers the said part from the fiscal loss recorded before the division operation produces its effects, proportional to the rights and obligations maintained by the legal person concerned.
77. In the case of merger through absorption the fiscal loss resulted from the tax return of the absorbing legal person, declared by the date of submitting to the Trade Registry the statement regarding the increase of the registered capital, shall be recovered in accordance with the legal provisions.
Fiscal Code:
Reorganizations, liquidations and other transfers of assets and participation titles
ART. 27
(1) In the case of a contribution of assets to the capital of a legal person in exchange for participation titles in such legal person, the following rules are to apply:
a) the contributions are not taxable transfers for purposes of the provisions of the present title and the provisions of title III;
b) the fiscal value of the assets received by the legal person is to equal the fiscal value of such assets to the person that contributed the asset;
c) the fiscal value of the participation titles received by the person that contributed the assets is to equal the fiscal value of the assets contributed by such person.
Methodological Norms:
78. For the purpose of the provisions of art. 27 par. (1) of the Fiscal Code, a legal person may participate with assets to or more existing or legal persons or legal persons thus incorporated, by establishing or increasing the registered capital receiving in exchange titles of participation within the respective companies. The contributions with assets to the registered capital of a legal person in exchange of titles of participation within this legal person shall not be taken into account when determining the taxable income.
79. In case the assets contribution is due on the valued added tax in accordance with the provisions of Title VI of the Fiscal Code, and the beneficiary of the contribution cannot exercise the right of its deduction, the fiscal value, as provided in art. 27 par. (1) of the Fiscal Code, shall be increased with the value added tax
Fiscal Code:
(2) The distribution of assets by a Romanian legal person to participants, whether in the form of a dividend or in connection with an operation of liquidation, is to be treated as a taxable transfer, except as provided in par. (3).
Methodological Norms:
80. The distribution of assets by a Romanian legal person to its participants may be performed in the case of liquidation.
81. The taxable income in case of liquidation shall be calculated as the difference between the incomes and the expenses for achieving them, calculated cumulatively from the beginning of the fiscal year, taking into account: the income resulting from the liquidation of the patrimony, the amounts from the provisions annulment, the amounts recorded in own capital accounts established out of the gross income and that have not been taxed at the date of their establishment, other items similar incomes and expenses. In case the declaration on the income tax relating to the year preceeding the liquidation of the taxpayer recorded a fiscal loss, this one shall be recovered from the taxable income calculated on the occasion of the liquidation.
82. When calculating the tax on incomes owed by the taxpayers ceasing their existence following the liquidation the following shall not be taxed: the reserves established out of the net income, the amounts related to reductions of the taxation ratio, distributed as own financing sources during the operation period, in accordance with the law, the reserves established from the favourable differences from the amounts in currency or out of the assessment of the amounts available in currency, in accordance with the normative acts in force, if not otherwise provided by the law.
83. *** Abrogated
84. *** Abrogated
Fiscal Code:
(3) The provisions of the present article are to apply to the following operations of reorganization, if they do not have as a principal objective the evasion of taxes or the avoidance of taxes:
a) a merger between two or more Romanian legal persons, in the case where the participants in each legal person that is merged receive participation titles in the successor legal person;
b) a division of a Romanian legal person into two or more Romanian legal persons, in the case where the participants in the initial legal person benefit from a proportional distribution of participation titles in the successor legal persons;
Methodological Norms:
85. For purposes of art. 27 par. (3) let. a) and b) of the Fiscal Code, the merging and division operations are regulated through Law no 31/1990 on the trading companies, republished, as amended and further completed.
Fiscal Code:
c) an acquisition by a Romanian legal person of all the assets and liabilities belonging to one or more economic activities of another Romanian legal person solely in exchange for participation titles;
Methodological Norms:
86. The provisions in art. 27 par. (3) let. c) of the Fiscal Code take into account the transfer of a part of a company's assets (transferors) to one or more companies (beneficiary) existing or such incorporated, in exchange of the award of the titles of participation of the beneficiary companies.
Fiscal Code:
The common fiscal regime which is applied in the case of mergers, divisions, partial divisions, transfers of assets and exchange of shares between companies from different Member States of the European Union.
ART. 27^1
(1) The provisions of the present article are to apply after the date of Romania joining the European Union.
12. "company from a member state" - any company that cumulatively satisfies the following conditions:
a) it has one of the forms of organisation provided in the annexe which is part of this title;
b) according to the fiscal legislation of the member state, it is considered as having its fiscal office in the respective member state and, and based on the convention for the avoidance of double taxation concluded with a third state, it is not considered as having its fiscal office outside of the European Union;
c) pays profit tax or a similar tax, without the possibility of an option or exception. [...]
Methodological Norms:
86^1. For the application of provisions in art. 27^1 par. (3) pt. 12 let. a) of Law no 571/2003 on the Fiscal Code, as amended and further completed, the organization forms for the Romanian and Bulgarian legal persons, are:
- the companies incorporated based on the Romanian legislation, known as "societăţi pe acţiuni", "societăţi în comandită pe acţiuni", "societăţi cu răspundere limitată";
- companies incorporated in accordance with the Bulgarian legislation, known as "sbiratelnoto drujestvo", "komanditnoto drujestvo", "drujestvoto s ogranicena otgovornost", "akţionernoto drujestvo", "komanditnoto drujestvo s akţii".
To meet the condition provided in art. 27^1 par. (3) pt. 12 let. c) of Law no 571/2003 on the Fiscal Code, as amended and further completed, the company from a Member State shall pay, in accordance with the fiscal legislation of the Member State concerned, without the possibility of an option or exception, one of the following taxes:
- tax of companies/vennootschapsbelasting, in Belgium;
- selskabsskat, in Danemark;
- Korperschaftsteuer, in Germany;
- phdros eisodematos uomikou prosopon, in Greece;
- impuesto sobre sociedades, in Spain;
- impot sur les societes, in France;
- corporation tax, in Irland;
- imposta sul reddito delle persone giuridiche, in Italy;
- impot sur le revenu des collectivites, in Luxemburg;
- vennootschapsbelasting, in Holland;
- Korperschaftsteuer, in Austria;
- imposto sobre o rendimento da pessoas colectivas, in Portugal;
- y hteisojen tulovero/inkomstskatten for samfund, in Finland;
- statlig inkomstskatt, in Sweden;
- corporation tax, in the United Kingdom of Great Britain and Northern Ireland;
- D an z prijmu pravnickych osob, in Czech Republic;
- T ulumaks, in Estonia;
- phdros eisodematos, in Cyprus;
- uznemumu ienakuma nodoklis, in Latvia;
- P elno mokestis, in Lithuania;
- T arsasagi ado, in Hungary;
- T axxa fuq l-income, in Malta;
- P odatek dochodowy od osob prawnych, in Poland;
- D avek od dobicka praznih oseb, in Slovenia;
- D an z prijmu pravnickych osob, in Slovakia;
- korporativen dank, in Bulgaria;
- profit tax, in Romania.
Fiscal Code:
CHAPTER 3
International fiscal aspects
Incomes of a permanent location
ART. 29 [...]
(2) The taxable profit shall be determined in accordance with the rules set out in Chapter II of this Title, under the following conditions:
a) only incomes that are attributable to the permanent location are to be included in taxable incomes;
b) only the expenses incurred so as to obtain such incomes are included in deductible expenses;
c) the expenses incurred for the management and the general administration expenses, regardless whether they performed, refunded by the foreign legal person and registered at the permanent office, are deductible for up to 10% of the wages incomes of the employees of the permanent office.
Methodological Norms:
87. The employees of the permanent office refer to the persons employed with individual labour contract in accordance with the legal provisions.
Fiscal Code:
(3) The taxable profit of a permanent location is to be determined by treating the permanent location as a separate person and by using the transfer pricing rules to establish the market price for transfers between the foreign legal person and its permanent location. When the permanent location does not have an invoice for its expenses allocated by its main office, the other justifying documents must include evidences regarding the cost and the reasonable allocation of these costs to the permanent location using the rules of the transfer prices.
(4) Before carrying out activity through a permanent location in Romania, the legal representative of the foreign legal person provided in par. (1) is to require to register the permanent location with the competent fiscal authority.
Methodological Norms:
88. The foreign legal persons carrying out the activities specified under art. 8 par. (3) of the Fiscal Code are to pay income tax since the beginning of the activity, if the 6-month period or the deadlines provided in the conventions of the avoidance of the double taxation, are determined as exceeded, as the case may be. If they are not determined before the end of the fiscal years if the activities in Romania shall last long enough so the office to become permanent, the income of the said fiscal year shall be taken into account during the following fiscal year, in case the specified deadline is exceeded.
88^1. In order to classify a construction site or a construction project, assemblage or surveillance activities relating to construction and other similar activities as permanent offices the date of beginning the activity as set within the contracts concluded with the beneficiary Romanian legal persons or in other information proving the beginning of the activity shall be taken into account. The periods of time consumed for the fulfilment of contracts closely related to the first contract that has been executed shall be added to the period of time consumed for the fulfilment of the basis contract.
89. In order to deduct the expenses incurred for a permanent office by the foreign legal person carrying out its activity through such office, as well as by any other person affiliated to this foreign legal person, for the supplied services, the following conditions must be met:
(i) the supplied service shall be indeed supplied. In order to justify the service supply, the permanent office must submit to the fiscal authorities any supporting documents from which there shall result data referring to:
a) the nature and the value of the supplied service;
b) the parties involved;
c) the own criteria regarding the sharing of the costs for every beneficiary of the service concerned, if the case;
d) justification of the use of the criterion as being appropriate for the nature of the service and the activities performed at the permanent office;
e) presentation of other elements for the acknowledgment of the incomes and expenses that may attest that the service was indeed supplied.
The justification of the service supply shall be performed based on the situations of works, minutes of reception, work reports, feasibility or market studies or any other suitable material;
(ii) the supplied service must be supported also through the nature of the activities carried out at the permanent office.
When establishing the market price for the transfers performed between the foreign legal person and its permanent office as well as between the first one and any person affiliated, the rules on the transfer prices shall be uses, as they are detailed in the Methodological Norms for the application of art. 11 of the Fiscal Code, completed with the guidelines on the transfer prices issued by the Organization for Economic Co-operation and Development.
Fiscal Code:
Incomes obtained by foreign legal persons from immovable property and from the sale/assignment of participation titles
ART. 30
(1) Foreign legal persons that obtain incomes from real estate located in Romania or from the sale-assignment of participation titles in a Romanian legal person are required to pay the profit tax for the taxable profit related to such incomes.
(2) Incomes from real estate located in Romania include the following:
a) incomes from the rental or the grant of use of immovable property located in Romania;
b) profit from the sale-assignment of rights of ownership or other rights related to immovable property located in Romania;
c) profit from the sale-assignment of participation titles in a legal person, if a minimum of 50% of the value of the fixed assets of the legal person is, either directly or through one or more legal persons, immovable property located in Romania;
d) incomes obtained from the exploitation of natural resources located in Romania, including gain from the sale-assignment of any right related to such natural resources.
Methodological Norms:
89^1. The foreign legal person that obtain incomes from real estate located in Romania have the obligation to pay an income tax fort the taxable income related to such incomes.
In case of selling the real estate located in Romania, the taxable income represents the differenced between the value achieved from selling such properties and the purchase, establishing or improvement cost, reduced with the relating fiscal depreciation, as the case may be. The value realized by selling such properties shall be reduced by the commissions, taxes and other paid amounts, relating to the sale.
The taxable income resulted from the renting or assigning the used of the real estate property located on Romania shall be calculated as the difference between he incomes obtained and the related expenses. The incomes that are subject of the source withheld income are not subject to these provisions.
The incomes from real estate properties located in Romania also include the profit obtained by selling-assigning the titles of participation held at a legal person, if 50% of the value of the fixed assets of such legal person are, directly or through other legal persons, real estate properties located in Romania.
To this end, the fixed assets of a legal person are indirectly considered as real estate properties located in Romania, when the said legal person holds shares or other titles of participation in a company meeting the minimal condition of 50% referring to holding real estate properties located in Romania. The value of the fixed assets, including lands taken into account when establishing the 50% report is the value of the accounting recording in accordance with the legal provision on the date of selling-assigning the titles of participation. The investments in progress as buildings or other constructions are also classified as real estate properties.
The profits from the selling-assignment of the tiles of participation, including the ones obtained under the conditions specified under the previous paragraphs shall be determined as the difference between the incomes obtained from the selling-assignment of the tiles of participation and the cost of their purchase, including any commission, taxes or other amounts paid relating to the acquisition of such titles of participation.
Fiscal Code:
[...]
(3) Any foreign legal person that obtains incomes from a real estate located in Romania or from the sale-assignment of participation titles in a Romanian legal person is required to pay the profit tax according to art. 34, and submit profit tax declarations according to art. 35. Any foreign legal person may appoint a fiscal representative to satisfy such obligations.
(4) Any Romanian legal person or any foreign legal person with a permanent location in Romania that pays incomes described in par. (1), to a foreign legal person is required to withhold the tax computed from the paid incomes and remit the withheld tax to the state budget.
Methodological Norms:
89^2. For the application of the provisions of par. (3) of art. 30 of Law no 571/2003 on the Fiscal Code, as amended and further completed, if the taxpayer is not a Romanian legal person or a permanent office of a foreign legal person, the obligation of the payment and declaring the income tax falls under the competence of the foreign legal person obtaining the incomes specified under par. (1) of art. 30 of Law no 571/2003 on the Fiscal Code, as amended and further completed, respectively of the fiscal representative/proxy designated from fulfilling such obligations.
For the purposes of par. (4) of art. 30 of Law no 571/2003 on the Fiscal Code, as amended and further completed, if the taxpayer is a Romanian legal person or a permanent office of a foreign legal person, they have the obligation to declare and pay the income tax on behalf of the foreign legal person obtaining the incomes specified under par. (1) of art. 30 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
Fiscal Code:
Fiscal credit
ART. 31
(1) If a Romanian legal person obtains incomes from a foreign state through a permanent office or incomes subject to source withheld tax and the incomes are taxed both in Romania and in the foreign state, then the income paid to the foreign state, either directly or indirectly by retaining it and transfering it to another person, shall be deducted in accordance with the provisions of the present title.
(2) The deduction for taxes paid to a foreign state for a fiscal year may not exceed the profit tax computed by applying the profit tax rate provided in art. 17 par. (1) to the taxable profit obtained from the foreign state, as determined in accordance with the rules provided in the present title, or to the income obtained from the foreign state.
(3) The tax paid to a foreign state is deductible only if the Romanian legal person submits the necessary documentation, according to law, from which results the fact that tax was paid to the foreign state.
Methodological Norms:
90. To apply the provisions of art. 31 par. (1) of the Fiscal Code, from a fiscal standpoint at the end of the fiscal year, the operations carried out by means of permanent offices abroad of Romanian legal persons, registered during the period in foreign currency, and incomes, expenses, other taxable or deductible amounts, as well as the tax paid shall be converted in lei by using an average of the currency exchange rates, communicated by the National Bank of Romania.
91. A Romanian legal person carrying out activities through a permanent office in another state shall calculate the taxable income at the level of the entire company, in accordance with the provisions of Chapter II, Title II of the Fiscal Code. In order to grant the fiscal credit relating to a permanent office, the taxpayer shall calculate the taxable income and the income tax relating to the said office, in accordance with the provisions of the Romanian fiscal regulations.
92. The document based on which deduction from an income tax due in Romania, according to the provisions of this article, is the one certifying the payment, confirmed by the foreign fiscal authority. If the document based on which the deduction from the income tax due in Romania shall be calculated, is not presented after submitting to the fiscal authorities the declaration of the income tax, the fiscal credit shall be granted for the year it refers to, by the depositions, for this purpose, of a rectifying declaration.
93. the limitation provided in art. 31 par. (2) of the Fiscal Code shall be separately calculated for each income source. For the purposes of applying thess provisions, all the incomes of the Romanian legal person whose source is in the same country shall be considered as having the same source. Example: a taxpayer carries out activities both in Romania and in the X foreign country where it obtains incomes both from a permanent office and from other sources, independently from permanent office.
For the activity carried out in the X foreign country, the situation is as follows:
For the permanent office:
- the taxable income relating to year 2004, according to the rules from the foreign country X, 100 million lei (based on the average exchange rate, communicated by the National Bank of Romania);
- the income tax for the year 2004, according to the rules of a foreign country X (30% share), 30 million lei (based on the average exchange rate, communicated by the National Bank of Romania);
- the taxable income relating to the year 2004, according to the rules of the Romanian law, 80 million lei (the Romanian legislation on the income tax allows the deduction of certain expenses that are not deductible in the foreign country X);
- the income tax for the year 2004, according to the provisions of the Romanian law (25% share), 20 million lei.
Other incomes obtained in country X:
- interest incomes: 100 million lei;
- 10% source withheld income for the interest incomes: 10 million lei (based on the average exchange rate, communicated by the National Bank of Romania).
For the activity carried out in the Romania as well as in the foreign country X, the situation is as follows:
- taxable income relating to the year 2004, according to the regulations of the Romanian legislation 1,000 million lei (80 million taxable income of the permanent office and 920 million taxable income for the activity carried out in Romania);
- the income tax for the year 2004, according to the provisions of the Romanian law (25% share), 250 million lei.
According to the situation presented above, the maximum amount of the external fiscal credit that may be granted to the taxpayer is of 30 million lei, respectively of 20 million lei income tax plus 10 million lei source withheld tax (interests).
Because the incomes paid abroad in amount of 40 million lei is bigger than the maximum limit of 30 million lei which may be granted in the form of external fiscal credit, the taxpayer may deduct from income tax for its entire activity (250 million lei) only the amount of 30 million lei.
Fiscal Code:
External fiscal losses
ART. 32
(1) Any loss realized through a permanent location from abroad is deductible only from incomes obtained from abroad.
(2) Losses realized through a permanent location from abroad are to be deducted only from such incomes, separately for each source of income. Losses that are not recovered are to be carried over and recuperated during the following 5 consequent fiscal years.
Methodological Norms:
94. Pursuant to art. 32 of the Fiscal Code, the losses from activity carried out abroad through a permanent office shall only be recovered from taxable incomes obtained abroad from each source of income. For the application of this provision, the source of income refers to the country where the incomes have been obtained. The loss recovery shall be performed in accordance with the norms provided for the application of art. 26 of the Fiscal Code.
Fiscal Code:
CHAPTER 4
Special rules applicable in case of sale-assignment of the real estate properties and titles of participation.
Special rules applicable in case of sale-assignment of the real estate properties and titles of participation.
ART. 33*)
(1) The provisions of this article shall apply to Romanian and foreign legal person selling-assigning real estate properties located in Romania or titles of participation held within a Romanian legal person.
(2) If the profits resulting from the sale-assignment of the real estate properties located in Romania and of titles of participation held with a Romanian legal person exceed the losses resulted from such sale / assignment, then the income tax shall be determined by applying a 10 % ratio to the difference resulted.
3) The loss resulted from the sale-assignment of the real estate properties located in Romania and of the titles of participation held with a Romanian legal person shall be recovered from taxable incomes arising from the same kind of operations, during the following 5 consecutive fiscal years.
(4) The profit resulted from the sale-assignment of the real estate properties and titles of participation is the positive difference between:
a) the value obtained from the sale-assignment of such real estate properties or titles of participation; and
b) the fiscal value of such real estate properties and titles of participation.
(5) The loss resulted from a sale-assignment of the real estate properties or titles of participation is the negative difference between:
a) the value obtained from the sale-assignment of such real estate properties or titles of participation; and
b) the fiscal value of such real estate properties and titles of participation.
(6) For the purposes of par. (4) and (5), the value obtained from the sale-assignment shall be reduced by the commissions, fees or other amounts paid relating to such sale-assignment.
(7) The fiscal value for the real estate properties or for the titles of participation shall be established as follows:
a) in case of the real estate properties, the fiscal value represents the purchase, establishment or improvement costs for the real estate properties reduced by the fiscal depreciation relating to such properties;
b) in case of the titles of participation, the fiscal value is the cost of acquisition of the titles of participation, including any commissions, taxes or other amounts paid, relating to the acquisition of such participation titles.
(8) This article shall apply to real estate properties or titles of participation, only if the following conditions are met:
a) the taxpayer held the real estate properties or the title of participation for more than two years;
b) the person acquiring the real estate property or the participation titles is not a person affiliated to the taxpayer;
c) the taxpayer acquired the real estate property or the participation titles after December 31, 2003.
------------
*) Art.33 of Law no 571/2003 was abrogated by Law no 163/2005.
Methodological Norms:
95. *** Abrogated
96. *** Abrogated
97. The taxable income resulted from the sale-assignment of the real estate properties located in Romania and of the titles of participation held with a Romanian legal persons shall be imposed with the 10% ratio only for the transactions performed until April 30, 2005. If no loss shall be incurred as a result of such transactions until April 30, 2005, they shall be recovered from the taxable incomes resulted from operations of the same kind, during the period provided in art. 26 of the Fiscal Code.
Fiscal Code:
CHAPTER 5
Payment of tax and submission of tax declarations
Payment of tax
ART. 34
[...]
(4) Non-profit organizations are required to declare and to pay the profit tax on an annual basis on or before February 15th of the year that follows the year for which the tax is computed.
(5) Taxpayers that obtain a majority of incomes from the cultivation of cereals and technical plantations, fruit trees and vineyards are required to declare and to pay the profit tax annually, on or before February 15th of the year that follows the year for which the tax is calculated. [...]
(7) By exception from provisions of par. (6), the taxpayers provided in par. (1) let. a) newly incorporated, incorporated during the previous year or which at the end of the previous fiscal year register fiscal loss, shall make advance payments in the income tax account at the level of the amount resulted from the application of the taxation ratio on the accounting profit for the period for which the advance payment is made.
Methodological Norms:
98. The taxpayers provided in art. 34 par. (4) and (5) of Law no 571/2003 on the Fiscal Code, as amended and further completed, shall not submit quarterly declarations for the income tax.
99. The classification of the activities provided in art. 34 par. (4) of Law no 571/2003 on the Fiscal Code, as amended and further completed, is the one established through the Government Decision no 656/1997 on the approval of the classification of the activities in the national economy - NACE, as further amended.
100. To apply the provisions of art. 34 par. (7) of Law no 571/2003 on the Fiscal Code, as amended and further completed, the advance trimestrial payments due in the income tax account shall be determined by applying the tax ration in the accounting profit cumulated from the beginning of the fiscal year from which the amounts due in the income tax account for the period before the trimester the advance payment is due for, shall be subtracted. The accounting profit shall be determined as the difference between the incomes and the expenses recorded in the accounting books, in accordance with the accounting regulations, cumulated from the beginning of the fiscal year. When establishing the advance payments in the income tax account on the accounting profit, no fiscal adjustment shall be performed.
Fiscal Code:
Withholding of tax on dividends
ART. 36
(1) A Romanian legal person that pays dividends to a Romanian legal person is required to withhold and to pay up the withheld tax on dividends to the state budget as provided in the present article.
(2) The tax on dividends is to be determined by applying a tax rate of 10% to the gross dividend paid to a Romanian legal person.
Methodological Norms:
100^1. Under the provisions of art. 36 of Law no 571/2003 on the Fiscal Code, as amended and further completed, are not included the following distributions, as they are not considered dividends:
a) the distribution of the additional participation titles as defines in art. 7 pt. 12 let. a) of Law no 571/2003 on the Fiscal Code, as amended and further completed, performed related to the increase of the registered capital of a legal person, that does not modify for the participants to the legal person in question the percent of the participation titles;
b) distribution related to the acquisition (re-acquisition) by a trading company of its own shares, in accordance with the provisions of Law no 31/1990 on the trading companies, as republished, amended and further completed, as they are defined in art. 7 pt. 12 let. b) of Law no 571/2003 on the Fiscal Code, as amended and further completed;
c) distributions performed on the occasion of reducing the registered capital effectively established by the participants, as defined in art. 7 pt. (12) let. d) of Law no 571/2003 on the Fiscal Code, as amended and further completed.
In case such distributions are performed in relation with operations for which the Law no 31/1990, republished, as amended and further completed imposes the rounding up the value of the titles of participation held by the participants, the modification due to such rounding ups shall not be considered as the modification of the percent of the titles of participations held with the legal person in question.
Fiscal Code:
Declaration and withholding of tax on dividends
ART. 36
[...]
(4) The provisions of the present article are not to apply to dividends that are paid by a Romanian legal person to another Romanian legal person, if the beneficiary of the dividends owns a minimum of 15%, respectively 10%, starting with 2009, of the participation titles in such legal person on the date when the dividend is paid, for a period of two years ending on the date when the dividend is paid. The provisions of the present paragraph are to apply after the date of Romania joining the European Union.
Methodological Norms:
100^2. Under the provisions of par. (4) are also included the dividends distributed and paid after January 1, 2007, even if they are distributed from the non distributed profits of the financial exercises preceding 2007, if the beneficiary meets the conditions provided in this paragraph.
For the purposes of par. (4), the condition concerning the minimum period of holding of the participation shall mean a period of minimum 2 consecutive years ending on the date of dividends payment.
Fiscal Code:
CHAPTER 7
Final and transitional provisions
Transitional provisions
ART. 38
(1) In the case of legal persons that before July 1, 2003, obtained a permanent certificate of investor in a disadvantaged area, the exemption from profit tax related to a new investment is to continue to apply for the period of existence of the disadvantaged area.
Methodological Norms:
101. In case of taxpayers operating in disadvantaged areas, the exemption from payment of income tax is based on the certificate of investor in a disadvantaged area, issued before July 1, 2003 by the Agency for Regional Development in whose area of jurisdiction is situated the office of the economic agent, in accordance with the legal provisions in force.
102. The new investments are represented by depreciable fixed assets created by or acquired from third parties used effectively in ones own activity, carried out in economic interest fields, expressly classified in the annexe to the Methodological Norms for the application of the Government Emergency Ordinance no 24/1998 on the disadvantaged areas, republished, as further amended, approved by the Government Decision no 728/2001, which determines the employment of the labour force.
103. The exemption from payment of income tax operates throughout the existence of disadvantaged areas.
104. The income obtained from the disadvantaged areas, resulted from operations of investment liquidation, according to the law, from the sale of tangible and intangible assets, the profits obtained from financial investments, from carrying out activities outside the disadvantaged areas, and the one resulted from carrying out activities in other fields than the ones of interest for the disadvantaged areas are subject to taxation. The part of the taxable income related to each operations/activities is the one corresponding to the weight of the incomes obtained from such operations/activities in total income amount.
Fiscal Code:
(4) Except as provided in par. (3), taxpayers that obtain incomes from activities carried out on the basis of a license in a free area are required to pay profit tax at a rate of 5% of the taxable profit that corresponds to such incomes until December 31, 2004.
Methodological Norms:
105. For the taxpayers carrying out activities in free areas based on licences issued in accordance with Law no 84/1992 on the free areas regime, as further amended, the income obtained from such activities shall be taxed with a 5% ration until on December 31, 2004, except when such taxpayers are subject to the provisions of art. 38 par. (3) of the Fiscal Code.
106. If the taxpayer carries out its activity in a free area through units with no legal personality, such taxpayer does not have the obligation to keep separate accounting books for the incomes and expenses relating to the activities in question. When determining the income related to the activity the expenses for the management and the administration, as well as the other such expenses shall be taken into account, proportional to the incomes obtained in the free area compared to the total incomes obtained by the legal person.
107. The loss resulted from operations carried out in the free area shall not be recovered from the taxable income obtained outside the areas as it shall be recovered from the incomes obtained from the same area;
Fiscal Code:
(12) When calculating the taxable income, the following incomes are not taxable until on December 31, 2006: [...]
b) incomes realized from the application of an invention that is patented in Romania, including incomes from manufacturing the product or from the application of the procedure, for a period of 5 years from the date of first application, computed from the date of starting the application and included in the period of validity of such patent, as provided by law;
Methodological Norms:
108. Applying an invention means the product manufacture or the use of the procedure/method. The procedure also includes the use of a product or the performance of any other income generator deed, such as:
a) the design of the object(s) of an invention:
1. the execution project for a product, including the product obtained directly by applying patented method, an installation or such others;
2. the technological project for the application of a procedure/technology or a method;
b) the execution and/or experimentation prototype/or uniqueness of the technology that is the subject of an invention;
c) the execution and /or operation of the "zero" series of the product or pilot-installation;
d) the operation of the object of an invention by realizing it on a large scale, namely:
1. product manufacture, such as: the device, equipment, installation, composition, respectively the product obtained directly through the application of a patented procedure;
2. the use of a process, respectively a technology or a method, the object of an invention;
3. the use of a means, device, appliance, installation object of an invention intended exclusively for the internal needs of the applying unit;
e) trading the results of the deeds provided under let. a) - d) by the holder of the rights that is also the manufacturer, if these deed have been performed in the country.
109. The first application shall be taken into account separately for the patent holder, as well as for each of its licensees.
110. For the patent holder, his/her successor in title or, as the case may be, its licensees to benefit from exemption from income tax the following conditions shall be cumulatively met:
a) to have a copy, certified as compliant, of the final decision of the State Office for Inventions and Trademarks granting the patent, if applicant's request for tax exemption is another person than the patent holder, it is necessary to have such documents certified as compliant by the State Office for Inventions and Trademarks or authenticated, from which the one of the following situations shall result:
1. the applicant is the successor in rights of the patent holder;
2. the applicant is licensed of the patent holder;
3. the applicant is licensed of the successor in rights of the patent holder;
b) to have documents issued by the State Office for Inventions and Trademarks, from which it shall result that the patent was in force during the period for which the tax exemption was requested;
c) an accounting management book from which it shall result that during the period for which the tax exemption was requested for the invention or the group of inventions that were patented were performed at least one of the deed provided under par. 108 as well as the level of the income obtained during this period;
d) the income thus obtained shall have been obtained within the period of 5 years from the first application and covered by the period of validity of the patent.
111. The income shall be established with strict reference to the invention or the group of inventions, based on the updated items, as it results from the patent claims. In accordance with the provisions of art. 33 par. 3 of Law no 64/1991 on the invention patents, republished, the claims shall be interpreted in connection tot the description and the drawings of the invention.
112. In case the invention or the group of inventions patented cover only a part of an installation or a technology activities, procedure or method, and from the accounting books results only the income for the whole installation or technological activity, then, first there shall be determined the weight of the invention or the group of inventions in the installation or technology activity, and based on this, the part of the income obtained by the application of the patented invention shall be determined.
113. The income also includes the profit obtained by the patent holder or its licensees from the possible taxes or tariffs, perceived as the counter-value of the service of use of the patented invention having as object also a new product, only if the patent includes also a claim for the use of the new product.
Fiscal Code:
TITLE III
Income tax
CHAPTER 1
General provisions
Categories of incomes that are subject to the income tax
ART. 41
The categories of incomes that are subject to the income tax as provided by the provisions of the present title are the following:
a) incomes from independent activities, as defined in art. 46;
b) incomes from salaries, as defined in art. 55;
c) incomes from the grant of the use of goods, as defined in art. 61;
d) incomes from investments, as defined in art. 65;
e) incomes from pensions, as defined in art. 68;
f) incomes from agricultural activities, as defined in art. 71;
g) incomes from prizes and from gambling, as defined in art. 75;
h) incomes from other sources, as defined by art. 78.
Methodological Norms:
1. The incomes from independent activities, including the incomes obtained by natural persons within associations with no legal personality, from assigning the use of goods, as well as the incomes obtained from agriculture activities are incomes for which the tax shall be determined based on the net taxable annual income, corresponding to each source, the tax being final.
2. The incomes obtained from other income classes shall be taxed, for each profit, within this category of incomes, the tax being final.
Fiscal Code:
Non-taxable incomes
ART. 42
For purposes of the income tax, the following incomes are not taxable:
a) assistance, allowances and other forms of support with special destination, granted from the state budget, the state social insurance budget, the budgets of special funds, the local budgets and from other public funds, as well as similar forms of support received from other persons, with the exception of allowances for temporary work incapacity; The non-taxable allowances are the following: the allowances for maternal risk, for maternity care and for the care of the sick children, according to law.
Methodological Norms:
3. In the non-taxable income class are included the incomes obtained from natural persons, according to the law, such as:
- allowance of state for children;
- maintenance allowance for each child entrusted or given to a family;
- monthly allowance received by people with severe and profound disabilities;
- social allowance received by the blind with severe and profound disabilities;
- monthly allowance granted to the blind with severe disabilities, according to the law;
- the counter-value of the hotel services, according to the law, to the members of the family accompanying in the hospital the children with disabilities or sick children aged up to 3 years;
- the aid for home heating;
- allowance for new-born children, received for each of the first 4 children born alive;
- the maternity allowance;
- the allowance for the child raise until the age of 2, and in case of the child with disabilities, until the age of 3, as well as the incentive granted in accordance with the law on the support of the family, for the child raise;
- allowance for maternity risk;
- allowance for the care of the sick child until the age of 7, and in case of the child with disabilities, for the inter-current diseases, until the age of 18;
- monthly allowance for the independent activity of the interpret artistes or executants from Romania, granted in accordance with the Law no 109/2005 on the establishment of the compensation for the independent activity of the interpret artistes or executants from Romania;
- social aid received by spouses who meet the mandatory military service;
- social aid granted by law;
- emergency aid granted by the Government and mayors in cases of necessity as a result of natural disasters, fires, accidents and other special cases determined by law, within the existing funds;
- aids for the purchase of medical devices;
- monthly aid or the support allowance received by the military officers in reserve, without the right to receive a pension, able to work, that may not be work due to the lack of job opportunities to fit their professional profile;
- unemployment allowance and other non-taxable rights granted in accordance with the legislation in the fields;
- amounts paid from the unemployment insurance budget for the completion of the incomes of the persons employed before the expiry of the unemployment period;
- the first employment and the first installation premium granted from the unemployment insurance budget;
- material support granted, in accordance with the law, to the members of the family of the deceased magistrate or to the members of the family of other persons within the prosecuting authorities, that has deceased;
- the equivalent of the salary received by members of the family of the public office, in case the latter one dies;
- monthly compensating allowance received by the persons that lost totally or partially the capacity to work, to person with severe mutilations and the successors of the persons that died as a result for their participating to the Revolution from December 1989;
- monthly compensating allowance received by the parents of the persons that died as a result of the participation to the Revolution from December 1989;
- monthly compensating allowance received by the surviving spouse of the person who died as a result of participation to the revolution of December 1989 and must support one or more children of the person that died;
- the amount fixed for the care received by disabled and war injured, hard mutilated and those classified in the first degree of disability;
- monthly allowance received by the persons persecuted on political and ethnical grounds;
- monthly allowance received by the magistrates that during 1945 - 1952 have been removed from the justice for political reasons;
- allowance for war veterans, including the growth, according to the law;
- monthly rent paid according to the law, to war veterans;
- the annual aid to cover a part of the cost of rent, electricity and thermal energy, granted to the war veterans and war widows as well as to other disadvantaged people, according to the law;
- monthly material support received by the surviving spouse as well as by the minor children, successors of the holder, correspondents and members of honour of the Romanian Academy, granted in accordance with the law on granting material support for the surviving spouse and the successors of the members of the Romanian Academy;
- aid to political immigrants according to the laws in force;
- reimbursable aid for refugees;
- humanitarian, medical and social aid;
- death aid granted according to the legislation on public pension system and other social insurance rights, as well as the aid for the purchase of prostheses, prostheses and other orthopaedic products, granted under the pension law;
- monthly aid for the surviving spouse, granted in accordance with the law on granting monthly aids to the surviving spouse;
- life rent granted from the state budget, local budgets and other public funds, according to the law;
- merit allowance granted in accordance with Law no 118/2002 on the establishment of the merit allowance, as amended and further completed and with the Government Decision no 859/2003 for the approval of the Norms for the enforcement of Law no 118/2002 on the establishment of the merit allowance and with the Regulation of functioning of the National Commission for granting the merit allowance, as amended and further completed;
- rights of the urban and inter-urban transportation free of charge, granted by law for adults with severe and profound disabilities as well as personal assistants and their attendants;
- other such incomes granted according to legal norms in force.
3^1. There are not taxable the incomes from the allowances for maternity risk and the ones granted for the care of the sick child aged up to 7 years, and in case of the child with disabilities, for the inter-current diseases, until the age of 18, representing rights received by natural persons in accordance with the law, starting with May 1, 2005. The incomes such as the above mentioned ones, relating to the period before May 1, 2005 are taxable according to the law.
4. For the purpose of art. 42 let. a) of the Fiscal Code, other persons refer, among others, also to:
- mutual assistance houses of pensioners, for humanitarian, medical and social aids granted to the members from their contributions;
- humanitarian organizations, trade union organizations, the Red Cross, units of cult recognized in Romania and other entities that may provide humanitarian or social aid.
Fiscal Code:
b) amounts collected from insurance of any kind as compensations, insured amounts, as well as any other rights, with the exception of gains received from the insurance companies as a result of insurance contracts concluded between the parties on the occasion of “depreciations”. Compensations in money or in kind that are received by a natural person as a result of a material damage suffered by such person, including compensations for moral damages, are not taxable incomes.
Methodological Norms:
5. Non-taxable are the compensations, the insured amounts and any other right granted to the insured, beneficiaries or third compensated persons form the insurance of any kind, in accordance with the legislation on the insurance companies and the insurance surveillance.
6. The amounts representing other rights granted to the insured may have, among others, the following forms: partial ransom in the account of the insured person, rescheduled payments, rents, incomes resulted from fructification of the reserves from premium paid by the insured as well as any other amounts of the same nature regardless of name or form under which they are paid, in the insured person's account.
7. In case the person who bears the insurance premium is an independent natural person, the legal person or other entity carrying out an activity, then the counter-value of the of insurance premiums represents taxable incomes for the natural person beneficiary.
Fiscal Code:
c) amounts received as compensations for damages incurred as a result of natural disasters, as well as for cases of disability or death, according to law;
Methodological Norms:
7^1. This class also includes the products offered free of charge to the agriculture producers - natural persons that suffered damages as a result of natural calamities in accordance with the provisions of the contract concluded between the parties.
Fiscal Code:
c) amounts received as compensations for damages incurred as a result of natural disasters, as well as for cases of disability or death, according to law;
d) pensions for invalids of war, orphans, widows/widowers of war, fixed amounts for the care of pensioners who have been categorized as 1st degree invalids, as well as pensions, other than pensions that are paid from funds established from mandatory contributions to a social insurance system, including those from optional pensions, and those financed from the state budget;
e) the counter-value of coupons that are “securities” that are granted for free to natural persons according to legislation in force;
f) amounts or goods received in the form of sponsorship or patronage;
g) incomes received as the result of the transfer of the right of ownership with respect to immovable and movable tangible goods from personal patrimony, other than gains from the transfer of securities;
h) rights in cash and in kind received by military recruits on term or on reduced term, students and pupils of educational units from the sector of national defense, public order, and national and civil security and civil persons, as well as those of officers and soldiers on duty or mobilized;
i) scholarships received by persons who follow any form of education or professional training within an institutionalized framework;
Methodological Norms:
8. Institutionalized framework refers to any entity having as object of activity the school, university education, the training and/or professional improvement, acknowledged by the authorities of Romania.
Fiscal Code:
j) amounts or goods received as inheritance or donation;
k) incomes from agriculture or forestry, with the exceptions provided in art. 71;
Methodological Norms:
9. In the category of incomes from agriculture and forestry the following are considered non-taxable :
- the incomes obtained by the owner / lessee from the fructification on natural state of the products obtained from the agrarian and forestry lands, private property or taken lease. Starting with January 1, 2009 the money incomes obtained from the fructification of the agrarian products after harvesting, in natural state from the agricultural lands, own property or taken on lease, to the specialized collecting units, industrial processing units or to any other units to be used as such, are taxable.
- the incomes obtained by the natural persons associated to an association in accordance with the provisions of art. 28 of Law no 1/2000 for the reconstituting of the ownership right on the agrarian and forestry lands, requested according to the provisions of Law on the funciar fund no 18/1991 and of Law no 169/1997, as amended and further completed, from the fructification of the forestry products in accordance with the law.
- incomes obtained from: animal and poultry breeding, apiculture and sericulture;
- the incomes obtained by natural person from the fructification on natural state, through specialized units, such as the centres or the acquisition premises of the products collected or captured from the wild flora and fauna.
10. It is considered as in natural state: agrarian products obtained after harvesting, the wood material turned into logs or transformed in balls as well as the animal products such as: milk, wool, eggs, unprocessed leather and such others, plants and animals from the wild flora and fauna such as: medicinal plants, wood fruits, mushrooms, snails, oysters , snakes, frogs and such others.
Fiscal Code:
l) incomes received by members of diplomatic missions or consular offices for activities carried out in Romania in their official capacity, under conditions of reciprocity, in virtue of the general rules of international law or the provisions of special agreements to which Romania is a party;
m) net incomes denominated in foreign currency received by members of diplomatic missions, consular offices and cultural institutions of Romania located abroad, in accordance with legislation in force;
n) incomes received by officials of international bodies and organizations from activities carried out in Romania in their official capacity, on the condition that the position of the official is confirmed by the Ministry of Foreign Affairs;
o) incomes received by foreign citizens for consulting activities carried out in Romania in accordance with agreements of non-reimbursable financing entered into by Romania with other states, with international bodies and non- governmental organizations;
p) income received by foreign citizens for activities in Romania, as correspondents Press on condition of reciprocity granted to Romanian citizens for income from such activities, and provided that the position of such persons to be confirmed by the Ministry of Foreign Affairs;
q) amounts in the form of subsidized interest for credits received in accordance with legislation in force;
r) subsidies received for the acquisition of goods if the subsidies are granted in accordance with legislation in force;
s) incomes in the form of benefits in money and/or in kind received by handicapped persons, veterans of war, invalids and widows of war, persons injured by war outside military service, persons persecuted for political reasons by the dictatorship beginning March 6, 1945, those deported abroad or declared prisoners, heirs of hero-martyrs, persons who were injured, and persons who fought for the victory of the Revolution of December 1989, as well as persons persecuted for ethnic reasons by the ruling regimes of Romania between September 6, 1940, and March 6, 1945;
Methodological Norms:
11. These incomes are granted by special laws and include, among others:
- the counter-value of the prosthesis granted free of charge for the severely mutilated persons that lost entirely or partially the capacity to work, of the medicines free of charge, the free access to resorts and treatment bases belonging to the Ministry of Health, Ministry of National Defence, Ministry of Administration and Interior and other institutions, according to the law;
- the counter-value of the free urban transportation with the common means of transportation and such others, that may be granted to the persons that are subject to the provisions of art. 5 par. (1) let. k) of the Law of gratitude towards heroes - martyrs and the fighters who contributed to the victory of the Romanian Revolution in December 1989 no 341/2004, as amended and further completed;
- the counter-value of the medical assistance and of the medicines granted free of charge and as a priority, both in the ambulatory treatment and during the hospitalization, of the free transportation with the common transportation means and on the Romanian railway, the counter-value of the free ticket for treatment in a balneoclimateric resort and such others. provided to be granted to the persons that are subject to the provisions of the Decree-Law no 118/1990 on granting rights to the persons persecuted out of political reasons by the dictatorship instituted as from March 6, 1945 as well as to the person deported abroad or imprisoned, republished, as amended and further completed;
- the counter-value of the free travels on the railway, free travels with means of common urban transportation, free fire wood or coal equivalent, free medical assistance in all military, civil or state medical institutions and free medicines and treatment both in the ambulatory and during hospitalization, free tickets for treatment, within the possibilities existing, in the balneoclimateric resorts, free prosthesis, crutches, orthopaedic boots, perambulators, hearing devices and cardiac implants, special devices for the persons with disabilities of the loco-motor apparatus and such others in accordance with the Law no 44/1994 on the war veterans, as well as on the disabled persons and was widows rights, republished, as amended and further completed;
- the counter-value of the free urban transportation with the means of common transportation for grown-ups with severe and profound disabilities as well as for the personal assistants or their companions, of the free interurban transportation by train, free medical assistance in accordance with the provisions of the Emergency Government Ordinance no 102/1999 on the special protection and employment of disabled persons, approved as amended and further completed by Law no 519/2002, as amended and further completed;
- such others, as approved by the law.
12. The natural persons provided in art. 42 let. s) of the Fiscal Code owe income tax for the income categories provided in art. 41 of the Fiscal Code.
Fiscal Code:
t) awards the medals to sportsmen World Championships, European and Olympic games. Non-taxable incomes are prizes, bonuses and sport allowances granted to sports persons, coaches, technicians and other specialists as provided in legislation on such matters, in order to achieve objectives of superior performance: obtaining a place on the victory podium at European championships, world championships and Olympic games, as well as the qualification and participation to final tournaments at world and European championships, in the first group, as well as the Olympic games, in the case of sports games. Non-taxable incomes are bonuses and sport allowances granted to sports persons, coaches, technicians and other specialists as provided in legislation on such matters, in order to train and participate in official international competitions as representative teams of Romania;
Methodological Norms:
13. The following specialists also benefit from these provisions: teachers with bachelor or graduation diploma, trainers and managers in the field, and other qualified persons qualified for medical assistance, research and scientific support, technical organization and management and other complementary technical occupations, in accordance with the legislation in the field..
Fiscal Code:
u) prizes and other rights in the form of accommodations, meals, transport and such others, obtained by pupils and students within domestic and international competitions, including non-resident pupils and students in competitions carried out in Romania;
Methodological Norms:
14. In this category are included:
- awards obtained in contests on objects or subjects of education, crafts, cultural and scientific, festivals, symposiums, technical and scientific competitions, awards and championships in school sports competitions, national and international;
- the counter-value of the benefits in the form of transportation and accommodation;
- other material rights received by the participants on the occasion of such manifestations;
- such others.
Fiscal Code:
v) the premium granted by the state, according to the provisions of Law no 541/2002 on collective saving and lending for housing, as amended and further completed.
x) other incomes that are not taxable as provided in each category of income.
Tax rates
ART. 43
(1) The tax rate for determining the income tax from:
a) independent activities;
b) salaries;
c) the grant of the use of goods;
d) pensions;
e) agricultural activities;
f) prizes;
g) other sources.
is of 16% applied to the taxable income corresponding to each source of the respective category.
(2) There are excepted from the provisions of par. (1) the tax rates provided in the categories of incomes obtained from investments and gambling.
Methodological Norms:
15. When determining the annual/monthly tax, to the payments in advance as tax calculated for the incomes provided in art. 41 of the Fiscal Code, the calculation bases for the tax shall be established by rounding up to thousand lei, neglecting the fractions under 1,000 lei.
Fiscal Code:
Taxable period
ART. 44
(1) The taxable period is the fiscal year that corresponds to the calendar year.
(2) By exception from provisions of par. (1), the taxable period is less than the calendar year in situations where the taxpayer dies during the course of the year.
Methodological Norms:
16. The fiscal year corresponds to the period of 12 months of a calendar year in which the income is obtained.
17. In case of death of the taxpayer, the taxable period is lower than the calendar year, including the number of months of the calendar year before the death.
Fiscal Code:
Determination of personal deductions and fixed amounts
ART. 45
(1) The personal deduction, as well as the other fixed amounts in lei are to be established by a order of the Minister of Public Finance.
(2) The amounts are to be calculated by rounding to ten lei, which means fractions under 100,000 lei are to be increased to 100,000 lei.
Fiscal Code:
CHAPTER 2
Incomes from independent activities
Definition of incomes from independent activities
ART. 46
(1) Incomes from independent activities include commercial incomes, incomes from free professions and incomes from intellectual property rights, realized individually and/or in the form of an association, including incomes from adjacent activities.
(2) Commercial incomes are incomes from acts of trade of the taxpayer, from supplies of services, other than those provided in par. (3), as well as from the practice of a trade.
(3) Incomes from free professions are incomes obtained from the exercise of professions as a physician, lawyer, notary, financial auditor, tax consultant, expert accountant, certified accountant, consultant for investments in securities, architect or other regulated professions, carried out in an independent manner, n accordance with legal conditions.
(4) Incomes from the sale in any manner of intellectual property rights are derived from patents, drawings and models, samples, production marks and trademarks, technical procedures, know-how, copyrights and rights connected with copyrights and other similar rights.
Methodological Norms:
18. Subject to income tax from independent activities the natural persons obtaining such income individually or through the association based on an association contract concluded for carrying out activities in order to obtain incomes, association that is established based on the legal provisions, not having legal personality.
19. Carrying out an independent activity implies the fact that such activity is ordinary carried out, on its own and not aiming to be profitable. Among the criteria that define the existence of an independent activity are: the free choice of carrying out the activity, of the working schedule and of the place of work; the risk that the entrepreneur undertakes; the activity is carried out for more clients; the activity may be carried out not only directly, but also with the help of the personnel employed by the entrepreneur, in accordance with the legal provisions.
20. The non-resident natural persons are subject to taxation in Romania for the incomes obtained in carrying out their activity in Romania, according to the law, of an independent activity, through a permanent office.
21. There are considered as trading incomes the incomes obtained from trading activities by the natural persons or associations with no legal personality, from service supplies, other than the ones obtained from independent professions as well as the ones obtained from the practice of a profession.
The main activities representing trading facts are:
- production activities;
- purchasing activities carried out in order to resale;
- organizing cultural, sports, entertainment and other such events;
- activities whose purpose is to facilitate the conclusion of trading transactions through an intermediate such as: commission contract, proxy contract, representation, insurance agent and other such contracts concluded in accordance with the provisions of the Commercial Code, regardless of the period for which the contact has been concluded for;
- the consignment sale of goods purchased for reselling or produced to be traded;
- editing, printing, copying activities regardless of technique used, and such others;
- transportation of goods and people;
- other deeds as defined by the Commercial Code.
21^1. Starting with January 1, 2007 the trading incomes are the incomes obtained from activities carried out within a trading family farm, others than the ones classified according to the provisions of art. 42 let. k) of Law no 571/2003 on the Fiscal Code, as amended and further completed.
Starting with January 1, 2009 the trading incomes are the incomes obtained from activities carried out within a trading family farm, others than the ones classified according to the provisions of art. 42 let. k) of the Fiscal Code, as well as the one taxed in accordance with the provisions of art. 74 of the Fiscal Code.
22. For the associated natural persons the taxation is performed for each associated person within the association with no legal personality, in accordance with the provisions of the association contract, including the professional civil society, on the distributed net profit.
23. There are considered as incomes from independent activities, the incomes obtained from services supply of professional nature, individually or in different forms of association, the scientific, literary, artistic, educational and other such field by: doctors, lawyers, public notaries, legal executors, technical and accounting expert, charted accountants, investment consultants in securities, financial auditors, fiscal consultants, architects, translators, sportsmen, sports referees as well as other natural persons with regulated professions carried out independently, according to the law.
23^1. Incomes obtained by trainee lawyers based on the collaboration contracts as well as the paid lawyers are considered incomes from independent activities.
23^2. The natural persons that obtain incomes from assigning the goods by developing more than 5 contracts of rental at the end of the fiscal year, starting with the following fiscal year qualify such incomes as incomes resulted from independent activities and make them subject to the regulations regarding the establishment of the net income for this category. For the application of such regulation, an Order shall be issued by the President of the National Agency of Fiscal Administration.
24. The incomes resulted from the intellectual property rights are incomes obtained through the fructification of the industrial rights such as: inventions, less the technical ones, the know-how, the trademarks, franchise and such others, acknowledged and protected through writs of the specialized institutions as well as the copyrights, including the rights relating to the copyright. Such incomes are subject to the rules for determining the income from independent activities also in case the respective rights are subject to assignment, rental, collaboration, research, licence, franchise and such others contracts as well as the ones transferred by succession, regardless of the name they are granted with, such as: direct remuneration, secondary remuneration, fees, royalties and such others.
The incomes resulted from assignment of the of intellectual property rights set out expressly in the contract concluded between parties stand for incomes from intellectual property rights. As well, there are included in the category of incomes obtained from intellectual property rights the incomes resulted from assignments for which the regulations in the field established the assignment presumption in lack of a contrary provision in the contract.
In case of existence of a dependent activity as a result of an employment relationship, the remuneration of the provisions resulted from the intellectual property rights entering the field of the service tasks, represents remuneration incomes, in accordance with the provisions mentioned expressly in the contract concluded between the employee and the employer and is subject to the taxation as provided in Chapter III "Incomes from wages" of Title III of the Fiscal Code.
The incomes representing money rights of the author of a technical achievement, are not considered, from a fiscal standpoint, incomes from intellectual property rights.
25. The natural persons, as well as the ones who conclude contracts, other than those regulated through by employment relations, and who carry out activities using the employer's facilities of the facilities of the other part, in order to achieve the invention, technical achievement or technical procedures, scientific, literary, artistic etc. works, obtain remuneration incomes.
26. The incomes obtained by the sportsmen participating to sports competitions on their own and do not have any contractual working relation with the entity paying tax are considered as incomes from independent activities.
Fiscal Code:
Non-taxable incomes
ART. 47
(1) The following are not taxable incomes:
a) incomes obtained from the actual application in the country by the titular or, as the case may be, by his licensees, of an invention patented in Romania, including the manufacture of the product or, as the case may be, the application of the procedure, during the first 5 years from the first application, computed from the date of beginning the application and included in the period of validity of the patent;
b) the income obtained by the patent holder by assigning it.
(2) Natural persons who exploit the invention, respectively the titular of the applied patent, are to benefit from the provisions of par.(1).
Methodological Norms:
27. The effective application in any technological field of an invention for which an invention patent is granted or validated in Romania that has as object a product and a procedure, means any of the deeds provided in art. 33 par. 2 of Law no 64/1991 on the invention patents, republished as further amended.
The procedure may also be a method that may include or may refer aslo to the use of a product.
Product refers also to the product obtained directly by the application of a patented procedure, including the manufacture one, by using an installation or such others.
The invention patent may have as object an invention or a group of inventions through a general inventive concept.
28. For purposes of art. 27 the following deeds aslo represent an effective application of the invention:
a) the design of the object of an invention consisting of achieving a(n):
1. execution project for obtaining a product;
2. technological product for the application of a procedure/technology or a method or for the use of a product;
b) the execution and/or experimentation of the prototype/or uniqueness of a product or the experimentation of the technology subject of the invention;
c) the execution and /or operation of the "zero" series of the product or pilot-installation;
d) exploitation on large scale of the object of an invention, namely:
1. the manufacture of a product that may be a device, an equipment, an installation, a composition or such others, object of an invention from an invention patent and respectively, the product obtained directly through the application of a patented procedure;
2. the use of a procedure, respectively of a technology or a method, object of an invention in a patented invention;
3. the use of a means, device, appliance, installation object of an invention intended exclusively for the internal needs of the applying unit;
4. the used of a product, object of an invention from an invention patent;
e) trading the results of the deeds provided under let. a) - d) by the holder of the rights that is also the manufacturer, if these deed have been performed in the country.
29. The first application shall be taken into account separately for the patent holder, as well as for each of its licensees.
30. For the patent holder, his/her successor in title or, as the case may be, its licensees to benefit from exemption from income tax the following conditions shall be cumulatively met:
a) it exists a copy, certified as compliant by the State Office for Inventions and Trademarks of the final decision of granting the invention patent, in case the applicant requesting the classification of the income as non-taxable is a different person from the patent holder, it is necessary for the latter one to have the documents authenticated, from which the following shall result:
1. the applicant is the successor in rights of the patent holder; or
2. the applicant is licensed of the patent holder; or
3. the applicant is licensed of the successor in rights of the patent holder;
b) it exists a document issued by the State Office for Inventions and Trademarks proving that the transfer of rights is registered from the standpoint of its publication in the Official Bulletin for Industrial Property;
b) it exists a documents issued by the State Office for Inventions and Trademarks, proving that the patent was and remained in force during the period for which the tax exemption was requested;
d) it exists an accounting book from proving that during the period for which the tax exemption was requested for the invention or the group of inventions that were patented were performed at least one of the deed provided under par. 27 and 28, as well as the level of the income obtained during such period;
e) the relating incomes and expenses relating are the ones recorded separately in the accounting, in accordance with the legal provisions;
f) it exists a documents issued by State Office for Inventions and Trademarks showing the date of the first application from which the 5-year period of effective application starts.
31. *** Abrogated
32. The income is established with strict reference to the extent of the protection covered by the patent which is given by the content of the claims, whose interpretation is made in connection to the description and the drawings of the invention object of the patent in accordance with the provisions of art. 33 par. 3 of Law no 64/1991, republished, as further amended.
33. In case the claimed invention refers to only an obviously separate part of the object of the invention, and from the accounting books it results only the gross income for the entire object of the invention, the weight of the claimed invention shall be established and based on that, the gross income obtained from the application of the separate part of the object of the invention shall be established.
34. The income includes also the profits obtained by the patent holder or by its licensees from the amounts perceived as a result of the use of the claimed invention, in case it exists a claim for the use of a product.
35. *** Abrogated
Fiscal Code:
General rules regarding the determination of net income from independent activities based on the simple entry accounting system
ART. 48
(1) The net income from independent activities is to be determined as the difference between the gross income and the expenses related to the realization of the income, deductible, on the basis of the data from the simple entry accounting system, with the exception of the provisions of art. 49 and 50.
(2) Gross income includes:
a) amounts collected and the equivalent in ROL of the in-kind incomes from carrying out the activity;
b) incomes in the form of interest from trade receivables or from other receivables used in connection with an independent activity;
c) gains from the transfer of assets from the business patrimony used within an independent activity, including the counter-value of goods that remain after the final termination of the activity;
d) incomes from the commitment not to carry out an independent activity or not to compete with another person;
e) incomes from the cancellation or exemption of certain payment obligations incurred in connection with an independent activity.
(3) The following are not considered to be gross incomes:
a) contributions in cash or the equivalent in lei of contributions in kind made at the inception of an activity or in the course of carrying out such activity;
b) amounts received in the form of bank credits or loans from natural or legal persons;
c) amounts received as compensation;
d) amounts or goods received in the form of sponsorship, patronage or donations.
(4) Expenses related to incomes must satisfy the following general conditions in order to be allowed as deductions:
a) they are to be effected within the framework of activities carried out for the purpose of realizing income, as justified by documents;
b) they are to be included in the expenses of the financial exercise for the year in which they were paid;
c) they are to follow the rules regarding depreciation as provided in title II, as the cas may be;
d) expenses for insurance premiums are to be effected for:
1. tangible or intangible assets from the business patrimony;
2. assets that serve as bank guarantees for the credits used in carrying out the activity for which the taxpayer is authorized;
3. professional diseases ,occupational hazard and work accidents;
4. persons who obtain incomes from salaries, according to the provisions of chapter III of the present title, on the condition that the amount of the insurance premium is taxed to the beneficiary at the moment of the payment by the payer.
(5) The following expenses have limited deductibility:
a) expenses of sponsorship, patronage, as well as for granting of private scholarships, effected according to law, within the limit of 5% of the computation base determined according to par. (6);
b) protocol expenses, within the limit of 2% of the computation base determined according to par. (6);
c) amount of expenses for allowance paid for the period of delegation and temporary assignment in another locality, in the country and abroad, for job purposes, within the limit of 2.5 times the legal level provided for public institutions;
d) social expenses, within the limit of the amount obtained by applying a rate of up to 2% to the salary fund annually realized;
e) losses related to perishable goods, within the limits provided in normative acts on this matter;
f) expenses for luncheon coupons granted by employers, as provided by law;
g) contributions effected on behalf of employees to optional pensions funds, in accordance with legislation in force, within the limit of the equivalent in lei of 200 euro annually for a person;
h) voluntary health insurance premium, according to law, within the limit of the equivalent in lei of 200 euro annually for a person;
i) expenses effected for an independent activity and for personal purposes of the taxpayer or associates are deductible only for the portion of the expense that is related to the independent activity;
j) expenses for mandatory social contributions for employees and taxpayers, according to the law;
k) interest related to loans from natural and legal persons used in carrying out the activity, based on the contract concluded between the parties, within the limit of the reference interest level of the National Bank of Romania;
l) expenses made by the user, which consist of rent - leasing instalment - in the case of operational leasing contracts, respectively expenses of depreciation and interest for finance leasing contracts, according to the provisions regarding leasing operations and leasing companies.
m) dues paid to professional associations within the limit of 2% of the computation base determined according to par. (6).
(6) The calculation base is to be determined as the difference between the gross incomes and deductible expenses, other than expenses of sponsorship, patronage and protocol expenses.
(7) Are not deductible expenses:
a) amounts or goods used for personal use taxpayer or his family;
b) expenses related to non-taxable incomes the sources of which are in Romania or abroad;
c) income tax due under this title, including taxes on income form abroad;
d) costs of insurance premiums, other than those referred to in par. (4) letter d) and in par. (5) letter h);
e) donations of any kind;
f) fines, confiscation, interest, penalties and fines for delay due to the Romanian authorities and foreign, under laws other than those paid under terms of commercial contracts;
g) rates related to loans committed;
h) interest related to loans incurred for the purchase of tangible fixed assets, where the interest is included in the entry of immobilization body, according to the laws;
i) purchase and production expenses of the depreciable goods and rights registered into the Inventory Register;
j) expenses regarding the goods found missing or damaged in the management and not attributable, if inventory is not covered by an insurance policy;
k) amounts or value of goods confiscated as a result of violating legal provisions in force;
l) income tax borne by the payer of income in the place of the beneficiaries of such incomes;
m) amounts provided by law in force.
(8) Taxpayers who obtain incomes from independent activities are required to organize and maintain accounting records in simple entry, respecting the rules in force regarding accounting records and the completion of the register-journal of receipts and payments, the Register-inventory and other accounting documents provided by legislation on this matter.
(9) All goods and rights related to the performance of an activity are recorded in the Register-inventory.
Methodological Norms:
36. The gross income includes all the incomes in cash and in kind, such as: incomes from the sale of products and goods, incomes from services supply and works execution, incomes from the sale and rental of goods from the business patrimony and any other incomes obtained from the activity carried out as well as the incomes from the interests received from banks for the business relating funds, from ancillary activities and such others.
Ancillary activities refer to all the activities related to the authorized object of activity.
In case the activity is ceased the amounts obtained from the fructification of the goods from the business patrimony, registered with the Trade Registry, such as: fixed assets, stock and such others, as well as raw material inventory, materials, finite products and goods that have not been fructified yet, are included in the gross income.
In case of goods from the business patrimony enter the personal patrimony of the taxpayer, from the fiscal standpoint this is considered to be an alienation and the amount representing their counter-value is included in the gross income of the business.
In all cases the fiscal assessment is carried out at the prices practiced on the market or established through technical expertise.
The following do not represent gross income:
- cash contributions or the equivalent in lei of the cash contributions made at the beginning of an activity or during its deployment;
- amounts received in the form of banking credits or loans from natural or legal persons;
- amounts received as compensations;
- amounts or assets received in the form of sponsorships, patronage or donations.
37. From the gross income obtained only the expenses related to obtaining the income, as resulting from the accounting books of the taxpayers, are deductible as provided by art. 48 par. (4) - (7) of the Fiscal Code.
General conditions that the expenses relating to incomes shall meet in order to be deductible:
a) are made for the direct benefit of business;
b) correspond to the effective expenses and are supported by documents;
c) are included in the expenses of the financial year during which they were paid.
38. Expenses that may be deducted:
- expenses for the purchase of raw materials, consumables, stock and goods;
- expenses for the of works executed and services provided by third parties;
- expenses incurred by the taxpayer for the execution of works and provision of services for clients;
- the rent for the space in which the activity is carried out, the one associated with the equipment and other facilities used for the activity, based on a rental contract;
- banking credits related interests;
- interests related to loans from natural and legal persons, used for the activity, based on the contract concluded between the parties, within the limit of the level of interest rates of the National Bank of Romania;
- expenses with commissions and other banking services;
- the expenses with the insurance premiums relating to tangible and intangible assets, including stocks held, as well as with the insurance for professional hazard, in accordance with the law;
- the expenses with the insurance premiums for the assets from the personal patrimony when they represent a banking guarantee for the credits used while carrying out the independent activity of the taxpayer;
- postal expenses and telecommunication fees;
- expenses with the energy and water;
- expenses with the transportation of goods and persons;
- expenses with the wages;
- taxes, duties expenses, other than the income tax expenses;
- expenses with the contributions for the social insurances, for the establishment of the Fund for the payment of the unemployment allowance, for the health insurances, for work accidents and professional diseases as well as for other contributions mandatory for the taxpayer and its employees;
- depreciation expenses, in accordance with the regulations set forth in Title II of the Fiscal Code, as the case may be:
- the not depreciated value of goods and the alienated rights of depreciation, determined by the deduction from the purchase price of the depreciation included in costs during the exploitation and limited to the level of the income achieved by such alienation;
- expenses incurred by the user, representing the rent (leasing rate) in case of operational leasing contracts, respectively the depreciation and interest expenses in case of financial leasing contracts, established in accordance with the provisions on the leasing operations and the leasing companies;
- expenses with the vocational training for the taxpayer and its employees;
- expenses occasioned by the participation to congresses and professional meetings;
- maintenance and repair expenses, relating to the goods that are object of a bailment contract, in accordance with the contract agreement, for the part relating to the business use;
- expenses with the food tickets granted by the employer in accordance with the law;
- travel expenses, except for those representing the delegation allowance, allowance for the transfer in a different locality, in the country or abroad, which are deductible within a certain limit;
- promotion and advertising expenses represent the expenses incurred for the promotion of the taxpayer's name, product or service based on a written contract as well as the costs associated to the manufacture of the materials necessary for the dissemination of the advertising messages when the ad and the publicity spot is done by own means. The promotions and advertising expenses include also the goods that are granted for the purpose of publicity campagnes as patterns, for testing the products and demonstrations at the sale points as well as other goods granted so as to enhance the sale;
- other expenses intended to obtain incomes.
39. The following are expenses that are deductible within certain limits:
- the sponsorship, patronage expenses as well as the expenses with granting private scholarships according to the law, are deductible within the limits established in art. 48 of Law no 571/2003 on the Fiscal Code, as amended and further completed and within the conditions set forth in the relevant legislation;
- the entertaining expenses occasioned by offering gifts, drinks and food to the business partners, incurred for the business purpose;
- expenses representing duties paid to professional associations and mandatory professional contributions paid to the professional organizations the taxpayers are part of and due according to the law;
-expenses representing the travel allowance for the transfer in a different locality or abroad, for business purpose, are deductible, respectively within the limit of the legal level established for the public institutions multiplied by 2.5;
- social expenses within the limit of an amount established through the application of a ratio up to 2% on the wages fund annually obtained and granted to own employees or to other persons as provided in the labour contract, as: funeral aid, aids for losses incurred within own households as a result of natural disasters, allowance for severe or incurable illnesses, including prosthesis, allowances for birth, day nurseries granted by the employer in accordance with the legislation in force, gifts for minor children of the employees, gifts offered to the employees, the counter-value of the transportation to and from the place of work of the employee, the cost of treatment and rest services, including the transportation, for own employees and members of their families. The gifts offered by the employers in the benefit of the employees' minor children on Easter, June 1, Christmas and similar holydays of other religious cults, as well as the gifts offered to the employees on March 8, are deductible if the counter-value of the gift offered to each person, on any occasion of the above mentioned ones, does not exceed the amount of 150 lei.
The limit of the equivalent in Euro of the contributions to the facultative pensions fund and voluntary health premium provided in art. 48 par. (5) let. g) and h) of Law no 571/2003 on the Fiscal Code, as amended and further completed, shall be transformed in lei at the average exchange rate communicated by the National Bank of Romania.
40. The incomes obtained from the fructification in consignment regime or direct sale to the economic agents and to other institutions of the goods after processing or procurement for the purpose of resale are considered incomes from independent activities. In such situation the documents attesting the origin of such goods are required as well as the operation authorization. The goods from the personal patrimony are not subject to these provisions.
40^1. The taxpayers obtaining incomes that are subject to the provisions of point 21^1 have the obligation to maintain accounting records in simple entry for the establishment of the applicable fiscal treatment.
41. All goods and rights related to the performance of an activity shall be recorded in the Register-inventory.
Fiscal Code:
Determination of annual net income from independent activities, on the basis of income norms
ART. 49
(1) Net income from an independent activity, as defined in paragraph. (2) which is carried out by the taxpayer, individually, without employees, is determined on the basis of income norms.
(2) Ministry of Finance develop rules that contain the classification of activities for which net income is determined on the basis of norms of income and specifies the rules that are used to establish these rules of income.
(3) General Directorates of the territorial public finances are required to establish and publish the annual income before January 1 of the year to be applied standards.
(4) If a taxpayer self-employed for periods of less than a calendar year, the norm of income related to that work is corrected so as to reflect the calendar year in which it was carried out this activity.
(5) If a taxpayer conducts two or more designated activities, net income from these activities is determined on the basis of the highest standards of income for those activities.
(6) If a taxpayer engaged in those referred to in paragraph. (1) and another activity that is not referred to in par. (1), the net income from activities carried out by independent taxpayer is determined on the basis of accounting in the game simple, according to art. 48.
(7) If a taxpayer carries out the activity of transporting persons and goods under a taxi regime and also carries out another independent activity, then the net income from the independent activities carried out by the taxpayer is to be determined based on data from the simple entry accounting system, according to art. 48. In this case, the net income from these activities may not be lower than net income determined on the basis of the standard income for the transport of persons and goods in the taxi.
(8) Taxpayers who carry out activities for which the net income is determined based on income norms are not required to organize and maintain accounting records in simple entry for such activity.
Methodological Norms:
42. For the purpose of art. 49 of the Fiscal Code, for the natural authorized persons obtaining incomes from independent activities and carry out activities included in the classification of the activities established through the Order of the Minister of Public Finances, individually, with no employees, the net income shall be determined based on annual income norms. When establishing the annual income norms by the general directorates of the territorial public finances, the regional councils/General Council of the Bucharest Municipality, as the case may be, shall be consulted. As well, the seasonal character of certain activities shall be taken into account and the duration of the legal rest leave.
For the taxpayers carrying out more activities among which the taximeter activity, the taxation shall be made in real system. In such case the net income from the taximeter activity taken into account cannot be lower than the income norm, established for this activity.
The persons carrying out the taximeter activity with their own cars are subject to taxation under the same conditions as the ones carrying out their activity independently, based on income norms or in real system.
43. When determining the coefficients for the correction of the income norms, the following criteria shall be considered:
- commercial space and clients;
- the age of the taxpayers;
- the time affected for carrying out the activity, except for the cases provided at pt. 44 and 45;
- the handicap or disability status of the taxpayer;
- the activity is carried out on area owned by the taxpayer or rented;
- the works execution, services supply and obtaining the products with own material or with the client's material;
- the use of machinery, devices and tools, manually driven or based on motive power;
- other specific criteria.
The diminishing of the income norms as a result of fulfilling the age criteria by the taxpayer shall be operated starting with the year following the year when the taxpayer reached the age allowing him/her to have the norm reduced. The correction of the income norms for the taxpayers that are also employees or lose that capacity shall be performed starting with the month following the conclusion/termination of the individual labour contract.
44. The net incomes obtained from independent activities, established based on annual income norms, shall be reduced proportional to:
- the period from the beginning of the year and until the moment of the authorization of the year the activity was set up;
- the period that remained by the end of the fiscal year, in case of cease of the activity, upon the taxpayer's request.
45. For temporary interruptions of the activity during a year, due to accidents, hospitalizations or other objective cases, including the force majeure, attested by supporting documents, the income norms shall be reduced proportional to the period during which the activity was interrupted, upon the taxpayers' request. In case of ceasing the activity during the year, respectively in case of temporary interruption of the activity, the authorized natural persons and the associations with no legal personality have the obligation to submit the operation authorization and to send a written notification, in a 5-day delay, the fiscal bodies in the area where they carry out their activity. For this purpose, the copy of the proof that the authorization was submitted shall be enclosed.
46. For the taxpayers taxed based on the income norms, carrying out their activity a part of the year, as provided at pt. 44 and 45, the net income relating to period they carried out their activity by reporting the annual income norm to 365 days, the result being multiplied by the number of days of activity.
For this purpose, the fiscal body shall draft a new ascertaining report thats shall include data and information on:
- the situation that generated the correction of the income norm, such as: the beginning/the end of the activity, the temporary interruption in accordance with pt. 45, and such others;
- the period during which no activity was carried out;
- the supporting documents submitted by the taxpayer;
- the recalculation of the norm, in accordance with the present point.
47. For the taxpayer choosing to be taxed based on income norm and that was previously taxed in real system, that still has investments to be depreciated, the depreciation value shall not diminish the income norm. The incomes obtained from the fructification of the respective investments or their registration in the personal patrimony during the period when the activity was carried out or in case of cease of the activity, shall increase the income norm proportional to the depreciated value during the period of taxation in real system.
48. In case the taxpayer taxed based in income norm that during the previous period was taxed in real system and made investments that were integrally depreciated, the incomes from the fructification or the registration of such investments in the personal patrimony as a result of ceasing the activity shall increase the income norm.
49. The taxpayers who during the fiscal year no longer meet the conditions for taxation based on the income norm shall be taxed in real system starting with the respective date and the annual net income shall be determined by adding the fraction of the income norm relating to the taxation period based on income norm to the net income resulted from the accounting books.
Fiscal Code:
Determination of annual net income from intellectual property rights
ART. 50
(1) Net income from intellectual property rights is determined by subtracting from gross income the following charges:
a) a deductible expense equal to 40% of the gross income;
b) social security contributions paid.
(2) In the case of the incomes from the creation of monumental works of art, the net income is established by deduction from gross income the following expenses:
a) a deductible expense equal to 50% of the gross income;
b) social security contributions paid.
(3) If exploitation by successors of intellectual property rights, and if remuneration is entitled to receive royalties and compensatory remuneration for private copying, net income is determined by subtracting from gross income amounts to return the bodies collecting or other payers such income, according to the law, without applying standard rate of expense referred to in par. (1) and (2).
Methodological Norms:
50. Within the following case the net income obtained from intellectual property rights shall be determined as the difference between the gross income and the commission due to the collective control bodies or to other payers that, in accordance with the law, have collective or income distributions attributions, among the rights holders:
- incomes from intellectual property rights transferred by succession;
- incomes from the exercise of the right of succession;
- incomes representing the compensatory remuneration for the private copy.
51. *** Abrogated
52. *** Abrogated
Fiscal Code:
(4) To determine the net income from intellectual property rights, taxpayers shall only fill part of the journal of receipts and payments relating to such income. This regulation is optional for those who consider that they can meet directly their declarative obligations on the basis of documents issued liable to pay income. These taxpayers are required to document and preserve the documents at least within the limitation period provided by law.
Methodological Norms:
53. The gross income from the intellectual property rights include both the amounts collected during the year and the withholdings in the account of the advance payments as income tax and the mandatory contributions withheld by the income payers.
In case the establishment of the net income from intellectual property rights is made based on standard expenses rate, the registration of the expenses relating to the income, in the accounting books is not mandatory.
54. The standard expenses include the commissions and other amounts that the collective control bodies or other income payers are entitled to as payment for the control of the right holders.
55. The following are considered monumental art works:
- decoration works, such as mural of spaces and large buildings, interior-exterior;
- art works performed in public spaces such as: ceramic, metal, wood, stone, marble and such others;
- works of sculpture of large dimension, monumental design, public spaces arrangements;
- restoration works.
56. The incomes from the intellectual property rights obtained abroad shall be subject to the rules applicable to the incomes from abroad, regardless whether they are collected directly from the holders or through the entities responsible for the control of the intellectual property right, in accordance with the law.
57. The standard expenses ratio shall not be granted in case the natural persons use the material basis of the beneficiary for such intellectual property rights.
Fiscal Code:
The option to determine annual net income using the data from accounting simple game
ART. 51
(1) Taxpayers who obtain incomes from independent activities that are taxed based on income norms, as well as those who obtain incomes from intellectual property rights, may elect to determine the net income under the real system, as provided in art. 48.
(2) The option to determine net income based on data from the simple entry accounting system is compulsory for the taxpayer for a period of 2 consecutive fiscal years and is considered as renewed for a new period unless an application of renunciation is submitted by the taxpayer.
(3) The application of choice for determining net income in real system is submitted to the competent tax until January 31, including, for taxpayers who have conducted business in the previous year, respectively within 15 days of starting work, where taxpayers starting work during the fiscal year.
Methodological Norms:
58. The option to determine the net income in real system is as follows:
a) in case of taxpayers provided in art. 49 par. (1) of the Fiscal Code that carried out activities during the previous year and were taxed based on income norms, by submitting until January 31 of the fiscal year, the application of the option of taxation in real system as well as the estimated income declaration;
b) in case of taxpayers provided in art. 49 par. (1) of the Fiscal Code, that begin their activity during the fiscal year, by submitting the application in a 15-day delay since the beginning of the activity the estimated income declaration, accompanied by the application for the option of taxation in real system.
59. The taxpayers taxed in real system have the right to renounce to such option based on an application submitted until January 31 of the fiscal year.
60. The application submitted, including the option for the real system as well as the request to renounce to the option shall be considered approved de iure by submitting and registration it to the fiscal body.
Fiscal Code:
Withholding of tax at source representing anticipatory payments for some incomes from independent activities
ART. 52
(1) The payers of the following incomes are required to compute, withhold and transfer by withholding at source the tax, representing anticipatory payments from paid incomes:
a) incomes from intellectual property rights;
b) incomes from the sale of goods under consignment;
c) incomes from activities under the contracts staff, commission or commercial mandate;
d) incomes from activities under the contracts/civil conventions concluded under Civil Code, other than those provided in art. 78 par. (1) letter e);
e) incomes from the activity of accounting and technical, judicial and extrajudicial expertise;
f) income obtain by a natural person from an association with a legal taxpayer, according to Title IV, which is not a legal person.
(2) Tax to be held shall be as follows:
a) in the case of the incomes described in par. (1) let. a) - e), by applying a tax rate of 10% of gross income;
b) in the case of the incomes provided in par. (1) let. f), by applying the tax rate set for the tax on the incomes of micro-enterprises to incomes return of the natural person from the association;
(3) Tax to be withheld turns to the state budget until 25 including the month following that has been paid income, except for income tax referred to in par. (1) let. f), for which the deadline for transfer is covered under Title IV.
Methodological Norms:
61. The payers of incomes from intellectual property rights have the obligation to calculate and withhold during the fiscal year 10% of the gross income obtained by the intellectual property right holders as a result of the exploitation of such rights. This amount represents the advance payment in the account of the annual tax due by the taxpayer.
62. The payers of incomes from the intellectual property rights who have the obligation to calculate and withhold the anticipated tax, are, as the case may be:
- users of works, inventions, know-how and such others, in case the rights holders exercise they intellectual property rights personally. and the contractual relation between the intellectual property rights holder and the said user is direct;
- the collective control bodies or other entities that, in accordance with the legal provisions, must control the intellectual property rights whose control is assigned to them by the holders. The producers and agents mandated by the rights holders, through the intermediary of whom the rights are collected and distributed, also enter this category.
63. In case the amounts representing incomes from the exploitation of the intellectual property rights are collected by more collective control bodies or by other such entities, the body or the entity making the payment to the intellectual property rights holder has the obligation to calculate and withhold the anticipated tax.
64. In case of taxpayers whose advance payments are calculated in accordance with the provisions of art. 52 par. (1) let. b) - e) of the Fiscal Code for incomes of such nature and which obtain incomes from independent activities and in other conditions, for the last one, they have the obligation to register in the accounting books separately and to make during the year trimestrial advance payments, in accordance with the provisions of art. 82 of the Fiscal Code.
64^1. The taxpayers obtaining incomes from independent activities for which the annual net income is established in real system and for which the payers of incomes have the obligation to source-withhold the tax representing advance payments in accordance with the provisions of art. 52 of Law no 571/2003 on the Fiscal Code, as amended and further completed, shall determine the annual net income based in the accounting in simple entry.
65. The anticipated tax shall be calculated and withheld when paying the amounts to the income beneficiary.
66. The tax withheld shall be transferred to the state budget until the 25 of the month following that month of payment and withholding of tax.
66^1. The natural person that obtain incomes from activities carried out based on civil contracts/conventions, concluded in accordance with the Civil Code have the right to opt for the taxation of the gross income with the 16% ration, the tax being final, in accordance with art. 78 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
Fiscal Code:
CHAPTER 3
Incomes from salaries
Definition of the incomes from salaries
ART. 55
(1) Incomes from salaries are all incomes in money and/or in kind obtained by a natural person who carries out an activity based on an individual labour contract or a special statute as provided by law, irrespective of the period to which it refers, the denomination of incomes or the manner they are granted, including allowances for temporary work incapacity.
(2) For the taxation, are assimilated to salaries:
a) allowances of activities as a result of positions of public dignity, as established by law;
b) allowances of activities as a result of elected positions in the legal persons without lucrative purpose;
c) the monthly pay, allowances, bonuses, awards, increases and other rights of military personnel, according to law;
d) gross monthly allowance and the amount of net profit, due to company managers/national companies, companies in which the state or the authority of local public administration is the majority shareholder, and the administration;
e) amounts received by the founding members of companies established by public subscription;
f) amounts received by members of the general board of shareholders, members of the board of directors and members of the audit commission;
g) amounts received by representatives of the tripartite bodies, according to the law;
h) monthly allowance of the sole, at the value contained in the declaration of social security;
i) amounts granted by legal persons without patrimonial purpose and other entities that are not payers of the profit tax, over the limit of 2.5 times the legal level established for allowances received for the period of delegation or temporary assignments in another locality, in the country or abroad, for job purposes, for employees of public institutions;
j) allowance of administrators, as well as the amount of net profit due to company managers of the trading companies, according to the articles of incorporation or set by the general meeting of shareholders;
k) any other amounts or benefits such as pay salaries or cash equivalents.
Methodological Norms:
67. The salary incomes, provided in art. 55 of the Fiscal Code, hereinafter called incomes from salaries, are incomes from independent activities if the following criteria are met:
- the parties that enter the work relation, hereinafter called employer and employee, establish from the beginning: the type of activity, the working schedule and the place of carrying out the activity;
- the part that uses the labour force put at the disposal of the other party the working means, such as: proper equipped spaces, special clothing, working tools and such others;
- the person carrying out the activity contributes only with the physical performance and the intellectual capacity, not also with own capital;
- the one who pays salary incomes bears the travel expenses in the employee's business interest, such as the travel allowance within the country and aboard and other such expenses as well as the allowance for rest leave and the allowance for temporary loss of working capacity, they all shall be incurred by the employer, in accordance with the legal provisions;
- the person acting under the authority of a different persons has also the obligation to observe the conditions imposed by the latter one, according to the law.
68. The incomes from salaries or assimilated to salaries include all the amounts collected as a result of a contractual labour relation, as well as any salary-related amounts received based on special laws, regardless of the period the refer to, and that are obtained from:
a) amounts received for the work performed as a result of the individual labour contract, the collective labour contract as well as based on the assignment document:
- basic salaries;
- increases and additions of any kind;
- allowances for the temporary switch of jobs, for the reduction of working hours, for quarantine, as well as any other kind of allowances, others than the ones mentioned at pt. 3, of the same nature;
- rewards and awards of any kind;
- the amounts representing the annual prize and the incentives granted in accordance with the law to the personnel in the public institutions representing incentives granted to the economic agents employees;
- the amounts received for the rest leave, except from the amounts received by the employee as compensation, representing the counter-value of the expenses of the employee and of the latter one's family in order to return to the place of work, as well as the possible damages incurred by this one as a result of the interruption of the rest leave;
- amounts received in case of temporary loss of working capacity;
- any other benefits in cash or in kind, received from employers by the employees as payment of their work;
b) allowances, and any other rights granted to persons under the authority of the public bodies elected or appointed in the position, according to the law, as well as others assimilated bodies within the public authority, established according to the system for determining the allowances for persons on positions of public dignity;
c) the rights of military personnel in activity and of the military employed based on contract, representing the monthly remuneration composed of the remuneration based on the military degree, the remuneration according to the position, degrees and allowances as well as premium and other rights established in accordance with the law;
d) the rights of the administrators based on the administration contract concluded with the national companies/enterprises, trading companies to which the state or a local public authority is a major shareholder as well as the city authorities, established in accordance with the law, such as: the gross monthly allowance, the amount due by the participation to the net income of the company;
e) the amounts paid to founding members of a trading company established by public subscription in accordance with the share of participation to the net income, established by the constituent members, according to the legislation in force;
f) amounts received by the representatives appointed by the general meeting of the shareholders and the amounts received by members of the board of directors and of the censors' commission, established in accordance with the legal provisions;
g) amounts received by the representatives of the tripartite bodies, according to the law;
h) allowances, premium and such other amount granted to the chosen members of certain entities, such as: trade union organizations, owners associations, non-government organizations, associations of owners/tenants and such others;
i) allowances granted as a result of participation in commissions, committees, councils and such others, established in accordance with the law;
j) the incomes obtained by the sentenced persons that execute the punishment at the place of work;
k) the amounts paid to the sportsmen as a result of the participation to the sports competitions as well as the amounts paid to sportsmen, coaches, technicians and other specialists in the field for the results obtained at the sports competitions by the sports structures that they have a labour contract with, regardless of the forms such amounts are paid in, including the participation premium, in accordance with the provisions of art. 42 let. t) of the Fiscal Code;
l) individual cash allowances granted to persons dismissed by collective dismissals, from the salaries fund, according to the provisions of the labour contract;
m) allowances or other rights granted to the employees on the occasion of their employment or transfer in a different location, established in accordance with the labour contracts, statutes or other legal disposition, except for the ones provided in art. 55 par. (4) let. h) and i) of the Fiscal Code;
n) allowance of the administrators as well as the amount from the net income, other than the one qualified as dividend, due to the administrators of the trading companies, in accordance with the articles of incorporation or established by the general meeting of the shareholders;
n^1) monthly allowances paid, in accordance with the law, by the employer, during the non-competition period, established in accordance with the individual labour contract;
n^2) allowanced provided in the labour contract, paid by the employer during the period of suspension of the labour contract as a result of the participation to courses or professional training stages which implies the complete removal from the activity, according to the law.
n^3) gross monthly allowances and other salaries benefits granted to the holders, correspondents and members of honour of the Romanian Academy.
o) other rights or benefits such as salary or benefits assimilated to salaries.
Fiscal Code:
(3) Benefits, with the exception of those provided in par. (4), received in connection with a dependent activity include, but are not limited to, the following:
a) the use of any good, including a vehicle of any type, from the business patrimony, for personal purposes, with the exception of transport along the two-way distance from the domicile to the work place;
b) accommodation, food, clothing, household staff to work as well as other goods or services provided free or at a lower price than the market price;
c) non-reimbursable credits;
d) the cancellation of a receivable of the employer to the employee;
e) subscriptions and the cost of telephone conversations, including phone cards, personal purposes;
f) allows travel on any means of transport used for personal purposes;
g) insurance premiums paid by employees incurred for own or another beneficiary of income from wages, the payment of the first question, other than mandatory.
Methodological Norms:
69. The advantages in cash and in kind are considered any benefits received by any employee benefits from third parties or as a result of the provisions of the individual labour contract or of a contractual relationship between the parties, as the case may be.
70. When determining the taxable income the benefits received by the natural persons, shall also be taken into account, such as:
a) the use of vehicles of any type from the business patrimony, for personal purpose;
b) provision of food, clothing, timber, firewood, coal, electricity, heat and such others;
c) subscriptions for radio and television, transportation, subscriptions and the cost of telephone conversations, including phone cards;
d) permits to travel on different means of transport;
e) the gifts received on different occasion, except for those mentioned in art. 55 par. (4) let. a) of the Fiscal Code;
f) the counter-value of the use of the office for personal purposes and the counter-value of the maintenance expenses such as the water, electricity, thermal energy consumption and such others, except for those expressly provided in art. 55 par. (4) let. c) of the Fiscal Code;
g) accommodation provided in hotel type own units;
h) the counter-value of the insurance premium incurred by the legal person or by another entity, for their own employees, as well as for other beneficiaries, except for the insurance premium mandatory in accordance with the legislation in the field.
The fiscal treatment of the benefit representing the counter-value of the insurance premium is the following:
- for the beneficiaries who obtain salary incomes and incomes assimilated to salaries from the insurance premium bear, they are taxed through accumulation of the such incomes of the month the insurance premium are paid on;
- for other beneficiaries that do not have a relation generating salary incomes or incomes assimilated to salaries with the insurance premium bearer, such benefits are taxed in accordance with the provisions of art. 78 of the Fiscal Code.
71. The benefits in cash may be the amounts received for obtaining goods and services and amounts granted for entertainment and rest.
72. The benefits in cash and the equivalent in lei of the benefits in kind are taxable, regardless of the organizational form of the entity that granted them.
73.Except for the incomes that are expressly mentioned as non taxable, within the limits and conditions provided in art. 55 par. (4) of the Fiscal Code.
74. The incomes in kind as well as the benefits in kind received free of charge are assessed at the market price at the place and on the date such benefit is granted. The benefits received with partial payment are assessed as the difference between the market price at the place and on the date the benefit and the amount representing the partial payment, are granted.
75. The assessment of the benefits in kind granted for the personal use of the goods of the business patrimony is done as follows:
a) the assessment if the use free of charge of the vehicle is done by applying a percent of 1.7% for each month, to the input value of the vehicle. In case the vehicle is rented from a third party, the benefit is assessed based on the rent;
b) the assessment of the used free of charge of the dwelling received is made based on the rental price for locative surface held by the State. The ancillary benefits, such as: water gas, electricity, maintenance and repair expenses and such others, are assessed based in their real value;
c) the assessment of use free of charge of other goods than the vehicle and the dwelling is made based on the total amount of the expenses relating to each good on the specific measure unit or based on the prices practiced for third parties.
76. The assessment of use for person purposes the goods in the business patrimony with mixed use, shall be carried out as follows:
a) for the vehicles, the assessment shall be done in accordance with pt. 75 let. a), and the benefit is determined proportionally to the number of kilometres driven for personal purposes from the total number of kilometres;
b) for other goods the assessment is carried out in accordance with the provisions at pt. 75 and the benefit shall be determined proportionally to the number of square meters used for personal purposes or to the number of hours used for personal purposes.
77. The following are not considered benefits:
- the counter-value of the subscriptions for the means of common transportations for its employees whose activity implies frequent travelling within the locality;
- reductions in the prices for sale, which clients - natural persons may benefit of;
- the cost of telephone subscriptions and phone conversation, as well as the cost for the use of the job vehicle used so as to fulfil the job tasks.
- the differences in tariffs for accommodation within the dwellings representing rest and sports arrangements from the endowment of the ministries the own personnel benefits of, in accordance with law;
- the contributions to facultative pension funds incurred by the employer for own employees, within the limit of 200 euro annually per participant.
78. The employer establishes the part corresponding to the phone conversations representing the use for personal purposes, representing the taxable benefit, in accordance with the provisions of art. 55 par. (3) of the Fiscal Code and shall be taxed through the accumulation of the salary incomes of the month when the employee receives such benefit. For this purpose the employer established the limit of the phone conversations relating to the job tasks for each telephone set, following that what exceeds such limit to be considered benefit in kind, if the employee concerned didn't incur the respective phone conversations cost.
79. When assessing the benefit of using for personal purposes the vehicle in the employer's business patrimony with mixed use, put at the disposal of an employee, the distance from the dwelling to the place of work shall not be considered and neither the expenses for the fulfilment of the job tasks.
Fiscal Code:
(4) The following amounts are not included in income and wages are not taxable, meaning the income tax:
a) funeral aid, aid for losses produced in their own households as a result of natural disasters, aid for serious and incurable diseases, aid delivery, representing revenues gifts for children of employees, gifts offered employee-ladies, the transport to and from the place employment of the employee, the cost of benefits for treatment and rest, including transport for their employees and members of their families, provided by the employer for its own employees or other persons, as stipulated in the employment contract.
Gifts granted by employers for the benefit of minor children of employees on the occasion of Easter, June 1st, Christmas and similar holidays of other religious cults, as well as gifts granted to female employees on the occasion of March 8th, are not taxable to the extent that the value of the gifts granted with respect to each person for any of the above occasions does not exceed lei 1,500,000.
Incomes of the nature of those provided above realized by natural persons are not included in salary incomes and are not taxable incomes if these incomes are received on the basis of a special law and are financed from the budget;
Methodological Norms:
80. The funeral aids are non-taxable incomes both in case of the employee and in case of other persons, according to the clauses in the labour contracts or to the provisions of the special laws.
81. The limit set for gifts offered by employers to the minor children of employees during Easter, the day of June 1, Christmas and similar holidays of other religious cults, as well as for the gifts offered employees on March 8 shall apply both to the gifts consisting of goods and to the gifts consisting of cash, in case of all labour force employers.
Fiscal Code:
b) meal tickets and rights to food granted by employers to employees, in accordance with legislation in force;
Methodological Norms:
82. In this category are included:
- individual food allowance granted as food tickets, received by employees and entirely covered by the employer, according to the law;
- daily food allowances for high performance in sports, internal and international, differentiated by class of shares;
- the counter-value of meals, foods or the cash amounts granted to athletes to ensure food required by the effort necessary during the training sessions;
- the rights to food in times of peace, received by the personnel in the national defence, public order and national security sectors;
- other rights of such nature in accordance with the specific normative acts, such as: daily food allowance for navigating and ancillary personnel on boats; daily allowance for food and collective consumptions from budget units and from the city authorities/trading companies with special specific; daily allowance for food granted to blood donors; food allowance for collective consumptions from public sanitary units and such others.
Fiscal Code:
c) the counter-value of the use of a job dwelling or a dwelling within the premises of the unit, according to the job allocation, assignment according to law, or the specifications of the activity by normative act specific to the scope of activity, compensation of the rent for personnel from the sector of national defence, public order and national safety, as well as the compensation of the difference of rent borne by natural persons, according to special laws;
Methodological Norms:
83. Dwellings granted as a result of the specificity of the activity refers to those dwellings granted to the employers when the daily activity is carried out in isolated places, as weather stations, stations for the control of seismic movements or in case the permanent presence for the surveillance of certain installations, equipments and such others is required.
Fiscal Code:
d) for the accommodation and rent for housing made available to public officials, the diplomatic and consular employees who work outside the country, in accordance with the law;
e) for the machinery, equipment and personal protection work, protection of food, medicines and hygienic-sanitary materials, other rights protection work, as well as mandatory uniforms and equipment rights that are granted according to the laws in force;
Methodological Norms:
84. The following are non taxable incomes:
- the counter-value of the technical equipments received by the employee as equipment, devices, tools, other such means necessary during the process of work;
- the counter-value of the individual protection equipment which each participant to the working activities is endowed with in order to be protected against the risk factors;
- the counter-value of the individual protection equipment including the means received by an employee for their use during the work in order to have his/her clothing and shoes protected;
- the counter-value of the protection food received free of charge by the natural person working in difficult and harmful conditions;
- the counter-value of the hygienic and sanitary materials received free of charge of natural persons carrying out their activity in place whose specific imposes a special personal hygiene;
- the counter-value of the medicines received by the military officers in activity, sportsmen, navigating personnel and other categories of personnel, according to the law;
- the counter-value of the equipment and relating materials such as: washing and hygiene materials, household materials, materials for repair and maintenance workshops, supplies and office supplies, received free of charge by the personnel in the national defence, public order and national security sectors, according to the law;
- such others.
Fiscal Code:
f) the counter value of travel expenses for transportation between the locality in which employees have their domicile and place the work of these, at a monthly subscription fee for situations that do not provide housing or do not support the amount of the rent, according to the law;
g) amounts received by employees to cover the costs of transport and accommodation, the allowance received during the deployment and deployment in other towns in the country and abroad, in the interest of the service. Are exempted from this provision amounts granted by legal persons without patrimonial purpose entities and other non-tax profits above the limit of 2.5 times the allowance granted to employees of public institutions;
Methodological Norms:
85. In the category of travel expenses are also included the transportation and accommodation expenses as well as the travel allowance in the country and abroad, established in accordance with law.
Fiscal Code:
h) amounts received, according to the laws, to cover the costs of moving into the service;
Methodological Norms:
86. Relocation expenses for job purposes refers to the expenses for the personal transportation of the employee and of the members of his/her family as well as the household goods on the occasion of relocating the employee in a different locality than the he/she resides in, in case, according to the law, such expenses are deducted by the employer.
Fiscal Code:
i) installation allowances that are granted only once, the classification in a unit located in a different city than the home, in the first year of operation after completion of their studies, within the limits of a basic salary employment and pensions Installation and removal granted under special laws, the staff of public institutions and those who establish residence in municipalities in areas established by law, in which they work;
Methodological Norms:
87. Are considered non-taxable income the allowances for installation and relocation received by the beneficiaries of such incomes, granted in accordance with the provisions of special laws.
Fiscal Code:
k^1) incomes from salaries obtained by the natural persons with a severe or profound disability with an individual labour contract;
Methodological Norms:
87^1. Non taxable incomes are the incomes obtained from salaries by natural person with severe and profound disabilities, with an individual labour contract, collected starting with May 1, 2005. The incomes such the ones above mentioned, relating to the period before May 1, 2005 are taxable according to the law.
Fiscal Code:
j) the compensatory payments, calculated on the basis of average net wages per unit, received by persons whose individual employment contracts were opened as a result of collective redundancies, and the amounts of compensatory payments, calculated based on average net salary in the economy, received by the civilian staff of the national defence, public safety and national reports to termination of employment or service needs as a result of the reduction and restructuring, according to law;
k) compensatory payments, computed on the basis of net monthly military pay, granted to military personnel who are placed in reserve or for which the contract is terminated as the result of reductions and restructuring, as well as allowances provided based on net monthly military pay, granted to such persons when placed in reserve or direct withdrawal, to persons with the right to pensions or to persons who do not fulfil the conditions for pensions, as well as assistance or compensatory payments received by policemen that are under similar situations, whose amount is to be determined in relation to the net monthly salary, granted as provided in legislation on such matter;
l) income from wages, as a result of the business of creating computer programs, that the work of creative computer programs are common by the Minister of Labour, Social Solidarity and Family, the Communications and Information Technology Minister and Minister of Finance public;
m) amounts or benefits received by individuals from dependent activities conducted in a foreign state, regardless of the tax treatment of the respective state. Exceptions are salary incomes paid by or on behalf of an employer that is a resident of Romania or that has a permanent location in Romania, which are subject to the globalization procedure, regardless of the period of carrying out activities abroad;
n) expenses incurred by the employer for vocational training and improving employee-related work undertaken by it for the employer;
o) the cost of telephone subscribers and telephone conversations, including phone cards, in order to perform the tasks of service;
p) benefits in the form of stock options at the right plan at the time commitment and default at the time of grant.
r) the favourable difference between the preferential interest established through negotiation and the interest on the market for deposits and loans.
(5) The benefits received in cash and in kind and charged to the employee in question are not taxed.
Personal deduction
ART. 56
(1) Natural persons under art. 40 par. (1) let. a) and par. (2) are entitled to the deduction of monthly net incomes from salaries of a amount in the form of a personal deduction, granted for each month of the taxable period only for incomes from salaries at the location of the primary job.
(2) The personal deduction is granted to natural persons with a monthly maximum gross income of lei 10,000,000, as follows:
- for the taxpayers who do not support other persons - 2,500,000 lei;
- for the taxpayers who support other person - 3,500,000 lei;
- for the taxpayers who support two persons - 4,500,000 lei;
- for the taxpayers who support three persons - 5,500,000 lei;
- for the taxpayers who support four or more persons - 6,500,000 lei.
For taxpayers who obtain monthly gross incomes from salaries between lei 10,000,001 and lei 30,000,000, the personal deductions are digressive compared to those above mentioned and are established by an order of the Minister of Public Finance.
The taxpayers with monthly gross incomes from salaries over lei 30,000,000 do no benefit of a personal deduction.
(3) The supported person may be husband/wife, children or other family members, relatives of the taxpayer or of his/her wife/husband up to the 2nd degree inclusively, with monthly incomes, taxable or non-taxable, less than 2,500,000 lei.
(4) If a person is supported by more taxpayers, the amount representing the personal deduction is granted to one taxpayer, according to the agreement between parties.
(5) Minor children, who have not attained the age of 18, of a taxpayer are considered as supported.
(6) The amount representing the personal deduction is granted to persons supported by the taxpayer, for the taxable period of fiscal year in which they were supported. Period shall be rounded up to months in favour of taxpayers.
(7) Are not considered supported persons:
a) individuals who owns agricultural land and forest with a surface of over 10,000 square meters in countryside and areas and over 20,000 square meters in mountain areas;
b) individuals who obtain income from cultivation and recovery of flowers, vegetables and market gardening in greenhouses especially for those purposes and / or irrigation system, cultivation of and recovery from shrubs, ornamental plants and mushrooms, and the operation of nurseries vines and fruit, regardless of the surface.
(8) Personal deduction arising under this article shall not be granted to personnel sent to the permanent mission abroad, according to the law.
Methodological Norms:
88. The deduction from the monthly net income of an amount as personal deduction shall be granted for each month of the taxable period only for incomes from salaries at the place where the base position is, within the limit of the obtained income.
The personal deduction is established based on the monthly gross income obtained from salaries for the basic position by the taxpayer and the number of supported persons.
89. The obligation to establish the supported persons of the working taxpayer based on which the deduction is granted fall under the responsibility of payer of income from salaries, to the basic position.
90. A person, to be supported shall cumulatively meet the following conditions:
- the existence of legal relationships between the taxpayer and the supported person;
- the supported natural person has taxable and non taxable incomes smaller or equal to 2,500,000 lei monthly.
The supported person may have or not the same residence with the taxpayer supporting him/her.
91. The following persons are considered as supported: the spouse taxpayer, the children as well as other family members until the second degree inclusively.
92. For the purpose of art. 56 par. (3) of the Fiscal Code, the category "other supported member of the family" includes the taxpayer's relatives and the relatives of the spouse until the second degree inclusively.
93. According to the relatives degree the following groups are formed:
- first degree relatives, such as: parents and children;
- second degree relatives, such as: grandparents, grandchildren and brothers/sisters.
94. The persons considered fully supported are the military recruits on therm or on reduced term, military students and pupils of civil and military educational units up to 18 years old, if the incomes obtained are smaller or equal to 2,500,000 lei monthly.
95. The persons that are not considered as fully supported are the sentence grown-ups executing sanctions preventing them to be free.
96. The minor child is deemed to be always supported, except for the children working, regardless whether they are in special sanitary or social protection units and such others, as well as in educational units if the cost for their support is incurred by such units. In such case the incomes obtained by the minor child shall not be considered for the monthly income of 2,500,000 lei.
For the minor child fully supported by his/her parents or guardian, the personal deduction shall be granted to one of the parents, respectively of the guardian, as agreed.
For the minor child from previous marriages, the right to be taken for support falls under the responsibility of the parent he/she was given to or to one of the spouses forming the new family, as agreed, regardless whether there has been an adoption with reduced effects or whether his/her parents contributed to his/her support by paying a supporting pension. The payment of a supporting pension does not give the right to take over the child's support, the parent having the obligation to make such payment.
For the minor child entrusted or given to a person or a family, the right to be taken over as a supporting person for such child shall be granted to:
- the person that the child was entrusted to or whom the child was given to;
- one of the spouses forming the family whom the child was entrusted or given to, as agreed.
For the children supported by a family, the right to be taken in support shall be granted to one of the parents, as agreed. Thus, on case a in a family there are more supported children, they shall be taken to be supported by one of the parents, as agreed between the parties. In such cases the taxpayers shall present to the payer of income either a statement on own liability from the spouse, either a certificate issued by the payer of incomes from salary, as the case may be, from which it shall result the number and the identity of the children supported by each spouse.
The right to take children under care and support shall not be granted to the following persons:
- the parents whose children are let entrusted or given to a family or person;
- parents of children entrusted to an authorized private body or to an authorized public service, in case the said parents are prevented from being parents or that have been deprived of the parental rights.
The minor child aged between 16 and 18 years, employed as provided in the Labour Code, becomes taxpayer and benefits from personal deduction, in which case the parents have no longer to right to support him/her, as the personal deduction is granted only once.
97. The verification of the classification of the incomes of such persons in amount of 2,500,000 lei monthly is made by comparing the ceiling with the gross incomes obtained by the supported natural person.
98. During the fiscal year, if the employee obtains incomes from the basis position, so as to establish its right to deduction for the persons he/she supports, the monthly income of the supported person shall be compared with the amount of 2,500,000 lei monthly, thus:
a) in case the supported person obtains monthly incomes such as pensions, allowances, benefits and such others, the monthly income of the supported person results from the total amount of all rights of such nature obtained during a month;
b) if the income is obtained from gains from gambling, prizes in various competitions, dividends, interest and such others the monthly income of the supported natural person shall be determined by dividing the income obtained to the number of months by the end of the year, including the month during which such income is obtained.
c) if the supported person obtains both monthly incomes and occasional incomes, the monthly income shall be determined by totalizing such incomes.
99. If a supported person's income exceeds 2,500,000 lei monthly, such person shall no longer be considered as supported.
According to the monthly income of the supported person, the payer of incomes from salaries shall proceed as follows:
a) in case one of the supported persons, for whom the taxpayer benefits from personal deduction, obtains during the year an income exceeding 2,500,000 lei monthly, the first one shall reconsider the level of the personal deduction corresponding to the persons that remained to be supported starting with the month following the month when the income was obtained, regardless of the date the communication was made by the employer/payer.
b) in case the taxpayer solicits the personal deduction for the supported person due to the fact that the income of such person is smaller than 2,500,000 lei monthly, the payer of incomes from salaries shall begin to grant the personal deduction reconsidered for the supported person at the same time with the payment of the monthly rights of the month when which the taxpayer submitted the supporting documents.
100. To establish the personal deduction that the taxpayer is entitled to, the latter one shall submit to the payer of incomes of salaries an own liability statement that must include the following information:
- the personal data of the taxpayer obtaining incomes from salary (last name, first name, domicile, personal numeric code);
- the personal data of each supported person (last name, first name, personal numeric code).
Regarding supported children, to such statement the taxpayer shall also enclose the certificate from the payer of incomes from salaries of the other spouse or the own liability statement showing that he/she does not benefit from personal deduction for those children.
101. The own liability statement of the supported person, except for the minor child, shall include the following information:
- the personal data of the supported person, such as: last name, first name, domicile, personal numeric code;
- the personal data of the taxpayer benefiting from the personal deduction, such as: last name, first name, domicile, personal numeric code;
- the agreement of the supported person stating the he/she agrees to be supported;
- the level and the nature of the supported person, including the mention regarding the surface of the agrarian and forestry lands as well as the affirmative or negative declaration regarding the carrying out activities such as: cultivating the land with flowers and vegetables in greenhouses, in solar and the irrigation systems, cultivation of ornamental shrubs and plants, exploitation of wines and fruit tree nurseries;
- obligation of the supported person to notify to the person contributing to his/her support any modification in the situation of the income obtained.
The own liability statements submitted so as to be granted personal deductions are not pre-established forms.
102. The taxpayer shall submit to the payer of incomes from salaries the supporting documents that may attest the supported persons, such as: marriage certificate, the children's birth certificates, the income certificate of the supported person or the own liability statement and others. The documents shall be presented in original and copy, the payer of incomes from salaried keeping the copy after verifying its compliance to the original.
103. If a modification occurs having an impact on the level represented by the personal deduction granted to the payer of incomes from salaries in a 15-calendar day delay since the date the event that generated the modification occurred, thus the employer/payer may reconsider the level of the deduction starting with month following the month the event occurred.
104. In case the supporting documents for the grating of the personal deduction are submitted after the occurrence of the event generating the modification, in the sense of the increase of its level, the employer/payer of incomes from salaries shall grant the personal deduction reconsidered at the same time with the payment of the salary right for the month the taxpayer submitted the supporting documents.
105. The personal deduction shall not be fractioned according to the number of hours in case of income obtained based on a labour contract on partial time, to the basic position.
Fiscal Code:
Determination of net annual income from salaries
ART. 57
(1) The beneficiaries of incomes from salaries due a final monthly tax, which are calculated and retained at source by the payers of incomes.
(2) Monthly tax referred to in par. (1) shall be determined as follows:
a) at the location of the primary job, by applying the rate of 16% to the computation base as difference between the net income from salaries, computed by deducting from the gross income the mandatory for a month, and the following:
- personal deduction granted for that month;
- union dues paid in that month;
- contributions to optional pension funds so that they do not exceed annually the equivalent in lei of 200 euro;
b) incomes in other cases by applying the rate of 16% to the computation base determined as difference between gross income and mandatory contributions for each place where such incomes were obtained.
(2^1) In case of incomes from salaries and/or of difference between incomes from salaries established for the previous periods, according to law, the tax is computed and withheld on the date of making the payment, in accordance with the legal regulations in force regarding the incomes that are not obtained from the primary job, and they shall be transferred before the 25th day of the month following the month for which the payment was made.
(3) The payer is required to establish the total amount of the annual tax on incomes from salaries, for each taxpayer.
(4) Taxpayers may decide upon the designation of an amount of up to 2% of the tax provided in par. (3), for financing the non-profit entities that are established and carry their activity in compliance with the law, of the cult units, as well as for granting private scholarships, according to law.
(5) The competent fiscal body has the obligation to compute, withhold and transfer the amount under the par. (4).
(6) The procedure for the application of the provisions of par. (4) and (5) is to be established by an order of the Minister of Public Finance.
Methodological Norms:
106. The gross monthly income from the salaries represent the total amount of the incomes obtained during a month in accordance with art. 55 par. (1) - (3) of the Fiscal Code by a natural person, for each place such incomes are obtained, regardless of their name of nature.
107. For the natural persons carrying out activities on the Romania territory the incomes from salaries in Romania are considered those amounts received from employers with headquarters or domicile in Romania as well as from employers with headquarters or the domicile abroad, regardless of the place the amounts are received from.
108. The taxpayers obtaining incomes from salaries due a monthly fiscal tax, calculated and withheld by the payer of incomes.
In order to determine the incomes from salaries the taxation ration of 16% shall be used, taken into account for the establishment of the calculation base of the tax for the basic position and the personal deduction established in accordance with art. 56 of the Fiscal Code, as the case may be.
109. The salary rights granted in kind as well as the benefits granted to the employees shall be assessed in accordance with pt.. 74 - 76 and shall be taxed for the month they were received in. The documents referring to the calculation of the counter-value and of the benefits in kind received by the employee shall be enclosed to the payroll.
110. The conversion into lei of the amounts obtained in accordance with the law, representing incomes from salaries obtained in Romania, shall be done at the exchange rate communicated by the National Bank of Romania, thus:
- if the incomes from salaries are paid during the month or in case of cease of the labour relation, the exchange rate in force during the day before the one the payment is made on; or
- in the other cases, the exchange rate in force during the last day of the month for which the payment of such rights is made on.
111. In order to calculate the monthly tax relating to the obtained income, the 16% taxation ratio shall be applied to the calculation base determined as follows:
a) for the incomes obtained at the place of the basic position, as the difference between the net income obtained from salaries, calculated by the deduction of the gross income of the mandatory contributions of a month and the following:
- personal deduction granted for that month;
- union dues paid in that month;
- contributions to optional pension funds so that they do not exceed annually the equivalent in lei of 200 euro;
The conversion of the contributions withheld for the facultative pension funds from lei into Euro, for the verification of the classification in the annual ceiling, shall be done based on the exchange rate communicated by the National Bank of Romania in force in the last the of the month for with the salary rights are paid for.
The payer of income from salaries cumulated the amounts in Euro representing the contributions withheld for the facultative pension funds and verifies their classification in the deductible ceiling provided by the law;
b) the incomes obtained in the other cases, as the difference between the gross income and the mandatory contributions to each place concerned.
Such rule applies also for the incomes obtained as:
- monthly allowance of the sole shareholder;
- salary rights granted by the employer to the natural person after ceasing the labour relation;
- salaries or salary differences based on legal judgments remained final and irrevocable.
112. In order to determine tax on the salary incomes, the place where the basic position lies refers to:
a) for natural persons employed in a single job, the last job entered in the labour book or in the specific documents, that, according to the legal regulations, are assimilated to the labour books;
b) in case of more functions, the place declared/chosen by the natural persons.
The basic position may be declared by the employee in accordance with the law and to the place of work the employee obtains his/her salary incomes from based on an individual labour contract on partial time.
113. The amount which is the holiday premium or a part of such premium shall be cumulated with the salary incomes of the month such premium is paid for.
114. The allowances related to annual leaves shall be divided for the months they cover and shall be taxed cumulatively with the incomes obtained during such months.
115. The mandatory contributions taken into account when determining the monthly income, in accordance with pt. 111 for the natural persons that obtain incomes from salaries are the one due in accordance with the legal provisions in the field, such as:
- the individual social security contribution;
- the individual contribution to social health insurance;
- the individual contribution to the budget for unemployment allowances;
- other mandatory individual contributions set by law.
116. There are admitted for the deductions the contributions to the facutltative pension funds, thus their amount shall not exceed the equivalent in lei of 20 euro for each participant at the end of the year.
117. There shall not be admitted for the deduction when calculating the monthly income obtained from salaries, the voluntary health insurance premium.
117^1. The taxpayers may decide upon the designation of an amount of up to 2% of the tax provided in par. (3), for financing the non-profit entities that are established and carry their activity in compliance with the law, of the cult units, as well as for granting private scholarships, according to law.
Among the non-profit organization are included for example: the associations, foundations, trade union organizations, owners associations, political parties, patronages, mutual assistance houses of employees if, in accordance with the own law regarding the incorporation and operation, they carry our non-profit activities and the amounts received from taxes are used for such purposes.
Fiscal Code:
Deadline for payment of tax
ART. 58
Payers of salaries and incomes assimilated to salaries are required to compute and withhold the tax related to the income of each month, on the date of payment of such incomes, as well as to remit it to the state budget on or before the 25th of the month that follows the month for which such incomes are paid.
Methodological Norms:
118. The incomes in kind are considered as paid on the occasion of the last payment of the salary rights for the month concerned. The tax relating to incomes and benefits in kind shall be withheld from the salary received by the employee in cash for the same month.
119. The tax on the salary incomes shall be calculated and withheld by the employers/payers based on the payrolls.
120. The monthly tax calculation and withholding shall be done by the payers, on the occasion of the last payment of the incomes from the salaries for each month, in accordance with the provisions of art. 57 of the Fiscal Code, regardless whether the incomes from salaries are paid only once a month or as advance and liquidation.
In case during a month payments from incomes are made such as: prizes, any kind of incentives, amounts granted in accordance with the law for the rest leave not taken and such others, representing intermediate payments, the tax shall be calculated and withheld for each payment, by applying the ratio on the intermediate payments diminished by the mandatory contributions, as the case may be.
On the date of the last payment of the salary rights relating to a certain month, the tax shall be calculated in accordance with art. 57 of the Fiscal Code, on the total income for the month concerned, by cumulating the salary rights concerned with the intermediate payments.
The tax to be withheld on this date represents the difference between the tax calculated for the total incomes and the sum of the incomes withheld for the intermediate payments.
121. In case an employee obtaining incomes from the salary for the basic position relocates during a month to a different employer , the calculation of the tax is based on each source of income (place such incomes have been obtained at).
The personal deduction shall be granted only by the first employer within the limit of the incomes made during the previous month, until the date of liquidation.
If the re-employment takes place during the same month with the liquidation, when establishing the calculation base of the monthly tax relating to the incomes obtained during such month at the second employer the personal deduction shall not be taken into account.
122. The tax calculated and withheld on a monthly bases shall be transferred to the state budget until the 25 of the month following the month such incomes are paid for.
123. The mandatory contributions representing deductible expenses relating to the incomes from salaries shall be determined in accordance with the legal regulations in the field.
Fiscal Code:
Fiscal sheets
ART. 59
(1) Information referring to the computation of tax on incomes from salaries is to be included in fiscal sheets.
(2) The payer of incomes is required to complete the forms provided in par. (1), during the entire period that the payer makes payments of salaries. The payer is required to maintain the fiscal fiches for the entire period of employment and to transmit to the competent fiscal body a copy for each fiscal year, on or before the last day of the month of February of the current year for the expired fiscal year. The template and the content of these forms are to be approved by an order of Minister of Public Finance.
Methodological Norms:
124. The fiscal statements shall be filled in by the employer/payer of income and shall be submitted to the fiscal body to which the employer/payer of income is registered in the fiscal records. The employer/payer of income has the obligation to hand to the employer a copy for each year, until the last day of February of the current year for the expired fiscal year.
125. The tax statements for the employees that have be relocated to a different unit shall be filled in by the unit that concluded the labour contracts with such employees.
126. In case the payment of the salary income is made by the unit where the employees have been relocated to, the employer that relocated the employees shall notify the employer the employees are relocated to the data referring to the personal deduction that the employees are entitled to.
Based on such data the unit to which employees were relocated to shall draft the payrolls, shall calculate the monthly tax and shall submit monthly to the units such employees were relocated to the information required through the Order of the Minister of Public Finances, in order to fill in the fiscal statement.
127. Each employer/payer of salary incomes has the obligation, in accordance with the provisions of art. 57 par. (3) of the Fiscal Code, to determine the annual salary income tax for each taxpayer through the adding all the taxes relating to each month of a fiscal year, regardless of the number of months in which the taxpayer obtained salary incomes.
128. For the taxpayers provided in art. 60 of the Fiscal Code obtaining salary incomes and for which the income payer did not opt to meet the conditions regarding the calculation, withholding and transferring the tax related to such incomes, the obligation to determine the annual tax for the salary income, on the respective source, fall under the competence of the relevant fiscal body.
129. In case there are items generating the modification of the incomes from salaries and/or the taxation base relating to the incomes of a natural person for which the employer/payer made the calculation of the monthly income, the recalculation of the respective rights and the establishment of the difference of the incomes ascertained shall be carried out for the month they refer to, and the difference of taxes resulted shall increase/diminish the owed income starting with the month of the ascertainment.
In case on the date of establishing the differences in incomes by the employer/payer there are contractual relation generating salary incomes, between this one and the natural person then the following procedure shall be applied:
- the income additionally withheld shall be given back to the natural person by diminishing the respective amounts of the tax on the salary incomes, starting with the month such operations were performed in until its liquidation;
- the tax that was not withheld by the employer/taxpayer from the salary incomes starting with the month of ascertaining such incomes until their liquidation.
If the person for whom the employer/payer made the calculation of the monthly/annual tax does not longer have contractual relations generating salary incomes and the employer/payer cannot made the payment/collecting operation for the tax differences, then they shall be administrated by the relevant fiscal body.
Fiscal Code:
Payment of tax for certain salary incomes
ART. 60
(1) The provisions of this article are to apply to taxpayers who carry out their activity in Romania and who obtain incomes in the form of salaries from abroad, as well as to Romanian natural persons who obtain incomes from salaries, following their activities carried out at diplomatic missions and consular offices accredited in Romania.
(2) Any taxpayer provided in par. (1) is required to declare and pay tax to the state budget on a monthly basis on or before the 25th of the month that follows the month in which the income is realized, either directly or through a fiscal representative. The tax related to a month is to be established according to art. 57.
(3) Diplomatic missions and consular offices accredited in Romania, as well as representative offices of international bodies or representative offices of companies and foreign economic organizations, authorized as provided by law to carry out their activity in Romania, may elect for their employees, who realize taxable incomes from salaries in Romania, to fulfil the obligation as regards the computation, withholding and remittance of tax on incomes from salaries. The provisions of par. (2) are not to apply to taxpayers in cases where the above mentioned election is expressed and communicated to the competent fiscal body.
(4) A legal or natural person or any other entity for which the taxpayer carries out activity as provided in par. (1), is required to submit information to the competent fiscal body regarding the date of beginning to carry out the activities of the taxpayer and, respectively, the termination of such activity, within 15 days after such event takes place, with except when this person meets the obligation as regards the computation, withholding and remittance of tax on incomes from salaries, as provided in par. (3).
Methodological Norms:
130. Taxpayers carrying out their activity in Romania and obtaining incomes in the form of wages from abroad, which, according to this title, are taxed in Romania, and natural persons working in the Romanian diplomatic missions and consular posts accredited in Romania, where an employer does not fulfil its obligations with regard to the calculation, retention and transfer of the tax wages, are required to submit a monthly statement to the competent fiscal body.
131. The competent fiscal body is defined according to the legislation in matter.
132. The natural or legal persons that the taxpayers carry out their activity to, taxpayers provided in art. 60 par. (1) of Law no 571/2003 on the Fiscal Code, as amended and further completed, have the obligation to submit an informative declaration regarding the cease/begin of the activity of such taxpayers. The informative declaration shall be submitted to the fiscal body in the area where the natural or legal person carries out its activity. The informative declaration shall be submitted every time modification such as activity cease/set up appear in the documents attesting the labour relations, within a 15-day delay since the date when the event occurs.
Fiscal Code:
CHAPTER 4
Incomes from the grant of the use of goods
Definition of taxable incomes from the grant of the use of goods
ART. 61
Incomes from the grant of the use of goods are incomes, in money and/or in kind, resulting from the grant of the use of movable and immovable goods, obtained by the owner, the usufruct holder or other legal holder, other than incomes from independent activities.
Methodological Norms:
133. This income category includes the incomes from rentals and sub-rentals of movable and immovable goods as well as incomes from the rental of agrarian goods, from the personal patrimony.
134. The incomes from the rental and sub-rental of immovable goods are the ones obtained from the assignment of the dwelling, holiday houses, garages, land and such others, whose use is assigned based on lease / sub rental contracts, usufruct, leasing and such others, including part of them used for advertising, display and advertising.
Fiscal Code:
Determination of net income from the grant of the use of goods
ART. 62
(1) Gross income is the total amount in money and/or in the equivalent of lei of in kind incomes and is to be determined based on the rent or the rent for land as provided in the contract concluded between the parties for each fiscal year, regardless of the moment of the receipt of the rent or the rent for land. The gross income is to be increased by the value of expenses that are to be borne, according to legal provisions, by the owner, the usufruct holder or other legal holder, if such expenses are effected by the other contracting party. In the case where the land rent is expressed in kind, the evaluation in lei is to be made based on average prices of agricultural products, as established by decisions of the county councils and, respectively, the General Council of the Municipality of Bucharest, as a result of proposals received from the specialized territorial directorates of the Ministry of Agriculture, Forestry and Rural Development, decisions which must be issued before the beginning of the fiscal year. Such decisions are to be transmitted within the same deadline to the general directorates of public finance of counties and the municipality of Bucharest in order to be communicated to the subordinated fiscal units.
Methodological Norms:
135. In determining the gross income, to the amounts representing the rent or lease in cash and/or the equivalent in lei of the incomes in kind shall be added, if necessary, and the value of the expenses that fall, according to the legal provisions or contractual agreement, under the competence of the owner, the usufruct person or other legal owner, but are made by the other contracting party.
135^1. The value of the investments to the movable or immovable goods of the owner, the usufruct person or other legal owner that are subject to the assignement contracts for letting goods and which are made by the other contracting party, alo represent a gross income. Within a 30-day delay since the finalization of the investment the party making such investment has the obligation to notify the owner, usufruct person or other legal owner the value of the investment. The owner, usufruct person or other legal owner has the obligation to declare to the relevant fiscal body through the declaration regarding the income obtained relating to the fiscal year respectively the value of the investment, in order to finalized the taxation.
136. In accordance with the relevant legislation, the owner has the obligation to make expenses for the maintenance and repair of the rented dwelling as for example:
- the maintenance in good conditions of the resistance structure of the building, the construction elements on the exterior of the building such as: roof, facade, yards as well as the common space within the building, such as: staircase, lift case and such others;
- the maintenance in the good conditions of the common facilities of the building, respectively the elevator, water supply installations, sewage installations, central heating installations, electric and gas installations;
- the repair and maintenance taking security measures of the exploitation and operating of the building throughout the rental period.
137. In case the tenant incurs such expenses that fall under the responsibility of the owner and are classified in the standard expenses rate, with the diminishing accordingly of the rent, the taxation shall not be modified.
137^1. In case the rent/lease represent the equivalent in lei of a foreign currency, the annual gross income shall be determined based on the monthly rent/lease at the exchange rate of the foreign currency market communicated by the National Bank of Romania in the last day of each month, corresponding to the months from the taxation period.
Fiscal Code:
(2) The net income from the grant of the use of goods is to be established by deducting from the gross income of the expenses determined by applying the rate of 25% on the gross income.
Methodological Norms:
138. The net income shall be determined as the difference between the amounts representing the rent/lease or the equivalent in lei of the incomes in kind, provided in the contract concluded between the parties and the relating standard rate 25% representing deductible expenses relating to the income.
139. To acknowledge the deductibility of the standard expenses established, the owner does not have the obligation to present any supporting documents to the fiscal body.
The deductible expenses related to the income, established in the standard rate of 25% applied to the gross income, represent the degree of used of the rented goods and the expenses occasioned by their maintenance and repair, the incomes and taxes on the ownership due according to the law, the commission withheld by intermediates, insurance premium paid for the good assigned for use, respectively the possible incomes not obtained from lease, generated by unfavourable natural conditions, such as: hail, draught, floods, fires and such others.
Fiscal Code:
(3) By exception from provisions of par. (1) and (2), taxpayers may elect to determine the net income from the grant of the use of goods under the real system, based on data from the simple entry accounting system.
(4) The provisions regarding the election provided in art. 51 par. (2) and (3) are to apply in the case of taxpayers specified in par. (3).
[...]
CHAPTER 5
Incomes from investments
Definition of the incomes from investments
ART. 65
(1) Incomes from investments include:
a) dividends;
b) taxable incomes from interest;
c) gains from transfer of securities;
d) incomes from operations of sale-purchase of foreign currency on term, based on a contract, as well as any other similar operations.
e) incomes from the liquidation/dissolution without the liquidation of a legal person.
A security is any security, participation title in an open investment fund or any other financial instrument that is qualified as such by the National Commission of Securities, as well as social parts.
(2) Are non-taxable the following incomes from interest:
a) incomes from interest from site deposits/current accounts;
b) incomes from interest related to state securities and municipal obligations;
c) incomes in the form of granted interest from the client deposits established according to the Law no 541/2002, as subsequently amended and completed.
Methodological Norms:
140. The following are considered interest incomes:
- interests derived from bonds;
- interests obtained from deposits on term, including to deposit certificates;
- the amount received as interest for the granted loans;
- other incomes obtained from debt securities.
140^1.Within operations similar to the contracts of sale-purchase of foreign currency on term are also included the following financial derivatives transitioned on the OCT and defined as such by the legislation regulating such transactions:
- swap on the exchange rate
- swap on the interest rate
- operations on the exchange rate
- operations on the interest rate.
Fiscal Code:
Definition of the incomes from investments
ART. 65
(2) Are non-taxable the following incomes from interest:
a) incomes from interest from site deposits/current accounts;
b) incomes from interest related to state securities and municipal obligations;
c) incomes in the form of granted interest from the client deposits established according to the Law no 541/2002, as subsequently amended and completed.
Methodological Norms:
140^2. The incomes from the interests obtained starting with January 1, 2007 to the site deposits/current accounts are non taxable.
Fiscal Code:
Determination of income from investments
ART. 66
(1) Profit/loss from the transfer of securities, other than participation titles in open investment funds and social parts, is the positive/negative difference between the sale price and the purchase price for types of securities, diminished, as the case may be, by the costs related to the transaction. In the case of transactions with shares received by natural persons for free, as part of the Mass Privatization Program, the purchase price for the first transaction is to be treated as equal to the nominal value of such shares. In the case of transactions with shares that were purchased at a preferential price within the stock option plan system, the gain is to be determined as the difference between the sale price and the preferential purchase price, diminished by the costs related to the transaction.
(2) In the case of the transfer of the right of ownership to participation titles in open investment funds, the gain is determined as the positive difference between the redemption price and the purchase/subscription price. The redemption price is the price that the investor is entitled to upon withdrawal from the fund. The purchase/subscription price is the price paid by the investor natural person for the acquisition of the participation title.
Methodological Norms:
140^3. The price of purchase of a security, other than the title of participation to open investment funds is the price determined and showed by the intermediate for the respective title, held by a client, on each symbol, to which the related costs are added, in accordance with the Methodological Norms approved by the joint Order of the Minister of Public Finances and the National Securities Commission in accordance with art. 67 par. (8) of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed. The purchase price for determining the tax on the profit obtained from the transfer of the securities shall be established by applying the weighted average price method.
The order of selling the securities, reported to the withholdings on the symbol, shall be registered chronologically, based on the date of their acquisition from the oldest withholdings till the newest one.
141. The repurchase price is the price the investor is entitled to when withdrawing from the fund and is composed of the unit value of net assets of the day before the day of filling the request for repurchase, from where the repurchase commission shall be subtracted.
142. The purchase/subscription price is the price paid by the investor, natural person and is composed of the unit value of net assets, to which the purchase commission is added, if the case may be.
Fiscal Code:
(3) In the case of the transfer of the right of ownership to social parts, the gain from the disposal of social parts is determined as the positive difference between the sale price and the par value/purchase price. Beginning with the second transaction, the par value is to be replaced by the purchase price, which also includes expense of commissions, fees related to the transaction and other similar expenses that are justified with documents.
(4) The determination of profit as provided by par. (1) - (3) is to be made on the date of the conclusion of the transaction, based on the contract concluded between the parties.
(5) Incomes obtained in the form of gains from sale-purchase operations of foreign currency on term, based on a contract, as well as from any other operations of this type, are the favourable differences of the rate of exchange that result from such operations at the moment when the operation is concluded and recorded in the account of the client.
Methodological Norms:
143. In the case of incomes obtained as a result of holding titles of participation in closed investment funds, the obligation of calculation, withholding and transferring the income tax as dividends fall under the responsibility of:
- investment companies, if they did not conclude an administration contract;
- administration companies, if the investment company did not conclude an administration contract with the administration company.
Fiscal Code:
Determination of income from investments
ART. 66
(7) Incomes obtained in the form of gains from sale-purchase operations of foreign currency on term, based on a contract, as well as from any other operations of this type, are the favourable differences of the rate of exchange that result from such operations at the moment when the operation is concluded and recorded in the account of the customer. The annual net profit is determined as difference between the profits and the losses during the respective year from such operations. The annual net profit is computed based on the income declaration, submitted according to the provisions of the art. 83. In case of transactions during the fiscal year each intermediary or income payer, as the case may be, has the following obligations:
a) to compute the annual profit/loss from the transactions made during the respective year for each taxpayer;
b) to communicate the information regarding the annual profit/loss, as well as the tax computed and withheld as anticipatory payment, in writing to the taxpayer before February 28 of the year following that for which this computing is made.
(8) The taxable income from the liquidation or the dissolution of a legal person is the excess of the distributions in money or in kind which exceed the share capital contribution of the beneficiary legal person.
Methodological Norms:
143^1. In case of forward contracts on the exchange rate (contracts for sale-purchase of currency), the taxation basis is represented by the favourable difference between the forward exchange rate to which the transaction is completed and the spot/forward exchange rate to which the transaction is completed on the market at the maturity date by a contrary operation multiplied by the amount of the contract and reflected in the account of the client upon the completion of the transaction.
In case of swap on the exchange rate, the taxation base is represented by the favourable difference of exchange rate between the spot exchange rate and the forward one used in a transaction, multiplied by the notional amount of the contract obtained from these operations at the operation completion and reflecting in the client account.
In case of swap on interest rate, the taxation base is represented by the interest favourable difference between the fixed interest rate and the variable interest rate established in the contract, multiplied by the notional amount of the contract obtained from these operations at the operation completion and reflected in the client account.
In case of exchange rate option the taxation base is represented by the favourable exchange rate difference between the purchase/sale exchange rate and the exchange rate for which the contrary operation - sale or purchase - is completed on the market, multiplied by the contract amount obtained from these operations upon the option exercising and reflected in the client account.
In case of interest rate option, the taxation base is represented by the favourable difference between the variable interest cashed and the fixed interest established in the contract, obtained upon the option exercise and reflected in the client account.
143^2. In case of dissolution without liquidation of a legal person on the universal transfer of the company patrimony to the sole associate, the real estates contained in the financial statements shall be evaluated to their fair value, respectively, to the market price.
The taxation base in case of dissolution without liquidation of a legal person shall be assessed as follows:
a) determination of the amount representing the difference between the value of the asset items and the amount of the liabilities of the company;
b) determination of the exceeding amount established in point a) due contribution to the share capital of the beneficiary natural person..
NOTE:
The amendment made by art. I let. C (Title III - Income tax) point 4 from the Government Decision no 1579/2007 is not included in the updated text because it could not be interpreted. We reproduce below these provisions.
"4. At point 143^2, paragraph (8) it shall be abrogated."
Fiscal Code:
Withholding of tax from incomes from investments
ART. 67
(1) Incomes in the form of dividends, including amounts received as a result of holding participation titles in closed investment funds, are to be taxed with a rate of 16% of the amount of such incomes. Legal persons are required to compute and to withhold tax on incomes in the form of dividends at the same time as the payment of such dividends to shareholders or partners. The deadline for the remittance of the tax is on or before the 25th day of the month that follows the month in which the payment is made. In the case of distributed dividends that were not paid to shareholders or associates by the end of the year during which the annual financial statements have been approved, the tax on dividends is to be paid on or before December 31 of such year.
Methodological Norms:
144. The tax on incomes under the form of dividends, including on the amounts received following the ownership on shares in closed-end investment funds, distributed starting with the fiscal year 2006, shall be computed and retained by applying the quote of 16% to the total amount of thereof.
Fiscal Code:
[...]
(2) Incomes under the form of interests for: term deposits established, saving instruments appropriated, civil contracts concluded, shall be taxed starting with January 1, 2007 by a quote of 16% of their total amount. For incomes in the form of interest, the tax is to be computed and withheld by the payers of such incomes, at the moment of recording in the current account or deposit account of the titular, respectively the moment of redemption, in the case of certain saving instruments. In situations where the amount received in the form of interest for loans is granted based on civil contracts, the computation of tax payable is to be made at the moment of the payment of interest. The remittance of tax for incomes from interest is to be made monthly, until the 25th day of the month inclusively that follows the recording/redemption in the case of saving instruments, respectively, at the moment of the payment of interest for incomes of such nature based on civil contracts. For the established term deposits, appropriated saving instruments, deposits at sight/current accounts established priory to the date of January 1, 2007 but whose maturity terms are starting with January 1, 2007, in order to assess the tax on incomes from interests shall be applied the tax quote starting with the date of their establishment.
Methodological Norms:
144^1. Incomes not taxable generated by legal relations concluded priory to the date of January 1, 2007, shall remain not taxable until the date of the relevant relations cessation.
Renewal of the saving deposits/instruments shall generate a new deposit/the purchase of a new saving instrument.
Fiscal Code:
(3) The computation, withholding, and remittance of the tax on incomes from investments, other than those provided in par. (1) and (2) are to be performed as follows:
a) the gain generated by the transfer of the securities other than the shares and securities in case of closed companies, shall be taxed using a tax quote of 1%, the tax retained in this manner representing anticipatory payment in the account of the annual tax owed. The obligation of computation, withholding, and remittance of the tax representing anticipatory payment shall belong to the intermediaries, to the asset management companies in case of redemption of shares in open investment funds or to other income payers, as the case may be, for each transaction. Tax computed and withheld at source shall be remitted to the state budget until 25 including of the month next to the month for which it was withheld. In the case of transactions made during the fiscal year, the taxpayer is required to submit the income declaration based on which the fiscal body determinates the payable annual tax, the annual tax which the taxpayer must to recover and issues an annual tax decision, taking also into account the tax withheld at source representing anticipatory payment. The due annual tax shall be established by the competent fiscal body as follows:
1. by applying the quote of 16% to the annual net gain of each of the taxpayers, which is assessed according to the provisions of art. 66 par. (5), for the securities alienated or redeemed in a period smaller than 365 days from the date of their appropriation, starting with January 1, 2007, in case of shares in open investment funds;
2. by applying the quote of 1% to the annual net gain of each of the taxpayers, which is assessed according to the provisions of art. 66 par. (5), for the securities alienated or redeemed in a period bigger than 365 days from the date of their appropriation, in case of shares in open-end investment funds;
Methodological Norms:
144^2. To determine the period related to ownership on the securities, according to the provisions of art. 67 par. (3) letter a) from the Law no 571/2003 on Fiscal Code, as subsequently amended and completed, the intermediaries shall record for each purchase the date when the relevant shares entered in the portfolio of the persons owning them and making transactions with them.
Fiscal Code:
b) in case of gains generated by the transfer of securities, in case of closed companies, and by the transfer of shares, the obligation of the computation, withholding and remittance of the tax shall belong to the acquirer. The tax computation and withholding by the acquirer shall be performed at the moment of transaction execution based on the contract concluded between parties. The tax shall be computed by applying the quote of 16% on the gain for each transaction, this tax being final. The transfer of the ownership right on the securities or shares should be registered with the Trade Register and/or with the Shareholder Register, as the case may be, this operation being not possible to be performed without the justification of the remittance of the tax to the state budget. The deadline for the remittance of the tax shall be until the date on which the documents for the registration of the transfer of the ownership right on the shares/securities are submitted to the Trade Register or Shareholders Register, as the case may be, regardless the payment of the relevant shares shall be scheduled or not;
Methodological Norms:
144^3. For the transactions with securities in case of closed companies or with shares which are performed priory to January 1, 2007, for which the contracting parties agreed a scheduled payment, the tax quotes are those in force on the date of the contract conclusion and the tax remittance deadline for the payers of such incomes is up to the 25th day inclusive of the month next to the month of tax withholding. After January 1, 2007, for these transactions the remittance deadline for the due tax computed at the moment of execution of the transaction based on the contract, shall be until the date of submission of the documents for the registration of the transfer of the ownership right on the relevant securities or shares to the Trade Register or the Shareholders Register, as the case may be.
Fiscal Code:
d) the taxable income obtained, following the liquidation or the dissolution without liquidation of a legal person, by the shareholders/associates that are individuals, shall be taxed by a quote of 16%, this tax being final. The obligation to compute, withhold and remit the tax shall belong to the relevant legal person. The tax computed and withheld at source shall be remitted until the date of submission of the final financial statement drawn up by the liquidators to the Trade Register Office.
Methodological Norms:
144^4. In case of dissolution without liquidation of a legal person, the obligation of tax computation, withholding and remittance shall belong to the duly representative of that legal person.
The tax computed and withheld at source shall be remitted until the date of submission of the final financial statement drawn up by the duly representative of the legal person.
NOTE:
The amendment made by art. I let. C (Title III - Income tax) point 5 from the Government Decision no 1579/2007 is not included in the updated text because it could not be interpreted. We reproduce below these provisions.
"5. At point 144^4, paragraph (3), letter d) it shall be abrogated."
Fiscal Code:
CHAPTER 6
Incomes from pensions
[...]
Withholding of tax from incomes from pensions
ART. 70
(1) Any payer of incomes from pensions is required to compute on a monthly basis the tax related to such income, to withhold tax and to remit the withheld tax to the state budget, according to the provisions of the present article.
(2) Tax shall be computed by applying the tax quote of 16% to the monthly taxable incomes from pensions.
(3) Tax computed shall be retained at the date of the payment of the pension, and shall be remitted to the state budget until 25th of each month inclusive of the month following to the month when pension is paid.
(4) The tax withheld is taxpayer's final tax on income from pensions.
(5) Where a pension is not paid monthly, the tax to be withheld is determined by dividing the pension paid to each of the months to which pensions are related.
(6) The rights of pension arrears are scheduled on the months to which they refer in order to compute the tax due, for being withheld and remitted.
(7) Incomes from survivors' pensions shall be individualized according to survivors' number, and taxation shall be made in relation to the rights due to each survivor.
(8) In case of incomes from pensions and/or of the income differences from pensions determined for the prior periods according to the law, the tax shall be computed related to the monthly taxable income and shall be withheld on the date of making of the payment, according to the legal provisions in force on the payment date, being remitted until the 25th day of the month following to the income payment month.
Methodological Norms:
145. The income from pensions shall be assessed by the payer for the rights assimilated with the pension rights provided in art. 68 of the Fiscal Code.
146. Starting with January 1, 2008, the monthly tax related to the income from pensions shall be calculated by applying the tax quote of 16% on the monthly taxable income from pensions assessed by deducting from the income from pensions the following:
- the compulsory obligations computed, withheld and born by the individual; and
- the non-taxable monthly amount of 1,000 lei.
147. Tax on income from pensions shall be computed and withheld monthly by the administrators of the pension funds and shall be remitted by the units payer of such revenues until the 25th of the month next to that of the payment of pensions to the fiscal body under which territorial jurisdiction are the locations of these income payers.
148. Administrators of pension funds shall issue specific internal norms on the implementation of the provisions of point 147.
149. Any amounts representing tax on incomes from pensions, withheld but not due to the state budget, shall be regulated by diminishing of the tax amounts remitted for the incomes paid in the next month.
Fiscal Code:
Computation and payment of tax on incomes from agricultural activities
ART. 74
(4) In case of the taxpayer obtaining money incomes from agriculture, according to the provisions of art. 71 letter d), following the marketing of the products sold to the units specialized for collection, units for industrial processing or other units for the use of the relevant products as they are, the tax shall be computed by applying of a quote of 2% on the value of the products delivered and withholding at source, starting with January 1, 2008, this tax being the final one.
Methodological Norms:
149^1. The term of the remittance of the tax withheld according to art. 74 par. (4) shall be until the 25th day inclusively of the month following to the withholding month.
Fiscal Code:
CHAPTER 8
Incomes from prizes and gambling
Definition of income from prizes and gambling
ART. 75
(1) Incomes from prizes contain the incomes from contests other than those provided in art. 42.
(2) Incomes from the gambling, containing the gains obtained following the participation to gambles, including those of jack-pot type, as defined by the methodological norms, other than those obtained from the gambles of casino and electronic machine with gain types.
Methodological Norms:
150. This category includes incomes in cash and/or in kind, such as:
- incomes in the form of prizes of any kind granted to the people of culture, science and arts within gala, symposiums, festivals, national or international competitions, trade or professional contests;
- incomes in form of prizes in cash and/or in kind granted to sportsmen, coaches, technicians or other specialists provided by the law in matter for the results obtained in internal and international sport competitions other than:
a) incomes provided in art. 42 of Law no 571/2003 on the Fiscal Code, as amended and further completed;
b) incomes paid by the entity with which the relevant persons have relations generator of incomes from wages according to chapter III of title III from the Law no 571/2003 on the Fiscal Code, as amended and further completed;
- incomes in form of prizes obtained following the trading practices concerning the promotion of products/services by advertisement, according to the law.
- taxable incomes obtained from the gambles, including those of jack-pot type, according to the law.
By gains of jack-pot type may be understood the gains granted randomly by the mechanical or electronic machines with gains, from the amounts generated by the distinct addition of a certain percentage of the amounts run following the exploitation of these machines to the purpose of granting some additional gains to the persons participating to the game at that moment.
The add of the amounts from which the jack-pot type gains is obtained within an electronic system by which are interconnected at least two mechanical or electronic machines with gains, the recording of this accumulation being possible to be made by ancillary devices or within the system of one or more gambling means interconnected in system.
The organizers of the exploitation activity of the mechanical or electronic machines with gains shall have the obligation to record distinctly the jack-pot type gains granted.
150^1. To delimit the incomes from gambles, gains of gambling nature are considered those granted to the participant to a gamble by any legal person authorized to exploit such gambles according to the law in matter.
Fiscal Code:
Withholding of tax from incomes from prizes and from gambling
ART. 77
(1) The income in the form of prizes from a single contest is to be taxed by withholding at source at a quote of 16% applied to the net income.
(2) The incomes from gambling are to be taxed by withholding at source, using a quote of 20% applied to the net income not exceeding the quantum of 100 million lei and a quote of 25% applied to the net income exceeding the quantum of 100 million lei.
(3) The obligation to compute, withhold and remit the tax shall belong to the payers of the relevant incomes.
(4) Incomes obtained from prizes and from gambling, in money and/or in kind, that are below the established non-taxable amount of lei 6,000,000 for each contest or gamble organized by the same organizer or payer during a single day, are not taxable.
(5) The tax computed and withheld at the moment of the payment is the final tax.
(6) Tax on incomes computed and withheld in this manner shall be remitted to the state budget until the 25th inclusive of the month following to the month for which it was withheld.
Methodological Norms:
151. Payers of incomes from gambling shall have the obligation to organize records so that they can assess the gain made by each individual and withhold the tax due for the relevant income.
151^1. Starting with May 1, 2005 inclusively, the incomes from gambling shall be taxed by withholding at source, being applied the below tax quotes on the net income computed as difference between the gross income and the amount not taxable of 6 million lei, as follows:
- using a quote of 20% applied on the net income smaller or equal with 100 million lei; and
- using a quote of 25% applied on the net income exceeding the quantum of 100 million lei.
Fiscal Code:
Definition of the income from the transfer of real estates from the own patrimony
ART. 77^1
(1) Upon the transfer of the ownership right and its stripping by legal acts between living persons concerning the constructions of any kind and their related lands as well as concerning the lands of any kind without constructions on them, the taxpayers shall due a tax computed as follows:
a) for the constructions of any kind with their related lands as well as for the lands of any kind without constructions on them, appropiated 3 years ago, inclusive:
- 3% up to the amount of lei 200,000 inclusively;
- over 200,000 lei, 6,000 lei + 2% computed for the amount exceeding 200,000 lei inclusive;
b) for the real estates presented in letter a), appropiated in a period exceeding 3 years ago:
- 2% up to the amount of lei 200,000 inclusively;
- over 200,000 lei, 4,000 lei + 1% computed for the amount exceeding 200,000 lei inclusive;
Methodological Norms:
151^2. Definition of certain terms:
a) taxpayer means in the purpose of art. 77^1 from the Fiscal Code, the individual having the obligation to pay the tax.
In case of transfer of the ownership right and its stripping by legal acts between living persons, the taxpayer is the person from whose patrimony is transferred the relevant ownership right or its stripping: seller, annuitant, transferor in case of service contract, transfer act, transaction act, etc., except the transfer by donation.
In the contracts for real estate exchange the capacity of taxpayer shall be held by all co-permutants and co-contracting party, except the case of an exchange contract for exchanging an immovable good under the form of real estate with a movable good, case in which the capacity of taxpayer shall be held only by the owner of the immovable good.
In case of transfer of the right of ownership following donation, the capacity of taxpayer shall belong to the donor.
The taxpayer is also the individual from whose patrimony shall be transferred the ownership right or its stripping, as contribution to the share capital.
In case of transfer of the ownership right, because of the death of the owner, following a legal or testamentary succession, the capacity of taxpayer shall belong to the legal or testamentary hairs as well as to the individual legatees;
b) by constructions of any kind shall be understood:
- constructions designated to be dwell;
- constructions designated to commercial areas;
- industrial constructions, production halls, administrative premises, industrial platforms, garages, parking areas;
- any underground or on the surface permanent construction or arrangement for which erection is necessary the construction authorization under Law no 50/1991 concerning the authorization of the construction execution, republished as subsequently amended and completed;
c) by land related to the constructions shall be understood land-yards, constructions and their annexes, according to the property title, which is identified by a sole identifier - the cadastral number - or which constitutes a sole funciar block;
d) by lands of any kind without constructions shall be understood the lands located in intravilan or extravilan, regardless the category of use as: yards, gardens, arable land, grass-land, hayfield, grapery, orchard and other similar lands on which there are no constructions and which may not be included in the category of lands related to constructions as provided in letter c);
e) by transfer of the ownership right or of its stripping shall be understood the alienation based on legal acts between living persons, of the ownership right or of its stripping, regardless the type or nature of the act by which this transfer is made: sale-purchase, donation, life-annuity, servicing, exchange, transfer in public ownership as payment of tax debts, transaction, contribution to the share capital, including in case the transfer is made based on a judgement or other similar decisions;
f) date starting with which the term runs is the appropriation date and the term computation is made under the conditions of the common law.
The term in relation to which shall be computed the date of appropriation is:
- for the new constructions and their related lands, the term runs starting with the date of the conclusion of the final receipt minutes under the law;
- for constructions not finished and their related lands, the term is computed from the date of the appropriation of the ownership right or of its stripping on the land;
g) appropriation date is considered:
- for the real estates got by reconstructing or constituting of the ownership right based on the funciar fund laws: The Law of the funciar fund no 18/1991, republished as amended and completed, Law no 1/2000 for the reconstituting of the ownership right on the agrarian and forestry lands, requested according to the provisions of Law no 18/1991 and of Law no 169/1997, as subsequently amended and completed, Law no 247/2005 concerning the reform in the field of property and justice, as well as on several adjacent measures, as amended and completed, the appropriation date is considered the date of the validation, through the decision of the county commission for the application of the above mentioned laws, of the proposals made by the local commissions for the application of these laws. Number and date of the decision are recorded in the certificates issued by the local commissions to the applicant entitled to the property restitution or constituting;
- for the real estates attributed, restituted, retroceded on the basis of the following laws: Law no 18/1991, republished as amended and completed, Law no 112/1995 for the regulation of the legal status of certain real estates designated to be dwells which have been transferred in the state property, as subsequently amended, Law no 10/2001 concerning the legal regime of certain real estates taken over abusively during the period of March 6 1945 - December 22 1989, republished as subsequently amended and completed, Law no 247/2005, as subsequently amended and completed, the date of the appropriation is considered the date of the issuance of the administrative document, respectively of the prefect order, the restitution decision or any other administrative document in the matter;
- in case the former owners or their heirs have got the ownership right following a judgment, the date of the appropriation is considered the date when the relevant judgment remained final and irrevocable;
- for the real estates appropiated as usucapion, ascertained by final and irrevocable judgment, the date of appropriation is considered the date starting with which the usucapion term begins to run;
- in case of alienation of real estates obtained by stripping of the initial property, respectively removing of a real estate from the initial property, the date of appropriation of these real estates is considered the date of appropriation of the initial property subject of the stripping or removing generating the real estates appropiated;
- in case of alienation of lands attached and subsequently dismembered or dislocated, the date of appropriation is considered the date of appropriation of the real estate resulted from attachment operation having the bigger surface;
- in case of alienation of real estates obtained following the attachment of real estates appropiated at different dates, the tax shall be computed according to the date of appropriation of the lot with the bigger surface;
- in case the lots attached have equal surfaces, the date of appropriation is considered the date when the last lot was appropiated;
- in case of property exchange, the date of appropriation of the real estates subject of the exchange shall be the date on which each of the co-permutants or co-contracting parties got the property.
Fiscal Code:
(2) The tax referred to in par. (1) shall not be due in the following cases:
a) when getting the ownership right upon the lands and constructions of any kind, by the reconstitution of the ownership right based on the special laws;
b) when getting the ownership right following donation among relatives up to 3rd degree inclusively, as well as between spouses.
Methodological Norms:
151^3. Tax shall not be owed when getting the ownership right upon the lands and constructions of any kind, by the reconstitution of the ownership right based on the following special laws: Law no 18/1991, republished as amended and completed, Law no 1/2000, as subsequently amended and completed, Law no 112/1995, as subsequently amended, Law no 10/2001, republished, as subsequently amended and completed, and any other normative acts having reparatory nature.
The transfer of the ownership right by donation among relatives up to the 3rd degree and between spouses shall be exempted from the payment of tax. The proof of the capacity of spouse, relative or affine shall be produced by marital status documents.
The subsequent alienation of the real estates got under the conditions provided in paragraphs 1 and 2 shall be subject of taxation, except the transfer of the ownership right by donation among relatives up to the 3rd degree, affine and between spouses.
The transmission of the ownership right or of its stripping for the real estates from the business patrimony as defined according to par. 41*) from the methodological norms issued to implement art. 48 from the Fiscal Code, shall be exempted from taxation, these being included in the categories of incomes for which the annual net income shall be assessed based on the accounting records in simple entry.
In case of legal or voluntary partition no tax shall be owed.
------------
*) See the Government Decision no 84/2005, published in the Official Gazette of Romania, Part I, no 147 of February 18, 2005.
Fiscal Code:
(3) For the transfer of the ownership right and of its stripping as heritage no tax as provided in par. (1), shall be owed, if succession is debated and completed in term of 2 years from the date of the succession author death. In case of non-completion of the succession procedure in the term above mentioned, the heirs owe a tax of 1% computed related to the value of the chart of heirs.
Methodological Norms:
151^4. In case of succession procedure the following rules shall be applied:
a) completion of the succession procedure shall take place on the date of drawing up of the succession completion conclusion report;
b) the due tax shall be paid by the taxpayer on the date of drawing up of the final conclusion report by the public notary;
c) in case the legal or testamentary succession is debated and completed by drawing up of the succession completion conclusion report in term of 2 years from the date of the succession author death, no tax shall be due. No tax shall be due also in case after the succession completion a certificate of heir shall be additionally requested and the additional final completion report shall be drawn up before the expiry of the 2-years term;
d) in case of succession completion by drawing up of the final conclusion report after the expiry of the 2-years term, the heirs shall owe a tax of 1% provided in art. 77^1 par. (3) of the Fiscal Code;
e) in case the succession was completed by drawing up of the completion conclusion report before the expiry of the 2-years term and a heir certificate is requested additionally after the expiry of the 2-years term, the heirs shall owe a tax, computed on the date of the succession author death, according to the art. 77^1 par. (3) from the Fiscal Code only for the real estates to be declared and mentioned in the additional final conclusion report;
f) in case of the vacant successions and succession partition no tax shall be owed;
g) the tax shall be computed and cashed related to the value of the real estates contained in the chart of the heirs.
The chart of the heirs, from fiscal point of view and under art. 77^1 par. (1) and (3) from the Fiscal Code, contains only the net assets in form of real estates. To fiscal purpose, by net real estate assets shall be understood the value of the real estates after the deduction of the succession liabilities corresponding to them. In the succession liability are included the clear and cash obligations proved by authenticated documents and/or enforceable titles as well as the funeral expenses up to the concurrence of the amount of 1,000 lei which may not be proved by justifying documents.
In case the succession asset contains also movable goods, receivable rights, shares, shareholder certificates, etc., the proportion of the value of the real estates in the total succession asset shall be assessed and the succession liability shall be deducted from the value of the movable, respectively, immovable goods proportionally with the quote belonging to each of these categories of movable or immovable goods.
After the deduction of the succession liability corresponding to the immovable goods from their value, the net real estate asset value representing the taxable base shall be assessed;
h) in case the succession procedure is completed by judgment, the provisions of point 151^7, paragraph 6 from the present methodological norms shall be applied.
Fiscal Code:
(4) The tax referred to in par. (1) and (3) shall be computed for the value declared by the parties in the document by which the ownership right or its stripping are transferred. In case the value declared is lower than the orientative value established by the expert's report drawn up by the chamber of the public notaries, the tax shall be computed for this value.
Methodological Norms:
151^5. Upon ownership right transfer, the tax provided in art. 77^1 par. (1) and (3) from the Fiscal Code shall be computed for the value declared by the parties. In case the value declared by the parties is lower than the orientative value established by the expert's report drawn up by the chamber of the public notaries, the tax shall be computed for this value.
In case of real estates transferred as contribution to the share capital, the value for which shall be assessed the tax is that from the document by which the transfer of the immovable good as contribution in kind to the share capital was made, as follows:
- in case the law in this matter imposes the carrying out of an evaluator report, the tax shall be assessed for the value from the relevant document which should not be lower than the value from the evaluator's report;
- in case the law in this matter does not impose the carrying out of an evaluator report, the tax shall be assessed for the value from the relevant document which should not be lower than the value established under art. 77^1 par. (4) of the Fiscal Code.
Upon constitution or transfer of the ownership right stripping, the tax shall be assessed for the value declared by the parties, which should be not lower than 20% of the orientative value established by the report drawn up by the chamber of public notaries. Same value shall be assessed also for the settlement on conventional way or following the consent of the titular of these stripping.
Upon node property transfer, the tax shall be assessed for the value declared by the parties, which should not be lower than 80% of the orientative value established by the evaluation reports drawn up by the chamber of the public notaries.
For unfinished constructions, upon their alienation, the value shall be established based on an expert report which shall include the value of the unfinished construction, to which shall be added the value of the related land declared by the parties, this value having not to be lower than the land value established by the reports of the chamber of the public notaries. The expert report shall be drawn up on the charge if the taxpayer, by an expert authorized by law.
In case of the real estate exchange, the tax shall be computed for the value of each of the real estates transferred.
In case of the exchange of an immovable good, real estate, with a movable good, the tax shall be computed for the value of the immovable good, the capacity of taxpayer belonging to the individual transferring the property on the real estate.
Fiscal Code:
(5) The Chambers of public notaries shall update once a year the reports concerning the market value of the immovable goods, these reports following to be communicated to the territorial directorates of the Ministry of Public Finance*).
Methodological Norms:
151^6. The expert reports concerning the market value of the real estates shall be communicated to the territorial directorates of the Ministry of Economy and Finance until December 31 of the current fiscal year to be used in the next fiscal year.
The expert reports concerning the orientative market value of the real estates drawn up by the chamber of public notaries represent the computation base for the tax owed by the taxpayers defined in point 151^2 from the present methodological norms in case the value declared by the parties is lower than the orientative value established by the relevant expert report.
The obligation to compute and cash the tax belongs to:
- the public notaries for the documents authenticated by them;
- the competent fiscal body in the other cases.
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*) According to art. 15 letter a) from the Government Emergency Ordinance no 24/2007 concerning establishment of certain measures for reorganization of the central public administration, published in the Official Gazette of Romania, Part I, no 247 of April 2007, denomination of "Ministry of Public Finance" has been replaced by the denomination of "Ministry of Economy and Finance".
Fiscal Code:
(6) The tax referred to in par. (1) and (3) shall be computed and cashed by the public notary before the authentication of the document or, as the case may be, the drawn up of the succession completion conclusion. The tax assessed and cashed shall be remitted until the 25th day inclusively of the month following to the withholding month. In case the transfer of the ownership right or of its striping under the conditions of art. (1) and (3), shall be obtained by a judgment, the tax provided in par. (1) and (3) shall be computed and cashed by the competent fiscal body. The law courts delivering the final and irrevocable judgment shall communicate to the competent fiscal body the decision and the related documentation in term of 30 days from the date of remaining final and irrevocable the judgment. To record the rights obtained in the database of the documents authenticated by public notaries or of the heir certificates or of the judgments, as the case may be, the registrators from the land book offices shall verify the fulfilment of the tax obligation payment provided in par. (1) and (3) and, in case there shall be not produce the proof of this payment, the recording request shall be repealed until the tax payment.
Methodological Norms:
151^7. Tax shall be computed and cashed by the public notary based on a receipt or fiscal ticket, prior to the document authentication or to the signing of the succession completion conclusion report.
The tax may be paid by the taxpayer either by cash at the public notary premises, or by bank transfer into an account of the notary office. In case of payment by bank transfer, the proof of the payment shall be made using the payment order.
The tax payment document certifying the payment made by the taxpayer shall be mentioned in the authentication conclusion, respectively, in the succession completion conclusion report and in the heir certificate.
The form of the receipt used by the public notaries to cash the tax shall be established and printed by the National Union of the Public Notaries from Romania.
To fulfil their obligation, the registrators in the land book shall verify if the notarial document contains mentioned the tax payment documents provided in paragraphs 1 - 3.
The law courts delivering judgments final and irrevocable referring to the transfer of the ownership right or to its stripping shall communicate to the fiscal body being under territorial jurisdiction of the court judging on merits the case, the judgment and related documentation in term of 30 days from the date of remaining final and irrevocable of the relevant judgment. In case the law courts do not communicate in the legal term the documentation provided by law, the fiscal body may assess the due tax upon the request of the taxpayer based on the documentation produced by this one. In case upon the receipt of the documentation communicated by the law courts, the fiscal body ascertains differences leading to the modification of the taxation base, it shall issue a tax decision according to the legal procedure.
The calculation base for the due tax is that established according to the judgment or to the documentation related to the judgment, in case these include the value of the real estate established by the expert authorized according to the law, respectively, by the expert's report for the establishment of the market value of the real estate.
In case the value of the real estate established by an expert authorized according to the law is not specified in the judgment or in case expert's report for the establishment of the market value of the real estate is not mentioned in the judgment related documentation, the tax computation base shall be determined according to point. 151^6 from these Methodological Norms.
In case of transfers by modalities other than the notarial or court procedure, the taxpayer shall have the obligation to declare the income to the competent fiscal body in term of 10 days inclusively, from the transfer date in view to be assessed the tax according to the law.
In case the intabulation shall be requested for the ownership right or for its stripping, based on the judgment, the registrators from the land book offices shall verify the existence of the tax decision issued by the competent fiscal body and of the document justifying the tax payment.
151^8. *** Abrogated
151^9. *** Abrogated
151^10. *** Abrogated
151^11. *** Abrogated
Fiscal Code:
CHAPTER 9
Incomes from other sources
Definition of incomes from other sources
ART. 78
(1) In this category shall be included, but not limited to, the following incomes:
a) insurance premiums borne by an independent individual or any other entity, within an activity for an individual in connection with which the bearer does not have a relation generating incomes from salaries according to chapter III of the present title;
b) earnings received from the insurance companies, as a result of the insurance contract concluded between the parties, with the occasion of drawings of depreciation;
c) income received by individuals pensioners in the form of price differences for certain goods, services and other rights, by former employees, according to the terms of the employment contract or under special laws;
d) income received by individuals representing fees from commercial arbitration activity.
e) incomes received by the individuals from activities developed based on civil contracts/agreements concluded according to the Civil Code, other than those taxed according to chapter II and according to the option exercised by the taxpayer. he option to tax the gross income is exercised in writing at the moment of the conclusion of each of the civil contracts/agreements and is applicable to the incomes obtained following the activity developed on the basis of the relevant civil contract/agreement.
(2) Incomes from other sources are all incomes identified as being taxable by the rules set by the Ministry of Public Finance, other than incomes non-taxable under this title.
Methodological Norms:
152. To apply art. 78 par. (2) from the Fiscal Code, in this category include, for example, the following incomes obtained by individuals:
- remunerations for the work performed in the interest of units belonging to the Directorate General of Prisons and in the workshops held by the above mentioned, granted by law to the prisoners executing sanctions preventing them to be free;
- incomes received by students in the form of allowances for participation in meetings of the university senate;
- incomes obtained by individuals from the valuation, through the collection centres, of metal, paper, glass and other waste, which do not come from their own house holding;
- amounts paid by organizers to persons who accompany pupils to competitions and other school events;
- allowances granted to members of electoral offices, statisticians, IT staff and technical assistants for the execution of tasks relating to the conduct of presidential, parliamentary and local elections;
- incomes obtained by the individuals who do figurative in movies, shows, TV shows and other similar;
- present tickets granted to individuals out of a relation generating incomes from salary;
- incomes other than those from art. 42 letter k) distributed by the legal persons established according to the law related to the applications for the reconstitution of the ownership right on the agrarian and forestry lands filled in according to the Law no 18/1991 and of Law no 169/1997, as subsequently amended and completed.
Fiscal Code:
CHAPTER 10
Taxable annual net income
Determination of the taxable annual net income
ART. 80
(1) The taxable annual net income shall be determined for each of the sources from the income categories mentioned in art. 41 let. a), c) and f) by deduction from the annual net income of the carried fiscal losses.
(2) Incomes from the categories provided in art. 41 let. a), c) and f), obtained in a fraction of a year or in different periods representing fractions of the same year, is considered taxable annual income.
Methodological Norms:
153. The annual net income shall be determined for each of the sources from the following categories:
a) incomes from independent activities;
b) incomes from the assignment of the use of goods;
c) incomes from agricultural activities.
154 Taxable income obtained in a fraction of a year or in different periods representing fractions of the same year, shall be considered taxable annual income.
155. Tax on taxable annual income shall be computed for the incomes obtained in Romania and / or abroad.
156. To determine the taxable annual net income shall be use the following method:
a) the annual net income / annual fiscal loss for the activity developed within each of the source of the categories of incomes mentioned in point 153, shall be determined according to the own rules. For individuals associated, the net income/annual loss taken into account when determining the taxable annual net income is the net income / loss distributed;
b) the taxable annual net income shall be determined for each source of incomes by deducting from the annual net income the fiscal losses from the same source admitted to be carried on the fiscal year of taxing.
If fiscal losses carried related to a source are bigger than the annual net income from the relevant source, the result shall be considered loss to be carried.
157. The negative difference between the gross income and the deductible expenses recorded for each source of incomes from the categories of incomes shall represent fiscal loss for the relevant source of incomes.
Fiscal Code:
(3) Annual fiscal loss recorded from independent activities, assignment of the use of goods and from agricultural activities may be offset by the positive results obtained from the same source of income. The loss remaining not compensated during the same fiscal year shall become loss carried on the next fiscal year. Losses from abroad of the individuals resident shall be compensated with the revenues of same nature and from same source obtained abroad, for each of the countries, which are recorded during the same fiscal, or they are carried over the next 5 years on the incomes obtained from the relevant country.
Methodological Norms:
158. Offset of annual fiscal losses shall be made as follows:
a) fiscal loss from a source may be offset by the net income obtained from the same source. If the fiscal loss obtained from a source is only partially offset by the net income from that source, the amount remained not offset represents annual fiscal loss;
b) the annual fiscal loss recorded by a taxpayer related to a source from Romania may not be offset by the incomes obtained by the relevant taxpayer from abroad;
c) fiscal loss from a foreign country is offset by incomes from the same foreign country, of the same nature and source, recorded during the same fiscal year. The annual fiscal loss not offset shall be carried over the next 5 years and shall be offset by the incomes of the same nature and from the same country, obtained during the relevant period.
Fiscal Code:
(4) The rules for carry-over losses are as follows:
a) report is carried out chronologically, depending on the length loss in the next 5 years;
b) the right to report is personal and non;
c) loss carried forward, uncompensated after the expiry of the period referred to in point letter a) is the definitive loss of taxpayer;
Methodological Norms:
159. If following the offset admitted for the fiscal year, it remains a loss not offset, this one shall represent the fiscal loss carried over the next fiscal years up to the next fifth year inclusive.
160. The rules for offset and carry-over of the losses are as follows:
a) carry-over of the losses shall be made year after year, on the relevant source, starting with the oldest loss;
b) the right to carry-over of the loss is personal and subject of the taxpayer's identity, it may not be transmitted to this one heirs or to any other person, in order to reduce the tax burden of the taxpayer and represents final loss for the deceased taxpayer.
Fiscal Code:
Declarations of estimated income
ART. 81
(1) Taxpayers and associations without legal personality, starting a business during the fiscal year are required to submit to the tax a competent declaration relating to revenue and expenditure estimates to achieve the fiscal year, within 15 days of date of the event. Except for the provisions of this paragraph taxpayer who carries out that tax revenue is collected by deduction at source.
(2) Taxpayers who get income from rental and leasing of personal assets are required to submit a statement of estimated revenue, within 15 days after the conclusion of the contract between the parties. Declaration on estimated revenue once it is filed with the tax registration of the contract between the parties.
(3) Taxpayers who, in the previous year, they realized losses and those who have achieved revenues for periods of less than fiscal year, and those who, for objective reasons, estimates that revenue will differ by at least 20% of previously filed fiscal year, with tax declaration, and estimated income statement.
(4) Taxpayers who determine the net income per basic rules of income and the expenditure for which is determined in flat-rate system and have opted for the determination of net income in real system filed a request with the options and estimated income statement.
Methodological Norms:
161. Taxpayers beginning an independent activity shall have the obligation to declare their incomes and expenditures estimated to be realized in the taxation year for each source and category of incomes. Estimate incomes and expenses declaration shall be performed by submitting the estimate income statement for each source and category of incomes to the competent fiscal body in 15 days from the date of the event occurrence.
The obligation to submit the estimate income statement belongs both to the taxpayers determining the net income in real system and deploying the activity individually or in a form of association not generating a legal person, and to the taxpayers determining their net income based on income norm.
Estimate income statements shall not be submitted by taxpayers deploying independent activities for which the anticipatory payments are made by withholding at source by the income payer.
In case the taxpayer obtains incomes from a form of association, each associate shall declare its estimate incomes resulted from the distribution of the estimate net income of the association without legal personality.
Associations without legal personality starting an independent activity are required to submit a estimate income statement to the fiscal body in whose territorial jurisdiction the association has the location in term of 15 days from the conclusion of the association contract, along with contract registration with the fiscal body.
163. Taxpayers obtaining incomes from the assignment of the use of personal assets shall have the obligation to submit to the competent fiscal body a estimate income statement for each source of incomes along with the registration of the assignment contract with the fiscal body, in term of 15 days from the date of contract conclusion.
Estimate income statement shall not be submitted by the taxpayers obtaining incomes from lease.
164. Taxpayers obtaining incomes from independent activities and from agricultural activities, taxed based on income norms who request the transfer in the next year in real system tax assessment, shall submit the estimate income statement until January 31, along with the option application.
Taxpayers starting an activity taxed based on income norms who opt for the determination of the net income in real system shall submit the estimate income statements in term of 15 days from the date of the event occurrence along with the option application.
165. The competent fiscal body is defined according to the legislation in matter.
166. For the purpose of art. 81 par. (3) from the Fiscal Code, by objective reasons leading to the submission of a new estimate income statement in view of the recalculation of the levels of anticipatory payments, shall be understood: the temporary interruptions of activity during the year because of medical reasons, proved by documents, events of Force Majeure, other causes generating the modification of the incomes.
Fiscal Code:
Determination of anticipatory payment of tax
ART. 82
(1) Taxpayers who engage in self-employment income, rental and leasing, excluding income from farming and income from agricultural activities are bound to perform during prepayments for the tax, except for the case of income payments shall be established by early stoppage at source.
(2) The competent fiscal body is to determine the anticipatory payments for each category of income, taking as the computation base the estimated annual income or the net income realized during the preceding year, as the case may be, by issuing a decision which is to be communicated to the taxpayers, according to law. For determinations made after the expiration of the deadlines provided in par. (3), the amounts payable are to be determined at the level of the amount payable for the last payment deadline of the preceding year. The difference between the computed annual tax for the net income realized during the preceding year and the amount of the anticipatory payment at the level of the fourth quarter of the preceding year is to be allocated to each of the following deadlines within the fiscal year. For declarations of estimated income that are submitted in the month of December, anticipatory payments are not to be determined, the net income related to the period until the end of the year is subject to tax based on the tax decision issued for the declaration of global income. Payments for anticipated income from rental and leasing, excluding income from rent is determined by the tax as follows:
a) the contract concluded between the parties, or
b) based on revenues determined according to data from simple accounting game, according to the option. If, under contractual terms, income from rental and leasing is equivalent in lei of a currency amounts, the estimated annual income is made on the basis of the exchange currency market released by the National Bank of Romania, the day before the undertaken imposition.
(3) Prepayments are carried out in 4 equal instalments, until 15 including last month of each quarter, excluding tax on income from farming, for which tax payment is made according to the decision issued on the statement of global income. Taxpayers who determine the net income from agricultural activities, according to art. 72 and 73, due to prepayments to the state budget for income taxes for this, in two equal instalments, as follows: 50% of the tax until September 1, including 50% tax, until November 15 including.
(4) The terms and procedure for issuing decisions prepayments will be determined by the Minister of public finances.
(5) In determining the advance payments, the tax will take as the basis for calculating the estimated annual income in all situations in which it was filed a statement of estimated revenue for the current year income statement or the declaration regarding the income obtained during the previous fiscal year, as appropriate. When determining the anticipatory payments is to be applied a 16% rate provided in art. 43 par. (1).
Methodological Norms:
167. Anticipatory payments are determined by the competent fiscal body defined according to the law in matter.
Payment of such amounts shall be made to the fiscal body that has been established them.
To determine the anticipatory payments shall be used the tax quote provided in art. 43 par. (1) of Law no 571/2003 on the Fiscal Code, as amended and further completed.
168. Amounts representing anticipatory payments shall be paid in 4 equal instalments, until the 15th day inclusively of the last month of each quarter, respectively on March 15, June 15, September 15 and December 15, except for the incomes from agricultural activities for which the amounts representing anticipatory payments shall be paid until September 1 and November 15. For income from assignment of the right to use personal goods under the form of lease, the tax shall be paid based on the tax decision issued according to the income statement.
169. In the case of taxpayers taxed on basis of income norms, the anticipatory payments shall be established on the basis of the income norms approved for the fiscal year, according to the activity performed.
170. The request for the issuance of a new tax decision related to an anrticipatory payment, according to art. 81 par. (3) from the Fiscal Code, shall be made by the taxpayer by submission of a estimate income statement.
171. In case of taxpayers obtaining incomes of same nature, for which anticipatory payments are established both by the fiscal body and by withholding at source, when the fiscal body determined the anticipatory payments shall be excluded from the net incomes those incomes related to which the anticipatory payments are made by withholding at source, proportional with their weight in the total gross income.
Fiscal Code:
Declaration of global income
ART. 83
(1) The taxpayers who performed individually or in a form of association, incomes form independent activities, form the grant of the use of goods, incomes from agrarian activities established under the real system are required to submit a income declaration to the competent fiscal body, for each fiscal year, on or before May 15 of the year that follows the year in which the income was obtained. The income declaration is to be fulfilled for each source and category of income. For earnings from a form of association, said revenue will be net income / loss distributed in combination.
(2) The income declaration is to be also fulfilled for the annual net profit/loss, generated by:
a) transactions with securities, other than social parts and securities in the case of the closed companies;
d) sale-purchase operations of foreign currency on term, based on a contract, as well as any other similar operations.
(3) Income declarations should not be submitted in the case of the following category of incomes:
a) net incomes determined based on the norms regarding the income, except the taxpayers who submitted estimative income declarations during the month of December and for which anticipatory payments were not established, according to law;
b) revenue in the form of wages and salaries of similar income, for which information is contained in tax returns, which have the statements of taxes and fees or monthly statements, submitted by taxpayers referred to in art. 60;
c) incomes from investments, with the exception of those provided in par. (2), as well as incomes from prizes and gambling, which imposition is final;
d) income from pensions;
e) incomes from agricultural activities which imposition is final, according to art. 74 par. (4);
f) incomes from the transfer of real estate;
g) incomes from other sources.
Methodological Norms:
172. *** Abrogated
173. *** Abrogated
174. *** Abrogated
175. Obtained income statements are documents by which the taxpayers have declared the incomes and expenditures actually made on each and every category of income and source, in order to allow to the fiscal body to determine the anticipatory payments.
176. The obtained income statements shall be submitted by the taxpayers obtaining, individually or in association, incomes from independent activities, from the assignment of the right to use personal goods or from agricultural activities related to which the net income is established in real system.
The obtained income statements shall be submitted, until May 15th, inclusively, of the fiscal year next to that in which the relevant income has been obtained, to the competent fiscal body defined according to the law in matter.
For the incomes obtained from a form of association, the income declared shall be the net income/loss distributed from the association.
177. Taxpayers obtaining incomes from abroad and taxable in Romania shall have the obligation to declare those incomes in Romania until May 15, inclusively, of the fiscal year following to that during which the relevant incomes have been obtained.
178. Taxpayers ceasing to have the fiscal domicile in Romania shall submit to the fiscal body under whose territorial jurisdiction is its fiscal domicile, a fiscal declaration concerning the incomes obtained.
These declarations shall include incomes and expenses related to the current fiscal year, for the period in which taxpayers had their fiscal domiciles in Romania.
In 5 days from the date of submission of the declaration, the fiscal body, under which territorial jurisdiction the taxpayer has its fiscal domicile, shall issue a tax decision and shall communicate to the taxpayer any amounts to be paid or recovered by this one.
Fiscal Code:
Determination and payment of tax on annual taxable net income
ART. 84
(1) The tax on annual taxable net income/profit is to be computed by the competent fiscal body, based on the declaration of income, by the application of a 16% rate to the annual taxable net income/gain in the respective fiscal year, except the provisions of the art. 67 par. (3) letter a).
(2) Taxpayers may chose the destination of an amount equal to 2% of the tax on annual taxable income, on the annual net profit from sale-purchase operations of foreign currency on term, based on a contract, or from any other similar operations, for supporting non-profit entities established or which carry out their activities according to law, the cult units, as well as for granting private scholarships, according to law.
(3) The competent fiscal body is require to compute, withhold and transfer the amount representing 2% of the tax on:
a) the annual taxable net income;
b) the annual net profit from the transfer of securities;
d) the annual net income from sale-purchase operations of foreign currency on term, based on a contract, as well as any other similar operations.
(4) The procedure for the application of the provisions of par. (2) and (3) is to be established by an order of the Minister of Public Finance.
(5) The fiscal body is to determine the annual tax that is payable and is to issue a tax decision during the period of time and in the manner established by an order of the Minister of Public Finance.
(6) Tax differences remained to be paid according to the annual tax decision shall be paid in maximum 60 days from the date of the communication of the tax decision, for this period not being computed and due the amounts determined according to the regulations in this matter concerning the collection of the budgetary receivables.
Methodological Norms:
179. Annual tax decision shall be issued by the competent fiscal body according to the law in matters.
180. Differences related to the tax on annual income computed by the tax decisions shall be paid to the competent fiscal body.
181. In case the competent fiscal body ascertains differences related to the incomes subject of taxation, it shall issue a new tax decision by which are determined the tax obligations according to the provisions of the Government Ordinance no 92/2003 on the Fiscal Procedure Code, republished as subsequently amended and completed.
181^1. The scope of the non-profit entities is provided in point 117^1 issued to apply art. 57 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
Fiscal Code:
CHAPTER 11
Joint ownership and associations without legal personality
Income from goods or rights that are jointly held
ART. 85
The net income obtained from the exploitation of goods or rights of any type, held jointly, is considered as obtained by the owners, usufruct holders or other legal holders, recorded in an official document, and is to be allocated proportionately with the share-portion that they hold in such property or equally, in situations where these are not known.
Methodological Norms:
182. Net income obtained from the exploitation of intellectual property rights owned jointly shall be attributed proportionally with the shares held by their holders in that property, determined according to the regulations in force special for each domain.
Where the parties' shares are not known, incomes shall be distributed equally.
183. Net income from assignment of the right to use goods hold in common on shares shall be distributed among the co-owners proportionally with the shares held by them in co-ownership. Net income from assignment of the right to use the goods jointly held in indivision shall be distributed equally among the joint owners. Allocation of the net income as provided in the above provisions shall be made in case the contract for the assignment of the use mentions that the contracting party assigning the use is represented by co-owners. In case the co-owners decide on a different income distribution, an authenticated document showing the will of the parties shall be attached to the contract.
Fiscal Code:
Rules regarding associations without legal personality
ART. 86
(1) The provisions of the present article are not to apply:
- for associations without legal personality provided in art. 28;
- for investment funds as associations without legal personality;
- associations with one legal person payer of tax on profit case in which only the fiscal provisions of title II shall be applicable.
(2) Within each association without legal personality established by law, associations are required to conclude contracts of association in written form, to start work, including data on including:
a) Contracting Parties;
b) the subject of activity and the location of the association;
c) the contribution of each associate in goods and rights;
d) the rate of participation of each associate in the incomes or losses from the association corresponding to the contributions of each;
e) the designation of the associate who is responsible for fulfilling the obligations of the association to the public authorities;
f) the conditions for termination of the association. The contributions of associates according to the contract of association are not considered incomes of the association. The competent fiscal body is required to register the association contract within 15 days as of the date of its closure. The tax has the right to refuse registration of contracts, if they do not include the data required by this paragraph.
Methodological Norms:
184. Both associations without legal personality, whose establishment and operation are according to the special norms, namely the family associations, medical cabinet groups, medical associations, medical civil company, associated lawyers' offices, lawyers professional civil company, public notary associates, joint ventures established according to the law, and any association without legal personality established according to the Civil Code shall have the obligation to conclude and register an association contract.
185. The associate assigned according to the provisions of art. 86 par. (2) let. e) of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, shall have also the following obligations:
- to ensure the organization and management of accounting records;
- to determine net income / loss obtained in the association as well as the distribution of the net income / loss on associates;
- to submit a estimate income and expenditure statement on the deadlines established to the fiscal body in which fiscal records is recorded the association;
- to register the association contract as well as any amendments to this one to the fiscal body in which fiscal records the association is recorded, in term of 15 days from the date of the contract conclusion. By association location is understood the main operation premises of the association;
- to represent the association during the inspections carried out by the fiscal bodies as well as for the submission of objections, appeals, complaints on audit reports drawn up by the fiscal bodies;
- to respond to all requests of the fiscal body both concerning the association and the of associates, which are in connection with the activity developed by the association;
- to keep the Register for the recording of the contribution of the associates and the distribution of the financial result on associates;
- other obligations arising from the application of title III of the Law no 571/2003 on the Fiscal Code, as amended and further completed.
Fiscal Code:
(3) Where the members associated with family related to the fourth grade, including the parties are obliged to prove that participate in the income of goods or rights which have ownership. May be associate members and individuals who have acquired the capacity to exercise restricted.
(4) Associations are required to submit to the competent tax, until March 15 next year, annual statements of income, according to the model established by the Ministry of Finance, which will include the distribution of net income / loss on associates.
Methodological Norms:
186. Association, through its assigned associate, shall submit until March 15 of the next year, to the fiscal body in which records the association is registered, the association annual net income/loss statement as well as a statement containing the distribution of the relevant net income/loss on each of the associates.
A copy of the statement shall be communicated by the assigned associate to each of the other associates. Based on this copy, the associates shall record in their income statements, the net income/loss distributed to them following the association activity.
Fiscal Code:
(5) Annual income/loss, both in the association, distributed to members in proportion to the percentage rate of participation appropriate contribution, according to the contract of association.
Methodological Norms:
187. Net income shall be considered to be distributed either it remains within the association or it is made available to associates.
188. If associates' shares are modified during the year, the net annual income distribution shall be made as follows:
a) net intermediary revenue / loss shall be determined at the end of the month during which the shares have been modified, based on the gross income and expenditure, as they have been recorded in the accounting records;
b) net intermediary revenue / loss shall be distributed to each associate, depending on its shares, for the period until they have been changed;
c) at the end of the year, from the annual net income / loss shall be deducted the intermediary net income / loss, and the difference obtained so shall be distributed to the associates, depending on their shares held subsequently to their change;
d) annual net income / loss distributed to each associate shall be determined by summing the intermediary net income/loss determined according to letters b) and c).
Fiscal Code:
(6) Tax treatment of income from the association, in cases other than associating with a person, will be in the same manner as for revenue category in which it is employed.
(7) Profit/income due to a natural person, in association with a Romanian legal person, a micro-enterprise which does not generate a legal person, determined in compliance with the rules established in Title IV is treated as such, for the purpose of requiring the individual level, income from independent activities, which is deducted from mandatory contributions in order to obtain net income.
(8) Tax retained legal person in person, for earnings of a combination with a Romanian legal person who is not a legal person, is prepay in annual tax revenue. The Romanian legal person is require to compute, withhold and transfer the tax, determined in accordance with the methodology set out in legislation on tax or income of micro-enterprise.
Methodological Norms:
189. Individuals obtaining profits from an activity carried out in association with a Romanian legal person on form of micro-enterprise without legal personality, shall have the obligation to assimilate this distributed income from association with the gross income from independent activities. Net income shall be determined by deducting from the gross income the mandatory contributions provided by law which are owed by the individuals.
Fiscal Code:
CHAPTER 12
International fiscal aspects
Incomes of non-resident natural persons from independent activities
ART. 87
(1) Non-resident natural persons who carry out an independent activity through a permanent location in Romania are taxed as provided in the present title on the net income from the independent activity that is attributable to the permanent location.
(2) Net income from an independent activity that is attributable to a permanent location is determined according to art. 48, , under the following conditions:
a) only incomes that are attributable to the permanent location are included in taxable incomes;
b) only expenses related to the realization of such incomes are included in deductible expenses.
Methodological Norms:
190. For the incomes obtained by a non-resident from independent activities attributable to a permanent location defined as in art. 8 from the Fiscal Code, the tax shall be assessed by applying the tax quote on the taxable annual income of the non-resident.
191. To compute the tax on the incomes from independent activities other than those provided in art. 52 from the Fiscal Code, the amounts representing anticipatory payments in the account of the annual tax on the income shall be assessed by the fiscal body under which territorial jurisdiction is mainly or entirely obtained the income.
192. After the end of the fiscal year, the fiscal body above mentioned in par. 191 shall issue the tax decision for the entire activity developed in Romania during the fiscal year and shall issue the document attesting the income obtained and the tax paid.
Fiscal Code:
Incomes of non-resident natural persons from dependent activities
ART. 88
Non-resident natural persons who carry out dependent activities in Romania are taxed according to the provisions of chapter III of the present title, only if at least one of the following conditions is satisfied:
a) the non-resident natural person is present in Romania for a period or periods which exceed in total 183 days during any period of 12 consecutive months that ends in the calendar year in question;
b) the salary incomes are paid by or on behalf of an employer that is a resident;
c) the salary incomes are a deductible expense of a permanent location in Romania.
Methodological Norms:
193. Incomes obtained by non-resident individuals from dependent activities developed in Romania shall be taxed distinctly on each source of obtaining, the monthly tax computed according to par. 194 being the final one. After the end of the fiscal year, the fiscal body shall issue the document attesting the income obtained and tax paid for the relevant fiscal year, upon the request of the taxpayer.
Non-resident professors and researchers developing an activity in Romania for a period exceeding the exemption period established by the conventions for the avoidance of double taxation concluded by Romania with different States, shall be taxed for the incomes obtained during the time interval exceeding the exemption period provided by title III.
194. a) Incomes from salary obtained by individuals provided in art. 88 letter a) from the Fiscal Code, developing their activity in Romania, shall be taxed on case the individual shall be in Romania for one or more periods of time which, in total, exceed 183 days in any period of 12 consecutive months, ending in the calendar year in question.
b) Incomes from salary obtained by non-resident individuals working in Romania and present in Romania for a period of less than 183 days in any period of 12 consecutive months ending in the calendar year in question shall be taxed in Romania of at least one of the following conditions is met:
- salary is paid by, or on behalf of, a resident employer;
- salary is paid by a permanent location held by the non-resident employer in Romania (salaries represent the deductible expense of the permanent location in Romania).
c) Incomes from salary shall be taxed starting with the first day subsequent to the arrival of the individual in Romania, proved by the entry visa to Romania affixed on the passport.
In determining the tax, the principle of the 183 days ending in the calendar year concerned shall be taken into consideration. The calculation of those 183 days shall be made by applying the method of attendance days number. The taxpayer shall have the possibility to provide evidence about its presence, based on data from the transportation documents, passport and other documents attesting its entry in Romania. In calculating the 183 days shall be included the following: the day of arrival, the day of departure and all the other days spent in Romania. Any fraction of a day in which the taxpayer is present in Romania shall be considered as day of presence to the purpose of computation of the 183 days of presence.
195. Taxpayers provided in par. 194 shall have the obligation to address to the fiscal body on which territorial jurisdiction develops the activity, in 15 days from the date of activity commencement, in order to be establish the fiscal regime applicable to the incomes obtained from the relevant activity in accordance with the provisions of conventions for the avoidance of double taxation concluded by the Romanian Government with other countries.
Thus, the taxpayer shall submit to the fiscal body, as the case may be, the following:
- application;
- copy of the document governing the employment relation and its translation into Romanian, certified by authorized translators;
- fiscal residence certificate issued by the competent fiscal authority in the origin country or another document proving its fiscal residence signed and sealed by the competent fiscal authority in the origin country, translated and authenticated by the authorized body in Romania;
- document certifying the right to work on Romanian territory, respectively, the work permit.
If non-resident individuals do not show tin the term set forth in the documents provided in the preceding paragraph, they shall owe tax on the incomes from salary from the first day of their activity development. In case the relevant persons shall subsequently submit the required documents, the fiscal body shall make the adjustment of the tax paid.
196. In case the taxpayers paid from abroad by their non-resident employer shall extend the period of presence in Romania as well as those having, following repeatedly entries, over 183 days in Romania shall have the obligation to inform in writing the competent fiscal body about the exceeding of this term, case in which they shall owe tax on the incomes obtained from the activity developed in Romania from the first day of their presence in Romania.
197. In case the individuals developing their activity in Romania for a period of less than 183 days within any period of 12 consecutive months ending in the calendar year concerned, and having been paid from abroad, shall extend their period of stay in Romania for more than 183 days, tax on incomes from salary shall be due from the first day of their arrival in Romania. In such case the taxpayer shall submit to the competent fical body, monthly fiscal declarations, which shall include the monthly incomes obtained during the period previous to the extension period of the stay in Romania, in 15 days since the last day of the 183-days period expired.
In case the income beneficiary obtained a salary as a global amount for a certain period, after the expiry of the 183-days period, the amounts listed in the declarations may be set as monthly average, thus, the global amount of the salary declared divided to the number of months in that period.
198. Individuals obtaining incomes from Romania and residing in a contracting State, with which Romania has concluded convention to avoid double taxation, shall be taxed in Romania under Title III from the Fiscal Code for the incomes obtained other than those subject to the taxation under Title V from the Fiscal Code when they do not submit the fiscal residence certificate or other document proving his/her fiscal residence.
Under the same conditions and for the same categories of incomes shall also be taxed the individuals obtaining incomes from Romania and being residents of countries with which Romania has not concluded agreements to avoid double taxation.
199. In case there are agreements to avoid double taxation, individuals with dual citizenship - Romanian and of a State with which Romania has concluded convention to avoid double taxation - with residence in Romania, shall be taxed in Romania, according to our taxation law corroborated with the provisions of the Convention to avoid double taxation.
For the application of the provisions of conventions to avoid double taxation, the relevant individual shall submit to the Romanian tax authorities his/her fiscal residence certificate or other document proving his/her fiscal residence accompanied by their translation into Romanian, certified by authorized translators.
To determine whose resident is the relevant individual, the taxpayer shall produce the prove of the "centres of vital interests", therefore, he shall submit to the fiscal body the documents required to prove that the incomes obtained in the other State are higher than those obtained in Romania, reason for which the tax authority of the origin State reserves its right to consider him/her fiscal resident to the purpose of taxation of the incomes from all the world, in which case his/her taxation in Romania shall be made only for the incomes from Romania.
By required documents shall be understood: copies of tax decisions of the other state, statement on own liability concerning the situation of children attending school, the wealth, of the family if necessary, and others. If the incomes from another State are not at the level that would lead to the granting of fiscal residence in this State and Romanian tax authority considers that the conditions for taxation of the relevant incomes in Romania are met, the taxpayer shall be taxed in Romania for the incomes obtained in the entire world and, through information exchange, the competent Romanian authorities and those of the other State shall inform each-other on this case.
200. Romanian individual taxpayers living abroad who maintain their residence in Romania shall be taxed in Romania for the taxable incomes under the provisions of Title III from the Fiscal Code, obtained both in Romania and abroad, shall fulfil their tax obligations directly or through a fiscal representative empowered in this regard.
201. Foreign citizen refugees present in Romania, according to specific authorizations granted to them, shall be taxed for the incomes obtained on the Romanian territory.
Fiscal Code:
Other incomes of non-resident natural persons
ART. 89
(1) Non-resident natural persons who obtain incomes other than those provided in art. 87, 88 and title V are to pay tax as provided in the rules of title.
(2) Incomes subject to taxation from the categories mentioned in par. (1), are to be determined for each source, according to the specific rules of each category of income and the tax is final.
(3) Except for the payment of the income tax by withholding at source, taxpayers non-resident natural persons who realize incomes from Romania according to the present title are required to declare and pay the tax corresponding to each income source, either directly or through a fiscal representative, according to the Government Ordinance no. 92/2003 on the Fiscal Procedure Code, republished as subsequently amended and completed.
Methodological Norms:
201^1. Non-resident individuals obtaining incomes from Romania and having according to the present title the obligation to declare them, shall submit the income statements to the competent fiscal body defined according to the applicable law in force.
Fiscal Code:
Incomes obtained from abroad other then those provided in art. 41 letter a), c) and f)
ART. 90
(1) Natural persons under art. 40 par. (1) let. a) and those who satisfy the conditions of art. 40 par. (2) shall owe tax on the incomes obtained from abroad other than those provided in art. 41 letter a), c) and f).
(2) The incomes realized from abroad are subject to tax by applying the rates of tax to the computation base determined under the rules for each category of income, based on the nature of the income.
(3) Taxpayers who obtain incomes from abroad according to par. (1) are required to declare such incomes, according to the specific declaration, before May 15th of the year that follows the year in which the income is realized.
(4) The fiscal body is to determine the annual tax that is payable and is to issue a tax decision during the period of time and in the manner established by an order of the Minister of Public Finance.
(5) Tax differences remained to be paid according to the annual tax decision shall be paid in maximum 60 days from the date of the communication of the tax decision, for this period not being computed and due the amounts determined according to the regulations in this matter concerning the collection of the budgetary receivables.
Methodological Norms:
202. For the incomes from pensions and for assimilated benefits obtained from abroad, for which Romania has the right to tax them, taxpayers shall have the obligation to fill in and submit a special declaration, namely, "Statement of incomes from abroad whose taxation in Romania is final."
The tax owed in Romania shall be assessed by applying the taxation quote to the annual gross income diminished by the monthly non-taxable amount established according to the provisions of art. 69 from the Fiscal Code, computed at the level of the entire year.
Fiscal Code:
External fiscal credit
ART. 91
(1) Taxpayers resident natural persons who, for the same income and during the same taxable period, are subject to income tax both on the territory of Romania and abroad, have the right to deduct from the income tax payable in Romania the tax paid abroad, hereinafter called the external fiscal credit, within the limits provided in the present article.
(2) The external fiscal credit is to be allowed provided that the following conditions are cumulatively satisfied:
a) the tax paid abroad for income obtained abroad was actually paid directly by the natural person or by his/her legal representative, or withheld at source by the payer of income. The payment of the tax abroad is to be proved with a justifying document issued by:
1. the fiscal authority of such foreign state;
2. the employer, in the case of incomes from salaries;
3. the other payer of income, for other categories of incomes;
b) the income for which the fiscal credit is allowed is included in one of the categories of incomes provided in art. 41.
(3) The external fiscal credit is to be allowed at the level of the tax paid abroad, related to the income from the source from abroad, but is not to exceed the share of the income tax payable in Romania, related to the income from abroad. In situations where the taxpayer obtains incomes from abroad from several states, then the external fiscal credit that is allowed to be deducted from the tax payable in Romania is to be computed, according to the above-mentioned procedure, for each country and each category of income.
(4) Incomes obtained from abroad other then those provided in art. 41 letter a), c) and f), by the individuals provided in art. 40 par. (1) letter a) and those meeting the condition provided in art. 40 par. (2), shall be subject of taxation in Ro9mania, being recognized the tax paid abroad in form of the external fiscal credit but limited to the amount of the tax collectable in romania for the relevant income.
(5) In order to compute the external fiscal credit, amounts denominated in foreign currency are to be converted at the annual average exchange rate of the foreign currency market in the year of realization of the income, as communicated by the National Bank of Romania. Incomes from abroad obtained by resident natural persons, as well as the related tax, denominated in monetary units of such state, but which are not quoted by the National Bank of Romania, are to be converted as follows:
a) from the monetary units of the state of source into a foreign currency of international circulation, such as US dollars or euro, by using the rate of exchange of the foreign country from the state of source;
b) from the foreign currency of international circulation to lei, by using an average annual exchange rate of such currency, as communicated by the National Bank of Romania, from the year of realization of such incomes.
Methodological Norms:
203. The following individuals shall be subject to taxation in Romania for the incomes from any source, both from Romania and from abroad:
- Romanian individuals resident with domicile in Romania;
- individuals provided in art. 40 par. (2) of the Fiscal Code.
In case for the incomes provided in art. 41 letters a), c) and f) from the Fiscal Code obtained from abroad, the relevant State has exercised its right to taxation, the relevant individuals shall be entitled to deduct from the tax on income due in Romania the tax on income paid abroad for each source of income, according to the provisions of the Fiscal Code.
The incomes from abroad obtained by the taxpayers provided in art. 40 par. (1) letter a) from the Fiscal Code and those provided in art. 40 par. (2) from the Fiscal Code as well as the related tax which payment abroad is attested by the justifying document issued by the tax authority of the relevant foreign State, by the employer or by other payer of incomes, expressed in the own currency of each of the relevant States shall be converted into lei at the average annual exchange rate communicated by the National Bank of Romania for the year when relevant incomes have been obtained.
204. The tax paid abroad which is deducted from the tax on income owed in Romania shall be limited at that share of the tax owed in Romania.
By incomes obtained from the entire world shall be understood the amount of the incomes taxable obtained from Romania and from abroad which are included in the categories of incomes obtained by the individuals, provided in art. 40 par. (1) letter a) from the Fiscal Code and those meeting the condition provided in art. 40 par. (2) of the Fiscal Code.
For the incomes provided in art. 41 letters a), c) and f) from the Fiscal Code, which have been considered abroad as obtained from the entire world, the external fiscal credit for each of these incomes shall be limited to the tax on income computed by applying the taxation average quote from abroad to each source of income obtained abroad but not exceeding the taxation quote provided in title III from the Fiscal Code related to the relevant income.
The taxation average quote shall be computed as follows:
tax paid abroad
Taxation average quote = ----------------------------------- .
global income obtained from abroad
The global income obtained from abroad represents all the categories of incomes which, by law of the relevant State, shall be globalized abroad.
205. For the incomes obtained abroad not globalized in view of their taxation, the external fiscal credit shall be limited to the tax on income from abroad but not exceeding the tax on income due for a similar income in Romania according to the Fiscal Code.
206. If the amount of the external fiscal credit is greater than the tax paid abroad, the amount of this tax shall be recognized as being deductible. If the amount of the external fiscal credit is less than the tax paid abroad, the amount recognized as being deductible and representing the external fiscal credit shall be computed according to point 204.
207. The external fiscal credit shall be computed by the fiscal body distinctly for each source of incomes. If the incomes from abroad of the taxpayer in question are obtained from several countries, the external fiscal credit allowed to be deducted from the tax due in Romania shall be computed according to the above procedure for each source of income and each country.
208. In case of incomes mentioned in art. 41 letters d), e), g) and h) from the Fiscal Code, the external fiscal credit shall be granted for each similar income from Romania. External fiscal credit for incomes from abroad, whose taxation in Romania is final, shall be granted as follows:
a) in case the taxation quote from abroad is higher than that provided in title III from the Fiscal Code, for a similar income, the external fiscal credit shall be limited to the tax on income computed by applying the quote provided in this title;
b) in case the taxation quote from abroad is lower than the tax for a similar income in Romania, the external fiscal credit shall be computed as difference between the tax on income computed by applying the taxation quote provided in title III from the Fiscal Code and the tax on income paid abroad for the income obtained abroad.
For the incomes provided in art. 41 letters d), e), g) and h) from the Fiscal Code, the external fiscal credit shall be granted according to the provisions of point 205.
209. The natural persons provided in art. 40 par. (1) letter a) from the Fiscal Code and those provided in art. 40 par. (2) from the Fiscal Code, developing abroad activity for salary and paid for such activity by the Romanian employer, shall be taxed in Romania for the incomes obtained from the activity for salary developed abroad.
Incomes from salary provided in art. 41 letter b) from the Fiscal Code, not taxable in Romania, shall not be subject of the external fiscal credit.
210. In view of completion of the taxation, at the end of the fiscal year concerned, the person in question shall submit to the fiscal body in which territorial jurisdiction is his/her fiscal domicile, the justifying document related to the income obtained and the tax paid, issued by the competent body in the country where the relevant income has been obtained, in order to be granted the external fiscal credit according to the provisions of these methodological norms.
On the occasion of granting of the external fiscal credit, the tax owed by the person in question shall be assessed.
Fiscal Code:
External fiscal losses
ART. 92
(1) Fiscal losses of the taxpayers, resident individuals, from a foreign State are to be offset only by incomes of the same nature from abroad, for each country, recorded during the same fiscal year.
(2) Loss which is not covered, under par. (1) shall be carried over for a period of 5 consecutive fiscal years and shall be offset only by incomes of the same nature and source from that State.
Methodological Norms:
211. Rules for the carry-over of the losses recorded abroad are those provided in art. 80 par. (4) of the Fiscal Code.
Fiscal Code:
TITLE IV
Tax on incomes of micro-enterprises
Definition of micro-enterprises
ART. 103
For purposes of this title, a micro-enterprise is a Romanian legal person that cumulatively satisfies the following conditions on December 31st of the preceding fiscal year:
a) obtain incomes other than those from consulting services and management, of more than 50% of total incomes;
b) has from 1 to 9 employees including;
c) obtained incomes that have not exceeded the equivalent in lei of 100,000 euros;
d) the social capital of the legal person is owned by persons other than the state, local authorities and public institutions.
Methodological Norms:
1. The number of employees is the number of people employed by individual employment contract, according to the provisions of the Labour Code, regardless the duration of working schedule, recorded monthly in the payroll and/or General Register of Employees.
2. Upon the analysis of the condition concerning the number of employees shall not be taken into account the cases of cessation of employment contracts following retirement or termination of individual employment contract due to committing of acts which by law are sanctioned in this manner, too. For the legal persons having a sole employee who shall resign during a month, the condition provided in art. 103 letter b) from the Fiscal Code shall be considered as met if during the next month another employee is hired.
3. In the regard of the condition concerning the incomes obtained in the previous year, it shall be taken into consideration the same incomes with those constituting the taxation base provided in art. 108 from the Fiscal Code, and the exchange rate for determination of the equivalent in Euro shall be the exchange rate valid on the date of the closing of he same fiscal year.
3^1. The condition provided in letter a) of art. 103 of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, which shall come into force on January 1, 2007, should be verified for the fiscal year 2008 based on the incomes obtained by the taxpayer in the fiscal year 2007, except the cases provided in art. 107^1 from the Law no 571/2003 on the Fiscal Code, as subsequently amended and completed. For the next fiscal years this condition shall be verified based on the incomes obtained in the previous fiscal year. Framing within the category of incomes from consultancy and management shall be made following the analysis of the contracts concluded.
4. In regard to the meeting of the condition regarding the share capital, the Romanian legal person having the share capital held by a shareholder or associate with over than 250 employees may not be considered as a micro-enterprise.
Fiscal Code:
Election to pay tax on incomes of micro-enterprises
ART. 104
(1) The tax regulated by the present title is elective.
(2) Micro-enterprises payers of the profit tax may elect to pay the tax regulated by the present title beginning with the following fiscal year, if the conditions provided in art. 103 are satisfied and if they never were payers of the tax on incomes of micro-enterprises.
(3) A Romanian legal person which is not new established may opt to pay the tax on micro-enterprise incomes starting with the first fiscal year in case the requirements provided in art. 103 let. a) and d) are satisfied on the date of registration with the trade registry and the condition provided in art. 103 lett. b) is satisfied on or before the 60th day after the date of registration.
(4) Micro-enterprises payers of the tax on incomes of micro-enterprises are no longer to apply such system of taxation beginning with the fiscal year that follows the year in which the conditions provided in art. 103 are no longer satisfied. 103.
(5) Romanian legal persons may not elect the system of taxation regulated by the present title if:
a) they carry out activities in the field of banking;
b) they carry out activities in the fields of insurance and re-insurance, capital market, with the exception of legal persons that carry out activities of intermediaries in such fields;
c) they carry out activities in the fields of gambling, sports betting, casinos;
d) their social capital is owned by a shareholder or partner that is a legal person with over 250 employees.
(6) Micro-enterprises payers of the tax on incomes of micro-enterprises may elect to pay the profit tax beginning with the following fiscal year. This election may be made until January 31st of the fiscal year following the year in which the tax on incomes of micro-enterprises was payable.
Methodological Norms:
5. For purposes of par. (4) and (6) of art. 104 from the Fiscal Code, the exist from the micro-enterprise incomes taxation system shall be made starting with the year following to that during which the conditions set forth in art. 103 from the Fiscal Code are no longer met, or during which such option has been exercised.
For the purposes of art. 104 par. (6) from the Fiscal Code, the option may be exercised also by the taxpayers who on December 31, 2004, met the conditions for being micro-enterprises as they are provided in art. 103 of the Fiscal Code.
6. In case the employment is not done in 60 days from the date of issuance of the certificate of registration, the micro-enterprises shall be payer of the tax on profit starting with the date of its registration with the Trade Register. Period of 60 days should be extended in the year following to that for which the option was exercised, as appropriate.
7. For purposes of art. 104 par. (4), of during the fiscal year one of the conditions provided in art. 103 from the Fiscal Code is no longer met, the taxpayer shall have the obligation not to apply the tax on income starting with the next fiscal year even if subsequently meets the criteria provided in art. 103 letters b) and c).
8. Legal persons which may not opt for this system of taxation are:
a) legal persons established and operating according special laws for the establishment and operation in banking field (banks, exchange offices, mortgage credit institutions, credit cooperatives, etc.);
b) legal persons established and operating according special laws for the establishment and operation in insurance (by instance: insurance-reinsurance companies), and capital market (by instance: stock exchange companies, investment firms and asset management companies, register companies, depository companies), except those acting as intermediaries in the above mentioned fields (brokers and insurance agents);
c) legal persons acting in gambling, sports betting and casinos field.
Fiscal Code:
Fiscal year
ART. 106
(1) The fiscal year of a micro-enterprise is the calendar year.
(2) In the case of a legal person that is established or ceases to exist, the fiscal year is the period during the calendar year in which the legal person existed.
Methodological Norms:
9. In case of the establishment of a micro enterprise in a fiscal year, the taxable period shall begin from the date of its registration with the trade register, if having this obligation, or from the date of registration in the special register kept by judges, as the case may be.
10. In case of liquidation of an micro enterprise during a fiscal year, the taxable period shall cease on the date of its removal from the register in which its establishment has been registered.
Fiscal Code:
ART. 107^1
By exception from provisions of par. 109 par. (2) and (3), if, during a fiscal year, a micro enterprise obtains incomes bigger than 100,000 Euro or the weight of the incomes obtained from consultancy and management in the total incomes is of over 50% inclusive, this micro enterprise shall pay tax on profit by taking into account the incomes and expenses had starting with the beginning of the year, without having the possibility to benefit of the provisions of the present title for the following period. Computation and withholding of the tax on profit shall be performed starting with the quarter in which any of the limits provided in this article have been exceeded without being owed delay penalties. In determining the payable profit tax the payments representing the tax on the incomes of the micro-enterprises made during the fiscal year are to be deducted.
Methodological Norms:
10^1. In case during the fiscal year, a micro enterprise obtains incomes bigger than 100,000 Euro or the weight of the incomes obtained from consultancy and management in the total incomes obtained is over 50%, the micro enterprise shall owe tax on profit starting with the quarter during which this limit or weight has been exceeded, following taking into account of the incomes and expenses incurred starting with the beginning of the fiscal year. The taxpayer shall inform the fiscal body concerning the modification of the type of tax owed by submitting in this purpose the specification declaration according to the Government Ordinance no 92/2003 on the Fiscal Procedure Code, republished as subsequently amended and completed.
In the regard of the condition concerning the incomes obtained during the fiscal year, including in order to establish the weight of the incomes obtained from consultancy and management in the total incomes, it shall be taken into consideration the same incomes with those constituting the taxation base provided in art. 108 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
The exchange rate LEU/EUR necessary to determine the equivalent in Euro of the incomes obtained by the micro enterprise shall be that communicated by the National Bank of Romania for the last day of each month of the period to which refers the relevant income.
The tax on profit owed by the taxpayer, starting with the quarter in which the limit provided in art. 107^1 from the Law no 571/2003 on Fiscal Code as subsequently amended and completed was exceeded shall represent the difference between the tax on profit computed starting with the beginning of the fiscal year until the end of the reporting period and the tax on micro enterprise incomes owed for the relevant fiscal year.
Fiscal Code:
Taxable base
ART. 108
(1) The taxable base of the tax on incomes of micro-enterprise is incomes from any source, from which are subtracted:
a) incomes from variation of inventory;
b) incomes from the production of tangible and intangible assets;
c) incomes from operations representing the share-part of government subsidies and other resources for the financing of investments;
d) incomes from provisions;
e) incomes resulting from the cancellation of payables and additions payable to the state budget, that were not deductible expenses in computing taxable profit, according to legal provisions;
f) incomes realized from compensations, from insurance companies, for damages to own tangible assets.
(2) In the case of a micro-enterprise that acquires electronic cash registers, the acquisition value of such registers is to be deducted from the taxable base, in accordance with the justifying document, for the quarter in which the electronic cash registers were put into operation, as provided by law.
Methodological Norms:
11. Micro enterprises payers of tax on incomes shall organize and manage the accounting according to the Simplified Accounting Regulations, harmonized with the EU directives.
12. Taxation base on which shall be applied the quote of 1.5% is the total quarterly incomes recorded in the credit accounts of Class 7 "Income accounts", except those recorded in:
- "Inventory Variation" account;
- "Incomes from the production of intangible non-current assets" account;
- "Incomes from the production of tangible non-current assets" account;
- "Other operating incomes" analytic account representing incomes from the share of government subsidies and other similar resources used to finance investments;
- "Incomes from provisions for operating activities" and "Financial incomes from provisions" accounts;
- "Incomes from indemnifications granted by the insurance companies for damages caused to the own tangible assets" account, and
- "Incomes arising from cancellation of debts and penalties due to the state budget", not representing deductible expenses for the computation of the tax on profit, according to the legal regulations.
13. Favourable differences from the exchange rate resulting from the assessment of receivables and debts in foreign currency existing on 31st of December 2002, recorded in the "Financial Result" account are taxable incomes from the cashing of the receivables and payment of debts.
14. When calculating the tax on incomes owed by the micro enterprises ceasing their existence following the division, dissolution or liquidation the following shall not be taxed: net profit used for establishment of provisions, provisions established from favourable differences from exchange rate related to the share capital paid up or recorded in foreign currencies, and the amounts generated by reductions of the tax quote applied to profit which are used, according to the law, as own financing sources during the functioning of the companies which have been payers on tax on profit.
15. In case cash registers are purchased, from the taxation base shall be subtracted the value of these cash registers according to the justifying documents, in the month of their putting into service. Putting into service shall be according to the legal provisions.
Fiscal Code:
Procedure to declare election
ART. 109
(1) Legal persons payers of profit tax are to communicate the election to the territorial fiscal bodies at the beginning of the fiscal year, by submitting a declaration of specifications for legal persons, family associations and associations without legal personality, on or before January 31st.
(2) Legal persons that are established during a fiscal year are to indicate such election on the application of registration with the trade registry. This option shall be final for the relevant fiscal year and for the following fiscal years as long as the legal persons shall met the conditions set forth in art. 103.
(3) In the case where, during a fiscal year, one of the conditions is no longer satisfied, the micro-enterprise is required to maintain such regime of taxation for such fiscal year, without the possibility of benefiting from the provisions of the present title for a following period, even if subsequently the conditions provided in art. 103 are satisfied. 103.
(4) Micro-enterprises that carry out activities in free zones and/or in disadvantaged zones may also elect to pay the tax regulated by the present title.
Methodological Norms:
16. The option shall be included in the application to register with the Trade Register and shall be final for the relevant fiscal year and the following fiscal years, as long as the conditions laid down in art. 103 of the Fiscal Code. The legal persons, payers of tax on profit, may opt for the tax on incomes only at the beginning of the fiscal year, if at the end of the previous fiscal year the conditions provided in art. 103 from the Fiscal Code have been met ad they have not been payers of tax on micro enterprise incomes during their functioning.
Option shall be communicated to the territorial fiscal bodies at the beginning of the fiscal year, by the submission of the Specifications Declaration for legal persons, family associations and associations without legal personality, until January 31 inclusively.
Also legal persons operating in free zones and / or disfavoured areas may opt for the taxation regime.
Fiscal Code:
Taxation of natural persons associated with a micro-enterprise
ART. 111
In the case of an association without legal personality between a micro- enterprise payer of tax, according to the present title and a natural person, resident or non-resident, the micro-enterprise is required to compute, withhold and pay to the state budget tax owed by the natural person, which computed by the application of a rate of 1.5% to the incomes received by the person from the association.
Methodological Norms:
17. The individual resident shall pay the final tax on the incomes from the association in accordance with the provisions of title III from the Fiscal Code.
Fiscal Code:
TITLE V
Tax on incomes obtained from Romania by non- residents and tax on foreign representative offices established in Romania
CHAPTER 1
Tax on incomes obtained from Romania by non-residents
Taxable incomes obtained from Romania
ART. 115
(1) Taxable incomes obtained in Romania, regardless they are received in Romania or abroad, shall be the following:
a) dividends from a Romanian legal person;
b) interest from a resident;
c) interest from a non-resident that has a permanent location in Romania, if the interest is an expense of the permanent location;
Methodological Norms:
1. Incomes in the form of interests, fees or commissions of non-residents representing expenses attributable to the permanent location in Romania of a non-resident shall be incomes taxable in Romania under title V from the Fiscal Code.
Fiscal Code:
d) royalties from a resident;
Methodological Norms:
2. (1) The term of royalty refers to any amount which should to be paid in cash or in kind for the use or the right to use any property or property right provided in art. 7 par. (1) pt. 28 from the Fiscal Code, regardless the amount should or should not be paid according to a contract or following the violation or unlawful use of the property rights of other person.
(2) In the case of a transaction involving the transfer of software, to consider the amount to be paid as royalty shall depend on the nature of transferred rights.
(3) In case of a transfer of a partial right from a copyright for software, the amount to be paid shall be a royalty if the acquirer gets the right to use that software so that the absence of this right constitutes a violation of the copyright. An example of such transactions is transfers of rights to reproduce and distribute to the public any software, as well as transfers of the right to modify and publicly disclose any software.
(4) The analysis of the character of a transaction involving the transfer of right for software shall not take into account the right to copy a program solely for the purpose of enabling the effective operation of the program by the user. Accordingly, an amount payable shall not be a royalty if the only right transferred is a limited right to copy a program, in order to allow the user to exploit it. The same result shall apply to the transfer of "network or website related rights", when the receiver obtains the right to make multiple copies of a program, solely in order to allow operation of the program on multiple computers or on the network or the receiver.
(5) In case of acquisition of all rights from a copyright for software, the amount to be paid shall not be paid for the use or right to use that software, therefore, it shall not be considered as a royalty.
(6) The amount to be paid for the use or right to use ideas or principles relating to a software, such as logical schemes, algorithms or programming languages, shall be considered as royalty.
(7) For the purposes of this norm, software is any program or series of programs containing instructions for a computer, both for computer operation (operating software) and for the fulfilment of other tasks (software application).
(8) a) In a transaction allowing a person to download electronic images, sounds or texts, the amount to be paid shall not be considered as royalty if the use of these materials is limited to the rights necessary to enable downloading, storing and operation on the computer, network or any other storing, operating or display equipment of the user. Conversely, the amount payable for the transfer of the right to reproduce and publicly disclose a digital product shall be considered as royalty.
b) transactions allowing to the client to electronically download digital products may lead to the use of the copyright by the client because a right to make one or more back-up of the digital contents shall be granted by contract. When the payable amount is paid mainly for something else than the use or the right to use the copyright, as for getting of other types of contractual rights, data or services, and when the use of the copyright is limited to the rights necessary to download, store and operate on computer, network or other storing, running and designing equipment of the client, this use of the copyright should not affect the analysis of the payable amount nature in view of applying to it the definition of the "royalty".
c) payment for transactions made for obtaining the right to use the copyright for a digital product downloaded electronically shall be considered as royalty. This would be the case of a print house paying to obtain the right to reproduce a photo protected by the copyright, which it shall download electronically to the purpose of its inclusion on the cover of a book printed by it. In this transaction the essential motivation of the payment to be made is the acquiring of the right to use the copyright for the digital product thus the right to reproduce and distribute that photo and not only the simple acquiring of its digital contents.
(9) In case of a contract involving the use or the right to use any property or property right provided in art. 7 par. (1) pt. 28 from the Fiscal Code, as well as the transfer of another property or service, the amount to be paid according to the contract should be divided on different parts of the contract based on the contractual conditions or on a reasonable division, to each part of the contract being to be applied the proper fiscal treatment. If, however, some of which is to be ensured by the contract is by far the main purpose of the contract, the other part of the contract being ancillary, the fiscal treatment applied to the main part of the contract shall be applied to the entire amount payable under the contract.
(10) Royalty shall be considered the amount payable following a know-how contract, on which basis the seller accepts to share its knowledge and expertise to the buyer so that the buyer to be able to use them in its interest and not to disclose them to the public. Meanwhile the seller shall not play any role in the application of the knowledge made available for the buyer and shall not warrant the results of its application.
(11) In case of service contract where one of the parties undertakes to use its knowledge to perform a work in the benefit of the other party, the amount to be paid for shall not be considered as royalty.
Fiscal Code:
e) royalties from a non-resident that has a permanent location in Romania, if the royalty is an expense of the permanent location;
f) commissions from a resident;
g) commission from a non-resident that has a permanent location in Romania, if the commission is an expense of the permanent location;
h) incomes from sporting or entertainment activities carried out in Romania, regardless whether the incomes are received by the persons that actually participates in the activity or by other persons;
i) incomes from providing management, intermediation or advisory services in any field, in case these incomes are obtained from a resident or are expenses of a permanent location in Romania;
Methodological Norms:
3. Incomes obtained in Romania from management, intermediation or advisory services in any field, not performed in Romania, or incomes representing expenses attributable to a permanent location in Romania of a non-resident, shall be taxable under Title V of the Fiscal Code when conventions for the avoidance of the double taxation are not concluded between Romania and the residence State of the beneficiary of the income, or when the beneficiary of income does not submit the document proving its fiscal residence.
Fiscal Code:
j) incomes representing remuneration received by non-residents that have the capacity of an administrator, founder or member of the administrative council of a Romanian legal person;
k) incomes from services rendered in Romania;
l) incomes from independent professions carried out in Romania - doctor, lawyer, engineer, dentist, architect, auditor or other similar professions - in the case where the incomes are obtained in other conditions than through a permanent location or during a period or periods that exceed in total 183 days during any period of 12 consecutive months ending in the calendar year in question;
m) incomes from pensions received from the social security budget or from the state budget, to the extent that the monthly pension exceeds the threshold provided in art. 73;
n) incomes from international air, maritime, rail or road transportation, developing between Romania and a foreign State;
o) incomes from prizes granted at contests organized in Romania;
Methodological Norms:
4. By competitions organized in Romania shall be understood competitions organized in any field in Romania.
Fiscal Code:
p) revenues obtained from gambling practiced in Romania, for every gamble, from the same organizer in a single day of the gambling.
Methodological Norms:
5. Incomes obtained from gambling shall represent the cash and/or in kind earnings granted to participants by any Romanian legal person authorized to organize and operate gambles.
Fiscal Code:
(2) The following taxable incomes obtained from Romania are not taxable as provided in the present chapter and are to be taxed according to title II or title III, as the case may be:
a) incomes of a non-resident that are attributable to a permanent location in Romania;
b) incomes of a foreign legal person obtained from immovable property located in Romania or from the transfer of participation titles in a Romanian legal person;
Methodological Norms:
6. Incomes from property consisting of real estates shall represent incomes from the sale and transfer of the right to use the real estate/estates or a part of the relevant property (by rental, concession or lease).
Fiscal Code:
c) incomes of a non-resident natural person from a dependent activity carried out in Romania;
d) incomes of a non-resident individual obtained from the rental or other form of transfer of the right to use a real estate propert of him/her, located in Romania, or from the transfer of shares held in a Romanian legal person.
Methodological Norms:
7. By trasfer of the right to use a real estate shall be understood also the lease or concession of the real estate property or of a part of this one.
Fiscal Code:
Withholding of tax from taxable incomes obtained from Romania by non-residents
ART. 116
(1) The tax owed by non-residents for taxable incomes obtained from Romania is to be computed, withheld and remitted to the state budget by the payers of incomes.
Methodological Norms:
8. (1) For the incomes obtained by the non-resident from Romania, the income payers shall have the obligation to compute and withhold the due taxes by withholding at source and remittance of them to the state budget on the deadline provided in art. 116 par. (5) of the Fiscal Code.
(2) In the cases provided in art. 115 par. (1) letters c), e), g) and i) from the Fiscal Code, the tax payer set forth in Title V from the Fiscal Code shall be the non-resident with permanent location in Romania in which accounting are recorded the relevant deductible expenses.
Fiscal Code:
(2) The tax owed is to be computed by applying the following rates to the gross income:
a) 10% for the incomes from interests and royalties in case the effective beneficiary of the incomes is a legal person resident in a Member State or a permanent location of an enterprise from a Member State located in another Member State; This taxation quote shall be applied during the transition period starting with the date of Romania Accession to European Union and until December 31, 2010, provided that the effective beneficiary of the interests or royalties holds a minimum of 25% of the value/number of shares in the Romanian legal person for an uninterrupted period of 2 years which shall end on the date of that interest or royalty payment.
b) 20% for the incomes from gambling provided in art. 115 par. (1) letter p);
c) 15% in the case of any other taxable incomes obtained from Romania, as specified in art. 115.
(3) For purposes of par. (2), the gross income shall be the income that would have been paid to a non-resident, if the tax had not been withheld from the income paid to the non-resident.
(4) By way of derogation from par. (2), tax to be held shall be computed as follows:
a) for the incomes representing remunerations received by non-residents with the capacity of administrator, founder or board of administration member of a Romanian legal persons, according to art. 58;
Methodological Norms:
8^1. The taxation quote for the incomes from interests and royalties provided in art. 116 par. (2) letter a) shall be applied to all incomes obtained from Romania. In this regard, a payment made by an enterprise from Romania or by a permanent location in Romania shall be considered as deriving from Romania. This provision shall be applied only in case the enterprise payer or the enterprise of which permanent location in Romania is considered as payer of interests or royalties is an association to the purpose of art. 124^20 from the Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, between it and the enterprise effective beneficiary or os which permanent location in Romania is considered as effective beneficiary of these interests or royalties.
The condition concerning the minimum period of 2 years for holding shares shall be understood according to the decision of the European Court of Justice delivered in related cases: Denkavit International BV, VITIC Amsterdam BV and Voormeer BV v Bundesamt fur Finanzen - C-284/94, C-291/94 and C-292/94, which means that:
If on the payment date, the minimum 2-years period of holding shares is not yet ended, the reduced taxation quote set forth in art. 116 par. (2) letter a) from the Fiscal Code shall not be applied.
In case the Romanian legal person or the permanent location in Romania may prove that the minimum period of holding shares has been fulfilled after the payment date, the relevant Romanian legal person or permanent location in Romania of an enterprise may request the refund of the taxes paid in exceeding.
9. The taxation of the incomes representing remunerations received by non-resident individuals for the activity carried out as administrator, founder or board of administration member of a Romanian legal person shall be under the provisions of Title III from the Fiscal Code.
9^1. the quote of 16% shall be applied also to other incomes of interest nature as: credit interests, interests related to financial leasing contracts, interests related to intra-group credits, and interests related to collateral deposits and escrow accounts established starting with January 1, 2007, inclusively, considered as interests for term deposits according to the Norms of the National Bank of Romania. For the interests related to collateral deposits, including escrow accounts, established previously to January 1, 2007, shall be applied the taxation quotes set forth in the fiscal law in force on the date of the relevant deposit/account establishment.
9^2. Renewal of the saving deposits/instruments shall be assimilated with the establishment of a new saving deposit/the purchase of a new saving instrument.
9^3. The tax on the capitalized interests shall be computed by the payer of such incomes at the moment of their recording in the current account or the deposit account of the titular, respectively, at the moment of the redemption in case of saving instruments or at the moment when the interest is converted into loan or capital, as the case may be.
9^4. *** Abrogated
Fiscal Code:
(5) The tax is computed and withheld at the moment of the payment of the income and shall be transfer to the state budget on or before 25th day of the month following the month when the income was paid. The tax for the non-resident shall be computed, withheld and remitted in lei to the state budget, at the exchange rate communicated by the National Bank of Romania, valid on the day of tax withholding.
Methodological Norms:
9^5. a) The conversion in lei of the tax expressed in foreign currency related to the incomes obtained from Romania by the non-residents shall be made at the exchange rate of the National Bank of Romania valid on the day of income payment to the non-resident, this tax expressed in lei following to be remitted to the state budget until the 25th day inclusive of the month following the month in which the income was paid.
b) For the tax expressed in foreign currency on the capitalized interests obtained from Romania by the non-residents, the conversion shall be made using the exchange rate of the National Bank of Romania valid in the day when interest was capitalized, respectively, the exchange rate valid at the moment of recording in the holder’s current or deposit account of the capitalized interest, or at the moment of redemption in case of saving instruments, or at the moment when interest becomes loan. The tax expressed in lei computed in such manner shall be remitted to the state budget until the 25th day of the month following to the month in which the income/saving instrument has been recorded in the accounting.
9^6. a) To apply the provisions of the conventions for the avoidance of double taxation in case of earnings from the transfer of shares in closed-end funds or in trading companies, the fiscal residence certificate or the document set forth in point 13 par. (1) produced by the non-resident shall be submitted to its empowered person/fiscal agent from Romania in view of the fulfilment of the obligation to declare and settle the tax obligations. Same provision shall be applied also to the earnings from the transfer of shares held by a non-resident legal person when such earnings are generated by the transfer of shares other than those in limited liability companies or in closed-end funds. In case of non-resident individuals obtaining incomes from the transfer of shares other than those in limited liability companies or closed-end funds, the fiscal residence certificate or the document set forth in point 13 par. (1) shall be submitted to the intermediary operating the transaction.
b) In case the acquirer of the shares of a closed-end fund or of a trading company is a legal person non-resident, and the beneficiary of the incomes from the transfer of these shares is a legal person resident, the obligation to compute, withhold and remit the tax on such incomes to the state budget shall belong to the shares acquirer, respectively, to the non-resident legal person, through its empowered person / fiscal agent appointed according to the law in order to fulfil the non-resident legal person obligations to declare and pay tax obligations.
c) In case of share transfers among non-residents, the provisions of titles II and III from the Fiscal Code shall be applied concerning the obligations to compute, withhold and remit tax on incomes from share transfers when the fiscal residence certificate is not produced or when Romania has not concluded a convention for avoidance of double taxation with the State of residence of the beneficiary of incomes from the share transfers or when, by convention, Romania has the right to tax these incomes.
d) Same provisions as those above mentioned shall be applied in case of incomes from transfers of any category of bonds other than shares. When the transfer of any types of bonds other than shares held by a non-resident individual is made by an intermediary, the obligation to compute, withhold and remit the tax on incomes from such transfers as well as all the other fiscal declaration and keeping of fiscal residence certificate related obligations of the beneficiary of such incomes shall belong to the relevant intermediary. In case the beneficiary of incomes from the transfer of any type of bonds other than shares is a non-resident individual and the transfer of the relevant bonds is not made by an intermediary, the obligation to compute, withhold and remit the tax on incomes from such transfers as well as all the other fiscal declaration and keeping of fiscal residence certificate related obligations of the beneficiary of such incomes shall belong to the empowered person / fiscal agent of the beneficiary, as the case may be. In case the beneficiary of the incomes from the transfer of bonds other than shares is a non-resident legal person, regardless that transfer is made or not by an intermediary, the obligation to compute, withhold and remit the tax on incomes from such transfers as well as all the other fiscal declaration and keeping of fiscal residence certificate of the beneficiary of such incomes shall belong to the empowered person/fiscal agent of the beneficiary of incomes.
e) The shares held by foreign legal persons in the closed-end funds shall be taxed according to the provisions concerning the associations set forth in title II from the Fiscal Code.
Fiscal Code:
(2) The tax owed is to be computed by applying the following rates to the gross income:
a) 10% for the incomes from interests and royalties in case the effective beneficiary of the incomes is a legal person resident in a Member State or a permanent location of an enterprise from a Member State located in another Member State; This taxation quote shall be applied during the transition period starting with the date of Romania Accession to European Union and until December 31, 2010, provided that the effective beneficiary of the interests or royalties holds a minimum of 25% of the value/number of shares in the Romanian legal person for an uninterrupted period of 2 years which shall end on the date of that interest or royalty payment.
Methodological Norms:
9^7. The tax on incomes from interests computed shall be assessed by applying the quote of 5% of the amount on the interest for term deposits, deposit certificates and other saving instruments in banks and in other credit institutions authorized and located in Romania, which have been established / purchased before June 4, 2005 and whose maturity is after June 4, 2005.
9^8. Incomes from interests for term deposits, deposit certificates and other saving instruments in banks and in other credit institutions authorized and located in Romania, which have been established / purchased between June 4, 2005 and December 31, 2005, inclusively, shall be taxed by the quote of 10% of their total amount. Incomes from interests for term deposits, deposit certificates and other saving instruments in banks and in other credit institutions authorized and located in Romania, which have been established / purchased starting with January 1, 2006 shall be taxed by th quote of 16% .
Fiscal Code:
Exemptions from the tax provided in this chapter
ART. 117
The following incomes are exempt from the tax on income obtained from Romania by non-residents:
a) the incomes from interests for deposits at sight/current accounts for which the interest rates are lower or equal with the reference level of the interests for one-month deposits on the interbanking market, communicated in the first working day of the month for which the tax is assessed, expressed in the currencies in which the relevant deposits at sight/current accounts are denominated, and the incomes from interests for deposits at reciprocal supporting houses;
b) interest for the instruments / debt securities issued and / or guaranteed by the Romanian Government, local councils, the National Bank of Romania and other banks or financial institutions acting as agent of the Romanian Government;
c) interest for instruments / debt securities issued by a Romanian legal person, if the instruments / debt securities are traded on a security market recognized and the relevant interest is paid to a person who is not a an affiliate of the issuer of instruments / debt securities;
[...]
h) after the Romania's Accession to the European Union, the dividends paid by an enterprise which is Romanian legal person to a legal person resident in another Member State or to a permanent location of an enterprise from another Member State, located in other Member Sate than that of origin, shall be exempted from taxation if the beneficiary of dividends held minimum 15% of the shares in the Romanian legal person for an uninterrupted period of at least 2 years ending on the date of payment of the dividends. The minimum ownership held shall be of 10% of the shares starting with 2009. The conditions concerning the types of enterprises from Member States to which dividends are paid under which these provisions shall be applied and the definition of the term of Member State shall be set forth in art. 20^1.
i) after the date of Romania joining the European Union, the incomes from savings in the form of interest payments, as defined in art. in 124^5, obtained from Romania by the individuals resident in the European Union Member States shall be exempted from taxation.
j) starting with January 1, 2011, the incomes from interests or royalties, as defined in art. 124^19, obtained in Romania by resident legal persons from Members States of the European Union, are exempt from tax, if the beneficiary of such interests or royalties owns a minimum of 25% of the value/number of the participation titles in the Romanian legal person, for an uninterrupted period of more than 2 years that ends on the date of the payment of the interests or royalties.
Methodological Norms:
9^9. The taxation quote of 10% shall apply starting with June 4, 2005 until December 31, 2005, to the total amount of the incomes from interests when the interest rates for deposits at sight/current accounts are higher than the reference levels of the interests for one-month deposits on the interbanking market, communicated in the first working day of the month for which the taxs is assessed, expressed in the currencies in which the relevant deposits at sight/current accounts are denominated. Starting with January 1, 2006 until December 31, 2006, the taxation quote applied in case of incomes from interests for deposits at sight and current accounts established after January 1, 2006 shall be of 16%, when interest rates for the relevant deposits at sight/current accounts are higher than the reference levels of the interests for one-month deposits on the interbanking market, communicated in the first working day of the month for which the tax is assessed.
9^10. During the period of June 4, 2005 - December 31, 2006, the incomes from interests for deposits at sight/current accounts of which monthly computed levels are lower than the reference levels of the interests for one-month deposits on the interbanking market, communicated in the first working day of the month for which the tax is assessed, shall be exempted from taxation.. Starting with January 1, 2007 the incomes from interests for deposits at signt and current accounts established starting with this date shall be exempted from taxation regardless the comparison with the levels of the reference interests on the interbanking market for the one-month deposits.
9^11. For the deposits at sight and the current account in lei, meeting the conditions established for the taxable incomes from interests, the level of the reference interbanking interest shall be starting with June 4, 2005 and until December 31, 2006, the BUBID level on one month, communicated by the National Bank of Romania in the first banking day for which the computation is made. For the deposits at sight and current accounts the National Bank of Romania shall communicate in the first working day of the month for which monthly EURIBOR computation is made, the level in Euro of the monthly reference interests for the relevant currencies (USD, GBP, CHF) existing on external interbanking markets.
9^12. For the purposes of art. 117 letter h), the condition concerning the minimum period of 2 years for holding shares shall be understood according to the decision of the European Court of Justice delivered in related cases: Denkavit International BV, VITIC Amsterdam BV and Voormeer BV v Bundesamt fur Finanzen - C-284/94, C-291/94 and C-292/94, which decided:
In case on the date of payment, the 2-years minimum period is not ended, the exemption provided in the Fiscal Code shall not be granted.
In case the Romanian legal person or the permanent location in Romania may prove that the minimum period of holding shares has been fulfilled after the payment date, the relevant Romanian legal person or permanent location in Romania of an enterprise may request the refund of the taxes paid in exceeding.
Under the provisions of art. 117 letter h) shall enter also the incomes from dividends distributed and paid after January 1, 2007 even if they have been distributed from the profits not distributed generated in fiscal years previous to 2007 in the extent the beneficiary of such incomes fulfils the conditions provided by the law.
For the purposes of art. 117 letter h), the condition concerning the minimum period of holding of the shares shall mean a period of minimum 2 consecutive years ending on the date of dividends payment.
9^13. Starting with January 1, 2007, the exemption from taxation of the incomes from interests for saving instruments of the individuals residents in European Union Member States shall be applied both to interests related to deposits established before January 1, 2007 and to those established after January 1, 2007 under the condition of proving the residence.
9^14. For the purposes of art. 117 letter f), the condition concerning the minimum period of 2 years for holding shares shall be understood according to the decision of the European Court of Justice delivered in related cases: Denkavit International BV, VITIC Amsterdam BV and Voormeer BV v Bundesamt fur Finanzen - C-284/94, C-291/94 and C-292/94, which means that:
In case on the date of payment, the 2-years minimum period is not ended, the exemption provided in the Fiscal Code shall not be granted.
In case the Romanian legal person or the permanent location in Romania may prove that the minimum period of holding shares has been fulfilled after the payment date, the relevant Romanian legal person or permanent location in Romania of an enterprise may request the refund of the taxes paid in exceeding.
10. (1) For the purposes of this paragraph, interests exempted from taxation shall be those generated by the instruments / debt securities issued by Romanian trading companies established according to the Law no 31/1990 on the trading companies, republished, as amended and further completed.
(2) The regulated securities market for which shall be applied the provisions of art. 117 letter c) from the Fiscal Code is that regulated by the competent authority of the State where operates this market.
(3) In the category of security instruments/titles issued by a Romanian legal person shall be included the bonds issued in lei and in foreign currencies, bills of exchange and other securities instruments/titles.
Fiscal Code:
d) prizes of a non-resident natural person obtained from Romania, as a result of participation in national and international artistic, cultural and sporting festivals financed from public funds;
e) prizes granted to non-resident pupils and students at contests financed from public funds;
Methodological Norms:
11. Awards provided in art. 117 letters d) and e) from the Fiscal Code are those awards paid from the state budget or budgets of local councils through the competent public central and local institutions.
Fiscal Code:
f) incomes obtained by non-residents from Romania that perform consulting, technical assistance and other similar services in any field within the framework of a contract financed by a loan, credit or other financial agreement entered into between an international financial organization and the Romanian state or a Romanian legal person, including the public authorities, that are guaranteed by the Romanian state, as well as within the framework of contracts financed by loan agreements concluded by the Romanian state with other financial organizations, in the case where the interest charged for such loans is less than 3% per year;
Methodological Norms:
11^1. For the purpose of art. 117 letter f) from the Fiscal Code, by international financial organizations with which the Romanian State has concluded financing agreements shall be understood: the European Bank for Reconstruction and Development, the International Bank for Reconstruction and Development, with its components, the International Finance Corporation and the International Development Association, the International Monetary Fund, the European Investment Bank.
Fiscal Code:
Coordination of the provisions of the Fiscal Code with the provisions of the conventions for the avoidance of double taxation
ART. 118
(1) For purposes of art. 116, if a taxpayer is a resident of a foreign state with which Romania has entered into a convention for the avoidance of double taxation regarding taxes on income and on capital, then the rate of tax that applies to the taxable income obtained by the taxpayer from Romania may not exceed the rate of tax provided in the convention that applies to such income, as provided by par. (2). In situations where the rates of tax from internal legislation are more favourable than those from conventions for the avoidance of double taxation, the more favourable of the rates of tax are to apply.
Methodological Norms:
12. (1) Provisions of par. 2 of the articles "Dividends", "Interests," "Commissions", "Royalties" from the agreements to avoid double taxation signed by Romania with other States, regulating the taxation in the origin State of the relevant incomes, shall apply with priority. In case the domestic law provides expressly a taxation quote more favourable, the provisions of the domestic law shall apply.
(2) Provisions in par. 2 from articles "Dividends", "Interests," "Commissions", "Royalties" from the agreements to avoid double taxation shall derogate from the provisions of paragraph 1 of these articles from the relevant conventions.
(3) Application of par. 2 of the articles "Dividends", "Interests," "Commissions", "Royalties" from the conventions to avoid double taxation which provide for the taxation in the origin State shall not lead to a double taxation for the same income, because the residence State grants external fiscal credit for the tax paid in Romania, in accordance with the provisions of the convention to avoid double taxation.
(4) When in Romania have been withheld taxes exceeding the provisions of conventions to avoid double taxation, the amount of tax withheld in addition may be refunded upon the request of the beneficiary of income, or of the non-resident person.
(5) For the refund of the tax withheld in addition from the income paid by a Romanian resident to non-residents, the non-residents shall submit an application for refund of the tax paid in addition to the Romanian resident payer of income, which shall be verified by the competent fiscal body of the Ministry of Public Finance under which territorial jurisdiction is the Romanian resident income payer's location or domicile.
(6) The application for tax refund shall be submitted by the non-resident on the legal deadline established by the law of the Romanian State.
(7) Based on the verification carried out by the competent fiscal body of the Ministry of Public Finance concerning the income for which the tax in exceeding compared to the provisions of the convention has been withheld, shall be made the tax refund to the non-resident through the Romanian resident payer of the relevant income.
(7^1) The tax paid in excess compared to the tax obligation generated by the provisions of the conventions for the avoidance of double taxation corroborated with the provisions of the domestic fiscal law, as the case may be, shall be refunded independent from the condition of the tax obligations of the Romanian resident taxpayer, payer of the income to the non-resident, compelled according to the law to withhold the tax at source.
(8) Provisions of titles II and III from the Fiscal Code shall represent the domestic fiscal law and shall apply when Romania has concluded convention to avoid double taxation with the State of which resident is the beneficiary of the income obtained from Romania, compelled to produce the fiscal residence certificate or the document provided in point 13 par. (1).
(9) The provisions of title V from the Fiscal Code shall apply when the beneficiary of income obtained from Romania is a resident of a State with which Romania has not concluded convention to avoid double taxation or when the beneficiary of the income obtained from Romania, a resident of a State with which Romania has concluded convention to avoid double taxation, does not produce the fiscal residence certificate or the document provided in point 13 par. (1) or when the tax owed by the non-resident is borne by the income payer.
(10) In case for the same income there are provided different taxation quotes in the domestic fiscal law, community fiscal law and conventions for the avoidance of double taxation, the more favourable taxation quote shall be applied.
Fiscal Code:
(2) For the purposes of the Convention on avoidance of double taxation, the non-resident shall have the obligation to submit the fiscal residence certificate to the income payer.
Methodological Norms:
13. (1) Non-resident beneficiary of incomes from Romania should justify in Romania the right to benefit from the provisions of the Convention on avoidance of double taxation concluded between Romania and its State of residence by presenting the fiscal residence certificate issued by the tax authority of the residence State. In order to prove the fiscal residence it may be produced also another document issued by an authority other than the tax authority, having competences in the field of residence certification according to the domestic law of the relevant State.
(2) Non-residents being beneficiaries of incomes obtained from Romania shall submit to the income payer the fiscal residence certificate, in original or copy, or the document mentioned in point (1), translated and authenticated by the authorized body from Romania, to the payer of the relevant incomes.
(3) *** Abrogated
(4) In case the non-resident beneficiary of the income obtained from Romania submits only one original counterparty of the fiscal residence certificate or of the document provided in par. (1) to a Romanian resident payer of that income which has branches, subsidiaries or work sites in different localities from Romania paying on their turn incomes to the relevant non-resident beneficiary of incomes from Romania, then the receiver of the relevant fiscal residence certificate or similar document as provided in par. (1), in original, shall communicate to each of its subunits one copy translated and authenticated of the relevant fiscal residence certificate or similar document in original of the beneficiary of incomes from Romania. (1). On the authenticated copy the receiver of the fiscal residence certificate or of the similar document as provided in par. (1), in original, shall sign specifying that it holds the original.
(5) The provisions of par. (4) are valid also when the non-resident beneficiary of incomes from Romania has established a branch in Romania which has contractual relationships with various clients from different locations in Romania and who receives a single original fiscal residence certificate or document as provided in par. (1). The branch held by the no-resident shall make copies authenticated to distribute them to the Romanian clients.
Fiscal Code:
(3) The model of the fiscal residence certificate and the deadline for its submission by the non-resident shall be established by norms.
Methodological Norms:
14. The Minister of Public Finance shall approve by order the form of the fiscal residence certificate for Romanian residents and the norms for its filling in.
14^1. For the permanent locations in Romania of the non-residents, upon their request, a document may be issued by the fiscal body under which territorial jurisdiction is the relevant permanent location, certifying that the relevant non-resident is payer of taxes and fees by which it shall be attested that the relevant permanent location develops activity in Romania.
15. (1) To benefit of the provisions of the conventions for the avoidance of double taxation, the non-residents having obtained incomes from Romania shall submit, at the moment of obtaining the relevant incomes, the original or copy of its fiscal residence certificate or of the document provided in point 13 par. (1), translated and authenticated by the authorized body from Romania, to the payer of the relevant incomes.
(1^1) Until the submission of the fiscal residence certificate or of the document provided in point 13 par. (1), the provisions of title V from the Fiscal Code shall be applied.
(1^2) After the submission of the fiscal residence certificate or of the document provided in point 13 par. (1), the provisions of the convention for the avoidance of double taxation shall be applied and shall be performed the adjustment of the tax within the legal term of limitation statute of rights if the fiscal residence certificate specifies that the beneficiary of the income had within this term its fiscal residence in the State with which Romania concluded the convention for avoidance of double taxation for the entire period in which it obtained incomes from Romania. The certificate of fiscal residence presented during the year for which the payments are made remain valid for the first 60 calendar days from the following year, except the situation in which the conditions regarding the residence modify.
(1^3) A non-resident may be considered as resident of a State also following the information received based on the information exchange initiated/amiable procedure initiated by a State party of the convention for the avoidance of double taxation.
(2) In the fiscal residence certificate or in the document provided in point 13 par. (1), submitted by the non-residents having obtained incomes from Romania, it should be certified that these ones have been residents of Sates with which Romania has concluded conventions for the avoidance of double taxation during the fiscal year/period in which they have obtained incomes from Romania or for which the fiscal residence certificate or the document provided in point 13 par. (1).
(3) The income payer shall have the obligation to receive at the term provided the original or copy of the fiscal residence certificate or of the document provided in point 13 par. (1) and to apply the provisions of the conventions for the avoidance of double taxation concluded by Romania with different States.
(4) The form and contents of the fiscal residence certificate or of the document provided in point 13 par. (1) for non-residents shall be those established by the authority in the residence State of the beneficiary of the incomes obtained from Romania. The fiscal residence certificate or the document provided in point 13 par. (1) should contain main elements for the identification of the non-resident, and of the authority issuer of the relevant certificate or document as provided in point 13 par. (1), as: name/designation, address, fiscal code, specification of residence in the issuer State, date of issuance of the relevant certificate/document.
Fiscal Code:
Annual declaration regarding withholding at source
ART. 119
(1) Payers of income that are required to withhold at source tax for incomes obtained by taxpayers from Romania are required to submit a declaration to the competent fiscal authority on or before February 28th, respectively February 29th of the year that follows the year for which the tax is paid.
Methodological Norms:
15^1. The declaration submitted by the payer of incomes having the obligation to withhold the tax on incomes obtained from Romania by non-residents at source shall have the contents presented in the following annex:
ANNEX 1
INFORMING DECLARATION
CONCERNING THE TAX WITHHELD AND PAID FOR THE INCOMES WITH TAXATION BY WITHHOLDING AT SOURCE/EXEMPTED FROM TAXATION, PER NON-RESIDENT BENEFICIARIES OF INCOMES
Year _________
A. IDENTIFICATION DATA OF INCOME PAYER
Designation/Surname, forename Fiscal code/PNC
_________________________________ __ __________________________
|_________________________________|__|__________________________|
Address:
County District Locality
________________________ ________ _____________________________
|________________________|________|_____________________________|
Street no Building Entrance Floor Apt.
_________________________ _______ __________ ______ _______ ___
|_________________________|_______|__________|______|_______|___|
Mail code Phone Fax E-mail
_________________ _______________ _________________ ___________
|_________________|_______________|_________________|___________|
B. IDENTIFICATION DATA OF NON-RESIDENT BENEFICIARY OF INCOME
_________________________________________________________________________
|No | Denomination of the |Designation/Name| Identification data of |
| |residence state forename | the non-resident benef. |
| | of income beneficiary | | of income |
|____|_________________________|________________|_________________________|
|____|_________________________|________________|_________________________|
|____|_________________________|________________|_________________________|
|____|_________________________|________________|_________________________|
|____|_________________________|________________|_________________________|
C. INFORMATION CONCERNING TAX WITHHELD AT SOURCE/INCOMES EXEMPTED FROM TAXATION PER NON-RESIDENT BENFICIARIES OF INCOMES
______________________________________________________________________________
|No | Designation/Name|Nature | Income | Tax |Normat.|
| | of non-resident |of income|of non-resident|withheld and|act |
| | benef. of income | | benef. | remitted |reg. |
| | | | of income | to the | |
| | | | (gross amount)|state budget taxation/ |
| | | | | taxation |exemption |
| | | | |exemption| |
|____|____________________|_________|_______________|____________|_____________|
|____|____________________|_________|_______________|____________|_____________|
|____|____________________|_________|_______________|____________|_____________|
|____|____________________|_________|_______________|____________|_____________|
|____|____________________|_________|_______________|____________|_____________|
_________________________________________________________________________
Under the sanction applied to the forgery in public acts, I declare that the data
from this form are correct and complete.
Surname, forename ____________________ Signature and seal
Position __________________________
________________________________________________________________________________
Reserved for the fiscal body Registration no _____________
Date _____________
Declaration shall be filled in two counterparties.
- The original shall be submitted to the fiscal body under which territorial jurisdiction is the fiscal domicile of the income payer.
- A copy shall be kept by the income payer.
Fiscal Code:
Certificates of attestation of tax paid by non-residents
ART. 120
(1) Any non-resident may submit an application to the competent fiscal authority in order to request the issuance of a certificate of attestation of tax paid to the state budget by the non-resident or by a person acting on behalf of the non- resident.
Methodological Norms:
16. The request for issuance of certificate attesting the tax paid by non-residents shall be submitted to the fiscal body under which territorial jurisdiction is the income payer recorded as tax and fee payer.
Fiscal Code:
(2) The competent fiscal authority is required to issue a certificate of attestation of tax paid by non-residents.
(3) The form of the application and the certificate of attestation of tax paid by a non-resident, as well as the conditions of submission and issuance, are to be established by norms.
Methodological Norms:
17. (1) The fiscal attesting certificate for the tax paid by the non-residents shall be issued by the fiscal body under which territorial jurisdiction is registered as tax and fee payer based on the application submitted by the income beneficiary or by the income payer on beneficiary behalf.
(2) Application and fiscal attesting certificate forms as well as the instructions for the filling in and the issuance shall be approved by order of the Minister of public finance.
Fiscal Code:
CHAPTER 2
Tax on representative offices
Taxpayers
ART. 122
Any foreign legal person that has a representative office authorized to operate in Romania, as provided by law, is required to pay an annual tax according to the present chapter.
Methodological Norms:
18. (1) Foreign legal persons, by their representative offices established in Romania, shall not be entitled to trade, those representative offices not having the capacity of legal person.
(2) Foreign legal persons wishing to establish a representative office in Romania should obtain authorization required by law.
(3) Obtained authorization may be cancelled under conditions which are set by the same normative act.
Fiscal Code:
Determination of tax
ART. 123
(1) The tax on representative office for a fiscal year shall be equal to the equivalent in lei of the sum of 4,000 Euro, determined for a fiscal year, at the exchange rate communicated by the National Bank of Romania, valid in the day previous to that in which the tax payment is made to the state budget.
(2) In case of a foreign legal entities, which during a fiscal year set up or annul a representation in Romania, the tax due for this year is computed in proportion to the number of months of existence of the representation in the tax year in question.
Methodological Norms:
19. In the case of foreign legal entities establishing a representative office in Romania during a taxation month of the fiscal year, the tax for that fiscal year shall be assessed as from the 1st of the month in which the representative office was established until the end of the relevant fiscal year. For the representative offices dissolved during the fiscal year, the annual tax shall be assessed for the period of activity from the beginning of the year until the 1st of the month following to that during which the representative office has been dissolved.
Fiscal Code:
Payment of tax and submission of tax declaration
ART. 124
(1) Any foreign legal person is required to pay the tax on representative offices to the state budget in two equal instalments, before June 20th and December 20th.
Methodological Norms:
20. Dates set for tax payment to the state budget include the dates of June 20 and December 20.
20^1. The tax due by the representative offices set up during the first semester of the fiscal year until June 20 shall be proportional with the number of months of activity of the representative office during the semester I. For the semester II, the tax representing the equivalent in lei of the amount of 2,000 Euro shall be paid until December 20, inclusively.
Fiscal Code:
(2) Any person who owes foreign tax representation is required to submit an annual statement to the competent tax authority, until 28th of February to 29 February of the year tax.
Methodological Norms:
21. (1) Fiscal declaration form which shall be submitted annually to the competent fiscal body and its filling in instructions shall be approved by order of the Minister of public finance.
(2) Annual fiscal declarations as well as the fiscal registration application in case of establishment or dissolution of the representative office during the fiscal year may be submitted on behalf of the foreign legal person also by the representative of the representative office, to the competent fiscal body under which territorial jurisdiction the representative office carries out its activity.
Fiscal Code:
(3) Any foreign legal person that establishes or terminates a representative office during a fiscal year is required to submit a tax declaration to the competent fiscal authority within 30 days after the date that the representative office is established or terminated.
Methodological Norms:
22. (1) Fiscal declaration form which shall be submitted to the competent fiscal body in case of setting up or dissolution of representative office and its filling in instructions shall be approved by order of the Minister of public finance.
(2) In 30 days from the date of submission of the fiscal declaration for the representative office setting up or dissolution, the competent fiscal body shall assess or reassess the tax for the period in which representative office shall develop or ceases its activity, as the case may be.
Fiscal Code:
(4) Representative offices are required to maintain accounting records as provided in legislation in force in Romania.
Methodological Norms:
23. (1) Representative offices shall keep accounting records in simple entry, according to the law of Romania.
(2) Expenditures incurred by the representative offices to perform activities fshall be justified by the financial-accounting documents drawn up by law.
(3) Assessment of tax on incomes of the representative offices for the year 2003 shall be completed according to normative acts which regulated the taxation system for these entities until December 31, 2003.
Fiscal Code:
Definition of enterprise, associated enterprise and permanent office
ART. 124^20
For the purposes of the present article:
a) enterprise of a Member State is any enterprise:
[...]
(iii) which is subject to one of the following taxes, without being exempted of taxes, or to a identical or similar tax established after the date of entering into force of the present article, in addition or in the place of the existing taxes:
- tax of companies/vennootschapsbelasting, in Belgium;
- selskabsskat, in Danemark;
- Korperschaftsteuer, in Germany;
- phdros eisodematos uomikou prosopon, in Greece;
- impuesto sobre sociedades, in Spain;
- impot sur les societes, in France;
- corporation tax, in Irland;
- imposta sul reddito delle persone giuridiche, in Italy;
- impot sur le revenu des collectivites, in Luxemburg;
- vennootschapsbelasting, in Holland;
- Korperschaftsteuer, in Austria;
- imposto sobre o rendimento da pessoas colectivas, in Portugal;
- vhteisoien tulovero/în komstskatten, in Finland;
- statlîn g în komstskatt, in Sweden;
- Corporation tax, in the United Kingdom of Great Britain and Northern Ireland;
- dan z prijmu pravnickych osob, in Czech Republic;
- tulumaks, in Estonia;
- phdros eisodematos, in Cyprus;
- uznemumu ienakuma nodoklis, in Latvia;
- pelno mokestis, in Lithuania;
- tarsasagi ado, in Hungary;
- taxxa fuq l-income, in Malta;
- todatek dochodowy od osob prawnych, in Poland;
- davek od dobicka praznih oseb, in Slovenia;
- dan z prijmu pravnickych osob, in Czech Republic;
- profit tax, in Romania;
Methodological Norms:
24. In case of Bulgaria an enterprise is taxed by the korporativen dank.
Fiscal Code:
List of companies covered by the provisions of the art. 124^20 let. a) pt. (iii)
ART. 124^26
The companies covered by the provisions of the art. 124^20 let. a) pt. (2) are the following:
[...]
Methodological Norms:
25. In case of Romania, the enterprises, for which the provisions of chapter IV shall be applicable, are:
- general partnerships
- limited partnerships
- corporations
- limited liability partnerships
- limited liability companies.
In case of Bulgaria, the enterprises, for which the provisions of chapter IV shall be applicable, are:
- Akţionerno drujestvo
- Komanditno drujestvo s akţii
- Drujestvo s ogranicena otgovornost.
Fiscal Code:
General provisions
ART. 124^28
[...]
(3) Taxes referred to in par. (2) are currently, especially:
[...]
Methodological Norms:
26. In case of Romania, the taxes, for which the provisions of chapter IV shall be applicable, are:
- income tax;
- corporative tax;
- tax on incomes obtained from Romania by non-residents;
- tax on incomes of the micro-enterprises;
- tax on buildings;
- tax on land.
In case of Bulgaria, the taxes, for which the provisions of chapter IV shall be applicable, are:
- dank vrhu dohodite na fizieckite liţa;
- korporativen dank;
- danţi, udrjani pri iztonika;
- alternativni danţi na korporativniia dank;
- okonatelen godişen (patenten) dank.
Fiscal Code:
General provisions
ART. 124^28
[...]
(5) Competent authority means:
[...]
Methodological Norms:
27. In case of Bulgaria, by competent authority it shall be understood Izplnitelniiat direktor na Naţionalnata agenţiia za prihodite.
Fiscal Code:
TITLE VI
Value added tax
Territorial enforcement
ART. 125^2
(1) For the purpose of this Title:
a)Territory of a Member State shall mean the territory of the country as defined in the present article;
b) Member State and territory of a Member State shall mean the territory of each Member States of the Community that the Treaty establishing the European Economic Community is applied to in accordance with art. 299 except for the territories provided under par. (2) and (3).
c) third territories are the territories provided under par. (2) and (3).
d) a third country shall mean any State or territory that the provisions of the Treaty establishing the European Economic Community is applied for.
(2) The following territories of individual Member States, that are not part of the customs territory of the Community shall be excluded from the territory of the country:
a) Federal Republic of Germany:
1. the Island of Heligoland;
2. the territory of Bus;
b) Kingdom of Spain:
1. Ceuta;
2. Melilla;
c) Republic of Italy:
1. Livigno;
2. Campione d'Italia;
3. the Italian waters of Lake Lugano.
(3) The following territories of individual Member States that are part of the customs territory of the Community shall also be excluded from the territory of the country:
a) the Canary Islands;
b) French Republic: the overseas departments;
c) Mount Athos;
d) the Aland islands;
e) the Channel islands.
(4) The following territories shall be included in the territory of the Member State:
b) French Republic: the Principality of Monaco;
b) United Kingdom of Great Britain and Northern Ireland: the Isle of Man;
c) Republic of Cyprus: Akrotiri and Dhekelia areas under the United Kingdom of Great Britain and Northern Ireland.
Methodological Norms:
1. (1) The goods of origin from the excluded territories set forth under art. 125^2 par. (2) and (3) of the Fiscal Code must be imported from the tax perspective, if they are transported on the Community territory.
(2) The Isle of Man, Monaco as well as the area under the sovereignty of Great Britain and the Northern Ireland from Akrotiri and Dhekelia are considered as territories of the member states, with the operations having the origin or the destination in:
a) the Isle of Man, being considered as having either the origin or the destination in the United Kingdom of the Great Britain and Northern Ireland;
b) Monaco, being considered as having either the origin or the destination in the French Republic;
c) the areas under the sovereignty of Great Britain and the Northern Ireland from Akrotiri and Dhekelia are considered as having either the origin or the destination in the Republic of Cyprus.
Fiscal Code:
Taxable operations
ART. 126
(1) From the point of view of tax, the taxable operations in Romania are the operations which meet cumulatively the following conditions:
a) operations which in the purpose of art. 128 - 130, represent or are assimilated to a delivery of goods or services , within tax scope, made in exchange of a payment;
b) the delivery of goods or services is considered to be in Romania, according to provisions of the art. 132 and 133;
c) the delivery of goods or provision of services is undertaken by a taxable person, as defined in art. 127 par. (1), acting as such;
d) the delivery of goods or supply of services results from one of the economic activities provided in art. 127 par. (2);
(2) The import of goods made in Romania by any person is considered also a taxable operation if the place of import is in Romania, according to art. 132^2.
(3) The following operations made in exchange of a payment for which the place is Romania is also considered taxable operations, according to art. 132^1:
a) a intra-community purchase of goods, other than means of transportation or excisable products, made by a taxable person who acts as such or by a non-taxable legal person who does not beneficiate by derogation provided in art. (4), which follows an intra-Community delivery made outside of Romania by a taxable person that acts as such and is not considered small enterprise in the member state and for which the provisions of art. 132 par. (1) let. b) regarding the deliveries of goods which that are subject to installation or assembly, or of the art. 132 par. 2) regarding the remote sales;
b) an intra-community purchase of new means of transportation, made by any person;
c) an intra-community purchase of excisable products made by a taxable person that acts as such of by a non-taxable legal person.
(4) By way of derogation from provisions of par. (3) let. a), the intra-Community purchases of goods are considered taxable operations in Romania the operations that fulfil the following conditions:
a) are made by a taxable person that makes only deliveries of goods or services for which the tax is not deductible or by a non-taxable legal person;
b) the total value of these intra-Community purchases do not exceed during the current calendar year or did not exceed during the previous calendar the ceiling of 10,000 euros, which equivalent in lei is established by norms.
(5) The ceiling for the intra-Community purchase provided to par. (4) let. b) is the total value, except the value-added tax, due or paid in the member state from which the goods are transported, of the intra-Community purchases of goods, other than the new means of transportation or excisable goods.
(6) The taxable persons and the non-taxable legal persons, eligible for the derogation provided in par. (4), have the right to chose the general regime provided in par. (3) letter a). This option shall apply for at least two calendar years.
(7) The applicable rules in the case the ceiling for intra-Community purchase provided in par. (4) let. b) is exceeded, or in the case of exercising the option are established by norms.
(8) Are not considered taxable operations in Romania:
a) the intra-Community purchases of goods which delivery in Romania shall be exempt according to art. 143 par. (1) let. h) - m);
b) intra-community purchase of goods performed within a triangular operation by a taxable person called re-seller buyer, who is not fiscal resident on Romania and is registered as VAT payer in another Member State, in case all of the following conditions are met:
1. the purchase shall be performed in order to make an subsequent purchase of these goods on the territory on Romania, by the buyer re-seller, taxable person, which is not established in Romania;
2. the goods purchased by the re-seller buyer should be transported by the supplier or the re-seller buyer or by another person on behalf of one of them, directly from a Member State other than that in which the re-seller buyer is registers as VAT payer, to the beneficiary of the subsequent delivery in Romania;
3. the beneficiary of the subsequent delivery should be a taxable individual or non-taxable legal person registered as VAT payer in Romania, according to art. 153 or 153^1;
4. the beneficiary to the subsequent delivery shall be obliged to pay the tax on the delivery made by the taxable person that is not located in Romania;
c) the intra-community purchases of second-hand goods, art objects, antiquities, to the purposes of the provisions of art. 152^2, when the seller is a taxable re-seller individual acting in this capacity and when the goods have been taxed in the State Member from where they are supplied according to the special taxation regime for intermediaries, taxable individuals, according to art. 313 and 326 of the Directive 112, or the seller is sale organizer by public auction, that acts as such, and the goods were taxed in the member state, according to special regime, for the purposes of the art. 333 of Directive 112;
d) intra-Community purchase of goods which follows a delivery of goods under the suspensive custom regime or under a internal transition procedure if on the territory of Romania such regimes or procedure related to goods are concluded.
(9) Taxable operations may be:
a) taxable operations, for which the tax rates provided in art. 140 apply; 140;
b) exempt operations with right of deduction, for which value-added tax is not payable, but a deduction of the value-added tax due or paid for purchases. In the present title, such operations are provided in art. 143 - 144^1;
c) exempt operations without right of deduction, for which value-added tax is not payable and a deduction of the value-added tax due or paid for purchases is not allowed. In the present title, such operations are provided in art. 141;
d) intra-Community imports and purchases, exempted fro tax, according to art. 142;
e) operations provided in let. a) - c), that are exempted without right of deduction being made by small enterprises which apply the special exemption regime provide in art. 152, for which the tax is not payable and a deduction of the tax due or paid for purchases is not allowed.
Methodological Norms:
2. (1) For the purposes of art. 126 par. (1) from the Fiscal Code, the operation shall not be taxable in Romania if at least one of the conditions provided in letters a) - d) is not met.
(2) For the purpose of art. 126 par. (1) letter a) from the Fiscal Code, a deliver of goods and/or supply of services should be performed against price payment. The condition related to "price payment" implies the existence of a direct link between the operation and the price obtained. An operation shall be taxable in case this operation brings a benefit to the client proportional with the price paid for, as follows:
a) the condition of bringing benefit to the client is met when the goods or services supplier undertakes to supply quantifiable goods and/or services to the client payer, or, in absence of related payment, undertakes to perform such operation in view of the determination of such payment obligation. This condition is compatible with the fact hat services have been collective, have not been precisely quantified or have been part of a legal obligation;
b) the condition of the existence of a link between operation and the payment obtained even if the price does not reflect the fair value of the operation, being in form of subscriptions, goods or services, price discounts, or it is not paid directly by the beneficiary but by a third party.
(3) For the purpose of art. 126 par. (3) letter b) from the Fiscal Code, the intra-community purchase of new transportation means performed by any taxable or non-taxable individual or by any non-taxable legal person shall always be considered as operation taxable in Romania, to which are not applicable the rules referring to the ceiling related to intra-community purchases set forth in art. 126 par. (4) letter b) from the Fiscal Code, if the place of the relevant intra-community purchase is in Romania, according to art. 132^1 of the Fiscal Code.
(4) For the purpose of art. 126 par. (3) letter c) from the Fiscal Code, the intra-community purchase of excisable products performed by any taxable individual or by any non-taxable legal person shall always be considered as operation taxable in Romania, to which are not applicable the rules referring to the ceiling related to intra-community purchases set forth in art. 126 par. (4) letter b) from the Fiscal Code, if the place of the relevant intra-community purchase is in Romania, according to art. 132^1 of the Fiscal Code.
(5) The equivalent in lei of the Euro 10,000 ceiling for intra-community purchases, set forth in art. 126 par. (4) letter b) from the Fiscal Code, applicable during a calendar year, shall be determined using the exchange rate communicated by the National Bank of Romania, valid on the date of the accession and rounding the thousand figure. It will be a rounding up when the hundred digit is equal to or higher than 5, with a rounding down when the hundred digit is lower than 5.
(6) To apply art. 126 par. (5), for the computation of the ceiling related to the intra-community purchases shall be taken into account the following elements:
a) the value of all intra-community purchases performed following the purchases from all the Member States except the purchases from States other than Member States and the purchases provided in par. (7);
b) value of the transaction leading to the exceeding of the ceiling related to the intra-community purchases;
c) value of any import performed by the non-taxable legal person in other Member State, for the goods transported in Romania after the import;
(7) In the computation of the ceiling related to the intra-community purchases the following shall not be taken into account:
a) value of the intra-community purchases of excisable products;
b) value of intra-community purchases of new transportation means;
c) value of purchases of goods of which delivery has represented a delivery of goods with installation or mounting for which the delivery place is considered to be in Romania according to the provisions of art. 132 par. (1) letter b of the Fiscal Code.
d) value of purchases of goods of which delivery has represented a remote selling for which the delivery place is considered to be in Romania according to the provisions of art. 132 par. (2) and (3) from the Fiscal Code;
e) value of the purchases of second-hand goods, art, collection or antiquity objects as they are defined in art. 152^2 from the Fiscal ode, on case these goods have been taxed according to the special taxation regime provided in art. 152^2 from the Fiscal Code, in the Member State from where they have been delivered;
f) value of purchases of natural gas and electricity of which delivery has been performed according to the provisions of art. 132 par. (1) letters e) and f) of the Fiscal Code.
(8) In case the ceiling for the intra-community purchases is exceeded, the individual set forth in art. 126 par. (4) letter a) from t5he Fiscal Code shall require the registration as VAT payer according to art. 153^1 par. (1) of the Fiscal Code. The registration shall remain valid until the end of the calendar year in which the purchase ceiling was exceeded and for at leas the following calendar year, too.
(9) Person provided in art. 126 par. (4) letter a) from the Fiscal Code may require the cancellation of this registration any time after the ending of the calendar year following to that during which it registered as VAT payer, according to art. 153^1 par. (5) of the Fiscal Code. By way of exception, the relevant individual shall remain registered as VAT payer according to art. 153^1 par. (1) from the Fiscal Code for all intra-community purchases performed at least during the calendar year following to that during which it registered, if the ceiling for intra-community purchases is exceeded during the calendar year following to the registration calendar year.
(10) If after the expiry of the calendar year following to that in which the person has been registered as tax payer, the relevant person performs an intra-community purchase based on the fiscal code of VAT registration obtained according to art. 153^1 par. (1) from the Fiscal Code, it shall be considered that the relevant person opted according to the art. 126 par. (6) from the Fiscal Code, except the case when it shall have the obligation to remain registered following the exceeding of the ceiling for intra-community purchases in the year following to the registration year, case in which shall be applied the provisions of par. (9).
(11) For the purpose of art. 126 par. (6) from the Fiscal Code, the taxable individuals performing operations for which the tax is not deductible and the non-taxable legal persons not registered as VAT payers according to art. 153 from the Fiscal Code, not exceeding the ceiling for intra-community purchases, may opt for the general taxation regime established in art. 126 par. (3) letter a) from the Fiscal Code are also excisable. These persons shall have the obligation to pay the VAT in Romania for all the intra-community purchases starting with the date when they exercise their option and require a fiscal registration code as VAT payer according to art. 153^1 par. (2) of the Fiscal Code. These persons may request the cancellation of the registration any time after the ending of two calendar years following to the registration year, according to art. 153^1 par. (6) of the Fiscal Code.
(12) In case after the ending of the two consecutive calendar years following to the registration year, the persons provided in par. (11) perform an intra-community purchase based on heir fiscal registration code as VAT taxpayer, obtained according to art. 153^1 par. (2) from the Fiscal Code, it shall be considered that these persons re-exercised their option under art. 126 par. (6) and art. 153^1 par. (7) from the Fiscal Code, except the case when they shall have the obligation to remain registered following the exceeding of the ceiling for intra-community purchases in the previous calendar year, case in which shall be applied the provisions of par. (9).
(13) The provisions of art. 126 par. (8) letter b) from the Fiscal Code shall apply for the delivery of goods performed by a supplier registered as VAT payer in the first Member State to a re-seller buyer registered as VAT payer in the second Member State other than that from where begins the effective transportation of goods, and which is followed by the delivery of same goods by the re-seller buyer to the delivery beneficiary registered as VAT payer in the third Member State, in case the following conditions are met:
a) goods are delivered or transported directly from the first Member State of the supplier in the third Member State of the delivery beneficiary; and
b) the goods transportation from the first Member State to the thirds Member State should develop between the supplier and the re-seller buyer any of them being allowed to be responsible for the goods transportation, according to the conditions Incoterms or according to the contractual conditions. If the transportation is performed by the delivery beneficiary, the simplifications measures related to the triangular operations shall not be applied.
(14) If in the case provided in par. (13) Romania is the second Member State, that of the re-seller buyer, and this one communicates to the supplier from the first Member State its fiscal registration code as VAT payer, granted according to art. 153 from the Fiscal Code, the intra-community purchase of goods shall be considered as having taxed already in the third Member State, that of the delivery beneficiary, according to the provisions of art. 132^1 par. (5) of the Fiscal Code. In this case, shall not be applied the provisions of art. 132^1 par. (2) from the Fiscal Code, because it is considered that the place of the intra-community purchase is not Romania, provided that the re-seller buyer having appointed the following delivery beneficiary as person having the obligation to pay the related VAT according to art. 132^1 par. (1) of the Fiscal Code.
(15) In the case provided in par. (14), the re-seller buyer should fulfil the following obligations:
a) not to record the purchase performed from the first Member State in its summarizing declaration cocerning the intra-community purchases set forth in art. 156^4 par. (2) of the Fiscal Code;
b) to record the delivery performed by the delivery beneficiary from the third Member State in the column "VAT exempted intra-community deliveries" from the cash settlement account;
c) to record in the summarizing declaration for intra-community deliveries exempted from VAT, set forth in art. 156^4 par. (1) from the Fiscal Code, the following data:
1. fiscal registration code as VAT payer from the third Member State of the delivery beneficiary;
2. T code in the proper column;
3. the value of the delivery performed;
d) to issue the invoice set forth in art. 155 par. (5) from the Fiscal Code which shall contain:
1. in the column set forth in art. 155 par. (5) letter c) from the Fiscal Code, its fiscal registration code as vat payer in Romania;
2. in the column set forth in art. 155 par. (5) letter e) from the Fiscal Code, the name, address and fiscal registration code as VAT payer from the other Member State of the delivery beneficiary;
3. the specification that the delivery beneficiary is a person compelled to pay value-added tax for the delivery of goods performed in the other Member State and a reference to art. 141 from the Directive 112/2006/EC concerning the common system of the value-added tax.
(16) If in the case provided in par. (13) Romania is the third Member State of the delivery beneficiary, the intra-community purchase of goods performed by the re-seller buyer which would develop in Romania according to art. 132^1 par. (1) from the Fiscal Code is not an operation taxable in Romania, of all of the following conditions are met:
a) the re-seller buyer is not established in Romania but is registered as VAT payer in the second Member State;
b) the intra-community purchase of goods is performed by the re-seller buyer in view of performing of a following delivery to those goods in Romania;
c) the beneficiary of the subsequent delivery is a taxable individual or non-taxable legal person registered as VAT payer in Romania, according to art. 153 or 153^1 of the Fiscal Code;
d) the delivery beneficiary has the obligation, according to art. 150 par. (1) letter e) from the fiscal Code to pay the VAT for the delivery performed by the re-seller buyer not established in Romania;
e) the delivery beneficiary records the purchase made in the column " intra-community purchases" from the vat settlement document provided in art. 156^2 or 156^3 from the Fiscal Code, as well as in the summarizing intra-community purchases declaration provided in art. 156^4 par. (2) of the Fiscal Code.
Fiscal Code:
Taxable persons and economic activities
ART. 127
(1) A taxable person is any person that carries out, in an independent manner and regardless of the place, economic activities of the nature of those provided in paragraph (2), whatever the purpose or the result of such activities.
(2) For the purpose of the present title, economic activities include the activities of producers, traders or service suppliers, including extractive and agricultural activities and free profession activities or activities assimilated to them. An economic activity also includes the exploitation of tangible or intangible goods for the purpose of obtaining incomes with a continuous character.
(3) Employees or any other persons connected to an employer by an individual labour contract or by any other legal instruments that create an employer/employee relationship as regards the labour conditions, remuneration or other obligations of the employer do not act in an independent manner.
(4) Public institutions are not taxable persons for activities that are carried out in the capacity of public authorities, even if dues, fees, royalties or other payments are collected for carrying out such activities, with the exception of those activities that would produce distortions of competition if treating the public institution as non-taxable persons, and the situations provided by paragraphs (5) and (6).
(5) Public institutions are taxable persons for activities carried out in the capacity of public authority, that are exempt form tax, in accordance with art. 141.
(6) Public institutions are taxable persons as well as for the following activities:
a) telecommunications;
b) supply of water, gas, electric energy, thermal energy, agents of refrigeration and others of this nature;
c) transport of goods and persons;
d) services supplied in ports and airports;
e) delivery of new goods produced for sale;
f) the activity of commercial fairs and exhibitions;
g) warehousing;
h) activities of commercial publicity bodies;
i) activities of travel agents;
j) activities of stores for the staff, canteens, restaurants and other similar establishments;
k) operations of public radio and television stations.
(7) By exception from provisions of par. (1), any person carrying out an occasional delivery of new means of transport, shall be deemed taxable person for that delivery.
(8) In the conditions and the limits established by the norms, all the taxable persons established in Romania that are legally independent but are closely related to each other from financial, economic and organizational point of view, shall be deemed as a single fiscal group.
(9) Any associate or partner in an association or in an organization without legal personality shall be deemed as a separate taxable person for the operations that are not effected on behalf of that association or organization.
(10) The silent partnerships do not form a separate taxable entity. The joint-ventures, consortiums or other forms of partnerships for commercial purposes, without legal personality and which are constituted according to the provisions of law are treated like silent partnerships.
Methodological Norms:
3. (1) For the purposes of art. 127 par. . (2) of the Fiscal Code, the action of obtaining incomes by the natural persons from selling their own homes or other goods which are not used by these persons for personal purposes, shall not be deemed an economic activity, with the exception of the cases when it is found out that the activity in question is carried out with the purpose of obtaining incomes of a continuous nature For the purpose of art. 127 par. (2) of the Fiscal Code. The transfer of goods and services purchased for personal purposes by the natural persons in the commercial patrimony with the purpose of using these for carrying out economic activities, shall not be an operation assimilated to a delivery of goods/ service supply accompanied by payment, and the natural person may not deduct associated to the goods/services in question by applying the adjustment procedure stipulated in art. 148 and 149 of the Fiscal Code.
2) The following shall not be deemed as economic activities:
a) granting goods and/or services free of charge by the organizations with no patrimony purposes;
b) the delivery of the following items of cult: liturgical pots, metallic or icons lithographic icons, crosses, crucifixes, pendants in the form of small crosses or representing religious pictures specific to the religious cult, items destined to religious dissemination, religious calendars, and the products necessary to carry out the religious activities, such as the candles, the incense, but with the exception of the items meant for decoration and the items for weddings and baptizing.
(3) For the purpose of art. 127 par. (4) of the Fiscal Code, distortions of competition result when the same activity is carried out by multiple persons, out of whom some benefit of a preferential fiscal treatment, so that the value of the goods delivered and/or services supplied by these persons is not subject to the tax with respect to other persons for which the value of good deliveries and/or supplied services must be subject to taxation.
(4) In the situation when the public institution carries out any activities for which it is treated as a taxable person, the public institution in question shall be considered as taxable person only in connection with the part in the organizational arrangement which carries out these activities.
(5) For the purpose of art. 127 par. (7) of the Fiscal Code the natural person becomes taxable person only in the case of delivery of new intra-Community transportation means. As well, any other not taxable person shall be considered as taxable in case of delivery of new intra-Community transportation means. Such persons are not bound to register for VAT purposes in accordance with art. 153 of the Fiscal Code for such deliveries of intra-Community transportation means in accordance with the provisions of art. 153 par. (3) of the Fiscal Code.
4. (1) For the purposes of art. 127 par. (8) of the Fiscal Code, the taxable persons established in Romania and which are closely related from a financial, economic and organizational point of view, may opt for treatment as single fiscal group under the following conditions:
a) a taxable person is allowed to be part of only one single fiscal group; and
b) the option must refer to at least 2-year period; and
c) all the taxable persons within a group must apply the same fiscal period;
(2) (2) The fiscal group may be formed of two to five taxable persons.
(3) Up to January 1, 2009, the fiscal group may be established only by taxable persons which are considered as large taxpayers.
(4) In meaning of par. (1), the persons in close relationship from a financial, economic and organizational point of view are considered to be the taxable persons whose more than 50% of the capital is owned either directly or indirectly by the same shareholders.
(5) For the purpose of implementing the fiscal group, an application must be filed with the relevant fiscal body, which must be signed by all the group members and include the following:
a) the name, address, line of activity and each members' registration code for VAT purposes;
b) the elements proving the tight connection of the members, as per par. (2);
c) the name of the member appointed as representative of the group.
(6) The relevant fiscal body shall make an official decision as to approve or deny the implementation of the fiscal group and communicate such decision to the group representative as well as to every fiscal body of the fiscal group jurisdiction, within 60 days after the reception date of the application referred to in par. (5).
(7) The implementation of the fiscal group shall become effective in the first day of the second month following the date of the decision mentioned in par. (6).
(8) The group representative shall notify to the relevant fiscal body any of the events listed below:
a) the termination of the option stipulated in par. (1) to establish a single fiscal group, at least 30 days before the occurrence of the event;
b) the failure to met the conditions stipulated in par. (1) - (4), leading to the cancellation of the treatment of the taxable persons as a single fiscal group, within 15 days after the occurrence of the event which led to the current situation;
c) the appointment of another representative of the fiscal group, at least 30 days before the occurrence of the event;
d) if one of the members of the fiscal group decides to leave the group, at least 30 days before the event;
e) if a new member joins the group, at least 30 days before the event;
(9) In the cases provided in par. (8) let. a) and b) the relevant fiscal body shall cancel the treatment as a fiscal group of the taxable persons, as follows:
a) in the case stipulated in par. (8) let. a), as of the first day of the month following the month when the option is terminated;
b) in the case stipulated in par. (8) let. b), as of the first day of the month following the month of the triggering event.
(10) In the cases provided in par. (8) let. c), d) and e) the relevant fiscal body shall make an official decision within 30 days after the notification date and shall communicate this decision to the representative, as well as to each relevant fiscal body responsible for the members of the fiscal group. This decision shall become effective as of the first day of the month following the month when the decision was sent to the representative. Before the reception of such decision, the taxable persons which requested the approval for a group member to either leave or join the group, shall be treated as a single fiscal group formed of members which initially submitted the option for being treated as single fiscal group and were accepted as such by the competent fiscal body. In the case when it is requested that a new group representative be appointed, the relevant fiscal body shall cancel the capacity of the fiscal group representative and, by means of the same notification, shall designate another representative as nominated by the group members.
(11) The relevant fiscal body may, following verifications:
a) cancel the treatment as member of a single fiscal group granted to any person, if the person in question does not meet anymore the eligibility criteria which allowed this person to be considered as member of such group as per provisions in par. (1). The cancellation shall be effective starting the first day of the month following the month when the situation as such is determined by the competent fiscal bodies;
b) cancel the treatment of the taxable persons as single fiscal group, in case these taxable persons do not meet anymore the eligibility criteria which allowed them to be considered as such group. The cancellation shall be effective starting the first day of the month following the month when the situation as such is determined by the competent fiscal bodies;
(12) As of the implementation date of the single fiscal group, according to par. (7):
a) each member of the fiscal group, other than the group representative:
1. shall report, in the VAT return specified in art. 156^2 of the Fiscal Code, any delivery of goods, service supply, import or intra-Community purchase of goods as well as any other operation carried out by or to the member in question during the fiscal period;
2. shall send their own value-added tax return to the representative, with one copy of this document to the fiscal body of jurisdiction;
3. shall not pay any due tax or request any reimbursement according to their tax return.
b) the representative:
1. shall report in their own tax return specified in art. 156^2 of the Fiscal Code, any delivery of goods, service supply, import or intra-Community purchase of goods as well as any other operation carried out by or to the member in question during the fiscal period;
2. shall report in a consolidated return the outcomes of all the VAT returns received from the other members of the single fiscal group, as well as the outcomes of the representative's own tax return for the fiscal period in question;
3. shall submit to the fiscal body of jurisdiction all the VAT returns of the members as well as the consolidated tax return;
4. shall either pay or request the reimbursement of, as the case may be, the value-added tax amount resulted from the consolidated tax return.
(13) Each member of the fiscal group must:
a) submit to the fiscal body of jurisdiction the summary statement for deliveries and intra-Community acquisitions stipulated in art. 156^4 1564 of the Fiscal Code;
b) agree to the verification by the fiscal body of jurisdiction;
c) answer both separately and in solidarity for any tax due by themselves or any other member of the fiscal group, for the entire period of membership in the group in question.
(14) The delivery of goods and services supplied by each member of the group are submitted to the normal taxation regime set forth in Title VI of the Fiscal Code, regardless whether they are performed by third parties or by the other members of the fiscal group.
5. The records of the operations carried out by the associations provided in art. 127 par. (10) of the Fiscal Code shall be accomplished in accordance with the provisions under pt. 79 par. (4).
Fiscal Code:
Delivery of goods
ART. 128
(1) A delivery of goods means the transfer of the right to dispose of goods as an owner.
(2) Under the conditions determined in norms, a taxable person, acting in his/her own name but for the account of a principal as a dealer in a delivery of goods, is deemed to have received and delivered these goods himself/herself.
(3) The following operations are deemed to be deliveries of goods for the purpose of paragraph (1):
a) the actual handing over of goods to another person pursuant to an instalment sale contract or any other type of contract that provides that the ownership is transferred at the latest at the moment when the last instalment is paid, with the exception of leasing contracts;
b) the transfer of the ownership right with respect to goods as a result of forced execution;
c) the passing to the public domain of certain goods from the patrimony of taxable persons, under the conditions set by the legislation referring to public property and its legal regime, in exchange for compensation.
(4) The following operations are deemed to be deliveries of goods for consideration:
a) the take over by a taxable person of movable goods acquired, imported or produced by such person, for purposes not related to his economic activity, if the tax for such goods or for the component parts of these goods was wholly or partially deducted;
b) the take over by a taxable person of goods acquired, imported or produced by such person, for being made available to other persons for free, if the tax for such goods or for the component parts of these goods was wholly or partially deducted;
c) the take over by a taxable person of movable goods, acquired or produced by such person, other than capital goods referred to in art. 149 par. (1) letter a) for the purpose of operations not opening a complete right to deduct the tax, where the tax on such goods was wholly or partly deducted upon their acquisition;
d) goods discovered as missing, with the exception of the goods referred to in paragraph (8) letters a) - c).
(5) Any distribution of goods from the assets of a taxable person to its associates or shareholders, including a distribution of goods in connection with a liquidation or a dissolution without liquidation of a taxable person, with the exception of the transfer referred to in paragraph (7), is a delivery of goods for consideration, in case the input tax related to these goods, or the parts thereof, was totally or partially deducted.
(6) In the case of two or more successive transfers of the ownership right with respect to a good, each transfer is considered a separate delivery of the good even if the good is directly transported to the final beneficiary.
(7) The transfer of all assets or the parts thereof, effected as on the occasion of the transfer of assets and liabilities, as a result of an operation such as liquidation, dissolution, whether for consideration or not or as a contribution to a company, is not a delivery of goods. The receiver of assets is considered to be the successor of the assignor regarding the adjustment of the right to deduction provided by law.
(8) The following are not a delivery of goods for consideration for the purpose of paragraph (1):
a) goods destroyed as a result of natural disasters or other cases of force majeure, as well as lost or stolen goods, legally proved, as defined in the norms;
b) goods in the nature of inventory that are qualitatively damaged, as well as discarded fixed assets, that may no longer be used to derive value, under the conditions provided by norms;
c) perishability, within the limits set by the law;
d) goods granted for free from the state reserve as foreign or domestic humanitarian assistance;
e) granting goods for free as samples within publicity campaigns, for testing products or for demonstrations at sale points; other goods granted for the purpose of stimulating sales;
f) granting goods of small value for free within actions of sponsorship, patronage or representation, as well as other destinations provided by law, under the conditions provided in the norms.
(9) An intra-Community delivery is a delivery of goods in terms of paragraph (1) whereby the goods are dispatched or transported from a Member State to another Member State by or on behalf of the supplier or the person to whom the delivery is made.
(10) The transfer by a taxable person of assets from his undertaking from Romania to another Member State is deemed to be an intra-Community delivery of goods for consideration, except for the non-transfers referred to in paragraph (12).
(11) The transfer referred to in par. (10) means the dispatch or transport of any tangible property, by or on behalf of the taxable person for the purposes of his economic activity, from Romania to another Member State.
(12) Is deemed to be a non-transfer, the dispatch or the transport of a good by or on behalf of the taxable person from Romania to another Member State for the purposes of one of the following operations:
a) the delivery of the good in question effected by the taxable person within the territory of the Member State of arrival of the dispatch or transport under the conditions laid down in art. 132 par. (5) and (6) regarding distance sale;
b) the delivery of the good in question effected by the taxable person within the territory of the Member State of arrival of the dispatch or transport under the conditions laid down in art. 132 par. (1) letter b) regarding deliveries with installation or assembly by or for the account of the supplier;
c) the delivery of the good in question effected by the taxable person on board ships, aircraft or trains during the part of a transport of passengers effected in the Community under the conditions laid down in art. 132 par. (1) letter d);
d) the delivery of the good in question effected by the taxable person under the conditions provided in art. 143 par. (2) regarding the exempt intra-Community delivery of goods, art. 143 par. (1) letter a) and letter b), regarding the exempt delivery for exportation and art. 143 par. (1) letter h), letter i), letter j), letter k) and letter m), regarding the exempt deliveries for ships, aircraft, diplomatic and consular offices, as well as international organizations and NATO Forces;
e) the delivery of gas through the natural gas distribution network, or of electricity, under the conditions provided in art. 132 par. (1) letter e) and letter f) regarding the place of delivery of these goods;
f) the supply of a service performed for the benefit of the taxable person and involving work on the tangible good in question physically carried out in the Member State in which the dispatch or transport of the good ends, provided that the goods, after being worked upon, are re-dispatched to that taxable person in Romania from which they had initially been dispatched or transported;
g) the temporary use of the good in question within the territory of the Member State of arrival of the dispatch or transport, for the purposes of the supply of services in the Member State of arrival by the taxable person established in Romania;
h) the temporary use of good for a period which does not exceed 24 months on the territory of a Member State only if the import of the same good from a third state for the purposes to be temporarily used would benefit of the custom regime of temporary admittance with full exemption from import rights.
(13) When one of the conditions of paragraph (12) is no longer met, the dispatch or the transport of the good in question is deemed to be a transfer from Romania to another Member State. In this case, the transfer is deemed to be carried out at the moment the condition is no longer met.
(14) By an Order, the Minister may introduce simplification measures regarding the application of paragraphs (10) - (13).
Methodological Norms:
6. (1) For the purposes of art. 128 par. (1) of the Fiscal Code, the takeover of any goods produced by a taxable person registered according to art. 153 of the Fiscal Code, for the purpose of being used in carrying out their own economic activity or for the continuation of this activity, shall not be considered as delivery of goods, except for the operations described in art. 128 par. (4) letter c) of the Fiscal Code. The same provisions apply to the service supply.
(2) For the purpose of art. 128 par. (2) of the Fiscal Code, the handing over of goods performed under a contract based on a purchase or sale fee is considered to be a delivery of goods when the consignee acts in their own name but on the behalf of the principal. From the VAT standpoint, the consignee shall be considered as a purchaser-reseller, regardless of the person on whose behalf they act, be they the seller or the buyer, principal, acting as follows:
a) receives from the seller an invoice or any other document serving as an invoice issued on their name, and
b) issues an invoice or any other document serving as an invoice, to the buyer.
(3) The provisions of par. (2) apply under the name of commissioner structure in the cases stipulated in point 19 19 par. (3) and (4).
(4) For the purpose of art. 128 par. (4) let. d) of the Fiscal Code, the fixed tangible assets written-off such as the capital goods stipulated in art. 149 the Fiscal Code are not considered delivery of goods. The provisions of art. 149 of the Fiscal Code apply to the fixed tangible assets in the form of capital goods if, upon acquisition or, as the case may be, the transformation, the modernization, the production or the construction of the assets in question, the tax was deducted either totally or partially and if the following operations occurred in relation with a capital good after the accession date: the purchase or, as the case may be, the production, the construction, the first use after the modernization or transformation.
(5) For the purpose of art. 128 par. (3) let. b) of the Fiscal Code, the transfer of the ownership right for goods following enforcement is considered to be delivery of goods only if the debtor subject to enforcement is a taxable person registered according to art. 153 of the Fiscal Code.
(6) For the purpose of art. 128 par. (7) of the Fiscal Code 128 par. or of part of these assets invested in a certain branch of the economic activity, which represents, from a technical point of view, an independent structure, able to perform separate economic activities. At the same time, it is considered that the partial transfer occurs also in the case when the immovables where the assets transferred by the transferor are located are not sold out, but reallocated to other branches of the activity in the use of the transferor.
(7) The taxable person which is the beneficiary of the transfer stipulated in par. (7) is considered to be the successor of the transferor, regardless of this person being registered for VAT purposes or not. The beneficiary shall take over all the rights and the obligations of the transferor, including the ones regarding the delivery to themselves provided under art. 128 par. (4) of the Fiscal Code, the adjustment of the deduction stipulated in art. 148 and 149 of the Fiscal Code. At the same time, the beneficiary may take over the VAT negative balance for which the reimbursement was not requested or the balance unpaid to the state budget, provided the rights and obligations in question are included in the contract signed by the parties. If the beneficiary is a person other than the taxable person, the transfer operation represents a delivery of goods.
(8) For the purpose of art. 128 par. (8) let. a) of the Fiscal Code:
a) the case of force majeure shall be understood as follows:
1. a fire, proved by insurance documents and/or other official reports;
2. a war, civil war, acts of terrorism;
3. any other events that the force majeure may be invoked for;
b) lost goods shall mean the goods disappeared as a result of natural disasters, such as floods, land slipperies or of force majeure cases;
c) stolen goods shall mean the goods that do not appear in the records, non-imputable for which the taxable person may present the proof of theft ascertainment by the police bodies, accepted by the insurance companies;
(9) For the purpose of art. 128 par. (8) let. b) of the Fiscal Code, the goods in the form of qualitatively deteriorated stock which cannot be sold anymore are not considered to be deliveries of goods associated with payment, if the following conditions are cumulatively met :
a) the goods are not imputable;
b) the qualitative deterioration of the goods is due to objective causes that can be proved with documents;
c) evidence is produced that the goods were destroyed and they are not to enter the economic circuit anymore.
(10) The provisions of art. 148 and 149 of the Fiscal Code on the adjustment of the deduction right, shall not apply if, according to art. 128 par. (8) of the Fiscal Code the goods delivery with payment, except for the writing-off of the fixed tangible assets.
(11) For the purpose of art. 128 par. (8) letter f) of the Fiscal Code:
a) the goods which are granted free of charge in protocol activities are not considered as delivery of goods provided that the total value of the goods granted within a calendar year stay under the ceiling allowing these expenditures' deductibility for the profits tax, as set forth in Title II of the Fiscal Code.
b) The goods which are granted free of charge under sponsorship or patronage actions are not considered as goods delivery provided that the total value within a calendar year do not exceed the limit of 3 per thousand of the turnover determined in accordance with art. 152 par. (2) of the Fiscal Code.
c) Goods which are granted free of charge according to the destinations set by law mean destinations such as, for instance: free hot meals for miners, protection equipment, sanitary and hygiene materials that must be granted to the employees in order to prevent sickness. The ceiling up to which these are not considered delivery of goods for payment is provided in the legal acts establishing the granting of these goods.
(12) The classification of the ceilings stipulated in par. (11) letters a) - c) shall be determined based on the data reported in the annual financial statements. The sponsorship, patronage or other actions provided by law, granted in cash, shall not be taken into account in calculating the observance of the ceilings. Exceeding the ceiling shall be considered a delivery of goods with payment and the tax shall be collected, if the right of deducting the tax for the acquisitions in excess of the ceiling was exercised. The tax collected for exceeding the ceiling shall be calculated and included in the tax return drawn up for the fiscal period for which the taxable person submitted or is to submit the annual financial statements.
(13) For the purpose of art. 128 par. (10) of the Fiscal Code, the transfer includes operations which do not imply any transaction, as the only involved is the taxable person performing the shipment or the dispatching of goods belonging to their economic activity, from one member state to another member state, destined for performing economic activities in the member state of destination. The following operations shall be included in the transfer category: shipment/dispatch from Romania of the goods imported by the taxable person to another member state with no transaction at the moment of the dispatch, the shipment/dispatch of tangible goods from Romania to another member state with the purpose of establishing a stock to be sold in the member state in question, as well as other operations which initially were considered a non-transfer but were turned into a transfer afterwards. The transfer is an operation assimilated to an intra-community delivery of goods wit payment, with the obligation to observe all the conditions and rules on the intra-community deliveries, including the ones on tax exemptions.
(14) The non-transfer also includes the dispatch or the transportation of products subject to excise duties, from Romania to another member state, by the taxable person or by another taxable person on its behalf, with the purpose of performing a distance sale to non-taxable persons established in the member state in question, but other than the non-taxable legal persons
(15) The supply of standard software on diskettes or any other data storage device, based on a regular license prohibiting the duplication as well as the distribution, and only allowing for the installation on a limited number of working stations equal to the number of diskettes or other data devices, shall be considered as a delivery of goods, according to art. 128 of the Fiscal Code. In the category of standard software are included any software produced as any other good for general consumption which contains pre-recorded data and it is sold as and, after installation and perhaps a short training period, can be used independently by the customers in the standard format for the same functions and applications.
Fiscal Code:
Supply of services
ART. 129
(1) Supply of services is any operation that is not a delivery of goods as defined by art. 128.
(2) A taxable person, acting in his own name but for the account of a principal as a go-between in a supply of services, is deemed to have received and supplied these services himself, in the conditions established by the norms.
(3) Supplies of services include operations such as:
a) the rental of goods or the transmission of the use of goods under a leasing contract;
b) the transfer and/or transmission of the use of copyrights, patents, licenses, trademarks and other similar rights;
c) the commitment not to carry out an economic activity, not to compete with another person, or to tolerate an action or a situation;
d) supplies of services performed on the basis of an order issued by or on behalf of a public authority or as provided by law;
e) intermediation performed by agents that act in the name of and for the account of another person when they intervene in a delivery of goods or a supply of services.
(4) The following are deemed to be supplies of services for consideration:
a) the temporary use of goods that are part of the assets of a taxable person for purposes that are not related to its economic activity or to be made available for the use of other persons for free, if the tax for such goods was wholly or partially deducted;
b) services that are part of the taxable person's economic activity, performed for free for the personal use of his employees or for the use of other persons.
(5) Is not deemed to be a supply of services with payment:
a) the use of goods resulting from the economic activity of a taxable person, as part of a supply of services provided for free within an action of sponsorship, patronage or representation or for other destinations provided by law, under the conditions provided by the norms;
b)services that are part of the economic activity of a taxable person, performed for free for publicity purposes or for stimulating sales;
c) services performed for free in the framework of guarantee obligations by the person who originally delivered the good or supplied the service.
(6) In the case where more taxable persons, acting in their own name, intervene by successive operations within a supply of services, each operation is to be considered that each person received and supplied in his own name and for his own account the respective services. Each operation is considered a separate supply of service and is to be taxed distinctively, even if such service is supplied directly to the final beneficiary.
(7) The provisions of art. 128 par. ) and (7) are appropriately applicable to supplies of services.
Methodological Norms:
7. (1) The methodological norms provided in point 6 par. (2) and (3) apply accordingly for the service supply stipulated in art. 129 par. (2) of the Fiscal Code.
(2) The transmission of the use of goods within a leasing contract is considered as services supply in accordance with art. 129 par. (3) letter a) from the Fiscal Code are also excisable. At the end of the leasing period, if the locator/financer transfers to the tenant/user the right of ownership over the good, upon his/her request, the operation represents a delivery of goods for the value the transfer is carried out at. The end of the leasing period shall also be considered the date the tenant/user may choose to purchase the good before the end of the leasing period, but not 12 months before. If the option to purchase the good by the tenant/user exercises 12 consecutive months since the date of beginning the leasing contract, respectively the date when the good is put at the disposal if the tenant/user, it not be considered as a leasing operation but a delivery of goods beginning with the date when the good was put at the disposal of the tenant/user. If, during a financial leasing contract, a cession occurs between the users with the approval of the locator/financer or a cession of the financial leasing contract through which the locator/financer is replaced, this operation will not be considered a delivery of goods, considering that the person taking over the leasing contract continues the transferor. The operation is considered consequently as a service supply, with the person taking over the leasing contract having the same obligations as the transferor with regard to the tax.
(3) A service supply is considered to be, according to art. 129 par. (3) let. e) of the Fiscal Code, the intermediation performed by a persons acting in the name and on behalf of another person when a delivery of goods or a service supply occurs. In the meaning of the current norms, the intermediary which acts in the name and on behalf of another person is the person acting in the capacity as agent, according to the Commercial Code. In the case when the agent intermediates deliveries of goods or service supplies, the supplier/deliverer makes the delivery of goods/service supply to the beneficiary, for which they issue an invoice directly on the beneficiary name, with the agent making a service supply, for which they issue the commission invoice which represents the value of the intermediating service supplied to the mandator or beneficiary, respectively, or, as the case may be, to the supplier/deliverer.
(4) The issuance of an invoice by the agent in their name to the buyer, for the delivery of goods that is intermediated, shall be sufficient for turning them into purchase reseller with regard to the value-added tax, as stipulated in point 6 par. (2) - (4). At the same time, the agent becomes a purchaser reseller from the VAT point of view, if they receive from the buyer a invoice issued on their name.
(5) The provisions of par. (4) apply in the case when the agent intermediates a service supply, as well.
(6) The provisions of point 6 par. (11) and (12) apply also, as the case may be, for the provisions of art. 129 par. (5) letter a) of the Fiscal Code.
(7) The provisions of point 6 par. (6) and (7) apply also, as the case may be, for the provisions of art. 129 par. (7) of the Fiscal Code.
(8) The transfer based on payment of an sportsperson from one club to another is considered to be service supply based on a payment in the meaning of art. 129 of the Fiscal Code. The amounts paid in compensation for the termination of the contract or in penalties in case of default by one of the contracting parties, are not considered service supply performed based on a payment.
(9) For the purpose of art. 129 of the Fiscal Code, the following are considered as supply of services:
a) the supply of standard software via internet or any other electronic network which is in principal automatized needing a minimal human intervention, as it is a service supplied by electronic means, according to art. 125^1 par. (1) pt. 26 of the Fiscal Code;
b) the supply of licenses under a license contract for IT software, allowing the client to install this software on a number of working stations, together with the supply of standard software on diskettes or any other type of data storing device, according to art. 129 par. (3) letter a) of the Fiscal Code.
c) the supply of customized IT software, also for the situation when the software is supplied on a diskette or any other type of data storing device. The customized software is any software program created or adapted for the specific customer needs, according to the requirements expressed by the customers in question.
Fiscal Code:
Exchange of goods or services
ART. 130
In the case of an operation that involves a delivery of goods and/or a supply of services in exchange for a delivery of goods and/or a supply of services, each taxable person is considered to have made a delivery of goods and/or a supply of services for consideration.
Methodological Norms:
8. (1) The operations stipulated in art. 130 of the Fiscal Code include any delivery of goods/service supply for which the payment is made by means of another delivery/supply, such as:
a) the payment in farming products being considered delivery of goods, for the service of processing/obtaining the farming products;
b) the payment in farming products being considered a delivery of goods, for the land leasing, which is a service supply;
(2) Each operation under the exchange shall be treated separately, with the provisions in the current Title applying in accordance with the capacity of the person performing the operation, with the rates and the rules applicable to each specific operation.
Fiscal Code:
Intra-Community acquisitions of goods
ART. 130^1
(1) An intra-Community acquisition of goods means the acquisition of the right to dispose as owner of goods, which are dispatched or transported by the supplier, by the purchaser or by another person acting on account of the supplier or of the purchaser, to a Member State other then the one in which the transport started or from where the goods were dispatched.
(2) The following shall be assimilated to an intra-Community purchase on consideration:
a) the use in Romania by a taxable person for the purposes of his economic activity of goods transported or dispatched by him or on his behalf from another Member State within the territory of which those goods were produced, extracted, purchased, acquired or imported by him for the purpose of his economic activity, where the transport or dispatch of those goods would, if made from Romania to another Member State, be treated as a transfer of goods to another Member State in accordance with art. 128 par. (10) and (11).
b) the take over, by the Romanian armed forces, for their own use or for the use of the civilian personnel within their ranks, of goods acquired in another Member State that is party to the North Atlantic Treaty, signed at Washington at 4 April 1949, and to the acquisition of which the general rules of taxation in that Member State were not applied, if the importation of those goods could not benefit from the exemption provided by art. 142 par. (1) letter g).
(3) The intra-Community acquisition of goods the delivery of which would represent, if made in Romania, a delivery of goods made for consideration is also deemed to be made for consideration.
(4) It is assimilated to an intra-Community acquisition the acquisition by a non-taxable legal person of goods imported by that person into the Community and transported or dispatched by that person to a Member State other than the Member State of importation. The non-taxable legal person shall be granted a refund of the tax paid in Romania in connection with the importation of the goods in so far as establishes that his intra-Community acquisition was subject to value added tax in the Member State of arrival of the goods dispatched or transported.
(5) By an Order, the Minister may introduce simplification measures regarding the application of paragraph (2) letter a).
Methodological Norms:
9. (1) Art. 130^1 par. (1) of the Fiscal Code is the definition "in the mirror" of the definition for the intra-community delivery of goods provided in art. 128 par. (9) of the Fiscal Code, in other terms if in the member state where the dispatch or the transportation of goods originates an intra-community delivery of goods occurs, in another member state occurs an intra-Community acquisition of goods depending on the location of this operation established in accordance with the provisions in art. 132^1 of the Fiscal Code.
(2) The provision in art. 130^1 par. (2) let. a) of the Fiscal Code is the provision "in the mirror" of the one in art. 128 par. (10) of the Fiscal Code, regarding the transfer of goods from Romania to another member state. When a good enters Romania under these circumstances, the taxable person must analyze if from the point of view of the Romanian legislation this operation would be considered a transfer of goods if the operation was performed from Romania to another member state. In such case, the transfer of goods from another state member to Romania generates an operation assimilated to an intra-Community acquisition with payment. The treatment of these transfers as intra-Community acquisitions does not depend on the treatment applied to the same transfer in the originating member state.
(3) The provisions of art. 130^1 par. (2) let. b) of the Fiscal Code apply to the goods purchased by the Romanian army in another member state, in the situation where these goods, after being used by the army, are shipped to Romania.
(4) For the purpose of art. 130^1 par. (3) of the Fiscal Code it is considered to be performed with a payment the intra-community acquisition of goods for which the delivery in the country would be assimilated to a delivery of goods with payment.
(5) According to art. 130^1 par. (4) of the Fiscal Code, if non-taxable legal person from Romania imports goods in another member state, which are afterwards shipped/dispatched to Romania, the operation in question is assimilated to an intra-Community acquisition with payment in Romania, even though the tax for the import is paid in the importing member state. state. Based on evidence produced for the payment of the tax for the intra-Community acquisition in Romania, the non-taxable legal person may request the importing member state the reimbursement of the tax amount paid for the import. In the opposite situation, when a non-taxable legal person established in another member state imports goods in Romania, which than are shipped/dispatched in another member state, this person may require in Romania the restitution of the tax amount paid for the import operation in question, based on evidence produced to prove that the intra-community acquisition of goods was subject to taxation in the other member state.
(6) It shall not be assimilated to an intra-Community acquisition with payment the use in Romania - by a taxable person, with a purpose of performing a distance sale to non-taxable persons in Romania, other than the non-taxable legal persons - of products subject to excise duties transported or dispatched from another member state by either the taxable person or any other person in on behalf of the relevant taxable person.
Fiscal Code:
Place of delivery of goods
ART. 132
(1) The following are deemed to be the place of delivery of goods:
a) the place where the goods are located at the moment when the actual dispatch or transport begins, in the case of goods that are dispatched or transported by the supplier, the purchaser or a third party. Where the place of delivery as determined in this provision is located outside the Community, the place of the delivery performed by the importer and the place of any subsequent delivery is deemed to be in the Member State of importation of the goods, and the goods are deemed to be transported or dispatched from the Member State of importation;
b) the place where the installation or assembly is performed by or on behalf of the supplier, in the case of goods the delivery of which is subject to installation or assembly;
c) the place where the goods are located when they are put at the disposal of the customer, in the case of goods that are not dispatched or transported;
d) the place of departure of the passenger transport, in the case of the delivery of goods performed on board ships, aircraft or trains during the part of a transport of passengers effected in the Community, if:
1. the part of the passenger transport effected within the Community is the part of the transport effected, without any stop outside the Community, between the place of departure and the place of arrival of the passenger transport;
2. the place of departure of passenger transport is the first point of embarkation of passengers within the Community, possibly after a stop outside the Community;
3. the place of arrival of passenger transport is the last point of disembarkation foreseen within the Community for passengers who embarked within the Community, possibly before a stop outside the Community;
e) in the case of the delivery of gas through the natural gas distribution system or of electricity, to a taxable dealer, the place of delivery is the place where that taxable dealer is established or has a fixed establishment for which the goods are supplied, or, in the absence of such a place or fixed establishment, the place where he has his permanent address or usually resides. . A taxable dealer means a taxable person whose principal activity in respect of purchases of gas and electricity is reselling such products and whose own consumption of these products is negligible;
f) in the case of the delivery of gas through the natural gas distribution system, or of electricity, where such delivery is not covered by letter (e), the place of delivery is the place where the customer has effective use and consumption of the gas or electricity. Where all or part of the gas or electricity are not in fact consumed by this customer, but delivered to an other person, the goods not consumed are deemed to have been used and consumed at the place where the new customer is established or has a fixed establishment for which the goods are supplied. In the absence of such place or fixed establishment, he/she is deemed to have used and consumed the goods at the place where he has his/her permanent address or usually resides.
(2) By way of derogation from provisions of par. (1) letter a), the place of delivery in the case of a distance sale originating from another Member State to Romania is deemed to be in Romania if the delivery is made to a taxable person or a non- taxable legal person who benefits from the derogation set out in art. 126 par. (4), or to any other non-taxable person, provided that:
a) the total value of all the distance sales for which the transport or dispatch of goods to Romania are made by the same supplier during the calendar year in which a particular distance sale takes place, including the value of that particular distance sale, or during the calendar year immediately preceding that year, exceeds the distance sells threshold of Euro 35,000. The RON equivalent of this threshold is to be established by the norms; or
b) the supplier has opted in the Member State from where the goods are transported to have his distance sales involving the transport of goods from that particular Member State to Romania treated as taking place in Romania.
(3) The place of delivery is always in Romania for the distance sale of excisable goods, effected from a Member State to non-taxable persons from Romania, other than non-taxable legal persons, without applying the threshold stipulated in par. (2) letter a).
(4) The derogation provided in par. (2) does not apply when the distance sale made from another Member State to Romania:
a) by new means of transportation;
b) goods installed or assembled by the supplier or on his behalf;
c) goods that are taxed in the Member State of departure under the special scheme foreseen in art. 26(a) of the Sixth Directive regarding second-hand goods, works of art, collector's items and antiques, as defined in art. 152^2 par. (1);
d) gas delivered through the natural gas distribution system and electricity;
e) excisable goods delivered to taxable persons and to non-taxable legal persons.
(5) By way of derogation from provisions of par. (1) letter a), the place of delivery in the case of a distance sale originating in Romania to another Member State is located in that other Member State if the delivery is made to any person who does not provide to the supplier a valid value added tax registration number assigned by the Member State where the transport or dispatch ends, provided that:
a) the total value of all the distance sales made by the supplier and involving the transport or dispatch of the goods from Romania to a particular Member State during the calendar year in which a particular distance sale takes place, including the value of that particular distance sale, or during the calendar year immediately preceding that year, exceeds the distance sale threshold which, in accordance with the value added tax legislation of that State, such distance sales have the place of delivery in that State; or
b) the supplier has opted in Romania to have all his distance sales involving transport of the goods from Romania to a particular Member State treated as taking place in that particular Member State. A valid option to this end shall be made under conditions fixed in the norms and shall apply to all distance sales made to that particular Member State during the calendar year in which the option is made and during the two subsequent calendar years.
(6) For the distance sale of excisable goods originating from Romania to non- taxable persons from another Member State, other than non-taxable legal persons, the place of delivery shall always be the other Member State.
(7) The derogation provided in par. (5) does not apply when the distance sale made from Romania to another Member State:
a) by new means of transportation;
b) goods installed or assembled by the supplier or on his behalf;
c) goods that are taxed in Romania under the special scheme regarding second-hand goods, works of art, collector's items and antiques, as defined in art. 152^2;
d) gas delivered through the natural gas distribution system and electricity;
e) excisable goods delivered to non-taxable legal persons and to taxable persons.
(8) For the application of paragraphs (2) - (7), where a distance sale involves the sold goods to be dispatched or transported from a third territory and imported by the supplier into a Member State other than the Member State to which the goods are being dispatched or transported in view of their delivery to the customer, the goods shall be regarded as having been dispatched or transported from the Member State of importation.
Methodological Norms:
10. (1) For the purposes of art. 132 par. (1) let. a) of the Fiscal Code the goods are considered to be transported by the supplier, the buyer or a third person acting in the name and on behalf of one of the latter, if according to the agreement occurred between the contracting parties, either the supplier or the purchaser is the person in charge to carry out the transportation. The third party which carries out the transportation in the name and on behalf of the supplier or the purchaser is the transporter or any other person which enters in a transportation contract with the supplier or the purchaser.
(2) The provisions of art. 132 par. (1) let. b) of the Fiscal Code shall not be applied if the purchaser chose to be an importer of goods in accordance with the provisions of point 59 par. (1) letter b).
(3) According to art. 132 par. (1) let. c) of the Fiscal Code, the place of the delivery is the place where the goods are made available to the purchaser in case that the goods are not shipped or dispatched. In the category of goods that are not either transported or dispatched are included the real estate, as well as any other tangible goods for which there is no transportation relationship between the seller and the purchaser, even though these goods are delivered. Example: a taxable person A established in Romania delivers goods to another taxable person B established either in another member state or in Romania. The goods are transported directly to C, which is a different person purchasing the goods from B. In the first case, the shipping contract is concluded between A and B, one of them being also the person having the obligation to carry out the shipment. On the A-B relationship, a delivery with transportation is considered; whereas on the B-C relationship shall be considered as a non-transport delivery. In the second case in point, if the shipping contract is concluded between B and C, the relationship A-B is considered a non-transport delivery, with the place of the delivery being the place where the goods are made available to B, whereas the B-C relationship is deemed to be a transport delivery, with the place of delivery being the place where the transport originates, meaning the member state of the supplier A.
11. (1) For the purposes of art. 132 par. (2) let. a) of the Fiscal Code, the lei equivalent of the EUR 35,000 ceiling set for the distance sales is established based on the exchange rate provided by the Romanian National Bank in the last working say of the previous calendar year and is to be rounded for the thousand digit. It will be a rounding up when the hundred digit is equal to or higher than 5, with a rounding down when the hundred digit is lower than 5.
(2) In the case where the distance sales carried out by a supplier in a specific member state to Romania exceed the ceiling set in par. (1), it is considered that all the distance sale operations carried out by the supplier from the member state in question to Romania take place in Romania for the remaining period of the calendar year when the ceiling was exceeded and for the following calendar year as well. The person having the obligation to pay the tax is the supplier from another member state according to art. 150 par. (1) let. a) of the Fiscal Code, which must be registered in Romania for VAT purposes according to art. 153 of the Fiscal Code when exceeding the ceiling calculated according to par. (4) and (5). The registration remains valid until December 31st of the year following the year when the ceiling for distance sales in Romania is exceeded by the supplier, except for the situation described in par. (3).
(3) In case the ceiling provided in par. (1) is exceeded in the following calendar year as well, the provision in par. (2) regarding the place for these sales shall apply.
(4) The following are not considered in the calculation of the ceiling provided in par. (1):
a) the value of all the distance sales carried out by a supplier in a specific member state to Romania, including the value of selling the goods which were delivered on a third territory and which are considered to have been delivered to Romania from the importing member state in accordance with the provisions in the art. 132 par. (8) of the Fiscal Code.
b) the value of the distance sale which leads to exceeding the ceiling.
(5) The following are not considered in the calculation of the ceiling provided in par. (1):
a) the value of the distance sale of goods subject to excise duties;
b) the value of any intra-community delivery of new transportation means;
c) the value of any delivery of goods involving the installation or the putting in place, carried out in Romania by the supplier or any other person on behalf of the supplier, according to art. 132 par. (1) letter b of the Fiscal Code.
d) the value of any delivery carried out by the supplier in the member state of departure under the transaction subject to the special regime of the profit margin for second-hand goods, works of art, collectors' items and antiques, provided in art. 152^2 of the Fiscal Code;
e) the value of any delivery of electric power and natural gas, distributed through the natural gas distribution system, according to art. 132 par. (1) letters e) and f) of the Fiscal Code.
(6) The supplier of a distance sale in Romania may opt in the member state where they are established for changing the place of delivery in Romania for all the distance sales performed from the member state in question to Romania. The option must be communicated to the relevant fiscal bodies in Romania by a registered letter where the supplier specifies the date starting when the option is to be applied. The person having the obligation to pay the tax is the supplier from another member state according to art. 150 par. (1) let. a) of the Fiscal Code, which must be registered in Romania for VAT purposes according to art. 153 of the Fiscal Code before the first delivery operation to be carried out after the option is expressed. The registration as a result of the option remains valid until December 31st of the second calendar year following the year when the supplier applied the option, except for the situation described in par. (7).
(7) If the ceiling provided in par. (1) is exceeded in the second calendar year in a row as provided in par. (6), the provisions in par. (2) - (5) regarding the place for distance sales in Romania shall apply.
(8) The sale takes place in a member state, other than Romania, according to art. 132 par. (5) of the Fiscal Code, if the total value of the distance sales carried out by the supplier in Romania exceeds the ceiling for the distance sales established by the member state of destination, which may be different from the one set in par. (1), valid for Romania, or in the case where the supplier applied the option provided in par. (5). The ceiling for distance sales is calculated by each calendar year. For the purpose of art. 132 par. (5) of the Fiscal Code, the persons from another member state which don't have to communicate to the supplier in Romania a valid registration code for VAT purposes are the persons which benefit in the member state where they are established of the derogation provided in art. 28 a(1a)(b) in the 6th Directive, for which the correspondent in the Fiscal Code is the art. 126 par. (4).
(9) In the case where the supplier exceeds the distance sale ceiling set up by the member state of destination, all the distance sales carried out by the supplier in Romania to the member state of destination are deemed to take place in the member state in question for the remaining period of the calendar year when the ceiling was exceeded, and for the following calendar year as well. If the ceiling is exceeded in the following year as well, the same rules regarding the place for these sales shall apply. The suppliers must communicate via a registered letter sent to the relevant fiscal body in Romania, within 30 days from the date of registration for distance sales purposes in another member state, as a result of exceeding the distance sale ceiling set up in another member state, with the place for these deliveries being not anymore deemed to be in Romania, but in the member state where the ceiling is exceeded.
(10) The following shall be taken into account for the calculation of the distance sale ceilings carried out by suppliers located in Romania into another member state:
a) the value of all the distance sales carried out by a supplier located in Romania into another specific member state, including the total value of sale of goods dispatched from a third territory and imported into Romania, which are deemed to be dispatched from Romania, under the conditions of the art. 132 par. (8) of the Fiscal Code;
b) value of the sale which leads to exceeding the ceiling in the other member state.
(11) The following shall not be taken into account for the calculation of the distance sale ceilings carried out by suppliers located in Romania into another member state :
a) the value of the distance sale of goods subject to excise duties;
b) the value of any intra-community delivery of new transportation means;
c) the value of goods delivered with installation and putting in place, carried out in another member state by either the supplier or any other person acting on behalf of the supplier;
d) the value of any delivery carried out by a supplier located in Romania under a transaction subject to the special regime of the profit margin for second-hand goods, works of art, collectors' items and antiques, provided in art. 152^2 of the Fiscal Code.
e) the value of any delivery of electric power and natural gas, distributed through the natural gas distribution system.
(12) The supplier may opt for changing the place of delivery in another member state for all their distance sales carried out from Romania into the member state concerned. The option must be communicated by means of a registered letter to be sent to the relevant fiscal body in Romania and is to be applied starting the date when the registered letter is sent; the option will remain effective until December 31st of the second calendar year following the calendar year when the supplier applies their option, except for the situation described in par. (13).
(13) If the ceiling for the distance sales carried out by suppliers located in Romania into another member state is exceeded also in the second calendar year in a row, as stipulated in par. (12), the provisions in par. (12), the provisions in par. (9) - (11) regarding the place for distance sales in the other member state shall apply.
Fiscal Code:
The place of an intra-Community acquisition of goods
ART. 132^1
(1) The place of an intra-Community acquisition of goods is deemed to be the place where the goods are at the time when the dispatch or transport of the goods ends.
(2) In case of an intra-Community acquisition of goods referred to in art. 126 par. (3) letter a), the purchaser provides his supplier with a valid value added tax registration number issued by a Member State other than the Member State where that intra-Community acquisition takes place in accordance with par. (1),the place of that intra-Community acquisition is deemed to be in the Member State which issued the valid value added tax registration code.
(3) If an intra-Community acquisition has been subject to tax in another Member State in accordance with paragraph (1) and in Romania in accordance with par. (1) and in Romania, in accordance with art. (2), tha taxation base is reduces accordingly in Romania.
(4) The provisions of par. (2) do not apply if the purchaser establishes that the intra-Community acquisition has been subject to value added tax in the Member State where the intra-Community acquisition takes place in accordance with par. (1).
(5) The intra-Community acquisition of goods made in accordance with par. (1), in the framework of a triangle operation in another Member State than Romania by a purchaser - reseller registered in Romania under art. 153, shall be deemed to have been subject to value added tax in that other Member State when the following conditions have been met:
a) the purchaser - reseller registered for VAT purposes in Romania under art. 153, establishes that he has effected this intra-Community acquisition for the needs of a subsequent delivery of these goods effected in that other Member State for which the beneficiary, who is a taxable person registered for VAT purposes in the Member State of establishment, has been designated as the person liable for the value added tax due on this deliver;
b) the declarative obligations for these operations, set out in the norms, have been satisfied by the purchaser - reseller registered for VAT purposes in Romania under art. 153.
Methodological Norms:
12. (1) According to art. 132^1 par. (1) of the Fiscal Code, the place of an intra-Community acquisition of goods is always in the member state where the dispatch or the transportation of goods is concluded. In the case where, according to art. 132 par. (2) of the Fiscal Code, the purchaser provides a registration code for VAT purposes from another member state than the one where the dispatch or the transportation of goods is concluded, the safety network shall apply, meaning the intra-community acquisition is considered to take place also in the member state which provided the registration code for VAT purposes as well as in the member state where the dispatch or the transportation of goods is concluded.
(2) For the purpose of art. 132^1 par. (3) of the Fiscal Code, if the purchaser produces evidence that they subjected the intra-community acquisition to the tax payment also in the member state which provided the registration code for VAT purposes, the purchaser may request the restitution of the tax amount paid in the member state which provided the registration code for VAT purposes. The restitution of the tax amount associated with the intra-Community acquisition is made as follows:
a) for the persons registered for VAT purposes according to art. 153 of the Fiscal Code, by recording with the minus mark, in the tax return as stipulated in art. 156^2 of the Fiscal Code, the intra-Community acquisition and the associated tax amounts;
b) for the persons registered for VAT purposes according to art. 153^1 of the Fiscal Code, the restitution of the tax amount is performed according to the procedural norms in force.
Example: if a taxable person located in Romania, and registered for VAT purposes according to art. 153 or art. 153^1 of the Fiscal Code, purchases in Hungary (the place where the transport of goods is concluded) goods which are delivered from France. The person concerned is not registered for VAT purposes in Hungary, still communicates to the supplier in France their registration code for VAT purposes in Romania, in order to benefit of the tax exemption associated to the intra-community delivery carried out by the supplier located in France. After registration for VAT purposes in Hungary and payment of VAT for the intra-Community acquisition according to art. 132^1 par. (1) of the Fiscal Code, the person in question may request the restitution of the tax amount paid in Romania for the intra-community acquisition, which took place in Romania also according to art. 132^1 par. (2) of the Fiscal Code.
(3) According to the provisions of art. 132^1 par. (4) of the Fiscal Code, in the case where until the date when the chargeability occurs for tax associated with the intra-community acquisition carried out in the member state which assigned the registration code for VAT purposes, according to art. 132^1 par. (2) of the Fiscal Code, the taxable person produces evidence that the intra-community acquisition was subject to VAT payment in the member state where the dispatch or the transportation of goods is concluded, the provisions in art. 132^1 par. (2) of the Fiscal Code.
(4) The obligation stipulated in art. 132^1 par. (5) let. b) of the Fiscal Code are established in point 2 par. (15).
Fiscal Code:
Place of the supply of services
ART. 133
(1) The place of supply of services is deemed to be the place where the supplier is established or has a fixed establishment from which the services are supplied.
(2) By way of derogation from provisions of par. (1), the place of supply of the following supplies of services is deemed to be:
a) the place where the immovable property is located, for supplies of services that are connected with an immovable property;
Methodological Norms:
13. (1) The place of the transfer of sportspersons from one club in Romania to another club in a different country is in the place where the provider is established or established fixed headquarters from which the services are provided.
(2) The place for the supply of services provided in art. 133 par. (2) let. g) points 1 - 8, 13 and 14 of the Fiscal Code that is carried out by a supplier established in the Community to a non-taxable person established in the Community, is in the place where the provider is established or established fixed headquarters from which the services are provided.
(3) The place for leasing or renting of transportation means, delivered by a provider established in the Community to a beneficiary established in the Community is the place where the provider is established or established fixed headquarters from which the services are provided.
(4) For the purpose of art. 133 par. (2) let. a) of the Fiscal Code, the services related to the real estate include operations such as:
a) works of construction and putting in place, transformation, finishing, installation, repairs, maintenance, cleaning, tearing down, which are carried out for real estate by its nature, as well as any other operation which is performed in connection with the delivery of movable goods and their incorporation in an immovable, so that the movable goods become immovable goods by their nature;
b) the studies and the supervision activities, which normally are part of the occupation of architects, supervisors, or engineers and for which the objective is the preparation and the coordination of one of the activities provided in let. a);
c) the activities of evaluation of an immovable good;
d) provision of parking facilities;
e) provision of storage facilities for goods;
f) accommodation services and provision of camping facilities;
g) renting of goods which are immovable goods by their nature;
h) operations of renting, concession or leasing of immovable goods;
i) the administration services for the immovable goods, by their nature;
j) granting of the access and use right for routes and structures which are part of these, for example bridges and tunnels.
Fiscal Code:
b) the place where the transport is actually performed, having regard to the distances covered, in the case of transport services other than an intra-Community transport of goods;
Methodological Norms:
14. (1) For the purposes of art. 133 par. (2) let. b) of the Fiscal Code, the place of delivery for the services consisting of transportation of goods, other than the intra-community transportation of goods and the transportation of passengers, is the place where the transportation is carried out, depending on the distances covered.
(2) The national transportation of goods or passengers is the transportation for which both the departure point and the arrival point are in Romania. The place for the delivery of the national transportation of goods and passengers is in Romania.
(3) The international transportation of goods include the Intra-Community transportation of goods, as defined under art. 133 par. (2) let. c) of the Fiscal Code, as well as the transportations that either have the point of departure or arrival outside the Community, either on both points situated outside the Community. The international transportation of passengers is the transportation for which either the departure, or the arrival, or both, are outside the country. The place for the provision of international transport services for goods or passengers is considered to be in Romania for the portion covered within the country, which is called national route.
(4) For the international transportation of goods or passengers, the portion of the route covered in Romania is the route covered between the departure point and the arrival point for the transportation of goods or passengers, established as follows:
a) for the transportation in which the departure is in Romania, the departure place is considered to be the place where the transportation of goods starts or the passenger embarking point, whereas the arrival place is considered to be the border crossing point from Romania abroad;
b) for the transportation in which the departure point is outside Romania and the arrival point is in Romania, the place of departure is the border crossing point from abroad into Romania, whereas the arrival point is the first place of destination for the goods in Romania or the last point for disembarking the passengers for whom the boarding occurred outside Romania;
c) for the transportation with transit in Romania, meaning neither the departure nor the arrival are in Romania, the departure is considered to be the border crossing point from abroad into Romania, whereas the arrival is the border crossing point from Romania to abroad;
d) in the cases stipulated in let. a) - c), for the passengers embarked and disembarked inside the country, travelling by any transportation means in the international traffic, the portion covered between the boarding place and the disembarking place for these passengers is considered to be national transport.
(5) The invoices or any other legally approved documents for the international transport are issued for the entire route, without the necessity to separate the value of the national route from the value of the international route. Any value-added tax exemption for transportation services stipulated in art. 143 or art. 144 of the Fiscal Code is granted for the route covered inside the country, while it is considered that the place of delivery for the distance covered outside the country is not in Romania, therefore no tax is due. The person providing international transport services benefits of the right to deduct the tax associated with the purchase of goods and/or services also for the transportation route for which the place of provision is not in Romania, under art. 145 par. (2) letter a) of the Fiscal Code.
Fiscal Code:
c) the place of departure of an intra-Community transport of goods. As an exception, where the intra-Community transport is performed for a customer who is identified for the purpose of that transport by a valid value added tax registration number assigned by the competent authorities of another Member State than that of the departure of the transport, the transport is deemed to take place in the Member State which assigned that registration number. The intra-community transport of goods is any transport of goods of which:
1. the place of departure and the place of arrival are situated in two different Member States; or
2. the place of departure and the place of arrival are situated in the same Member State but the transport is directly linked to an intra-Community transport of goods;
Methodological Norms:
15. (1) The place of departure for the intra-community transportation of goods is the place where the transportation of goods starts, regardless of the distance covered up to the place where the goods are. The place of arrival is the place where the transportation of goods is ended.
(2) The transport operation stipulated in art. 133 par. (2) let. c) point 2 of the Fiscal Code, for which the place of departure and the place of arrival are located in Romania, directly linked to an intra-community transportation of goods for which the place of departure and the place of arrival are located in Romania, represents a transport operation assimilated to an intra-community transportation of goods;
(3) The transport situated between transports stipulated in art. 133 par. (2) let. c) point 2 of the Fiscal Code, for which the place of arrival is situated in Romania, shall be considered an intra-community transportation of goods for the purpose of art. 133 par. (2) let. c) point 1 of the Fiscal Code, if the following conditions are met:
a) the contract or any other document associated to this transport must exist at the moment when the transportation described in art. 133 par. (2) let. c) point 1 of the Fiscal Code;
b) the person which carries out the transport provided in art. 133 par. (2) let. c) point 2 of the Fiscal Code, must act on behalf of the person which orders or carries out the transport stipulated in art. 133 par. (2) let. c) point 1 of the Fiscal Code;
c) the goods will remain in the same shape as when they were introduced in Romania, up until the transport is concluded.
(4) The transport situated between transports stipulated in art. 133 par. (2) let. c) point 2 of the Fiscal Code, for which the place of arrival is situated outside Romania in another member state, shall be considered an intra-community transportation of goods for the purpose of art. 133 par. (2) let. c) point 1 of the Fiscal Code, if the following conditions are met:
a) the contract or any other document associated to the transportation stipulated in art. 133 par. (2) let. c) point 1 the Fiscal Code, must exist at the moment when the transport stipulated in art. 133 par. (2) let. c) point 2 of the Fiscal Code;
b) the person which carries out the transport provided in art. 133 par. (2) let. c) point 2 of the Fiscal Code, must act on behalf of the person which orders or carries out the transport stipulated in art. 133 par. (2) let. c) point 1 of the Fiscal Code;
c) the goods will leave Romania in the same shape as when the transportation stipulated in art. 133 par. (2) let. c) point 2 of the Fiscal Code.
(5) The transport situated between transports stipulated in art. 133 par. (2) let. c) point 2 of the Fiscal Code shall be considered as a intra-community transportation of goods for the purpose of art. 133 par. (2) let. c) point 1 of the Fiscal Code, if the following conditions are met:
a) the contract or any other document associated to the transportation stipulated in art. 133 par. (2) let. c) point 1 the Fiscal Code, must exist at the moment when the transport stipulated in art. 133 par. (2) let. c) point 2 of the Fiscal Code;
b) the person which carries out the transport provided in art. 133 par. (2) let. c) point 2 of the Fiscal Code, must act on behalf of the person which orders or carries out the transport stipulated in art. 133 par. (2) let. c) point 1 of the Fiscal Code;
c) the goods will remain in the same shape as when they were introduced in Romania.
Fiscal Code:
Place of the supply of services
ART. 133
[...]
h) the place where services are provided in case of the following services:
[...]
2. expertises regarding the movable tangible assets as well as the work performed on them.. As an exception, it is considered that these services are supplied:
- in the Member State that allocated the VAT registration code in case such services are supplied by a client that grants to the provider a VAT registration code, valid attributed by the competent authorities from a Member State, other than the one where the services are supplied, referring to the goods transported outside the Member State where the services are supplied;
[...]
Methodological Norms:
15^1. (1) For the purposes of art. 133 par. (2) let. h) point 2 of the Fiscal Code, the works performed on the movable tangible assets cover all the human and mechanical operations carried out on a movable tangible asset, others that the intellectual or scientific nature, respectively services consisting in, among others, processing, production, reparation of the movable tangible assets. The assessment on the movable tangible assets include the examination of movable tangible assets in order to determine their value. The packages or other used goods, directly connected to the goods that works or assessment have been performed on under art. 133 par. (2) let. h) point 2 of the Fiscal Code or the goods they incorporate are ancillary to services supplied and shall not be regarded as delivery of goods, but as a part of the service supplied.
(2) In case on the territory of Romania works and expertises are performed on the mobile tangible goods of community origin, the persons receiving the goods to perform the works on must register the goods with the register provided under point 79 par. (1) letter g). The work s and expertises on the movable tangible goods of community origin performed on the Romanian territory are not taxable in Romania, and the exception of art. 133 par. (2) let. h) first line of the Fiscal Code shall be applied, if the conditions stipulated, respectively: the beneficiary communicated a valid VAT code allocated by the fiscal authorities from another Member State than Romania and the supplier may prove that the goods left the Romanian territory after the works were performed. If at least one of these conditions is not met, the rule set forth in art. 133 par. (2) let. h) point of the Fiscal Code shall be applied, respectively the operations are taxable at the place of services supply in Romania and one shall analyze if the operation is taxable or one of the tax exemption provisions in art. 143 par. (1) of the Fiscal Code. By an Order of the Minister of Economy and Finances simplification means are established for certain cases.
(3) The Community goods that are transported from Romania to another Member State in order to submit to another Member State the works provided under art. 133 par. (2) let. h) point 2 of the Fiscal Code are registered by the beneficiary of the services that shall be supplied in other Member State in the non-transfer register provided at pt. 79 par. (1) let. f). If the beneficiary from Romania transmits to the supplier his/her valid VAT code allocated by the fiscal authorities from Romania in accordance with the provisions of art. 153 or 153^1 of the Fiscal Code and the goods are transported outside the Member State where they were processed, the place of services supply is Romania, in accordance with the provisions of art. 133 par. (2) let. h) point 2 first line of the Fiscal Code and the person bound to pay the tax is the beneficiary from Romania, in accordance with the provisions of art. 150 par. 1 let. c) of the Fiscal Code, if the operation is taxable and the provider is not established in Romania. Such provisions shall apply also for the goods that the services provided in art. 133 par. (2) let. h) point 2 of the Fiscal Code the services have been performed on, have not been transported to Romania from another Member State, but have been purchase from another Member State and imported from the Member State.
(4) The services stipulated in art. 133 par. (2) let. h) point 2 of the Fiscal Code are supplied outside the territory of Romania by taxable persons established in Romania, the place of services supply is not Romania, and therefore, the operations are not taxable in Romania.
(5) The services provided in art. 133 par. (2) let. h) point of the Fiscal Code, supplied in Romania over the non Community goods falling under one of the regimes or situations provided in art. 144 par. (1) of the Fiscal Code, are taxable on Romania, but it shall be analyzed where the tax exemption provisions in art. 143 par. (1) or art. 144 par. (1) of the Fiscal Code.
(6) The printing of books or of other items may be considered either as goods supply, either as services supply, based on the manner of carrying out the operations, thus:
a) in case the client that holds the publishing rights over a book or over another published item shall limit to transmit such contents on paper, CD, diskette or another storing device and the printing house undertakes to print, or as the case may be, to publish the book or other published item, using paper and/or own materials needed for such prints, it shall be considered that the printing house performs a good delivery towards his client, in accordance with art. 128 of the Fiscal Code, the place of delivery of goods, following to be established in accordance with the provisions of art. 132 of the Fiscal Code;
b) in case the client holding the rights of publishing a book or other published item shall transmit to the printing house such contents on paper, CD, diskette or any other storing device, as well as the paper necessary for the print and/or, as the case may be, other materials serving for the book/item printing, it shall be considered that the printing house supplies services to its client in accordance with art.. 129 of the Fiscal Code. The place for the services supply, in such case, shall be established in accordance with the provisions of art. 133 par. (2) let. h) point 2 of the Fiscal Code.
Fiscal Code:
Chargeable event for the delivery of goods and supplies of services
ART. 134^1
(1) The chargeable event occurs when the goods are delivered or when the services are performed, with the exceptions provided for by this Chapter.
(2) In the case of deliveries of goods based on a consignment agreement and in the case of similar operations such as call of stocks and deliveries of goods on sight or on trial as defined in the norms, the goods are considered to be delivered on the date the consignee or, as the case may be, the beneficiary becomes the owner of the goods.
(3) In the case of the delivery of immovable goods, the chargeable event shall be deemed to occur on the date when the legal formalities are fulfilled for the transfer of ownership title from seller to purchaser.
(4) With respect to supplies of services paid on the basis of statements of works, such as construction-assembly, consulting, research, expert's assessments and other similar works, the chargeable event occurs on the date when the statements of works are issued or, as applicable, the date when such statements of works are accepted by the beneficiary.
Methodological Norms:
16. (1) For the goods delivered under a consignment agreement, the delivery of goods from the consignor to the consignee is considered to take place on the date when the goods are delivered from the consignee to their clients. In the meaning of Title VI of the Fiscal Code, the consignment agreement represents an agreement by which the consignor undertakes to deliver goods to the consignee, for this latter to find a buyer for these goods. The consignee acts in their own name but on behalf of the consignor when they deliver the goods to the buyers.
(2) Concerning the goods transmitted in order to be tested or to be checked for conformity, the ownership transfer of these goods is considered to take place on the date when the goods are accepted by the beneficiary. The goods transmitted in order to be checked for conformity are the goods offered by the supplier to the customers, with the latter's right to either purchase the goods, or return them to the supplier. The contract for the goods delivered for testing purposes is a provisory agreement in which the actual selling of the goods is subject to the satisfactory results of the tests performed by the potential customer, with the tests in question being performed with the purpose to determine whether or not the goods requested have the features required by the client concerned.
(3) The ownership transfer of the goods, for the stock available to the customer, is considered to take place on the date when the customer takes possession of the goods. The stock available to the client is an operation according to which the suppliers periodically transfer goods into their own warehouse or in a warehouse owned by the client, under which the ownership transfer of goods occurs, according to the contract, on the date when the client takes the goods out of the warehouse, for these to be used mainly in the production process..
Fiscal Code:
Chargeability for Intra-Community delivery of goods exempt from VAT
ART. 134^3
(1) By derogation from the provisions of par. 134^2, in the case of an intra-Community delivery of goods, exempted form tax according to art. 143 par. (2), occurs on the date on which an invoice is issued for the entire amount of that delivery but not later than the fifteenth day of the month that follows the month when the chargeable event occurred.
(2) By exception from provisions of par. (1) the chargeability of the tax occurs at the insurance of the invoice provided in art. 155 par. (1), if the invoice is issued before the fifteenth day of the month that follows the month when the chargeable event occurred.
Methodological Norms:
16^1. (1) For the purpose of art. 134^3 par. (2) of the Fiscal Code, in case of delivery of Intra-Community goods tax exempted, the chargeability occurs at the date of issuance of the invoice before the fifteenth day of the month that follows the month when the chargeable event occurred, regardless whether the invoice was issued for cashing an advance or the entire or partial counter-value of the delivery.
(2) The chargeability determines the fiscal period where the exempted Intra-Community delivery is registered in the deduction of the value added tax provide in art. 156^2 of other Fiscal Code and in the declaration provided in art. 156^4 of the Fiscal Code.
Fiscal Code:
Chargeable event and chargeability for Intra-Community acquisition of goods
ART. 135
(1) In the case of an intra-Community acquisition of goods, the chargeable event occurs on the date that would be the date of the chargeable event had those goods been delivered in the Member State where the acquisition is made..
(2), occurs on the date on which an invoice is issued for the entire amount of that delivery but not later than the fifteenth day of the month that follows the month when the chargeable event occurred.
(3) By exception from provisions of par. (2), the chargeability of the tax occurs on the date an invoice is issued provided by the legislation of another State in the equivalent art. 155 par. (1), if the invoice is issued before the fifteenth day of the month that follows the month when the chargeable event occurred.
Methodological Norms:
17. There is a clear connection between the chargeable event in the case of a delivery of goods and the chargeable event in the case of an intra-Community acquisition of goods, which both occur at the same time, which is the time of delivery of goods. In order to avoid any discrepancy between the VAT-exempt intra-community deliveries of goods, which are included in the summary statement drawn up for this kind of deliveries and the intra-Community acquisitions, included in the VAT return and in the summary statement for intra-Community acquisitions provided in art. 156^4 of the Fiscal Code, in Romania, the time of chargeability was set either on the 15th day of the month following the month when the chargeable event occurs, or on the date of the invoice provided this invoice be issued for the total value, including both the intra-community deliveries and the intra-Community acquisitions.
Example 1. The invoice for the intra-community delivery is issued integrally after the day 15 of the month following the month when the delivery is made.
Other Member State Romania
Intra-Community Delivery Intra-Community Acquisition,
VAT exempted subject to VAT and taxable
Delivery Date: 25/06/2007 Intra-Community Acquisition Date:
25/06/2007
Date of the invoice: 20/07/2007
Chargeable event: 25/06/2007 Chargeable event: 25/06/2007
Chargeability: 15/07/2007 Chargeability: 15/07/2007
The Delivery is included in the summary Statement Intra-Community Acquisition is
summary Statement relating to the quarter shown in VAT deduction for
three of year 2007, July 2007 (or for
quarter three of year 2007),
as well as in the summary
statement relating to the quarter
quarter three of year 2007
Example 2. The invoice for the intra-community delivery is issued before the day 15 of the month following the month when the delivery occurs.
Other Member State Romania
Intra-Community Delivery Intra-Community Acquisition,
VAT exempted subject to VAT and taxable
Delivery Date: 25/06/2007 Intra-Community Acquisition Date:
25/06/2007
Date of the invoice: 29/06/2007
Chargeable event: 25/06/2007 Chargeable event: 25/06/2007
Chargeability: 29/06/2007 Chargeability: 29/06/2007
The Delivery is included in the summary Statement Intra-Community Acquisition is
summary Statement relating to the quarter shown in VAT deduction
two of year 2007, for June 2007 (or for
quarter two of year 2007),
as well as in the summary
statement relating to the quarter
two of year 2007
Fiscal Code:
Taxable amount for deliveries of goods and supplies of services inside the country
ART. 137
(1) The taxable amount for the value added tax consists of:
a) for deliveries of goods and supplies of services other than those referred to in letter b) and letter c), everything that constitutes a counterpart that has been or is to be obtained by the supplier from the purchaser, beneficiary or a third party, including the subsidies that are directly linked to the price of such operations ;
b) for the operations referred to in art. 128 par. (3) letter c), the compensation ;
c) for the operations referred to in art. 128 par. (4) and (5), the transfer referred to in art. 128 par. (10) and the intra-Community acquisitions deemed to be made for consideration and referred to in art. 130^1 par. 2) and (3), the purchase price of the goods or of similar goods or, in the absence of such a purchase price, the cost price determined at the moment of the delivery. If the goods are fixed assets, the taxable amount is determined as provided in the norms;
d) for the operations referred to in art. 129 par. (4), the amount of expenses born by a taxable person for performing the supply of services;
e) in the case of exchange referred to in art. 130 and more generally where the consideration is paid or payable wholly or partly in kind or where the value of the consideration for a delivery of goods or a supply of services has not been established between parties or cannot be easily determined, the taxable amount of that delivery / supply it is deemed to be the normal value of such delivery/supply. Is considered to be the normal value of a good / service, the amount that a buyer, at the marketing stage at which the operation takes place, would have to pay within the country at the time the operation is made to an independent supplier, in order to obtain the same good or service under the conditions of fair competition.
(2) The taxable amount includes the following:
a) taxes, duties and fees, if the law does not provide otherwise, with the exception of the value-added tax;
b) ancillary expenses, such as: commissions, packaging expenses, transport and insurance costs, claimed by the supplier/provider from the purchaser or from the beneficiary. Expenses related to the delivery or the supply, invoiced by the supplier of the goods or services to the purchaser and covered by a separate agreement are considered to be ancillary expenses.
Methodological Norms:
18. (1) In accordance with art. 137 par. (1) lit. a) of the Fiscal Code, the subsidies received from the state budget, the local budgets of the Community budget, directly linked to the price of the goods supplied and/or the services provided, are to be included in the taxable amount. The subsidies are deemed to be directly linked to the price, if the following conditions are cumulatively met:
a) the subsidy amount be dependent on the volume of the supplied goods/services provided;
b) the subsidy amount be calculable before the activity is carried out.
(2) The taxable amount of the value-added tax shall not include the subsidies or the allocations from the state budget, the local budgets or the Community budget which do not meet the conditions stipulated in par. (1), such as: the subsidy to cover the expenditures for the local public transportation, the subsidy granted to undertake own investments.
(3) The taxable amount for the work uniforms, work equipment and/or protection equipment for the employees is formed of the value which is covered by the employees. If the work equipment and/or protection equipment is not supported by the employees, this operation does not constitute a delivery of goods in the meaning of art. 128 par. (1) of the Fiscal Code. For the portion of the value of the work uniforms, work equipment and/or protection equipment granted to the employees which is paid by the employer, the latter shall preserve the right of deduction under the terms of art. 145 of the Fiscal Code.
(4) For the purpose of art. 137 par. (1) lit. c) of the Fiscal Code the taxable amount for tangible fixed assets which constitute a delivery of goods according to art. 128 par. (4) lit. d) of the Fiscal Code, other than the immovable goods, is formed of the remaining value for which these goods are recorded in the accounting, calculated based on the accounting amortization, but not less that the value for which these goods are imputed, in the case of goods which are detected to be missing. If the fixed tangible assets are completely amortized, the taxable amount is zero or, as the case may be, the imputable value, for the missing goods.
(5) In the cases provided in art. 128 par. (4) lit. a) şi lit. b) of the Fiscal Code, the taxable amount of the movable goods is calculated in accordance with the provisions in par. (4).
(6) For the deliveries of goods stipulated in art. 128 par. (5) of the Fiscal Code, the taxable amount for the fixed tangible assets, including for the immovable goods, is calculated in accordance with the procedure established in par. (4).
(7) Any expense with the tax and fees owed by a taxable person for a goods or services supply, unless they are included in the price of the goods delivered or the services supplied, but are recovered from the client by re-invoicing, is included in the VAT taxation, according to the provisions of art. 137 par. (2) letter a) of the Fiscal Code.
(8) For the purpose of art. 137 par. (2) let. b) of the Fiscal Code, any expense ancillary to a goods/services supply shall be included in the taxation bas on VAT, even if they are subject of a separate contract. The ancillary expenses follow the same rules referring to the place of delivery/supply, the portions or the applicable regime, as well as the delivery/supply that are connected to.
(9) The expenses for the transportation of the Intra-Community goods delivery are included in the taxation base of the Intra-Community delivery only for the transportation or the part of transportation falling under the responsibility of the seller.
Fiscal Code:
(3) The taxable amount does not include the following:
a) rebates, discounts for early payment and other price reductions that are granted by suppliers directly to clients at the time of the chargeability of the tax;
b) interest-damages established by final irrevocable court decisions, penalties and other amounts requested for the total or partial non-fulfilment of contractual obligations, if the amounts are imposed over the negotiated prices and/or tariffs. Not to be excluded from the taxable amount are any amounts, which in fact represent the counter-value of goods delivered or services supplied;
c) interests, applied after the time of the delivery or the supply, for late payments;
d) the value of packaging that circulates between the suppliers of a commodity and customers, by exchange, without invoicing;
e) amounts paid by a supplier on behalf of and in account of his customer that are later reimbursed to such supplier, as well as the amounts cashed in the name and in account of other person.
Methodological Norms:
19. (1) For the purposes of art. 137 par. (3) let. a) of the Fiscal Code, the rebates, discounts for early payment and other price discounts are not included in the taxable amount if they are granted by the supplier/provider directly to the benefit of the customer at the moment of the delivery/provision and does not constitute, in fact, the remuneration for a service or a delivery. To this purpose, the invoice issued shall show the value of the goods or services delivered, no tax, with the amount by which the taxable amount is reduced, and which is subtracted, showing up on a separate row. The Value-Added Tax is applied to the difference thus resulted.
(2) In the case of price discounts granted to the final consumer based on value coupons by the producers/distributors of goods under promotional campaigns, these discounts are considered to be granted also to the benefit of the traders which accepted these value coupons from the final consumers, even though in the circuit of these goods from the producers/distributors to the traders one or more intermediaries intervene in their capacity as purchaser-resellers. The coupons must contain at least the following elements:
a) the producer/distributor name, which grants the price discount for promotional purpose;
b) the product for which the promotion is made;
c) the value of the discount that is granted, as a global amount, which also include the value-added tax associated to this discount, without being mentioned separately in the coupon;
d) the deadline for the validity of the coupon;
e) the specification according to which the coupons can be used only in the agreed shops under the promotion in question;
f) the instructions for using these coupons;
g) the name of the company specialized in the value coupons administration, if needed .
(3) For the purpose of art. 137 par. (3) let. e) of the Fiscal Code the amounts paid by the supplier/provider in the name and on behalf of the client, represent the amounts paid by a person, the supplier/provider, for the invoices issued on the client's name. The settlement invoice is optional, depending on the agreement made by the parties regarding the recovery of the amounts paid. If the parties agree to settle the amounts paid based on the settlement invoice, the tax shall not be shown separately, but it will be included in the total amount that is to be recovered. The settlement invoice is sent to the client together with the invoice paid in the name of the client and issued on the latter's name. The supplier/provider does not apply the deduction right for the amount paid in the customer's name and does not collect the tax amount based on the settlement invoice. Also, the supplier/provider does not record these amounts under the expenditures accounts and the revenue accounts, respectively. The client shall deduct the tax amount according to the law, based on the invoice issued on their name, as the settlement invoice is only a document that is attached to the invoice that is paid.
Example no 1: person A issues an invoice for transportation services top person B, but the invoice of A is paid by C on behalf of B. In case the supplier/provider receives an invoice in their name for deliveries of goods or service supply to the benefit of another person and issues an invoice in their own name to this person, these are not considered as payments made in the name of the client and the fee arrangement shall apply as provided at pt. 6 par. (3) or, as the case may be, pt. 7 par. (1), even though there might not be a fee arrangement agreement between the parties.
Thwe person that applies the fee arrangement is not bound to have registered in the object of activity the deliveries/supplies he/she carries out. Is is considered from the VAT standpoint only that the person applying the fee arrangement carries out a delivery/supply of the same nature as the one made by the person that carried out the delivery or supply.
Example no 2: a supplier A from Romania makes a Intra-Community delivery of goods to beneficiary B from Hungary. The delivery condition is ex. works, therefore the transportation falls under the purchaser's responsibility, B. However B empowers A to contract a transportation company, following to pay the transportation cost.
(4) For the purpose of art. 137 par. (3) let. e) of the Fiscal Code, the amounts collected in the name and on for the account of another person shall include a number of operations, such as:
a) contributions, fees, royalties or other payments collected for the account of a public institution, if for these the public institution is not a taxable person in the meaning of art. 127 of the Fiscal Code. In this category are included among others the tax for he advertising and publicity services provided in art. (270) of the Fiscal Code, the hotel tax provided in art. 278 of the Fiscal Code, the contribution to the Cinema Fund provided in art. 13 let. b) from Government Ordinance no 39/2005 on cinematography, as amended and further completed, the tax on activities damaging health, provided in art. 363 par. (1) let. c) of Law no 95/2006 on the reform in the field of health, as amended and further completed;
b) amounts collected for the account of another person, if the invoice is issued by this other person to a third party. In order to settle the amounts collected from the third party with the person issuing the invoice, according to the agreement concluded between the parties, settlement invoice may be issued, as per par. (3);
c) amounts invoiced to third parties and collected, for the account of another person, in which situation the fee arrangement shall apply as per point 6 par. (3) or, as the case may be, pt. 7 par. (1), even though there might not be a fee arrangement agreement between the parties.
(5) For the purpose of art. 137 par. (3) let. d) of the Fiscal Code, the packaging which is circulated between the merchandise suppliers and the customers, as an exchange, without being invoiced, is not to be included in the taxable amount, even though the beneficiaries might not own the quantity of packaging needed to perform the exchange, and for this they make a money collateral in exchange for the packaging received. For the sales carried out through units which have the obligation to use the fiscal cash registers, the amount of money collateral for the packaging is shown separately on the fiscal receipts, without the tax. The restitution of the collateral amounts is not to be reflected in the fiscal documents.
(6) The persons which receive packaging in exchange for a money collateral have the obligation to periodically communicate to the packaging supplier, but not later than the legal deadline set for the annual inventory, the quantities of packaging taken out from the records as a result of destruction, wearing out, missing or other similar causes. Within 5 working days form the communication date, the packaging suppliers have the obligation to invoice, including the tax, the quantities of packages concerned. If the collateral is not received form natural persons by the owner of the packaging, based on the evidence for the period of the collateral received which are not returned, the tax shall be collected for the packaging for which the collateral older than one calendar year was collected.
Fiscal Code:
Adjustment of the taxable base
ART. 138
The taxable base is to be reduced in the following situations:
a) if an invoice was issued and subsequently the operation is totally or partially cancelled, before the delivery of goods or the supply of services;
b) in case of total or partial refusals as regards the quantity, quality or price of goods delivered or services supplied on account of the partial or total cancellation of the contract for that delivery or supply which is declared by means of a final irrevocable court decision or arbitration award or is agreed to by the parties in writing;
c) in the case where rebates, discounts and price discounts provided in art. 137 par. (3) let. a) are granted after the delivery of goods or the supply of services;
d) in case where the counter-part of goods delivered or services supplied may not be collected due to the bankruptcy of the beneficiary. The adjustment is allowed beginning with the date of the final court decision regarding the closing of the procedure provided by the Law no. 85/2006 on the insolvency procedure, in case such court decision is final and irrevocable;
e) in case where the purchasers return packaging in which the goods were dispatched, for packaging that circulates based on invoicing.
Methodological Norms:
20. (1) For all the situations provided in art. 138 of the Fiscal Code, the suppliers of goods and/or the service providers adjust their VAT taxable amount after the delivery/supply is carried out, or after the delivery/supply is invoiced, even though the delivery/provision might not have been carried out, but the events provided in art. 138 of the Fiscal Code occur after the invoicing and the registration of the tax in the taxable persons records. To this purpose, the suppliers/providers must issue invoices with the amounts recorded with the minus mark when the taxable amount is reduced, or, as the case may be, without the minus mark, if the taxable amount is increased, with these invoices to be transmitted to the beneficiary as well. The provisions in this paragraph apply in the case of intra-community deliveries as well.
(2) The beneficiaries have the obligation to adjust the deduction right initially applied, according to the provisions in art. 148, let. b) and art. 149 par. (4) let. e) of the Fiscal Code, only for the operations provided in art. 138 let. a), b), c) and e) of the Fiscal Code. The provisions in this paragraph apply in the case of intra-Community acquisitions as well.
(3) The adjustment of the taxable amount of the value-added tax, provided in art. 138 let. d) of the Fiscal Code is allowed only in the situation when the date when the beneficiary's bankruptcy is declared occurred after January 1st, 2004, including for the invoices issues before this date, if the cost of the goods delivered/services supplied or the associated value-added tax recorded in these invoices cannot be collected because of the beneficiary's bankruptcy.
(4) The price discounts granted by the producers/distributors of goods based on value coupons, under promotional campaigns, shall be reflected in the invoices as follows:
a) the discount invoices are issued directly by the producers/distributors of goods on the name of the traders which accepted the value coupons from the final consumers, even though initially the invoices for the delivery of goods for which these discounts are granted were issued by the producers/distributors to different intermediaries acting as purchaser-resellers. Under the "Purchase" heading shall be recorded the data of the purchaser which accepted the coupons from the final clients. Moreover, in the discount invoice shall be written "price discount based on value coupons", or
b) when the producers/distributors of goods enter into agreements with companies specialized in coupon administration, the producers/distributors shall issue only one invoice showing a minus mark for the value of the price discounts granted within one month as well as for the associated value-added tax, which must also include the observation: "price discounts granted based on value coupons according to the annex". The annex must contain information on the value of the price discounts granted by a producer/distributor to each trader, with a breakdown by categories of goods. Under the "Purchaser" heading shall be recorded the data of the company specialized in coupon administration. The companies specialized in coupon administration shall issue to each trader one single invoice with a minus mark for all the goods in question, in which they record the price discount value granted to the producers/distributors within one month, as well as the associated value-added tax amount. These invoices must contain the specification "price discount granted based on the coupons according to the annex". The annex must contain information on the value of the price discounts granted by a producer/distributor to each trader, with a breakdown by categories of goods. Under the "Supplier" heading shall be recorded the data of the company specialized in coupon administration.
Fiscal Code:
The taxable base for intra-Community acquisitions
ART. 138^1
(1) The taxable base for an intra-Community acquisition shall be established on the basis of the same elements as those used in accordance with art. 137 to determine the taxable base for a delivery of the same goods within the territory of the country. In the case of the intra-Community acquisition of goods referred to in art. 130^1 par. (2) let. a), the taxable amount shall be determined in accordance with art. 137 par. (1) let. c) and of art. 137 par. (2).
(2) The taxable base includes any excise duty paid or payable in another Member State than Romania by the person making that intra-Community acquisition on the goods acquired. When that excise duty is refunded to the person who makes the intra-Community acquisition, the value of the intra-Community acquisition made in Romania is reduced proportionately.
Methodological Norms:
21. For the purpose of art. 138^1 of the Fiscal Code, the taxable base for the intra-Community acquisitions equals the taxable amount for the intra-community delivery carried out in another member state, which includes the elements stipulated in art. 137 par. (2) of the Fiscal Code and does not contain the elements stipulated in art. 137 par. (3) of the Fiscal Code, and/or, as the case may be, shall be adjusted in accordance with the provisions of art. 138 of the Fiscal Code. The transportation expenses are included in the taxable base of the goods acquired intra-community only if the transportation is under the responsibility of the seller or for the part of transportation that is under the responsibility of the seller.
Fiscal Code:
Exchange rate
ART. 139^1
(1) If the elements used to determine the taxable amount of an importation of goods are denominated in a foreign currency, the exchange rate is determined in accordance with the Community provisions governing the calculation of the value for customs purposes.
(2) If the elements used to determine the taxable amount of an operation other than an importation of goods are denominated in a foreign currency, the exchange rate is the last indicative rate published by the National Bank of Romania or the rate used by the bank involved in the settlement of the operation, at the time of the chargeability of the tax.
Methodological Norms:
22. (1) The contracts concluded between the parties must specify what exchange rate is to be used for the settlement: the exchange rate communicated by the Romanian National Bank or the commercial bank's exchange rate. For the advance payments received, before the delivery of goods or the supply of services, the exchange rate used to determine the VAT taxable base shall be the rate the exchange rate on the advance payment date and shall remain unchanged until the finalization of the operation.
Exemple: A taxable person A registered for VAT purposes in accordance with art. 153 of the Fiscal Code collects 1,000 euros in advance payment for the delivery of an automobile from another company B. A shall issue an invoice to B at the exchange rate of 3.5 lei/euro, valid on the date the advance payment is received.
The VAT taxable base = 1.000 euro x 3,5 lei/euro = 3.500 lei.
The value-added tax associated to the advance = 3.500 x 19% = 665 lei.
In three months time the actual delivery of the automobile takes place, which costs 5,000 euros. The rate on the delivery date is 3.6 lei/euro. The VAT taxable base is calculated as follows:
[(1,000 euros x3.5 lei/euro) + (4,000 euros x 3.6 lei/euro)]x19%= 17,900x19%=3401 lei.
(2) For deliveries of goods or services supplied inside the country, but contracted in foreign currency with a settlement in lei at the exchange rate of the payment date, the rate variation between the exchange rate specified in the invoice drawn up in accordance with par. (1) and the exchange rate used on the collection date shall not be considered as a price difference.
Fiscal Code:
Rates
ART. 140
(1) The standard rate is 19% and is to apply to the taxable amount for any taxable operation that is not exempt from the tax or that is not subject to the reduced rate.
(2) The reduced rate is 9% and is to apply to the taxable amount for the following supplies of services and/or deliveries of goods:
a) the services regarding admission to castles, museums, memorial houses, historical monuments, architectural and archaeological monuments, zoos, botanical gardens, fairs, exhibitions and cultural events, cinemas, other than those exempted in accordance with art. 141 par. (1) let. m);
b) the delivery of school manuals, books, newspapers and magazines, with the exception of those intended exclusively or substantially for publicity;
c) the delivery of prostheses of any type and accessories to them, with the exception of dental prostheses;
d) the delivery of orthopaedic products;
e) the delivery of medicines for human use and veterinarian use;
f) the supply of accommodation within the hotel sector or within sectors with a similar function, including the rental of land prepared for camping.
(3) The applicable rate is the rate in force on the date when the chargeable event occurs, with the exception of the operations referred to in art. 134^2 par. (2), for which the rate in force on the date of chargeability of the tax is to apply.
(4) In the case of a change of rate, the adjustments are to be made to apply the rates in force on the date of deliveries of goods or supplies of services, for the operations provided in art. 134^2 par. (2).
(5) The applicable rate for an importation of goods is the rate applied for the delivery of the same goods within Romania.
(6) The rate applicable to an intra-Community acquisition of goods is the rate applied to the delivery of the same goods within Romania and in force at the time of the chargeability of the tax.
Methodological Norms:
23. (1) The tax is calculated by applying either the standard rate or the reduced rate to the taxable amount calculated according to the legal provisions.
(2) The increased hundred procedure shall be applied to calculate the tax amount, which is 19 x 100/119 for the standard rate, and 9 x 100/109 for the reduced rate, when the selling price includes the tax as well. Normally, the price includes the tax in the case of goods delivered and/or services supplied directly to the population, for which it is not necessary to issue an invoice according to art. 155 par. (7) of the Fiscal Code, as well as in any situation where, based on the nature of the operation or in accordance with the contractual provisions, the price includes the tax.
(3) The reduced rate of 9% provided in art. 140 par. (2) let. b) of the Fiscal Code shall apply for the delivery of school manuals, books, newspapers and magazines, including those recorded on electromagnetic devices or any other type of device. The school books and manuals are the printed materials which have an ISBN code, regardless of the device they are delivered on. Newspapers and magazines are any printed materials which have an ISSN code, regardless of the device they are delivered on. The reduced VAT rate shall not be applied for the delivery of books, newspapers and magazines which are mainly or entirely destined for advertisement. By "mainly" it is understood that more than half of the contents of the book, the newspaper or the magazine is destined for advertisement.
(4) The 9% reduced tax rate stipulated in art. 140 par. (2) let. c) of the Fiscal Code is applied for the medical prostheses and their accessories, excluding the dentures which are VAT-exempt under the conditions stipulated in art. 141 par. (1) let. b) of the Fiscal Code. The medical prosthesis is a medical device which amplifies, restores or replaces portions of the soft or hard tissues, as well as functions of the human body; this device may be internal, external or both internal and external. The accessory of a prosthesis is an item specially provided by the producers for the use together with the medical prosthesis itself.
(5) The 9% reduced tax rate stipulated in art. 140 par. (2) let. d) of the Fiscal Code, is applied for orthopaedic products. The orthopaedic products are the prostheses used to amplify, restore or replace soft or hard tissues, as well as some functions of the osteo-articular system, the prostheses used to modify the structural and functional characteristics of the neuro-muscular system and the skeleton, as well as the orthopaedic shoes produced upon recommendation of the specialized doctor, the means and the orthopaedic walking devices, such as wheel-chairs, and/or other similar vehicles used by the disabled persons, and parts and/or accessories of the wheel-chairs or of the similar vehicles for the disabled.
(6) The 9% reduced tax rate stipulated in art. 140 par. (2) let. f) of the Fiscal Code is applied for the accommodation in the hotel sector or similar sectors, including the renting of plots of land equipped for camping. If the cost of breakfast is included in the accommodation price, the reduced rate shall apply to the accommodation price, without separating the breakfast cost. Any person acting under the conditions of art. 129 par. (6) of the Fiscal Code, or intermediating such operations in their own name but on behalf of another person, according to art. 129 par. (2), shall apply the 9% tax rate, except for the situations when the special tax regime is compulsory in the case of tourism agents stipulated in art. 152^1 of the Fiscal Code.
Fiscal Code:
Exemptions for operations inside the country
ART. 141
(1) The following operations of public interest are exempt from the tax:
a) hospital treatment, medical treatment and closely-related operations carried out by units authorized for such activities, regardless of the form of organization, such as: hospitals, sanatoriums, rural or urban health centres, dispensaries, medical practices and laboratories, centres for medical care and diagnosis, bases of treatment and recuperation, emergency stations and other units authorized to carry out such activities;
Methodological Norms:
24. The exemption stipulated in art. 141 par. (1) let. a) of the Fiscal Code:
a) shall apply to operations closely related to hospitalization, medical care, including delivery of medicine, bandages, prostheses and accessories, orthopaedic products and other similar goods to the patients, during the medical treatment period, as well as the supply of food and accommodation for the patients during the hospitalization and the medical care period;
b) shall not apply for the supply of medicine, bandages, prostheses and accessories, orthopaedic products and other similar goods, which is not carried out during the medical treatment or the hospitalization period, such as those carried out by the pharmacies, even though the latter might be located inside a hospital or a clinic and/or run by the hospital or clinic in question.
Fiscal Code:
d) transportation of sick people and of the injured persons, in special vehicles, by entities authorized to this purpose;
Methodological Norms:
25. The exemption stipulated in art. 141 par. (1) let. d) of the Fiscal Code regarding the transport of sick or injured persons in vehicles specially designed for this purpose shall apply for the transport carried out by the ambulance stations or other units or vehicles authorized by the Health Ministry to carry out this activity.
Fiscal Code:
i) supplies of services and/or deliveries of goods closely related to social assistance and/or social protection performed by public institutions or other entities recognized as having a social character;
Methodological Norms:
26. For the purpose of art. 141 par. (1) let. i) of the Fiscal Code, the entities recognized as having a social character, such as: the homes for the elderly and the retired, the centres designed for the integration through occupational therapy, the placement centres authorized to carry out social assistance activities.
Fiscal Code:
j) supplies of services and/or deliveries of goods closely related to the protection of children and youth performed by public institutions or other entities recognized as having a social character;
Methodological Norms:
27. The exemption stipulated in art. 141 par. (1) let. j) of the Fiscal Code shall apply to the pilot-centres for the young disabled persons, the homes for children, the recovery clinics for the under aged and other bodies for which the line of activity is to ensure the supervision, the support and the education of young people.
Fiscal Code:
k) supplies of services and/or deliveries of goods for the collective benefit of members, in return for a fixed subscription fee according to the statute, by nonprofits-making organizations with aims of a political, trade-union, religious, patriotic, philosophical, philanthropic, corporate, professional or civic nature, as well as the objective of representing the interest of their members, on the condition that such exemption does not cause distortions of competition;
Methodological Norms:
28. For the purpose of art. 141 par. (1) let. k) of the Fiscal Code:
a) The contribution rates is set by the habilitated leading body, in accordance with the own statute of the non-profit organizations, with no patrimony purpose;
b) the activities carried out to the benefit of the members for the contributions collected, under art. 6 of the Decree-law no 139/1990 regarding the chambers of commerce and industry in Romania, by the Chamber of Commerce and Industry in Romania and the Bucharest Municipality and the territorial chambers of commerce and industry shall be tax-exempt.
Fiscal Code:
l) supplies of services closely related to the practice of sports or physical education performed by non-profit-making organizations for persons who practice sports or physical education;
Methodological Norms:
29. The exemption stipulated in art. 141 par. (1) let. l) of the Fiscal Code shall apply to the service supply operations which are closely related to sports or physical education, carried out to the benefit of the persons practicing sports or physical education, in the situation where these services are supplied by non-profit organizations, such as sports leagues and organizations, sports clubs, sports training facilities, hotels and cantinas for the use of sportsmen only. The tax exemption shall not be applied to the collections from advertisement, the collections from ceding the radio and TV transmission rights for the sporting event, and the collections from granting the access to any sporting events.
Fiscal Code:
m) supplies of cultural services and/or deliveries of goods closely related to such services performed by public institutions or other non-profit cultural bodies recognized as such by the Ministry of Culture and Cults;
Methodological Norms:
30. The supply of cultural services provided in art. 141 par. (1) let. m) of the Fiscal Code carried out by public institutions or non-profit cultural organizations include activities such as: theatre, opera, musicals representations, the organization of fairs, festivals and other similar cultural events acknowledged by the Ministry of Culture and Cults; The delivery of goods closely related to these services include deliveries such as: the sale of brochures, flyers and other materials promoting a cultural event.
Fiscal Code:
n) supplies of services and/or deliveries of goods performed by persons whose operations are exempt as provided in letters a), f) and h) - l), in connection with events intended to raise financial support and organized for their exclusive benefit, on the condition that such exemptions do not cause distortions of competition;
Methodological Norms:
31. Pursuant to art. 141 par. (1) let. n) of the Fiscal Code, a number of activities are VAT exempt, such as: theatre, choreographic or cinematographic representations, exhibitions, conferences, symposiums, other than the ones provided at pt. 30, provided that the revenues obtained from these activities serve only to cover the expenses incurred by the persons organizing these events.
Fiscal Code:
o) specific activities of public radio and television stations, other than activities of a commercial nature;
Methodological Norms:
32. The national public radio and TV stations are "Societatea Romana de Radiodifuziune" and "Societatea Romana de Televiziune", provided in the Law no 41/1994, republished, with the consequent amendments and completions, on the rules of functioning for Societatea Romana de Radiodifuziune and Societatea Romana de Televiziune.
Fiscal Code:
p) the supply of public postal services and the delivery of goods incidental thereto;
Methodological Norms:
33. The public postal services are the services regulated of the universal services area, as regulated by the Government Ordinance no 31/2002 on the postal services, as amended and further completed.
Fiscal Code:
q) services supplied by independent groups of persons whose activities are exempt from or are not subject to the tax, by groups established for the purpose of rendering to their members services directly necessary for the exercise of their activity, where these groups merely claim from their members exact reimbursement of their share of the joint expenses, within the limits and conditions established by the norms and provided that such exemption is not likely to produce distortion of competition.
Methodological Norms:
34. (1) The exemption stipulated in art. 141 par. (1) let. q) of the Fiscal Code shall apply in the situation where the members of an independent group of persons agree to share common significant expenses which are directly necessary for the members to carry out their activity. In this case, the allocation of expenditures is considered to be a supply of services to the benefit of the members, by the independent group of persons. This supply of services is tax-exempt if the conditions set out in par. (2) - (15) are cumulatively met.
(2) The members of the independent group must:
a) be non-taxable persons or taxable persons which carry out operations without the right to deduct the tax, non-registered for VAT purposes according to art. 153 of the Fiscal Code, with the exception of the administration activity;
b) carry out activities of the same nature or belong to the same financial, economic, professional or social group.
(3) The activities of the independent group must be not-for-profit. The independent group is not registered, but act in capacity as group against the third parties. One of the members shall be designated to ensure de administrative management of the independent group.
(4) The independent group shall only supply services of the same nature as all the members in the group, in direct and common interest of the members The independent group may not carry out deliveries of goods, except for the case where these deliveries of goods are auxiliary to the supply of services mentioned above in this paragraph.
(5) It is forbidden for the independent group to carry out operations involving third parties. It is also forbidden for the independent group to supply services to only one of the members or to only part of the members of the group.
(6) The services supplied by the independent group to the benefit of all its members shall be settled to each member and represent the value of the common expenditures in the period for which the settlement is done. The independent group may not obtain any profit as a result of these settlements.
(7) The settlement mentioned in par. (6) shall be carried out based on a supporting return drawn up by the member designated to ensure the administrative management of the group, which determines:
a) the precise share of common expenditures assigned to each member of the group;
b) an exact evaluation of the share of the common expenditures assigned to each member, based on the objective criteria agreed among the members of the group.
(8) For the application of the provisions in par. (7), the independent group may receive amounts in advance from its members, provided that the total value of these amounts do not exceed the total amount of common expenditures committed for the period covered by each supporting return.
(9) In view of implementing the independent group, an application signed by all the members of the group must be submitted to the National Agency for Fiscal Administration within the Ministry of Public Finance; the application must include the following information:
a) the name, address, line of work and the registration code of each member;
b) elements proving that the members do meet the conditions specified in par. (2);
c) the name of the member appointed to ensure the administrative management of the independent group.
(10) The National Agency for Fiscal Administration shall make a final decision as to either approve or reject the implementation of the independent group, and shall communicate this decision to the group, as well as to each fiscal body of the jurisdiction of the group members, within 60 days from the receipt date of the application mentioned in par. (9).
(11) The implementation of the independent group shall be effective as of the first day of the second month following the date of the decision mentioned in par. (10).
(12) The member appointed to ensure the administrative management of the group shall notify the National Agency for Fiscal Administration on the occurrence of any of the following events:
a) the termination of the option stipulated in par. (1) to forme an independent group, at least 30 days before the occurrence of the event;
b) the failure to met the conditions stipulated in par. (2) which lead to the cancelling of the treatment of the taxable persons as an independent group, within 15 days after the occurrence of the generating event;
c) the appointment of a different member to ensure the administrative management of the independent group, at least 30 days before the occurrence of the event.
(13) In the cases provided in par. (12) let. a) and b) the National Agency for Fiscal Administration shall cancel the treatment of the taxable persons as an independent group, as follows:
a) in the case stipulated in par. (12) let. a), as of the day 1 of the month following the month when the option is terminated;
b) in the case stipulated in par. (12) let. b), as of the first day of the month following the month of the triggering event.
(14) The National Agency for Fiscal Administration may, following verifications by the competent fiscal bodies:
a) cancel the treatment of a person as member in an independent group, in case the person in question does not meet the eligibility criteria anymore, which allowed them to be considered as a member under the conditions of par. (1). The cancellation shall be effective starting the first day of the month following the month when the situation as such is determined by the competent fiscal bodies;
b) cancel the treatment of taxable persons as an independent group, in case the group does not meet anymore the eligibility criteria stipulated in par. (1) - (8) allowing them to be considered such a group. This cancellation shall be effective starting the first day of the month following the month when the situation is found out by the competent fiscal bodies.
(15) In case the member appointed to ensure the administrative management of the group reimburses the administration costs of the independent group to the other member, these costs are not tax-exempt, under the conditions of art. 141 par. (1) let. q) of the Fiscal Code. Even if the member appointed to ensure the administrative management of the group registers for VAT purposes for the management activity, this member can be part of the group.
(16) In the case of the independent groups, all the acquisitions from third parties or other members of the group which are in the direct interest of the group, shall be carried out by the member appointed for the administrative management of the group, which acts in the name and on the group's account.
Fiscal Code:
Exemptions for operations inside the country
ART. 141
[...]
(2) The following operations are also exempt from the tax:
a) supplies of the following financial and banking services:
1. the granting and negotiation of credits, as well as the management of credit by the person granting it;
2. the granting, negotiation and taking over of credit guarantees or collateral guarantees for credit, as well as the management of credit guarantees by the person granting the credit;
3. any operation, including negotiation, connected with financial deposits and current accounts, payments, transfers, debts, cheques and other negotiable instruments, but excluding debt collection;
4. the issuance, transfer, and/or any other operation with domestic or foreign currency as payment means, with the exception of coins or bank notes that are collectors' items;
5. the issuance, transfer and/or any other operation, excluding the management and the safekeeping, with shares, participation titles, trade receivables, debentures and other securities, with the exception of documents establishing ownership title over the goods;
6. the management of common investment funds;
Methodological Norms:
35. (1) For the purposes of art. 141 par. (2) let. a) pct. 1 of the Fiscal Code shall be included as well the loans granted by the associates/shareholders to the commercial companies aimed at ensuring the financial resources of the companies in question. The exemptions shall apply only based on the nature of services and not on the status of the person supplying them or they are addressed to. To this purpose were given the decisions of the European Court of Justice: C-2/95 SDC; C-235/00 CSC; C-169/04 Abbey National. The outsourced services related to the operations provided in art. 141 par. (2) let. a) from the Fiscal Code, as well as the marketing, research, legal services, accounting and/or audit services are not included among the operations exempted of tax
(2) It is considered negotiation within financial-banking operations the insurance of all approaches necessary for the two involved parties, respectively the client and the financial-banking services provider, to enter a contractual relation. The simple collection, processing and provision of outcomes does not represent a negotiation in financial-banking operations, as it results from the decision of the European Court of Justice in Case C-235/00 CSC.
(3) Among others, the exempted operations area include also, in accordance with art. 141 par. (2) let. a) pt. 1 of the Fiscal Code the loans granted to shareholders/associates of the trading companies in order to assure the financial results of the trading company, the loans granted with real estate goods, including the mortgage loans, the loans granted with the movable tangible assets, including the loans granted by the mortgage homes.
(4) The components of financing within the sale of goods with payment in instalments or within the leasing operations that are not included in the operations exempted in accordance with art. 141 par. (2) let. a) pt. 1 of the Fiscal Code, such components representing a part of the remuneration for the respective goods or services.
(5) Among, the operations exempted in accordance with art. 141 par. (2) let. a) pt. 3 of the Fiscal Code services such as warehousing, transfer to and money withdrawal from banking accounts, including by electronic means, funds transfer from a specific code in other money means, as well as telephonic card and other means that the payment for goods or services may be performed through.
(6) Among the operations exempted, in accordance with art. 141 par. (2) let. a) pt. 3 of the Fiscal Code are the ancillary services, such as the payment verification, the issuance of the duplicate account extracts, making available for the bank's clients, upon their request, copies of the SWIFT messages connected to their payments.
(7) The exception provided in art. 141 par. (2) let. a) pt. 3 of the Fiscal Code apply according to the nature of the operation, regardless of the terminology used, respectively the collection of debts or factoring.
(8) If according to the contract, the scope of the operation referred to in par. (7) is not the debt collection but granting a credit, the company that takes over the debts related to a credit granted assuming also the position of the creditor, the operation is exempted of value added tax and is not subject to the exception provided in art. 141 par. (2) let. a) pt. 3 of the Fiscal Code. In such case the Decision of the European Court of Justice C-305/01 MKG shall not be applied.
(9) If according to the contract analysis it results that the operation referred to in par. (7) represents a debt collection, such operation is considered for the person taking over the debts as a services provision with payment, taxable from the VAT standpoint in accordance with the provisions of art. 141 par. (2) let. a) pt. 3 of the Fiscal Code regardless whether the person taking over the debts takes over or not the risk regarding their not being collected, as it results from the Decision of the European Court of Justice no C-305/01 MKG.
(10) The taxable base of the value-added tax added for the operations provided under par. (9) represents the counter-value of the service, including the financing component and is determined according to the type of contract and may be calculated either by adding the interest related to the financing and the administration commission and debt collection, either as the difference between the debts and the price of their acquisition, if the debts did not exceed the maturity date, either as the difference between the economic value and the market value of the debts agreed by the parties and stipulated in the contract concluded and the price of their acquisition in case of recovery of the debts with the exceeded payment date.
(11) Among, the operations exempted in accordance with art. 141 par. (2) let. a) pt. 4 of the Fiscal Code operations such as the banknotes or coins exchange in a difference currency or in the same currency as the cash distribution.
(12) Among the operations exempted, in accordance with art. 141 par. (2) let. a) pt. 4 of the Fiscal Code shall not be included operations such as: the supply of financial information, of general nature, analysis regarding the evolution of the exchange rate, the sale or rent of the devices for counting and sorting the money, outsourced services regarding the cash transportation.
(13) Among, the operations exempted in accordance with art. 141 par. (2) let. a) pt. 5 of the Fiscal Code, are included the transfer and/or other operations with social parts and unlisted shares.
(14) Among the operations exempted, in accordance with art. 141 par. (2) let. a) pt. 5 of the Fiscal Code shall not be included operations such as: depositing of assets of the special investment funds, as it results from the Decision of the European Court of Justice no C-169/04 Abbey National, securities administration and depositing.
(15) For the purpose of art. 141 par. (2) let. a) pt. 6 of the Fiscal Code, the special investment funds are the following:
a) the collective placement bodies provided in Title III of Law no 297/2004 of the capital market, as amended and further completed and in the regulations of the National Securities Commission issued for its enforcement. Such collective placement bodies include both the securities collective placement bodies that are subject to Chapter V of Title III of Law no 297/2004 on the capital market as amended and further completed and other collective placement bodies that are subject to Chapter VI of Title III of Law no 297/2004, as amended and further completed;
b) the privately administrated pension funds and the facultative pension funds;
c) the common debt insurance funds.
Fiscal Code:
Exemptions for operations inside the country
ART. 141
[...]
(2) The following operations are also exempt from the tax: [...]
b) insurance and/or reinsurance operations as well as services provisions connected to the insurance and/or reinsurance operations carried out by the taxable persons that intermediate such operations;
Methodological Norms:
35^1. (1) Among the operations exempted, in accordance with art. 141 par. (2) lit. b) of the Fiscal Code are not included operations such as marketing and administrative operations such as receiving insurance petitions, organization and management of the informatics system, information supply and drafting the reports for the insured parties as they are not specific to the insurance services. To this purpose was given the Decision of the European Court of Justice in the Case C-472/03 Arthur Andersen.
(2) An essential feature of an insurance service is represented by the existence of contractual relations between the provider and the beneficiary of the services. In case of outsourcing the transactions in the insurance fields, the exemption depends on the entity concluding the contract with the clients and incurring the risk. The exemption shall not be granted to the companies that outsource services, unless they incur the risk and do not conclude insurance contracts in their behalf. To this purpose was given the Decision of the European Court of Justice in the Case C-240/99 Skandia.
Fiscal Code:
e) rental, leasing or concession of immovable property with the following exceptions:
1. the operations of accommodations that are performed in the hotel sector or sectors with a similar function, including the rental of land prepared for camping;
2. the letting of premises or sites for parking vehicles;
3. the rental of equipment and machinery that is permanently fixed to immovable property;
4. the rental of safes;
Methodological Norms:
36. For the purpose of art. 141 par. (2) let. e) pt. 3 of the Fiscal Code, the machines and equipments which are permanently fixed within the immovable goods are those that cannot be detached anymore without triggering the deterioration of the real estate as well.
Fiscal Code:
Exemptions for operations inside the country
ART. 141
[...]
(2) The following operations are also exempt from the tax: [...]
f) the delivery by any person of buildings or parts thereof and the land on which they stand, as well as any other land. However, this exemption does not apply to a delivery of a building land or of a new building or a part thereof . For the purposes of this article:
1. building land means any unimproved or improved land intended to be built on, according to the law in force;
2. building means any structure fixed to or in the ground;
3. the delivery of a new building or part thereof means a delivery made at the latest on 31 December of the year that follows the year of first occupation or use, as the case may be, after transformation of the building or part thereof;
4. a new building also means any building, which has been so transformed that its structure, its nature and even its destination have been modified, or in the absence of such criteria, when the cost, exclusive of the tax, of the transformations reaches at least 50% of the open market value of the building, excluding the value of the land, after the transformation;
Methodological Norms:
37. (1) For the purposes of art. 141 par. (2) let f) of the Fiscal Code, the plot of land on which an immovable good is built follows the regime of the immovable good, being considered as undividable property.
(2) It is considered as the date of first occupation, in case of a building that did not incur transformation of the nature of the transformations mentioned under pt. 4 of art. 141 par. (2) let. f) of the Fiscal Code at the date of signing by the beneficiary the minutes for the definitive reception thereof. In case of a construction made on one own expense, the date of the first occupation is the date of signing the document based on which the good is registered in the accounting records as tangible fixed asset.
(3) The date of the first use of a building refers to buildings that incurred transformations such as the one mentioned under pt. 4 of art. 141 par. (2) let. f) of the Fiscal Code. The date of first use means the date of signing by the beneficiary the minutes of the final reception of the transformation works of the building in question. In case of transformation works on one own expense, that date of first use of the good after the transformation is the date of the document based on which with the value of the said transformation is increased the value of the fix tangible asset.
(4) A building that has not been occupied in the sense provided under par. (2) shall be considered a new building until the date of the first occupation even if the delivery occurs before such date.
(5) The exception provided in art. 141 par. (2) let. f) of the Fiscal Code applies only in case of persons that are taxable in accordance with art. 127 of the Fiscal Code for the delivery of new buildings, of parts of such buildings or lands to be built on.
Fiscal Code:
(3) Any taxable person may choose to charge operations referred to in par. (2) let. e) and f), if provided by norms.
Methodological Norms:
38. (1) For the purposes of art. 141 par. (3) of the Fiscal Code and without disregarding the provisions in art. 161 of the Fiscal Code, any taxable person may opt for the taxation of any of the tax-exempt operations provided in art. 141 par. (2) let. e) of the Fiscal Code, with regard to any immovable good or a part of this immovable good.
(2) For the application of paragraphs (1) an immovable good is a building and has the meaning provided in art. 141 par. (2) let. f) pt. 2 of the Fiscal Code and any land.
(3) The operation provided in par. (1) shall be communicated in a notification to the relevant fiscal bodies, on the form shown in annex no 1 to the present Methodological Norms, and shall be applied as of the date when the notification. A copy of the notification shall be submitted to the client. The late submission of the notification shall not cancel the right of the taxable person to apply the taxation regime. If the option is applied for only part of the immovable good, this part, which is intended to be used for taxable operations, expressed in percentage, shall be communicated in the notification sent to the fiscal body. For the immovable goods or parts of these for which leasing contract are concluded and are ongoing before the date of accession and that continue also after that the accession date, the notification shall be submitted within 90 days after the accession date, if the owner of the good wishes to continue the taxation regime for the immovable goods leasing operations.
(4) The taxable person not-registered for VAT purposes according to art. 153 of the Fiscal Code, shall apply for registration, if they opt for taxation and, simultaneously, shall submit the notification stipulated in the annex no 1 to the present Methodological Norms. The registration for VAT purposes cannot replace the option for the taxation of operations stipulated in par. (1).
(5) The taxable person which opted for the taxation under the circumstances in par. (1) may apply the tax exemption regime stipulated in art. 141 par. (2) let. e) of the Fiscal Code, as of the date mention in the notification stipulated in par. (7).
(6) The taxable persons which silently opted, before the accession date, for renting, leasing or concession immovable goods, must submit the notification provided in annex no 1 to the present Methodological Norms, within 90 days after the accession date. The taxable persons which submit notifications for the taxation of the renting, leasing or concession operations for the immovable goods, before the accession date, do not longer have the obligation to apply this taxation regime for a 5-year period after the date specified in the notification, provided they submit the notification for giving up the taxation regime, as stipulated in par. (7) it is not necessary to modify the notification in the sense of specifying the area of the immovable good instead of the percentage of the immovable good, according to the specifications in annex 1 to the present Methodological Norms.
(7) The taxable person shall notify the relevant fiscal body on the cancellation of the option, using the form shown in annex no 2 to the present Methodological Norms. The tax exemption can be applied only after the notification is submitted for the cancellation of the option.
(8) If the option stipulated in par. (1) is applied by a taxable person which did not have the right for the integral or partial deduction of the tax associated to the immovable good or part of the immovable good which is the object of the option, the taxable person shall make the adjustment only once for the entire adjustment period in the situations stipulated in art. 149 of the Fiscal Code, if the goos is in the adjustment period.
(9) Any taxable person that makes the adjustment of the deducted tax amount according to art. 141 par. (2) let. e) of the Fiscal Code and had the right to full or partial deduction of the tax for the immovable good or a part of the immovable good shall adjust the tax deducted in accordance with art. 149 of the Fiscal Code, if the goos is in the adjustment period.
(10) By exception from provisions of par. (8) and (9), the operations referred to in art. 141 par. (2) let. e) of the Fiscal Code on the immovable goods or parts of the immovable goods, acquired, transformed or modernized before the date of accession shall apply the transitory provisions stipulated in art. 161 of the Fiscal Code referring to the adjustment of the deduction right of the value added tax.
39. (1) For the purposes of art. 141 par. (3) of the Fiscal Code, any taxable person may opt for the taxation of the immovable goods stipulated in art. 141 par. (2) let. f) of the Fiscal Code in the conditions stipulated in par. (2) - (6).
(2) Except for the situations where are applied the provisions of art. 141 par. (2) let. g) of the Fiscal Code and except for the provisions of par. (1), the taxable person that applies the taxation option, according to pt. 38 par. (1), for a building, part of a building or a plot of land, other than the land allowing constructions may not apply the exemption regime stipulated in art. 141 let. f) of the Fiscal Code, until the end of the calendar year following the year when the option provided in pt. 38 par. (1) was cancelled, or when the option became not applicable as a result of the delivery. In such case, whereas the application of the taxation regime is not optional it shall not be submitted the notification provided in annex no 3 to the present Methodological Norms.
(3) The taxation operation provided in par. (1) it shall not be applied the transfer of the ownership right over the immovable goods shall not be applied by the persons that applied the exemption regime provided in art. 141 par. (2) let. e) of the Fiscal Code for the leasing with immovable goods.
(4) The operation provided in par. (1) shall be communicated to the fiscal bodies on the form presented in annex no 3 to the present Methodological Norms and is exercised for the immovable goods mentioned in the notification. The option may be also applied for parts of these goods. The delayed submission of the notification shall not lead to the cancellation of the taxation option submitted by the seller. The notification must be submitted in a copy to the buyer too.
(5) If the option stipulated in par. (1) refers to only a part of the immovable goods, this part which will be sold under a taxation regime, precisely identified, shall be specified in the notification stipulated in par. (3).
(6) If the option stipulated in par. (1) is applied by a taxable person which did not have the right for the integral or partial deduction of the tax associated to the immovable good which is the object of the option, the taxable person shall make the adjustment stipulated in art. 149 of the Fiscal Code, if the goods is in the adjustment period.
(7) Any taxable person that makes the adjustment of the deducted tax amount according to art. 141 par. (2) let. f) of the Fiscal Code and that has the right to partially or totally deduct the tax related to the immovable good shall perform the adjustment of the tax deducted in accordance with art. 149 of the Fiscal Code, if the goods is in the adjustment period.
(8) By exception from provisions of par. (5) and (6), the operations referred to in art. 141 par. (2) let. f) of the Fiscal Code with the immovable goods, built, acquired, transformed or modernized before the date of the accession, shall apply the transitory provisions of art. 161 of the Fiscal Code referring to the adjustment of the deduction right of the value added tax.
40. Except for the provisions in art. 141 par. (3) of the Fiscal Code, the taxable persons may not apply taxation for the exempt operations stipulated in art. 141 of the Fiscal Code. The public institutions shall be treated as taxable persons for the activities exempt according to art. 141 of the Fiscal Code. The exemption shall be applied to the deliveries of goods and/or the supply of services performed by any taxable person. If a taxable person incorrectly issues invoices in which is included the tax for deliveries of goods or supplies of services which are VAT-exempt, in accordance with art. 141 of the Fiscal Code, this taxable person has the obligation to rectify these invoices issued. The beneficiaries of such operations are not entitled to the deduction or the restitution of the tax amount which is incorrectly applied to the exempt operations. The beneficiaries must request the supplier/provider to rectify the invoice in which the tax is included and issue a new invoice without VAT.
Fiscal Code:
Exemptions for importation and intra-Community acquisition
ART. 142
(1) The following are tax-exempt:
[...]
f) the importation of goods performed by representative offices of international and intergovernmental organizations accredited in Romania, as well as by their members, within the limits and in accordance with the conditions provided in the conventions establishing such organizations;
Methodological Norms:
41. The exemption stipulated in art. 142 par. (1) let. f) of the Fiscal Code is granted by the customs offices for control and customs clearing, based on the approval by the Foreign Affairs Ministry regarding the observance of the ceilings and conditions specified in the conventions for establishing such organizations.
Fiscal Code:
h) the re-importation into Romania by the person who exported them outside the Community, of goods in the state in which they were exported outside the Community, where they qualify for exemption from customs duties;
Methodological Norms:
42. For the purpose of art. 142 par. (1) let. (h) of the Fiscal Code, the re-imported goods must:
a) have remained the property of the person who was owner of these goods at the exportation date;
b) have been subject to the regular tax regime on the domestic market of a Member State and not have been the object of a reimbursement by virtue of exportation.
Fiscal Code:
i) the re-importation into Romania by the person who exported them outside the Community of goods in order to be repaired, transformed, adapted or made-up or reworked, provided that this exemption is limited to the value of the goods at the time they were exported outside the Community;
Methodological Norms:
43. (1) For the purposes of art. 142 par. (1) let. (i) of the Fiscal Code the partial tax exemption, for the value of goods at the moment of the exportation, shall be granted for:
a) re-imported goods repaired outside the Community;
b) re-imported goods processed outside the Community, including those assembled or put in place;
c) re-imported parts of goods or parts which are exported outside the Community in order to be incorporated in these goods;
d) re-imported goods resulted from the transformation of goods exported outside the Community for the purpose of such transformation.
(2) The partial exemption mentioned in par. (1) shall be granted under the following conditions:
a) the goods must have been exported from Romania outside the Community, after they were put under a passive perfection regime;
b) the goods must have been subject to the regular tax regime in Romania;
c) the exportation as well as the re-importation of the goods must be carried out by the same person.
(3) The taxable amount for the re-importation mentioned in par. (1) is formed of the value of the goods delivered and the services supplied outside the Community, plus the items that are not already included in this value, according to art. 139 par. (2) of the Fiscal Code.
(4) The total exemption shall be granted for the re-importation of goods which already outside the Community have been subject to one or more operations, if the same operations would not have been taxed in Romania.
Fiscal Code:
Exemptions for importation and intra-Community acquisition
ART. 142
(1) The following are tax-exempt:
[...]
l) the importation into Romania of goods transported from a third territory where the delivery of these goods by the importer is an exempt intra-Community delivery by virtue of art. 143 par. (2);
Methodological Norms:
44. The exemption mentioned in art. 142 par. (1) let. (l) of the Fiscal Code is granted if the importer can prove that the importation is directly destined for an intra-community delivery of these goods, which is tax-exempt. To this purpose, the importation customs declaration shall include the registration code for VAT purposes assigned by another member state to the person to which the goods are delivered by the importer in the cases mentioned in art. 143 par. (2) let. (a) and (d) of the Fiscal Code. However, starting with April 15, 2007 included, for the importation of tax-exempted goods in the conditions provided by art. 142 par. (1) let. l) of the Fiscal Code, the value added tax is guaranteed by the customer bodies, in accordance with the provisions of art. 157 par. (7) of the Fiscal Code, in accordance with the provisions of the Order of the Ministry of the Economy and Finances.
Fiscal Code:
Special exemptions related to the international good traffic
ART. 144
(1) The following are tax-exempt:
a) good delivery that follows:
1. to be placed in customs regime for temporary admission, with total exoneration from the payment of the import rights;
2. to be presented to customs authorities for custom clearance and, as the case may be, placed in the required temporary deposit;
3. to be introduced in a free area or into a free warehouse;
4. to be placed in customs regime;
5. to be placed in active perfectionism regime, with suspension from the payment of the import rights;
6. to be placed in external transit customs regime;
7. to be admitted on the territorial waters:
- to be incorporated on drilling or production platforms, for building, reparation, maintenance, modification and re-use of such platforms or for the connection of such drilling or production platforms on the continent;
- for supply with fuel and goods of the drilling or production platforms;
8. to be placed in VAT warehousing regime, defined as follows:
- for the excisable products, any location from Romania that is defined as a fiscal warehouse, as provided in art. 4 let. (b)of directive 92/12/EEC, as amended and further modified;
- for goods, other than the excisable products, a location situated in Romania and defined through the norms:
Methodological Norms:
44^1. (1) The VAT exemptions mentioned in art. 144 of the Fiscal Code shall not apply in case of suspensive customs regimes that are not found under par. (1) let. a) of this articles, as the one of temporary admission with partial exoneration of the import rights, customs-controlled transformation, active perfectionism without the suspension of the import right payment.
(2) For the goods under the suspensive customs regime, provided in art. 144 par. (1) let. a) pt. 1 - 7 of the Fiscal Code the value added tax shall not be guaranteed.
Fiscal Code:
Scope of the right to deduct
ART. 145
(1) The right of deduction arises at the moment when the value- added tax becomes chargeable.
(2) Any taxable person is entitled to deduct the input tax on his acquisitions, if the goods or services acquired are intended to be used for the following operations:
a) taxable operations;
b) operations resulting from economic activities for which the place of the delivery or the supply is deemed to be located abroad, which would be eligible for deduction if they had occurred in the territory of Romania;
c) exempt operations pursuant to art. 143, 144 and 144^1;
d) exempt operations pursuant to art. 141 par. (2) let. a) pt. 1 - 5 and letter b), when the customer is established outside the Community or when those operations are directly linked with goods to be exported to a country outside the Community, as well as operations of intermediaries acting in the name and for the account of another person and relating to the latter operations;
e) the operations referred to in art. 128 par. (7) and in art. 129 par. (7), where that the tax would have been applied to such transfer.
(3) Without prejudice to par. (2), the taxable person is entitled to deduct the input tax in the cases referred to in art. 128 par. (8) and in art. 129 par. (5).
(4) Under conditions provided by the norms, the right of deduction of input tax incurred before his registration for VAT purposes under art. 153 is allowed for the acquisitions performed by a taxable person 153.
(5) The following are not deductible:
a) the tax related to the amounts paid in the name and for the account of the customer, as well as the tax related to the amounts received in the name and for the account of another person that are not included in the taxable amount of deliveries or supplies made in accordance with art. 137 par. (3) letter e);
b) the tax paid or payable on acquisitions of alcoholic beverages and tobacco products, unless these goods are destined for the purpose of resale or for use in the supply of services.
Methodological Norms:
45. (1) For the purposes of art. 145 par. (4) of the Fiscal Code, any taxable person has the right to deduct the tax amount as of the moment when this person intends to carry out an economic activity, provided the period stipulated in art. 147^1 par. (2) of the Fiscal Code. The intention of the person must be evaluated based on objective elements such as the fact that the person starts committing costs and/or starts investments in order to prepare the initiation of such economic activity. The deductions shall be exercised through the registration of the deductible tax in the tax discount provided under art. 156^2 of the Fiscal Code, submitted after the registration of the taxable person for VAT purposes in accordance with art. 153 of the Fiscal Code.
(2) For exercising the deduction right provided in par. (1) the following conditions must be met:
a) such goods are to be used for operations which give the right of deduction;
b) taxable person must have an invoice or other legal document approved by which to justify the value added tax related to goods purchased.
c) not to exceed the period provided in art. 147^1 par. (2) of the Fiscal Code.
Fiscal Code:
Conditions to exercise the right of deduction
ART. 146
(1) In order to exercise the right of deduction of the tax, the taxable person must satisfy the following conditions:
a) for the tax paid or payable for the delivery of goods or the supply of services made or to be made to him, hold an invoice that satisfies the requirements provided in art. 155 par. (5);
b) for the tax due on the delivery of goods or the supply of services made or to be made to him but for which the taxable person is liable to pay the tax in terms of art. 150 par. (1) let. b) - g):
1. hold an invoice including the information provided in art. 155 par. (5) or the documents referred to in art. 155^1 par. (1); and
2. report the tax as collected in the return of the fiscal period during which the chargeability of the tax occurs;
c) for the tax paid on the importations of goods, other than those referred to in letter d), hold a customs import declaration or the customs minutes issued by the customs authorities, indicating the taxable person as the importer of the goods for VAT purposes and also the documents proving the payment of the tax by the importer or by any person acting on his behalf;
d) for the tax due on the importation of goods effected in accordance with art. 157 par. (4) and (5), hold a customs import declaration or the customs minutes issued by the customs authorities indicating the taxable person as the importer of the goods for VAT purposes and stating the amount of the tax due. The taxable person is required to report the value added tax as collected tax in the return of the fiscal period during which the chargeability of the tax occurs;
e) for the tax due on an intra-Community acquisition of goods:
1. hold an invoice or the document referred to in art. 155^1 par. (1); and
2. report this tax as collected VAT in the return of the fiscal period during which the chargeability occurs;
f) for the tax due on an operation deemed to be an intra-Community acquisition of goods referred to in art. 130^1 par. (2) let. a), hold the document referred to in art. 155 par. (4), issued in the Member State from which goods were transported or dispatched to Romania, or the document referred to in art. 155^1 par. (1) and report this tax as collected tax in the return of the fiscal period during which the chargeability of the tax occurs.
(2) The norms are to specify when documents or obligations other than those provided in par. (1), are to be presented or fulfilled to justify the right of deduction.
Methodological Norms:
46. (1) The justification of the tax deduction is to be made only based on the original documents stipulated in art. 146 par. (1) of the Fiscal Code or other documents which contain at least the information provided in art. 155 par. (5) of the Fiscal Code, with the exception of the simplified invoices stipulated in pt. 78. If the original justifying document is lost, stolen or destroyed, the beneficiary shall request to the provider/supplier to issue a duplicate of the invoice reading that the copy in question replaces the initially issued invoice.
(2) For the car fuels purchased, the deduction of the tax may be justified using the fiscal receipts issued in conformance with the Government Emergency Ordinance no 28/1999 regarding the obligation of the economic agents to use the fiscal cash registers as approved with amendments and completion by Law no 64/2002, as republished, provided these are stamped and include the name or the buyer and the car registration number.
(3) The invoices or other legal documents, issued for the transportation or the accommodation in hotels or other similar units, on the names of the employees of a taxable persons who are travelling for business, shall be the same documents as those stipulated in par. (1) for the deduction of the value-added tax, accompanied by the travel return. The same provisions shall apply to the personnel provided by another taxable or to the commercial companies' managers.
(4) In the situations provided in art. 146 par. (1) let. b) pt. (2) let. d), let. e) pt. 2 and let. f) of the Fiscal Code, the provisions of art. 157 par. (2) of the Fiscal Code, regarding the reflection of the tax, shall apply accordingly.
Fiscal Code:
Deduction of tax for a taxable person with a mixed regime and for a partially taxable person
ART. 147
(1) The taxable person that carries out, or that is to carry out, both operations that allow the right of deduction and operations that do not allow the right of deduction is hereafter referred to as a taxable person with a mixed regime. The person that carries out both operations for which it has not the capacity of a taxable person under art. 127, and operations for which it has the capacity of a taxable person is hereafter referred to as partially taxable person.
(2) The right of deduction of the deductible tax related to acquisitions effected by a taxable person with a mixed regime is to be determined according to the present article. The person partially taxable does not have the right of deduction for the acquisitions intended to activities for which such person has not the quality of taxable person. When the partially taxable person carries out activities as taxable person, that generate both operations with the right of deduction and operations without the right of deduction, such person is considered mixed taxable person for those activities and shall apply the provisions of this article. Under the conditions provided for in the norms, the partially taxable person may request the application of a special pro-rata, when the person is not able to keep separate accounts for the activity carried out as taxable person and for the activity for which is not a taxable person.
(3) The acquisitions that are intended exclusively to carry out operations that allow the right of deduction, including investments intended for the realization of such operations, are to be reported separately in distinct columns of the purchase journal and the deductible tax related to such operations is entirely deductible.
(4) The acquisitions that are intended exclusively to carry out operations that do not allow the right of deduction, as well as investments destined to the realization of such operations, are to be reported separately in distinct columns of the purchase journal and the deductible tax related to such operations shall not be deducted.
(5) The acquisitions of goods and services for which the destination is not known, respectively if they are to be used to carry out operations that allow the right of deduction or operations that do not allow the right of deduction, or for which it is not possible to determine to what extent they are used or are to be used for operations that allow the right of deduction and operations that do not allow the right of deduction, are to be reported separately in distinct columns of the purchase journal and the input tax related to such acquisitions is deductible on a pro-rata basis.
(6) The pro-rata referred to in par. (5) is the result:
a) of the total amount, excluding the tax but including subsidies directly connected to the price, of the deliveries of goods and supplies of services that allow the right of deduction, divided by
b) the total amount, excluding the tax, of the operations referred to in letter a) and of the deliveries of goods and supplies of services that do not allow the right of deduction This includes subsidies or other amounts received from the state budget or local budgets for the purpose of financing activities that are exempt without the right of deduction or that are not within the scope of application of the tax.
(7) The following are excluded from the calculation of the pro-rata:
a) the value of any delivery of capital goods used by the taxable person in his economic activity;
b) the value of any self deliveries of goods or supplies of services performed by the taxable person and provided in art. 128 par. (4) and in art. 129 par. (4), as well as the transfers referred to in art. 128 par. (10);
c) the value of operations referred to in art. 141 par. (2) ) let. a) and b), as well as real estate operations, other than those referred to under letter a), insofar as these are incidental to the main activity.
Methodological Norms:
47. (1) To apply art. 147 par. (3) and par. (4) of the Fiscal Code, if the goods or services that are purchased can be partially allocated to the activity which does not give a deduction right and partially to the activity which gives a deduction right, the provisions of art. 147 par. (5) of the Fiscal Code, respectively the tax deduction based on pro rata.
Example: a company which purchases a building knows as early as the acquisition moment the part of the building that will be allocated for renting under exemption regime and the part of the building that will be allocated for renting under taxation regime and will deduct the tax amount associated with that part of the building to be allocated for renting under taxation regime, but not deducting the tax amount associated to that part of the building to be used for renting under exemption regime.
(2) For the purpose of art. 147 par. (7) let. c) of the Fiscal Code, the real estate operations are delivery, renting, leasing, concession operations and other similar operations carried out in relationship with immovable goods.
(3) An operation is incidental to the main activity if the following conditions are cumulatively met:
a. the performance of the operation requires limited technical resources in terms of equipment and use of the personnel;
b. the operation is not directly linked to the main activity of the taxable person; and
c. the total amount of the acquisitions made for the operation and the deductible tax amount associated to the operation are not significant
(4) The taxable persons having a mixed regime may choose not to apply the provisions in art. 147 regarding the possibility to apply the deduction right; in this case, the tax amount associated to the acquisitions of goods to be used for the operations with or without a deduction right is not to be deducted.
Fiscal Code:
Right of deduction exercised through the value-added tax return
ART. 147^1
(1) Any taxable person registered for VAT purposes according to art. 153, has the right to subtract from the total amount of the collected tax for a fiscal period, the total amount of the tax in respect of which, during the same period, the right of deduction has arisen and can be exercised under the provisions of art. 145 - 147.
(2) If the conditions and formalities to exercise the right of deduction are not fulfilled during the declaration period, including in the cases where the supporting documents referred to in art. 146, have not been received, the taxable person is entitled to exercise his right of deduction in the return related to the fiscal period during which these conditions and formalities are fulfilled or in a subsequent return, but not later than five years commencing from 1 January of the year that follows the one during which the right of deduction has arisen.
(3) The norms are to determine the conditions of application of par. (2), if the right of deduction is exercised more than three years after the one during which this right has arisen.
(4) (4) The right of deduction is exercised notwithstanding the fact that there is no tax collected or that the tax to be deducted is higher than the tax collected for the fiscal period referred to in par. (1) and (2).
Methodological Norms:
48. To apply art. 147^1 par. (3), of the Fiscal Code, the taxable person shall apply for the deduction by means of a registered letter, that must be sent together with the invoices, or any other original documents supporting the deduction right, to the relevant fiscal bodies, with the latter responding to the application within thirty working days after the date on the registered letter. The taxable person shall exercise their deduction right in the return provided in art. 156^2 of the Fiscal Code, submitted for the fiscal period for which the person in question received the authorization for deducting the tax by the competent fiscal authority.
Fiscal Code:
Refund of the value added tax to the persons that are not registered for the purpose of VAT in Romania
ART. 147^2
(1) Under the conditions established by norms:
a) a taxable person who is not registered nor liable to be registered for VAT purposes in Romania but is established in another Member State may claim a refund of the tax paid;
Methodological Norms:
49. (1) Under the conditions presented and in accordance with the procedures in par. (4) - (14), the taxable person provided in par. (3) may request the refund of the tax amount invoiced by other taxable persons and paid by the person in question for the immovable goods that were delivered to it or for the services supplied to its benefit or in Romania, as well as of the ax amount paid for the goods imported to Romania for a period of at least three months or one calendar year at the utmost or for a period less than three months remained from the calendar year. The current norms transpose the 8th Directive -79/1072/EEC from December 6, 1979.
(2) By exception from provisions of par. (1) the refund of the tax amount owed or paid by the taxable person provided in par. (3) for:
a) the acquisition of goods delivered under exemption or which may be exempted according to art. 143 par. (2) of the Fiscal Code;
b) acquisitions of goods, other than those provided in let. a), or supply of services for which the delivery/supply is or may be tax exempt according to art. 141 - 144^1 of the Fiscal Code;
c) acquisitions of goods/services for whose delivery/supply the deduction of tax in Romania is not granted, under the conditions provided in art. 145 par. (2) or (5) of the Fiscal Code.
(3) The taxable person provided in art. 147^2 par. (1) let. a) of the Fiscal Code is a taxable person which, during the period provided in par. (1) is neither registered nor liable to register for tax purposes in Romania according to art. 153 of the Fiscal Code, which is neither established, nor has a permanent headquarters in Romania from which economic activities are carried out and which, during the period in question, did not carry out deliveries of goods and supplies of services in Romania, with the exception of the following:
a)transportation services and services incidental to the transportation, which are exempt according to art. 143 par. (1) let. c) or art. 144 par. (1) of the Fiscal Code, as well as art. 143 par. (1) let. d) of the Fiscal Code, provided the value of the latter be included in the taxable amount of goods imported under art. 139 of the Fiscal Code;
b) deliveries of goods and/or supplies of services, if the relevant tax amount is paid by the persons to whose benefit the goods are delivered and/or the services are supplied, according to art. 150 par. (1) let. b) - d), f) and g) of the Fiscal Code.
(4) The refund of the tax provided in par. (1) is granted to the taxable person provided in par. (3) if the goods and services acquired or imported to Romania, for which the tax is paid, are used by the taxable person to the following purposes:
a) operations associated to this person's activity for which the taxable person should have been entitled to deduct the tax if these operations were carried out in Romania or exempt operations according to art. 143 par. (1) and 144 par. (1) let. a) - c) of the Fiscal Code;
b) operations provided in par. (3) letter b).
(5) In order to meet the conditions for refund, any taxable person provided in par. (3) must fulfil the following obligations:
a) to submit a request to the relevant fiscal bodies in Romania, using a form for which the template is decided by the Ministry of Public Finance, attaching all the invoices and/or original import documents, showing the tax amount for which the refund is requested;
b) to produce evidence that it is a taxable person registered for VAT purposes in a member state, in the form of a certificate issued by the relevant Romanian authority in the member state where the person in question is established. Nevertheless, when the Romanian relevant fiscal authority already has this type of evidence, it is not compulsory for the he taxable person to produce new evidence for a one year period after the issuance of the first certificate by the relevant authority in the state where the person is established;
c) to confirm, by means of a written declaration, that during the period referred to in the refund application it did not carry out any deliveries of goods or supplies of services either performed or deemed to be performed in Romania, with the exception, as the case may be, of the services provided in par. (3) let. a) and b);
d) to undertake returning any amount that may be refunded by mistake.
(6) The competent fiscal bodies may not impose to the taxable person which applies for refund according to art. 147^2 par. (1) let. a) of the Fiscal Code, any other obligation additional to the ones provided in par. (5). By exception, the competent fiscal bodies may require the taxable person to produce additional information in order to decide whether or not a refund application is justified.
(7) The refund application provided in par. (5) let. a) shall be associated to the invoices for the acquisition of goods or services or the documents for the imports carried out during the period stipulated in par. (1), but may also be for the invoices or import documents which are not yet included in the previous applications, provided these invoices or import documents be associated to the operations carried out in the calendar year covered in the application.
(8) The refund application provided in par. (5) let. a) shall be submitted to the relevant fiscal bodies within six months after the end of the calendar year in which the tax chargeability occurs.
(9) If an application covers a period:
a) shorter than one calendar year but not less than three months, the amount applied for may not be less than 200 lei;
b) of one calendar year or the period remained until the end of the calendar year, the amount applied for may not be less than 25 lei.
(10) The decision regarding the refund application shall be issued within six months after the date when the application, together with the documents necessary to review the application, is submitted to the relevant fiscal bodies. If the refund is rejected either partially or in total, the relevant fiscal bodies shall present the reasons for such rejection. The decision may be disputed according to the legal provisions in force in Romania.
(11) Upon request by the applicant, the refund shall be in lei in an account indicated by the taxable person either in Romania, or in the member state where the taxable person is established. All bank fees shall be paid by the applicant.
(12) The relevant fiscal bodies shall mark the documentation attached to a refund application in order to prevent the use of this documentation for another application. The relevant fiscal bodies shall return this documentation to the applicant within one month from the decision date provided in par. (10).
(13) If a refund is either obtained either fraudulently or by any kind of mistake, the relevant fiscal bodies shall request the taxable person which benefited the refund to return the amounts and the associated incidental amounts unduly obtained. If such amounts are not returned, the relevant fiscal bodies shall proceed to the recovery of these amounts in accordance with the provisions regarding the mutual assistance on VAT refund.
(14) Upon request by a taxable person established in Romania, except for the small enterprises under the special regime stipulated in art. 152 of the Fiscal Code, which wishes to apply for the tax refund in another member state, the competent fiscal authority shall issue a certificate according to par. (5) let. b) showing that the taxable person in question is registered for tax purposes in Romania according to art. 153 in Romania.
Fiscal Code:
b) a taxable person who is not registered nor liable to be registered for VAT purposes and who is not established in the Community may claim a refund of the tax paid if, in terms of the laws of the country in which he is established, a taxable person established in Romania would be entitled to an equal right with respect to value added tax or similar taxes levied in that country;
Methodological Norms:
50. (1) Under the circumstances and in accordance with the procedures provided in par. (4) - (17), the taxable person provided in par. (3) may claim a refund of the tax invoiced to them by other taxable persons and paid by the person in question for the movable goods or services purchased in Romania, as well as of the tax paid by this person for the goods imported to Romania, for a period of at least three months but not more than one calendar year, or for a period shorter than three months remained in a calendar year. The present norms transpose the Directive 86/560/EEC of November 17, 1986.
(2) By exception from provisions of par. (1), the refund of the tax amount owed or paid by the taxable person provided in par. (3) for:
a) the acquisition of goods delivered under exemption or which may be exempted according to art. 143 par. (2) of the Fiscal Code;
b) acquisitions of goods, other than those for which the delivery/supply is or may be tax exempt according to art. 143 par. (2) of the Fiscal Code;
c) acquisitions of goods other than those provided under let. a, or services supplied for which the delivery/supply is or may be tax exempt according to art. 141 - 144^1 of the Fiscal Code;
d) acquisitions of goods/services for whose delivery/supply no tax deduction is granted in Romania under the conditions of art. 145 par. (2) or (6) of the Fiscal Code.
(3) The taxable person provided in art. 147^2 par. (1) let. b) of the Fiscal Code is a taxable person which, during the period provided in par. (1) is not registered nor liable to register for VAT purposes in Romania and it is not established nor has a permanent headquarters within the Community and such person, during the period in question, did not carry out any deliveries of goods or supplies of services in Romania, except for the following:
a) transport services and services which are incidental to transportation, exempt according to art 143 par. (1) let. c) or art. 144 par. (1) let. a), b) and c) of the Fiscal Code, as well as art. 143 par. (1) let. d) of the Fiscal Code, provided the value of these services be included in the taxable amount of the goods imported in conformance with art. 139 of the Fiscal Code;
b) goods delivered or services supplied for which the associated value-added tax is exclusively paid by the persons who benefit of such deliveries and supplies, according to art. 150 par. (1) let. b) - d), f) and g) of the Fiscal Code.
(4) The refund provided in par. (1) is granted for:
a) the operations related to the economic activity of the taxable person, which would give a deduction right if they were conducted in Romania and which:
1. are stipulated in art. 145 par. (2) let. b) of the Fiscal Code; or
2. are VAT-exempt according to art. 143 par. (1) and 144 par. (1) let. a) - c) of the Fiscal Code;
b) the operations provided in par. (3) letter b).
(5) In order to meet the conditions for refund, any taxable person provided in par. (3) must appoint a representative in Romania for refund purposes.
(6) The representative stipulated in par. (5) shall act in the name and on behalf of the taxable person which they represent and shall be held responsible individually and collectively with the taxable person stipulated in par. (3) for the obligations and the rights of the taxable person with regard to the refund application.
(7) The representative must fulfil the following obligations, in the name and on behalf of the person mentioned in par. (3):
a) to submit an application to the relevant fiscal bodies, using the template established by the Ministry of Public Finance, to which all the invoices and/or original import documents must be attached showing the tax amount for which the refund is requested;
b) to produce documents showing that the person mentioned in par. (3) is engaged in an economic activity which would make such person a taxable person under the terms of art. 127 of the Fiscal Code, if this person were established in Romania. As an exception, in the case where the relevant fiscal bodies already hold such evidence, it should not be compulsory anymore for the taxable person in question to produce new evidence, for one year time after such evidence was produced;
c) to produce a written statement of the person mentioned in par. (3) showing that during the period referred to in the refund application, the person in question did not carry out any delivery of goods, nor supplied any services in Romania or considered to have taken place in Romania, except for, as the case may be, the services provided in par. (3) let. a) and b).
(8) In order to make sure that a refund application is justified and in order to prevent fraud, the relevant fiscal bodies shall impose on the person empowered applying for refund according to art. 147^2 par. (1) let. b) of the Fiscal Code, any other obligations additional to those stipulated in par. (7).
(9) The refund application provided in par. (7) let. a) shall be associated to the invoices for the acquisition of goods or services or the documents for the imports carried out during the period stipulated in par. (1), but it can also relate to the invoices or the import documents which are not yet included in the previous applications, if such invoices or import documents are associated to the operations closed during the calendar year referred to in the application.
(10) The refund application provided in par. (7) let. a) must be submitted to the relevant fiscal body within six months after the end of the calendar year when the tax becomes chargeable.
(11) If an application covers a period:
a) shorter than one calendar year but not less than three months, the amount applied for may not be less than 200 lei;
b) of one calendar year or the period remained until the end of the calendar year, the amount applied for may not be less than 25 lei.
(12) The decision regarding the refund application shall be issued within six months after the date of receipt of the application, together with all the necessary documents for reviewing the application, by the relevant fiscal bodies. If the refund is rejected either partially or in total, the relevant fiscal bodies shall present the reasons for such rejection. The decision may be disputed according to the legal provisions in force in Romania.
(13) The refund shall be in lei in an account opened in Romania and indicated by the representative. All bank fees shall be paid by the applicant.
(14) The relevant fiscal bodies shall mark the documentation attached to a refund application in order to prevent the use of this documentation for another application. The relevant fiscal bodies shall return this documentation to the applicant within one month from the decision date provided in par. (12).
(15) If a refund is either obtained either fraudulently or by any kind of mistake, the relevant fiscal bodies shall directly proceed to recover the unduly paid amounts and any incidental amounts from the person empowered
(16) In the case of fraudulent applications, the relevant fiscal bodies shall reject all the refund applications submitted by the taxable person in question for a period of maximum ten years after the fraudulent refund application is submitted.
(17) Upon request by a taxable person established in Romania, except for the small enterprises under the special regime stipulated in art. 152 of the Fiscal Code, which wishes to apply for the tax refund in a third state, the competent fiscal authority shall issue a certificate showing that the taxable person in question is registered for tax purposes according to art. 153 of the Fiscal Code.
(18) A taxable person who is not registered nor liable to be registered for VAT purposes and who is not established in the Community may claim a refund of the tax paid if, in terms of the laws of the country in which he is established, a taxable person established in Romania would be entitled to an equal right with respect to value added tax or similar taxes levied in that country, fact proven by the existence of agreements/reciprocity statements signed by the representatives of the competent authorities from Romania and from the applicant's country. In order to sign such agreements/statements, the competent authorities of the interested countries must address to the Ministry of Economy and Finances. The countries that Romania signed agreements/reciprocity statements for the reimbursement of the value added tax shall be published on the website of the Ministry of Economy and Finances.
Fiscal Code:
c)a person who is not registered nor liable to be registered for VAT purposes but who makes in Romania an exempt intra-Community delivery of new means of transport may claim a refund of the tax paid on the acquisition of that new means of transport, in Romania. However, the refund shall not exceed the tax that would be chargeable if the delivery by him of the new means of transport in question was a taxed delivery;
Methodological Norms:
51. (1) In order to have the right to a refund, the person stipulated in art. 147^2 par. (1) let. c) of the Fiscal Code shall fulfil the following obligations:
a) to submit to the relevant fiscal bodies an application using the template established by the Ministry of Public Finance;
b) to attach the invoice and - as the case may be - the original import documents, or any other document showing the tax amount paid by this person for the acquisition for which the refund is requested;
c) to produce evidence proving that the transportation means:
1. was the object of an intra-community delivery which was tax exempt under the conditions of art. 143 par. (2) of the Fiscal Code;
2. was a new transportation means under the conditions of art. 125^1 par. (3) of the Fiscal Code, on the delivery moment, which results from the documents provided in let. b).
(2) The refund is made within the deadline provided in the procedure norms in force, which starts on the date when the application along with all the documents referred to in par. (1) let. b) are submitted to the competent fiscal bodies The refund shall be in lei in an account in Romania indicated by the person stipulated in par. (1) and any bank fees shall be supported by the applicant.
(3) The relevant fiscal bodies shall mark the invoice, the import document or any other document attached to a refund application, in order to prevent such documents being used in another application and shall return these documents to the applicant
(4) If the refund is reject either partially or totally, the relevant fiscal bodies shall present the reasons for such rejection. The decision may be disputed according to the legal provisions in force in Romania.
Fiscal Code:
d) a taxable person established in Romania and who is not registered nor liable to be registered for VAT purposes may claim a refund of the tax paid related to operations referred to in art. 145 par. (2) let. d) or in other cases provided by norms.
Methodological Norms:
52. (1) In order to have the right to a refund, the taxable person established in Romania which is not registered nor liable to register for VAT purposes, stipulated in art. 147^2 par. (1) let. (d) of the Fiscal Code, must fulfil the following obligations:
a) to submit to the relevant fiscal bodies an application using the template established by the Ministry of Public Finance;
b) to attach the invoice and - as the case may be - the original import documents, or any other document showing the tax amount paid by this person for the acquisitions for which the refund is requested;
c) to produce documents showing that the tax amount provided in let. b) is associated to the operations giving a tax deduction right under the terms in art. 145 par. (2) let. d) of the Fiscal Code.
(2) The refund is made within the deadline provided in the procedure norms in force, which starts on the date when the application along with all the documents referred to in par. (1) let. b) are submitted to the competent fiscal bodies The refund shall be in lei in an account in Romania indicated by the person stipulated in par. (1) and any bank fees shall be supported by the applicant.
(3) The competent fiscal bodies shall mark the invoice, the import document or any other document attached to a refund application, in order to prevent such documents being used in another application and shall return these documents to the applicant
(4) If the refund is reject either partially or totally, the relevant fiscal bodies shall present the reasons for such rejection. The decision may be disputed according to the legal provisions in force in Romania.
Fiscal Code:
Adjustments of the deductible tax for the acquisition of services and goods, other than capital goods
ART. 148
If the rules regarding the self delivery or the self supply do not apply, the initial deduction is adjusted in the following cases:
a) the deduction is higher or lower than the deduction the taxable person was entitled to;
b) there are changes in the elements used for the calculation of the deductible tax, occurred after the submission of the tax return, including the cases referred to in art. 138;
c) the taxable person loses the right of deduction of the tax, for undelivered movable property and for unused services at the time of losing the right of deduction.
Methodological Norms:
53. (1) According to the provisions of art. 148 of the Fiscal Code, only the deductible value-added tax shall be adjusted, related to movable goods and services which are not considered capital goods, as defined in art. 149 par. (1) of the Fiscal Code. The adjustment of the deductible tax is performed only when there is no self delivery/supply by a taxable person, as provided in art. 128 par. (4) or art. 129 par. (4) of the Fiscal Code.
(2) Based on the provisions in art. 148 let. a) of the Fiscal Code, the taxable person may adjust the deductible tax associated to the unused services and goods of the kind of stock established based on inventory:
a) in any situations such as changes in the legislation, change of the line of activity, some operations without deduction right carried out by the taxable person become operations giving a deduction right,
b) in the case when the taxable person applying the special exemption right, provided in art. 152 of the Fiscal Code, apply for registration according to the law, for VAT purposes according to art. 153 of the Fiscal Code;
c) in the situation where the taxable person directly allocated a good/service for operations which do not give a right for deduction, and afterwards the good/service in question is used in operations which give a right for deduction,
The adjustment in this case represent the application of the right for deduction.
(3) For exercising the deduction right provided in par. (2) the following conditions must be met:
a) the goods/services in question are to be used for operations which do not give a right for deduction;
b) the taxable person must have an invoice or other approved legal document, by which to justify the value-added tax amount associated to the goods/services acquired;
a) the period provided in art. 147^1 par. (2) of the Fiscal Code must not be exceeded,
d) the taxable person must be registered for VAT purposes according to art. 153 of the Fiscal Code, at the date when the not-deducted tax adjustment is requested according to art. 148 of the Fiscal Code.
(4) According to art. 148 let. b) of the Fiscal Code, the deductible tax shall be adjusted in a number of situations, such as:
a) the cases referred to in art. 138 let. a), b), c) and e) of the Fiscal Code;
b) when the final pro-rate, calculated at the end of the year, is different from the provisional pro-rate used during the year;
c) the case when the taxable person, wrongfully, deducted a tax amount which is either higher or lower as compared to the one they were entitled.
(5) Pursuant to art. 148l et. c) of the Fiscal Code, in any situations where the taxable person carrying out operations giving the right for deduction will choose to carry out operations which do not give the right for deduction, as well as in the case where the taxable person directly allocated some service to operations which give the right for deduction and, afterwards, the service in question is used in operations which do not give the right for deduction, the taxable person may adjust the deductible tax associated to the unused services at the date when the change occurred. The adjustment of the deduction right is done also for the movable goods in stock, when the taxable person loses its right for deduction and the provisions referring to self deliveries are not applied. The adjustment represents in this situation the cancellation of the right to deduct the value-added tax amount initially deducted.
Fiscal Code:
Adjustments of the deductible tax for the capital goods
ART. 149
(1) For the purpose of this article:
a) capital goods are all tangible fixed assets as defined in art. 125^1 par. (1) pt. 3, and all operations related to the construction, the transformation or the improvement of tangible fixed assets but excluding the repairs or the maintenance of such assets, even when such operations are performed by the beneficiary of a rental contract, leasing contract or any other contract by which the assets are made available to another person;
b) goods that are subject to a rental, a leasing or any other way of making a good available to a person, are considered to be capital goods pertaining to the person who is renting or leasing them out to or making them available to another person;
c) packages that may be used more than once are not considered to be capital goods;
d) the deductible tax related to capital goods is the tax paid or due on any operation related to the acquisition, manufacturing, construction, transformation or improvement of such goods, but excluding the tax paid or due on the repairs and maintenance of the goods, or the tax paid or due on the acquisition of spare parts intended to be used for repair and maintenance.
(2) The deductible tax related to capital goods, to the extent that the rules on self- delivery or self-supply do not apply, is adjusted in the cases referred to in par. (4) let. a) - d):
a) during a period of five years for goods purchased or manufactured other than capital goods referred to under let. b);
b) during a period of twenty years for the construction, acquisition, transformation or improvement of immovable goods, if the value of each transformation or improvement reaches at least 20 percent of the total value of the building after the transformation or modernisation.
(3) The adjustment period starts:
a) on January 1 of the year during which the goods were purchased or manufactured, for the capital goods described in par. (2) let. a), for goods purchased or manufactured as from the date of accession;
b) on January 1 of the year during which the goods were used for the first time, for the capital goods described in par. (2) let. b), that are constructed, and it is to be made for the full amount of the deductible tax on the capital good, including the tax paid or due before the date of Accession, provided that the year of the first use is the year of Accession or a subsequent year;
c) on January 1 of the year during which the goods were purchased, for the capital goods described in par. (2) let. b), that are purchased, and it is to be made for the full amount of the deductible tax on the capital good, including the tax paid or due before the date of Accession, provided that the formalities for the transfer of ownership from the seller to the purchaser are fulfilled in the year of accession or in a subsequent year;
d) starting with January 1 after the first use of goods, after their transformation and modernization, in the case of transformations or modernizations of capital goods provided in par. (2) let. b), with a value of at least 20 percent of the total value of the building after the transformation or improvement, and it is to be made for the full amount of the deductible tax related to the transformation or improvement, including the tax related to the respective transformation or improvement paid or due before the date of Accession, provided that the year of the first use after transformation or improvement is the year of accession or a subsequent year.
(4) The adjustment of the deductible tax referred to in par. (1) let. d) is to be made :
a) where the capital good is used by the taxable person:
1. totally or partially for other purposes than the economic activity;
2. for the purpose of operations in respect of which the tax is not deductible;
3. for the purpose of operations in respect of which the tax is deductible in another proportion compared to the initial deduction;
b) in cases when there are changes in the elements used for the calculation of the deducted tax;
c) a capital good for which the right of deduction has been wholly or partially limited is subject to any operation for which the tax is deductible. For a delivery of goods, the additional amount of tax to be deducted is limited to the tax collected on the delivery of the good;
d) the capital good stops to exist, unless it is proven that the capital good has been subject to a delivery or a self-delivery for which the tax is deductible;
e) in the cases described by art. 138.
(5) The adjustment of the deductible tax is to be made as follows:
a) for the cases described in par. (4) let. a), the adjustment is to be made during the adjustment period referred to in par. (2). The adjustment is to be made once only for the whole period of adjustment still to be covered, including the year during which the change of use occurs. Through the norms transitory regulations are established if for year 2007 has been performed the adjustment provided under par. (4) let. a) for a fifth part or, as the case may be, a twentieth part of the tax initially deducted;
b) for the case described in par. (4) let. b), the adjustment is to be made during the adjustment period referred to in par. (2), in respect of one-fifth or one-twentieth of the tax initially deducted, for each year during which a change of the elements of deducted tax occurs;
c) for the cases described in par. (4) let. c) and d), the adjustment is to be made once only for the whole period of adjustment still to be covered, including the year during which the obligation of adjustment occurs, and it is up to one-fifth or one-twentieth per year 1. of the amount of the tax not deducted till the adjustment moment, for the cases described in par. (4) letter c);
2. of the amount of the tax initially deducted, for the cases described in par. (4) letter d);
d) for the cases described in par. (4) let. e), the adjustment is to be made whenever the situations listed in art. 138, in accordance with the provisions of the norms.
(6) The taxable person must keep a list of the capital goods subject to the adjustment of deductible tax, allowing the control of the deductible tax and adjustments made. Such list must be kept during a period starting at the moment the tax on the delivery, intra-Community acquisition or importation of the capital good becomes chargeable and ending five years after the end of the period during which an adjustment may be claimed. Any other records, documents and books relative to capital goods are to be kept during the same period.
(7) The provisions of this article shall not apply where the amount resulting from adjustment is negligible, in accordance with the norms.
Methodological Norms:
54. (1) The adjustment of the deductible tax for the goods which are the object of the renting, leasing, concession or any other method of making these goods available to other person, is done by the person which rents, give away in leasing or makes the goods in question available to other person, expect fort the situation provided under par. (2). The date the good is considered acquired from the value added tax standpoint by the tenant/user is the date the transfer of the ownership right is made at by the owner/financer. For the tax related to the purchase of capital goods that have been purchased by the tenant/user by a leasing contract, the adjustment period starts with January 1, of the year the transfer of the ownership right over the goods, but the adjustment shall be performed on the entire amount of the deductible tax of the capital goods, including for the tax paid or due before the date of the ownership right transfer.
(2) The deductible value-added tax associated to the transformation or modernization of an immovable good or part of this, is adjusted by the person to which the immovable good or the part of it was made available to, in the situation where the transformation or modernization works are carried out by this person, and the value of each transformation or modernization is of at least 20% of the total value after the transformation or modernization of the immovable good or of the part of this good. In the sens of the present norm, the transformation and modernization operations leading to the increase of the immovable right value, shall be considered. For the purpose of calculating this the re-assessed value of the said goods shall be taken into account, as registered in the accounting.
(3) If during the adjustment period the renting, leasing, concession contract runs out, or any other type of contract by which the immovable good or a part of this immovable good is made available to another person, the deductible value-added tax associated to the transformation and modernization operations is adjusted only once for the entire adjustment period remained, including the year when the modification of the use occurs, in accordance with art. 149 par. (4) let. d) of the Fiscal Code. The deductible value added tax relating to the transformation or modernization operations shall be adjusted only once for the entire adjusting period that left, including the year when the good is restituted to the owner, in accordance with the provisions of art. 149 par. (5) let. c) of the Fiscal Code.
(4) Starting with year 2008, in accordance with art. 149 par. (4) let. a) of the Fiscal Code, if the capital good is used totally or partially for other purposes than economic purposes or for the carrying out operations that do not allow the tax deduction, the deduction adjustment shall only be made once for the entire period left, including the year where the modification of the use destination appears and proportional with the part of the capital good use to these purposes. In case the deduction right related to the ccapital good is exercised based on a pro-rata shall be applied the provisions of art. (5). The transitory dispositions for the capital goods that in 2007 no deduction right based on pro-rata was exercised, but the adjustment for a fifth part or, as the case may be, a twentieth part of the tax initially deducted, for each year a modification in the use destination appears, due to the fact that there were not integrally used for operations having a deduction right: at the end of 1008, the tax related to the capital good used for operations that do not have a deduction right, respectively the difference of 4/5 or 19/20 shall be adjusted only once and recorded in the deduction on December 2008 on the line referring to the tax deduction. The transitory disposition shall not be applied if during 2008 only one adjustment must be made for the entire adjustment period remained, in accordance with art. 149 par. (5) let. c) of the Fiscal Code.
Example no 1. for the case provided in art. 149 par. (4) let. a) pt. 1 of the Fiscal Code:
A taxable person purchases a building for its economic activity on July 23, 2007. On August 1, 2009, this person decides to integrally use the building for habitation or for operations with no deduction right. The adjustment period is 20 years starting on January 1, 2007 until 2026. The adjustment must be done for the period remained (2009-2026) and the person in question must return 18/20 of the initially deducted VAT amount. If subsequently the building shall be used again for deductible operations, the adjustment shall be made only once for the period remained, in the favour of the taxable person, in accordance with art. 149 par. (4) letter c) of the Fiscal Code. The number of adjustment may be unlimited, this fact depending on the modification of the destination of the respective good, in the adjustment period, respectively for operation that deductible or not.
Example no 2. for the case provided in art. 149 par. (4) let. a) pt. 2 of the Fiscal Code:
A taxable person A registered for VAT purposes in accordance with art. 153 of the Fiscal Code purchases a building in 2007 for carrying out operations with deduction right, and integrally deducts the value-added tax on the purchase date. In 2009 the building is integrally rented under an VAT exemption regime. The adjustment period is 20 years starting on January 1, 2007 until 2026. The adjustment must be done only once for the period remained (2009-2026) and the person in question must return 18/20 of the initially deducted VAT amount.
Example no 3. for the case provided in art. 149 par. (4) let. a) pt. 3 of the Fiscal Code:
A taxable person A registered for VAT purposes in accordance with art. 153 of the Fiscal Code, owns a hotel that was purchased in 2007 and for the purchase of this building 6 million lei were deducted in VAT. In 2010, a casino is organized on the hotel's main floor, on 30% of the building area. Since the gaming activity is VAT exempt without a right for deduction, the person in question must adjust the initially deducted tax amount, proportionally with the area occupied by the casino. The adjustment period is 20 years starting on January 1, 2007 and ending at the end of 2026. The adjustment must be done only once for the period remained (2010-2026), as follows:
- for 2007, 2008, 2009, the taxable person does not adjust the initially deducted tax amount, for these years, which represents 300.000 lei x 3 years= 900.000 lei;
- for the period 2010 -2026 = 17 years, the tax is adjusted as follows:
- 5.100.000 lei x 30% = 1.530.000 lei - - the not deductible tax, which is recorded in the value-added tax return for the fiscal period when the modification appears. If the 30% part of the building allocated to the casino is either increased or reduced, plus or minus additional adjustments shall be made in accordance with the same procedure.
Example no 4. for the case provided in art. 149 par. (4) let. a) pt. 3 of the Fiscal Code, transitory dispositions:
A taxable person A registered for VAT purposes in accordance with art. 153 of the Fiscal Code rents during 2007 a building that was purchased during the same year and 9 million lei VAT related to the good purchased was deducted. During 2007 a part of the immovable good is rented tax-exempted in accordance with art. 141 par. (2) let. e) of the Fiscal Code, respectively, 50% of the surface of the immovable good. The taxable person carried out the following adjustment 2007:
9.000.000 : 20 = 450.000; 450.000 x 50% = 225.000 lei, adjustable tax fo year 20007, that was recorded in the deductions from December 2007 under the related field, with the minus sign.
In 2008, the taxable person must perform the following adjustment: 225.000 x 19 = 4.275.000 lei, that shall be recorded in the deduction account of December with the minus sign. If, starting with January 1, 2008 until 2026 the surface rented under tax-exemption regime shall be modified, the tax shall be modified each time, only once in the deduction account of the month in which the modifications appeared.
If the tax related to the same immovable good is deducted on a pro-rate base in 2007, the adjustments provided in example no 4, shall not be applied, but the adjustment provided in par. (5).
(5) In the situations provided in art. 149 par. (4) let. b) of the Fiscal Code, the adjustment is to be made during the adjustment period referred to in art. 149 par. (2) of the Fiscal Code, for 1/5 or 1/20 of the initially deducted tax for each year when the elements of the deducted tax are modified, based on the final pro-rate at the end of each year, in accordance with the procedure described in the example. Such adjustment shall apply for the goods that the tax based on pro-rate has been deducted at their acquisition. Compared to the adjustment provided at art. 149 par. (4) let. a), that is made only once, each time an event generating the adjustment appears, in the case provided within the hereby paragraph, the adjustment shall be made annually, based on the entire adjustment period.
Example: A taxable person under a mixed regime purchases a piece of equipment on November 1, 2008 for 20,000 lei, plus 19% VAT, which is in total 3,800 lei. The provisional pro-rate for 2008 is 40% , and the deducted tax amount is 1,520 lei (3,800 *40%). The final pro-rate calculated at the end of 2008 is 30 %.
At the end of 2008 the adjustment is made based on the final pro-rate, which is 38,00* 30%= 1,140 lei tax amount to deduct, which is compared to the tax deducted based on the provisional pro-rate (1,520 lei), with the difference of 380 to be recorded in the return for the month of December as not deductible tax. This adjustment of the deduction refers to the entire amount that was initially deducted only provisionally and, as a result, covers also the adjustment for the first 1/5 for the capital goods.
The adjustments for the years 2009, 2010, 2011 and 2012 are made as follows:
The deductible VAT is divided by : 3.800 : 5 = 760
The VAT actually deducted based on the final pro-rate for the first period is in its turn divided by 5 : 1.140 : 5 = 228
The outcome of 760 multiplied by the final pro-rate for each of the following periods will afterwards be compared to 228.
The difference resulted will be the adjustment of the deduction either in favour of the state, or in favour of the taxable person.
The adjustment for the year 2009:
the final pro-rate for the year 2009 is 50%
authorized deduction: 760 x 50% = 380
already deducted: 228
allowed additional deduction: 380 - 228 = 152.
The adjustment for the year 2010:
The final pro-rate for the year 2010 is 20%
authorized deduction: 760 x 20% = 152
already deducted: 228
adjustment in favour of the state: 228 - 152 = 76
The adjustment for the year 2011:
The final pro-rate for the year 2011 is 25%
authorized deduction: 760 x 25% = 190
already deducted: 228
adjustment in favour of the state: 228 - 190 = 38
The adjustment for the year 2012:
The final pro-rate for the year 2012 is 70%
authorized deduction: 760 x 70% = 532
already deducted: 228
allowed additional deduction: 532 - 228 = 304.
Any modification of the pro-rate for the following years, respectively after the last year of adjustment (2012) shall no longer influence on the deductions made for this piece of equipment. But for self deliveries, there is no time limit.
(6) The adjustment provided in art. 149 par. (4) and (5) of the Fiscal Code shall not be performed if applicable the provisions in art. 128 par. ((4) let. a) and b) of the Fiscal Code apply, regarding the self-delivery, as well as in case a delivery of goods does not take place in accordance with the provisions of art. 128 par. (8) of the Fiscal Code, except for the writing-off of the fixed tangible assets.
(7) The adjustment of the deductible tax referred to in art. 149 par. (4) let. c) of the Fiscal Code, is to be made only once for the whole adjustment period remained, including the year when the obligation for adjustment occurs, and is up to one-fifth or, as the case may be, one-twentieth per year, of the tax still not deducted at the adjustment moment and is recorded in the VAT return for the fiscal period when the delivery is made, or any other operation for which the tax associated to the capital good is deductible. The provisions of the present paragraph shall be completed by the ones at pt. 38 and 39.
(8) The adjustment of the deductible tax referred to in art. 149 par. (4) let. d) of the Fiscal Code, is made only once for the whole adjustment period remained, including the year when the obligation for adjustment occurs, and is of one-fifth or, as the case may be, one-twentieth per year, of the initially deducted tax, and is recorded in the VAT return for the fiscal period during which the capital goods stop to exist, with the exception of the situations referred to in par. (9). The write-off of a capital good before the normal lifetime of the good expires, is not considered a self-delivery, but the provisions regarding the adjustment shall apply, since the good stops to exist in the enterprise. The same provisions apply also for a capital good that is written off after the lifetime expires, but within the adjustment period.
Example 1: A taxable person purchases a piece of equipment whose normal lifetime is 7 years, on November 30, 2007, for 10,000 lei + TVA (19% = 1,900), and deducts 1,900 lei.
On December 2, 2009 the piece of equipment is written-off. In this case, there is an adjustment in favour of the state, of two-fifth out of 1,900 lei, which is 1,140 lei.
Example 2: A taxable person purchases a piece of equipment whose normal lifetime is 3 years, on November 30, 2007, for 10,000 lei + TVA (19% = 1,900), and deducts 1,900 lei. On December 2, 2010 the piece of equipment is written-off. In this case, there is an adjustment in favour of the state, of two-fifth out of 1,900 lei, which is 760 lei.
(9) The adjustment of deductible tax related to the capital goods, in accordance with art. 149 par. (4) let. e) of the Fiscal Code, is done in case the supplier adjusts the taxation base in accordance with art. 138 let. a) - c) of the Fiscal Code. The adjustment is made only once during the fiscal period when the situations stipulated in art. 138 let. a), b) and c) of the Fiscal Code occur, based on the invoice issued by the provider. The consequent adjustments stipulated in art. 149 par. (4) let. a) - d) of the Fiscal Code shall be made taking into account the tax deducted after the adjustment referred to in the current paragraph is made.
(10) In order to adjust the deductible tax for the capital goods, the taxable persons have the obligation to keep a Capital Goods Register, in which to record, for each capital good, as defined in art. 149 par. (1) of the Fiscal Code, the following information:
a) the date of acquisition, manufacture, construction or transformation/modernization;
b) the value (the taxable amount) of the capital good;
c) the deductible tax for the capital good;
d) the tax amount deducted;
e) the adjustment made according to art. 149 par. (4) of the Fiscal Code.
(11) The provisions of art. 149 of the Fiscal Code and the provisions of the current point, shall be applied as well by the taxable persons which carry out real estate operations consisting of delivery, renting, leasing, concession operations and other similar operations carried out in relationship with the immovable goods.
(12) For the purpose of art. 149 par. (7) of the Fiscal Code, the adjustment shall not be made for the deductible tax associated to the capital goods, if the amount that would result as a result of the adjustment is lower than 1,000 lei.
Fiscal Code:
Person liable to pay the tax on a taxable operation in Romania
ART. 150
(1) To the extent that the tax is due in accordance with the provisions of this Title, the following persons are liable to pay the tax:
a) the taxable person carrying out a delivery of goods or a supply of services, except in the cases where the provisions of letters b) - g), apply;
b) the taxable person acting as such to whom services covered by art. 133 par. (2) letter g) are supplied, if such services are supplied by a taxable person not established in Romania, even if the latter person is registered for VAT purposes in Romania in accordance with art. 153 par. (4) or (5).
c) the person registered in accordance with art. 153 or 153^1, to whom services covered by art. 133 par. (2) let. c) - f), let. h) pt. 2 and letter i) are supplied, if such services supplied out by a taxable person not established in Romania, even if the latter person is registered in Romania for VAT purposes, according to art. 153 par. (4) or (5).
d) the person registered in accordance with art. 153 or 153^1, and to whom gas or electricity are delivered under the conditions set out in art. 132 par. (1), letters e) or f), if such deliveries are carried out by a taxable person not established in Romania, even the person is registered in Romania for VAT purposes, according to art. 153 par. (4) or (5).
e) the taxable person registered in accordance with art. 153 or 153^1, who is the beneficiary of a subsequent delivery in the frame of a triangle operation, when the following conditions are met:
1. the purchaser - reseller of the goods is registered for the purpose of value added tax in another Member State and has made an intra-Community acquisition of such goods in Romania that is not subject to VAT by virtue of art. 126 par. (8) letter b); and
2. the goods related to the intra-Community acquisition provided in art. 1, were transported by the supplier or by the purchaser reseller or by an other person in the account of the supplier or the purchaser reseller, from a Member State other than the State where the purchaser reseller is so registered for VAT purposes, directly to the beneficiary to whom the delivery is made; and
3. the purchaser reseller designates the beneficiary of a subsequent delivery as the person liable to pay the tax on that delivery;
f) the person who causes the goods to cease to be covered by the regimes or situations listed in art. 144 par. (1) letter a);
g) the taxable person acting as such or the non-registered legal person, established in Romania or not established in Romania but registered in Romania through a tax representative, that is the beneficiary of a delivery of goods or supply of services taking place in Romania in accordance with art. 132 or 133, other than the ones covered by letters b) - e), if the delivery or supply is carried out by a taxable person not established in Romania and not registered in Romania in accordance with art. 153.
Methodological Norms:
55. (1 In case of services provided in art. 150 par. (1) let. b) of the Fiscal Code, supplied by a taxable person which is not established in Romania, even though such person is registered in Romania according to art. 153 par. (4) of the Fiscal Code, to the benefit of a taxable person, such person shall be liable to pay the tax, if this tax is due according to Title VI of the Fiscal Code. If the beneficiary is:
a) a public institution and the services are used for the activity for which the public institution does not have the capacity as taxable person in accordance with the provisions in the art. 127 of the Fiscal Code, the public institution is not liable to pay the tax in Romania, regardless of this institution being registered or not for tax purposes for other operations, according to art. 153 or 153^1 of the Fiscal Code;
b) a public institution and the services are used by this public institution for the activity carried out in its capacity as taxable person, for the taxable operations, which may be exempt with or without a right for deduction, the public institution is liable to pay the tax in Romania, regardless of this institution being registered or not for tax purposes for other operations, according to art. 153 or 153^1 of the Fiscal Code.
(2) For the services referred to in art. 150 par. (1) let. c) of the Fiscal Code and the deliveries of goods referred to in art. 150 par. (1) let. d) of the Fiscal Code, if the beneficiary is a taxable person or a non-taxable legal person registered in Romania for VAT purposes according to art. 153 or art. 153^1 of the Fiscal Code, the place of the service or the delivery of goods is in Romania according to art. 132 or 133 of the Fiscal Code, and the supplier/deliverer is not established in Romania, the beneficiary is liable to pay the tax even if such beneficiary did not communicate to its deliverer/supplier its registration code for VAT purposes.
(3) The obligations referring to the payment of the tax stipulated in art. 150 par. (1) let. e) of the Fiscal Code are established in point 2 par. (15).
(4) For the purpose of art. 150 par. (1) let. f) of the Fiscal Code, the person liable to pay the value added tax is the person who causes the goods to fall from the regimes or situations provided in art. 144 par. (1) let. a) of the Fiscal Code, except for the case where the goods fall from the regimes and respective situations through an import, case that applies to the provisions of art. 151^1 of the Fiscal Code and pt. 59.
(5) The provisions of art. 150 par. (1) let. g) of the Fiscal Code shall not apply for the distance sales carried out from a member state to Romania by a person not established in Romania, for which the place of delivery is in Romania according to art. 132 par. (2) and (3) of the Fiscal Code, with the person not established din Romania having the obligation to register in Romania for VAT purposes according to art. 153 of the Fiscal Code.
Fiscal Code:
(2) By way of derogation from provisions of par. (1):
a) where the person liable to pay the tax in accordance with the provisions of par. (1), is a taxable person who is established within the Community but not in Romania, that person may, under conditions established in the norms, appoint a tax representative as the person liable to pay the tax;
b) where the person liable to pay the tax in accordance with the provisions of par. (1), is a taxable person who is not established within the Community, that person is required, under conditions established in the norms, to appoint a tax representative as the per son liable to pay the tax.
Methodological Norms:
56. (1) Regarding the provisions in art. 150 par. (2) of the Fiscal Code, the appointment of the fiscal representative is made based on a request submitted by the taxable person not established in Romania, at the relevant fiscal body where the proposed representative is registered as taxpayer. The request must be submitted together with:
a) the declaration for starting the activity, which will include: the date, the volume and the type of activity that will be carried out in Romania. After the activity is started, the volume and the type of activity may be changed according to contractual provisions, with these changes to be communicated to the relevant fiscal body where the fiscal representative is registered as taxpayer, according to art. 153 of the Fiscal Code;
b) a copy of the Memorandum of Association of the taxable person in question, outside the country;
c) the written approval of the person nominated as fiscal representative, by which such person pledges to fulfil the obligations required according to the law and in which such person must include the type of operations and their estimated value.
(2) Only one fiscal representative shall be allowed for the totality of the operations, either taxable or tax-exempt with deduction right, which are carried out in Romania by a taxable person not established in Romania. The co-existence of multiple fiscal representatives with limited commitments shall not be allowed. Any taxable persons established in Romania according to art. 125^1 par. (2) let. b) of the Fiscal Code and registered for VAT purposes according to art. 153 of the Fiscal Code.
(3) The competent fiscal body shall verify the fulfilment of the conditions stipulated in par. (1) and (2) and, within maximum 30 days after the receipt of the request, shall communicate the decision that was made to both the taxable person not established in Romania, and to the person nominated as fiscal representative by such person. In case the request is approved, simultaneously with transmitting the approval decision, the registration code for VAT purposes assigned to the fiscal representative as authorized agent of the taxable person shall be indicated, which must be different from the registration code for VAT purposes assigned for the taxable person's own activity. In case the request is rejected, the decision is to be communicated to both parties, together with the reasons for such rejection.
(4) The fiscal representative, after being accepted by the relevant fiscal body, is engaged, in terms of rights and obligations regarding the value-added tax, for all the operations carried out in Romania by the taxable person not established in Romania, for the entire duration of its term If the term of the fiscal representative runs out before the end of the period within which, according to the law, the taxable person not established in Romania would be liable to pay the value-added tax in Romania, the latter has the obligation to either extend the term of the fiscal representative, or to appoint another fiscal representative for the remained period, or to apply for registration according to art. 153 par. (4) or art. 153 par. (5) of the Fiscal Code, if it is a taxable person established in the Community. The operations carried out by the fiscal representative in the name of the taxable person not established in Romania shall not be recorded in the own accounting of the person appointed as fiscal representative. The provisions of art. 152 of the Fiscal Code, regarding the small undertakings, are not applicable to the taxable persons not established in Romania.
(5) The fiscal representative may give up the commitment made by means of a request filed with the competent fiscal body. In this request, the fiscal representative must mention the last tax return that they would submit in their capacity as fiscal representative and to propose a date subsequent to the request when their term is to be terminated. At the same time, the fiscal representative must explain the reason for giving up its commitment, may this reason be the termination of the activity in Romania of the taxable person not established in Romania, or the direct registration in Romania, without fiscal representative, of the taxable person established in the Community which it represents.
(6) In case the taxable person not established in Romania continues to carry out its taxable operations in Romania, the request may be accepted only provided that the taxable person not established in Romania make all the necessary formalities to appoint a new fiscal representative, and provided this new representative be accepted as such by the relevant fiscal body or, as the case may be, if case the taxable person, if established in the Community, chooses to register in Romania without appointing a fiscal representative.
(7) The taxable person not established in Romania authorizes the fiscal representative to issue the invoice addressed to its beneficiary. The fiscal representative issues the invoice for the goods delivered and/or services supplied by the taxable person not established in Romania, applying the appropriate tax scheme for the operations in question, and sends this invoice to the beneficiary. The current Methodological Norms do not impose any obligations regarding the denomination of the settlement nor the way of settlement, may this be through the fiscal representative, or directly between the taxable person not established in Romania and the clients/providers of such person.
(8) The invoice issued by the fiscal representative must include the information stipulated in art. 155 par. (5) of the Fiscal Code.
(9) The fiscal representative files the tax return stipulated in art. 156^2 for the operations carried out in Romania by the taxable person not established in Romania which it represents. . If the fiscal representative is authorized by more than one taxable person established abroad, such fiscal representative shall file one separate tax return for each taxable person not established in Romania which it represents. It is not allowed for the fiscal representative to include in the tax returned submitted for its own activity, for which it is registered for VAT purposes, the operations carried out o behalf of the taxable person not established in Romania, for which the separate tax return is submitted.
(10) In order to exercise the right of deduction for the tax associated to the acquisitions made on behalf of the taxable person not established in Romania, the fiscal representative must have the documents required by the law.
(11) Any person established for VAT purposes in Romania, according to the provisions in art. 125^1 par. (2) let. b) of the Fiscal Code, may not appoint a fiscal representative in Romania anymore. Such person must register according to art. 153 of the Fiscal Code, for VAT purposes, with the competent fiscal body.
57. If after appointing a fiscal representative the taxable person becomes a person established in Romania for the purpose of art. 125^1 par. (2) let. b) of the Fiscal Code, the registration code for VAT purposes assigned to the fiscal representative is taken over by the taxable person which becomes registered for VAT purposes according to art. 153 of the Fiscal Code, in its capacity as person established in Romania. The negative tax amount or the tax amount to be paid included in the last tax return submitted by the fiscal representative are taken over by the taxable person which becomes established in Romania. From the tax point of view, the operations carried out through the fiscal representative are operations which belong to the taxable person initially not established in Romania, but which afterward becomes a taxable person established in Romania.
Fiscal Code:
(3) Any person who designates an amount as value added tax on an invoice or on any document serving as an invoice is liable to pay that tax.
Methodological Norms:
58. (1) For the purposes of art. 150 par. (3) of the Fiscal Code, any person which wrongfully includes the tax in an invoice or other similar document assimilated to an invoice, shall pay this tax to the state budget, with the beneficiary not having the right to deduct this tax amount. In such case, the beneficiary may request the supplier or the deliverer to correct the wrong invoice, by issuing an invoice with the minus mark and a new, correct invoice.
(2) If the deliverer or the supplier is in a situation of impossibility for correcting the invoice that was wrongfully issued, due to a bankruptcy, liquidation, write-off procedure or other similar situations, the beneficiary may request the reimbursement from the state budget of the tax amount that was unduly paid provided it produce evidence that this tax amount was paid to the supplier and that the supplier, in its turn, paid the tax amount in question to the state budget.
Fiscal Code:
Person liable to pay the tax on an importation
ART. 151^1
The payment of the tax on an importation that is subject to tax under this Title is a liability of the importer.
Methodological Norms:
59. (1) To apply art. 151^1 of the Fiscal Code, the importer for tax purposes is:
a) the purchaser to which the goods are dispatched on the date when the tax becomes chargeable on importation or, in the absence of such purchaser, the owner of the goods on this date. By way of derogation from this provision, the supplier of the good or a previous supplier may opt for the capacity as importer;
b) the supplier of the goods, for the deliveries of goods which are installed or put in place in Romania, by the supplier or on behalf of such supplier, and if the delivery of these goods takes place in Romania under the conditions of art. 132 par. (1) let. b) of the Fiscal Code or by the buyer whom the goods are dispatched to, if he/she chose to be an importer;
c) the owner of the goods, for the goods imported for renting or leasing operations in Romania;
d) the person which re-imports to Romania the goods previously exported outside the Community for the application of the exemption stipulated in art. 142 par. (1) let. h) and i) of the Fiscal Code;
e) The owner of the goods or the taxable person registered according to art. 153 of the Fiscal Code, importing goods in Romania:
1. under a consignment regime or stock available to the customer, for verification of the conformity or for testing purposes, provided that the goods in question be purchased by the taxable person in question or if the taxable person does not purchase them with the purpose of re-exporting them outside the Community;
2. for the repair, transformation, modification or processing of these goods, provided that the goods resulted after these operations be re-exported outside the Community or purchased by the taxable person in question.
(2) Any person that is not an importer, for the VAT purpose set forth in par. (1), but has a customs import statement where he/she is mentioned as importer of goods, has not the right to deduct the value added tax related to the import unless he/she can apply the commissioner structure, respectively shall re-invoice the value of the imported goods and the value added tax related to the person that would have had the capacity of importer in accordance with par. (1).
Fiscal Code:
Joint and several liability for the payment of tax
ART. 151^2
(1) The beneficiary is jointly and severally liable to pay the tax, provided that the person liable to pay the tax according to art. 150 par. (1) lett. a), if the invoice provided in art. 155 par. (5):
a) is not issued;
b) contains incorrect/incomplete data relating to one of the following information: the name, the address or the value added tax registration number of the parties to the contract, the name or the quantity of goods delivered or services supplied or the elements necessary to calculate the taxable amount;
c) does not mention the value of the tax or the value of the tax is mentioned incorrectly.
(2) By way of derogation from provisions of par. (1), the beneficiary who proves the partial or total payment of the tax to the person liable to pay, is accordingly not jointly and severally held liable to pay the tax anymore.
(3) The supplier or the provider is jointly and severally liable to pay the tax, provided that the person liable to pay the tax according to art. 150 par. (1) let. b) - e), is the beneficiary, if the invoice referred to in art. 155 par. (5) or the self-invoice referred to in art. 155^1 par. (1):
a) is not issued;
b) contains incorrect/incomplete data relating to one of the following information: the name, the address or the value added tax registration number of the parties to the contract, the name or the quantity of goods delivered or the elements necessary to calculate the taxable amount.
(4) The supplier is jointly and severally liable to pay the tax, provided that according to art. 151 the beneficiary is the person liable to pay the tax with respect to an intra-Community acquisition, if the invoice referred to in art. 155 par. (5) or the self-invoice referred to in art. 155^1 par. (1):
a) is not issued;
b) contains incorrect/incomplete data relating to one of the following information: the name, the address or the value added tax registration number of the parties to the contract, the name or the quantity of goods delivered or the elements necessary to calculate the taxable amount.
(5) Any person representing the importer, the person filing the customs declaration for the imported goods and the owner of the goods are jointly and severally liable for the payment of the tax together with the importer referred to in art. 151^1.
(6) For the application of the VAT warehouse regime referred to in art. 144 par. (1) lett. a) pt. 8, the warehouse-keeper and the person who transports the goods out of the warehouse or the person responsible for the transport of the goods, are jointly and severally liable to pay the tax with the person liable to pay according to art. 150 par. (1) let. a), f) and g) şi art. 151^1.
(7) The person who appoints another person as a tax representative in accordance with art. 150 par. (2), is jointly and severally liable for the payment of the tax together with the person he appoints.
Methodological Norms:
60. The obligations of the beneficiary stipulated in art. 151^2 par. (1) of the Fiscal Code, do not affect the right of deduction under the conditions stipulated in art. 145 of the Fiscal Code.
Fiscal Code:
Special exemption scheme for small enterprises
ART. 152
(1) The taxable person established in Romania whose annual turnover, declared or achieved, is lower than euro 35,000, the equivalent in lei of which will be determined on the basis of the exchange rate communicated by the National Bank of Romania at the date of accession, and rounded up to the higher thousand, may apply for an exemption from the tax, hereinafter referred to as special exemption scheme, for the operations referred to in art. 126 par. (1), with the exception of the intra-Community deliveries of new means of transport exempt under art. 143 par. (2) letter b).
(2) The turnover serving as reference for the enforcement of par. (1) is the total amount, exclusive of the tax, of the deliveries of goods and the supplies of services that would be taxable if they were not carried out by a small undertaking, made by the taxable person in the course of a calendar year, including operations that are exempt with right of deduction and operations exempt without right of deduction referred to in art. 141 par. (2) let. a), b), e) and f), if these are not ancillary to the underlying activity, but excluding:
a) deliveries of tangible or intangible fixed assets as defined in art. 125^1 par. (1) pt. 3, carried out by the taxable person;
b) the intra-Community deliveries of new means of transport referred to in art. 143 par. (2) letter b).
(3) The taxable person who qualifies, in terms of par. (1) to apply the special exemption scheme may at any time elect to apply the normal tax regime.
Methodological Norms:
61. (1) The exchange rate stipulated in art. 152 par. (1) of the Fiscal Code shall be the exchange rate communicated by the Romanian National Bank on the accession date .
(2) For the purpose of art. 152 par. (2) let. b) of the Fiscal Code, is an ancillary operation to the main activity if the conditions provided in art. 47 par. (3).
(3) For the purpose of art. 152 par. (3) of the Fiscal Code, the taxable person that opts for the application of the normal tax regime must require the registration in according with art. 153 of the Fiscal Code and must apply the normal tax regime starting with the registration date.
(4) For the purpose of art. 152 par. (3), (7) and (9) corroborated with the provisions set forth in art. 145 - 149 of the Fiscal Code, the taxable person has the right/obligation to adjust the related deductible tax:
a) the goods in stock and the services unused on the moment of shifting to the regular taxation scheme;
b) the capital goods defined in art. 149 par. (1) of the Fiscal Code, still in use, for the purpose of carrying out the economic activity on the moment of shifting to the regular tax scheme, provided that the period for adjustment of the deduction stipulated in art. 149 par. (2) of the Fiscal Code do not expire. The provisions of the hereby paragraph is completed by the provisions in point 46.
Fiscal Code:
(6) The taxable person who applies the special exemption scheme and whose turnover as referred to in par. (2), is equal to or exceeds the exemption threshold in the course of a calendar year is required to request registration for VAT purposes under art. 153, within 10 days as from the date when his turnover reached or exceeded that ceiling. The date when the ceiling was reached or exceeded is deemed to be the first day of the calendar month after the calendar month during which the threshold was reached or exceeded. The VAT exemption regime is to apply up to the date of registration for VAT purposes under art. 153. If the taxable person does not require or requires the late registration, the competent fiscal bodies are entitled to established obligations concerning to the payable tax and the related ancillaries, starting with the date on which such person should be registered for purposes of taxation, according to art. 153.
Methodological Norms:
62. (1) The persons which apply the special exemption scheme, according to art. 152 of the Fiscal Code, have the obligation to keep track of the deliveries of goods and supplies of services which would be taxable if not carried out by a small undertaking, by means of the sales journal, as well as of the taxable goods and services acquired, by means of the acquisitions journal.
(2) For the purpose of art. 152 par. (6) of the Fiscal Code, in case the taxable person either reached or exceeded the exemption ceiling and did not request the registration according to art. 153 of the Fiscal Code, within the deadline stipulated by law, the relevant fiscal bodies shall proceed as follows:
a) in case the relevant fiscal bodies identify the failure to respect the legal provisions before the registration of the taxable person for VAT purposes according to art. 153 of the Fiscal Code, they shall require the payment of the tax that taxable tax would have owed if it had been registered normally for VAT purposes in accordance with art. 153 of the Fiscal Code, for the period between the date on which the person in question would have been registered for tax purposes if it had requested the registration within the deadline stipulated by law, and the date when the failure to respect the legal provisions is discovered. At the same time, the control bodies shall register by default these persons for tax purposes according to art. 153 par. (7) of the Fiscal Code;
b) in case the relevant fiscal bodies identify the failure to respect the legal provisions after the registration of the taxable person for VAT purposes according to art. 153 of the Fiscal Code, such bodies shall request the payment of the tax amount that the taxable would have to pay if normally registered for tax purposes according to art. 153 of the Fiscal Code, for the period between the date on which the person in question would have been registered for tax purposes if it had requested the registration within the deadline stipulated by law, and the date of registration.
Fiscal Code:
Special scheme for travel agents
ART. 152^1
(1) For the purposes of this article, a travel agent is any person who, whether as a principal or an agent, arranges for, advises on or undertakes to provide to travellers, whether singly or in groups, travel arrangements, including accommodation in a hotel, guest house, hostel, holiday premises and any other premises used for the provision of accommodation, travel by air, land or sea, organized excursions and all other tourist services. A travel agent also includes a tour operator.
(2)Where a travel agent deals with a traveller in his own name for the benefit of the traveller and uses deliveries of goods and supplies of services performed by other persons, all transactions performed by the travel agent in respect of a journey are treated as a single service supplied by the travel agent to the traveller.
(3) The single service referred to in par. (2) takes place in Romania if the travel agent has a fixed establishment in Romania or is established in Romania and provides the service from this establishment in Romania.
(4) The taxable base of the single service referred to in par. (2) is the profit margin minus the tax included in that margin that is the difference between the total amount to be paid by the traveller, exclusive of the tax, and the actual cost to the travel agent, inclusive of value added tax, of the deliveries of goods and supplies of services directly benefiting the traveller, if such deliveries of goods and supplies of services are performed by other taxable persons.
(5) If the deliveries of goods and the supplies of services directly benefiting the traveller are performed outside the Community, the travel agent's single service is treated as the service of an intermediary which is exempt from the tax. When these deliveries and supplies are performed both inside and outside the Community, only that part of the travel agent's single service relating to operations outside the Community is treated as exempt from the tax.
(6) Without prejudice to the right to deduct the tax in terms of art. 145 par. (2), the travel agent is not entitled to any deduction or refund of the value added tax charged to him by taxable persons on the deliveries of goods and the supplies of services directly benefiting the traveller and used by the travel agent for the provision of the single service referred to in par. (2).
(7) The travel agent may opt to apply the normal tax regime to the transactions referred to in par. (2), subject to the following exceptions, for which the application of the special scheme is mandatory:
a) the traveller is a physical person;
b) the travel arrangements also contain components for which the place of the operation is deemed to be located outside of Romania.
(8) A travel agent must, in addition to the records required to be kept in terms of the other provisions of this Title, keep such other records as are necessary to readily ascertain the amount of tax chargeable under this article.
(9) A travel agent shall not be entitled to distinctly record the tax in invoices, or in any other legal documents to be delivered to a traveller, with respect to the single service subject to the special scheme. In this case, in all relevant documents the "VAT included" specification shall be distinctly recorded.
(10) When the travel agency performs both operations under normal regime of taxation and operation under the special regime of taxation, such agency is required to keep accounting records for each category of operation.
(11) The special regime provided in the present article shall not apply to travel agents that act as intermediaries and for whom shall be provided the provisions of art. 137 par. (3) let. e) regarding the taxation base.
Methodological Norms:
63. (1) For the purposes of art. 152^1 of the Fiscal Code, the traveler may be a taxable person, a non-taxable legal person and any other non-taxable person.
(2) The special scheme does not apply in case the customer of the travel agent is another travel agent established in Romania.
(3) For the purpose of art. 152^1 par. (4) of the Fiscal Code, the following terms shall be defined as below:
a) the total amount to be paid by the traveller represents everything that is the compensation obtained or to be obtained by the travel agents from the traveller or from a third party for the unique service, including the subsidies directly associated to this service, the taxes, fees, incidental expenditures such as commissions or insurance expenses, but without the amounts stipulated in art. 137 par. (3) of the Fiscal Code;
b) the costs incurred by the travel agent for the goods delivered and the services supplied to the direct benefit of the traveller represent the price, inclusive of the value-added tax, that is invoiced by the suppliers of the specific operations, such as transportation services, hotel accommodation services, catering services and other expenditures such as the insurance for the transportation means, visa fees, per diems and accommodation for the drivers, tolls, parking fees, fuel, with the exception of the general expenditures of the travel agent which are included in the cost of the unique service.
(4) In order to determine the value of the tax collected for the unique services carried out within a fiscal period, the travel agents shall keep sales journals or, as the case may be, a list of collections, in which shall be recorded only the total specified on the sale document, inclusive of the value-added tax. These journals, or, as the case may be, lists, shall be kept separately from the operations for which the regular taxation scheme is applied. At the same time, the travel agents shall keep separate acquisition journals, in which shall be recorded the acquisitions of goods and/or services included in the costs of the unique service. The taxable amount and the collected value-added tax for the unique services supplied within a fiscal period shall be determined based on the calculations made for all the operations subject to the special taxation scheme within the fiscal period in question and shall be appropriately recorded in the tax return. In determining the taxable amount, the amounts collected in advance for which the associated expenditures cannot be determined shall not be taken into account and the expenditures incurred for goods delivered or services supplied which were not sold to the client may not be subtracted.
(5) For the purpose of art. 152 par. (7), corroborated with art. 129 par. (2) of the Fiscal Code, when the travel agent applies the regular taxation scheme each component of the unique service shall be re-invoiced for the tax rate appropriate to each component. Moreover, the taxable amount for each component invoiced under a regular tax scheme shall also include the profit margin of the travel agent.
(6) The travel agents acts as intermediaries, in accordance with art. 152^1 par. (11) of the Fiscal Code, for the services provided in art. 152^1 par. (5) of the Fiscal Code, as well as if he/she acts in the name and on behalf of another person, in accordance with art. 129 par. (3) let. e) of the Fiscal Code and pt. 7 par. (3).
Fiscal Code:
Special arrangements applicable to second-hand goods, works of art, collectors' items and antiques
ART. 152^2
(1) For the purpose of this article:
a) works of art are defined as:
1. pictures, collages and similar decorative plaques, paintings and drawings, executed entirely by hand, other than plans and drawings for architectural, engineering, industrial, commercial, topographical or similar purposes, originals, hand made, handwritten texts, photographic reproduction on sensitive paper and carbon copies of the plans, drawings and texts listed above and hand decorated industrial articles (Customs Nomenclature code 9701);
2. original engravings, prints, and lithographs, originals old or modern, being impressions produced in limited numbers directly in black and white or in color of one or of several plates executed entirely by hand by the artist, irrespective of the process or of the material employed by him, but not including any mechanical or photomechanical process (Customs Nomenclature code 9702 00 00);
3. original sculptures and statuary, in any material, provided that they are entirely executed by the artist; copies made by another artist than the author of the original (Customs Nomenclature code 9703 00 00);
4. tapestries (Customs Nomenclature code 5805 00 00) and wall textiles (Customs Nomenclature code 6304 00 00) made by hand from original designs provided by artists, provided that there are not more than eight copies of each;
5. individual pieces of ceramics executed entirely by the artist and signed by him;
6. enamels on copper, executed entirely by hand, limited to eight numbered copies bearing the signature of the artist or the studio, excluding gold or silver jewelleries;
7. photographs taken by the artist, printed by him or under his supervision, signed and numbered and limited to 30 copies, all sizes and mounts included;
b) collectors' items are defined as:
1. postage or revenue stamps, postmarks, first-day covers, complete postal series, franked, or unfranked, but not being of legal tender or not intended to be of legal tender (Customs Nomenclature code 9704 00 00);
2. collections and collectors' pieces of zoological, botanical, mineralogical, anatomical, historical, archaeological, palaeontological, ethnographic or numismatic interest (Customs Nomenclature code 9705 00 00);
c) antiques are defined as objects other than works of art or collectors' items, which are more than 100 years old (Customs Nomenclature code 9706 00 00);
d) second-hand goods are defined as tangible movable property that is suitable for further use as it is or after repair, other than works of art, collectors' items, antiques, precious metals, precious stones and other goods as defined in the norms;
e) taxable dealer is defined as a taxable person who, in the course of his economic activity, purchases or imports with a view to resale, second-hand goods and/or works of art, collectors' items or antiques, whether that taxable person is acting for himself or on behalf of another person pursuant to a contract under which commission is payable on purchase or sale;
f) organizer of a sale by public auction is defined as any taxable person who, in the course of his economic activity, offers goods for sale by public auction with a view to handing them over to the highest bid;
g) profit margin is defined as the difference between the selling price charged by the taxable dealer for the goods and his purchase price, whereby:
1. selling price means everything which constitutes the consideration, which has been obtained by the taxable dealer from the purchaser or a third party, including subsidies directly linked to that transaction, taxes, duties, levies and charges and incidental expenses such as commission, packaging, transport and insurance costs charged by the taxable dealer to the purchaser but excluding any price reductions or discounts;
2. purchase price means everything which constitutes the consideration as defined under "selling price" obtained from the taxable dealer by his supplier;
h) social regime includes all the special regulations provided in the present article for the taxation of the deliveries of second-hand, works of art, collection objects and antics at the rate of the profit margin.
(2) A taxable dealer shall apply the special scheme with respect to the deliveries he makes of second-hand goods, works of art, collectors' items and antiques other than works of art delivered to him by their creators or their successors in title on which there is the obligation to collect the tax, which were delivered to him within the Community:
a) by a non-taxable person;
b) by a taxable person insofar as the delivery by that taxable person is exempt from the tax in accordance with art. 141 par. (2) letter g).
c) by a small undertaking insofar as that delivery concerns capital goods;
d) by another taxable dealer, in so far as the delivery by that other taxable dealer was subject to value added tax in accordance with the special scheme.
(3) Under the established by the norms, a taxable dealer shall have the option to apply the special scheme with respect to the deliveries he makes of:
a) the works of art, collectors' items or antiques which he has imported himself;
b) the works of art delivered to him by their creators or their successors in title on which there is the obligation to collect the tax.
(4) With respect to the deliveries referred to in par. (2) and (3), as well as the deliveries the option referred to in par. (3) is exercised for, the taxation base is the profit margin, determined in accordance with par. (1) let. g), minus the related tax value. As an exception, with respect to the deliveries of works of art, collectors' items or antiques directly imported by the taxable dealer, referred to in par. (3), the purchase price to be taken into account in calculating the profit margin is equal to the taxable amount on importation, determined in accordance with art. 139, plus the tax due or paid on importation.
(5) Any delivery of second-hand goods, works of art, collectors' items or antiques, which has been made subject to the special scheme, is exempt from the tax in terms of art. 143 par. (1) let. a), b), h) - m) and o).
(6) The taxable dealer is not entitled to deduct any tax due or paid on goods referred to in par. (2) and (3), in so far as he subjects the delivery of these goods to the special scheme.
(7) The taxable dealer may apply the normal tax regime to each delivery eligible for the special scheme, including the deliveries of goods for which he has opted to apply the special scheme in par. (3).
(8) When he applies the normal tax regime with respect to the goods for which he may have opted to apply the special scheme in terms of par. (3), the taxable dealer shall have the right to deduct the tax due or paid:
a) import of work of art, collection objects or antics;
b) for the works of art delivered to him by its creator or his successors in title.
(9) The right to deduct referred to in par. (8) shall arise at the time when the tax due for the delivery in respect of which the taxable dealer opts for the application of the normal tax regime becomes chargeable.
(10) Taxable persons are not entitled to deduct the tax due or paid in respect of goods which have been, or are to be delivered to them by a taxable dealer, in so far as the delivery of those goods by the taxable dealer is subject to the special scheme.
(11) The special scheme does not apply to:
a) deliveries made by a taxable dealer of goods purchased by him within the Community from persons who benefited from an exemption of the tax in accordance with art. 142 par. (1) let. a) and e) - g) and art. 143 par. (1) let. h) - m), upon the purchase, the intra-Community acquisition or the importation of such goods, or who benefited from a refund of the tax;
b) intra-Community delivery by a taxable dealer of a new means of transport exempt from the tax in accordance with art. 143 par. (2) letter b).
(12) The taxable dealer is not allowed to indicate separately on the invoices which he issues, the tax relating to deliveries of goods which he makes subject to the special scheme. The mention "VAT included and not deductible" shall replace the amount of the tax due on invoices or other documents issued to the purchaser.
(13) The taxable dealer using the special scheme shall, in accordance with the rules provided by the norms:
a) determine the tax due under the special scheme for each fiscal period for which he must submit his tax return in accordance with art. 156^1 and 156^2;
b) record in his accounts the operations falling under the special scheme.
(14) Where the taxable dealer applies both the normal tax regime and the special scheme, the taxable dealer shall, in accordance with the rules provided by the norms:
a) separately record in his accounts the operations falling under each of these arrangements;
b) for the operations for which he applies the special scheme, determine the tax collected for each fiscal period for which he must submit his tax return in accordance with art. 156^1 and 156^2.
(15) Provisions in par. (1) - (14) also apply to the sales by public auction made by taxable dealers acting as organizers of a sale by public auction under the conditions provided by the norms .
Methodological Norms:
64. (1) For the purposes of art. 152^2 par. (1) let. d) of the Fiscal Code, the second-hand goods include any old objects which can still be used "as such" or after being repaired. The second-hand goods also include the old objects which are made of precious metals and precious or semi-precious stones, such as jewellery (classic or fantasy type, gold and silver objects and all other old objects, including the tools, partially or integrally made of gold, silver, platinum, precious stones and/or pearls, irrespective of the degree of purity of such metals or precious stones.
(2) The following are not considered second-hand goods in the meaning of art. 152^2 par. (1) let. d) of the Fiscal Code:
a) Gold, silver and platinum which can be used as raw materials to manufacture other goods, either pure or in alloy with other metals and presented in form of bars, plates, ingots, dust, thin sheets, tubes, wires or any other form;
b) Investment gold, according to the definition in art. 152^3 par. (1) of the Fiscal Code;
c) Silver or platinum coins which are not collectors' items in the meaning of art. 152^2 par. (1) letter b of the Fiscal Code.
d) Residues of old objects made of precious metals recovered for the purpose of being smelted and re-used as raw materials;
e) Precious and semi-precious stones and pearls, may they be cut or not, broken along the fibre, with gradation or polished but not on the thread, assembled or fitted, which can be used for manufacturing classical or fantasy-type jewellery, gold or silver objects and other similar;
f) Old goods which are repaired or restored so that they cannot be distinguished from similar new goods;
g) Old goods which were transformed before being re-sold in a way that, when resold the goods cannot be identified anymore with the goods in its initial shape before the date of acquisition;
h) Goods which are consumed at the first use;
i) Goods which cannot be re-used anymore.
(3) The option provided in art. 152^2 par. (3) of the Fiscal Code;
a) shall be applied for all categories of goods mentioned in the paragraph in question;
b) shall be communicated to the relevant fiscal body and shall remain effective until December 31st of the second calendar year following the year when the option is applied.
(4) For the purpose of application of art. 152^2 par. (13) and (14) of the Fiscal Code:
a) the taxable amount for the deliveries of goods to which the same tax rate is applied is the difference between the total profit margin obtained by the re-seller taxable person and the value of the tax associated to the margin in question;
b) the total profit margin for a fiscal period, other than the last fiscal period of the calendar year shall be the difference between:
1. the total amount equal to the selling prices established according to art. 152^2 par. (1) let. g) points 1) of the Fiscal Code, for the deliveries of goods subject to the special scheme which are carried out by a re-seller taxable person during the period in question; and
2. the total amount equal to the total purchasing prices established according to art. 152^2 par. (1) let. g) points 2) of the Fiscal Code, for the acquisitions of goods stipulated in art. 152^2 par. (2) and par. (3) of the Fiscal Code, carried out by a reseller taxable person during the period in question;
c) the total profit margin for the last fiscal period of the calendar year shall be the difference between:
1. the total amount equal to the selling prices established according to art. 152^2 par. (1) let. g) points 1) of the Fiscal Code, for the deliveries of goods subject to the special scheme which are carried out by a re-seller taxable person during the period in question; and
2. the total amount equal to the total purchasing prices established according to art. 152^2 par. (1) let. g) points 2) of the Fiscal Code, for the acquisitions of goods stipulated in art. 152^2 par. (2) and par. (3) of the Fiscal Code, carried out by the reseller taxable person under a special scheme during the year in question, plus the total value of the goods in stock at the beginning of the calendar year, minus the total value of the goods in stock at the end of the calendar year, plus the value of the profit margins, either positive or negative, already reported for the fiscal periods precedent to the year in question.
(5) In case the total profit margin for a fiscal period other than the last fiscal period of the calendar year is negative, the margin shall be taken over for the following fiscal period by recording this negative margin as such in the special journal stipulated in par. (7).
(6) In case the total profit margin for the last fiscal period of the year is negative, the margin may not be taken over for the following calendar year.
(7) For the purpose of application of art. 152^2 par. (13) and (14) of the Fiscal Code, the reseller taxable person must fulfil the following obligations
a) to keep a special purchase journal in which to record all the goods subject to the special scheme;
b) to keep a special sale journal in which to record all the goods delivered under the special scheme;
c) to keep a comparative register which allows establishing, at the end of each fiscal period, other than the last fiscal period of the calendar year, the total taxable amount for the deliveries carried out during the fiscal period in question and, as the case may be, the collected tax;
d) to keep separate records for the stock of goods subject to the special scheme;
e) to issue an invoice by self-invoicing to each supplier from which they purchase goods subject to the special scheme and which does not have the obligation to issue an invoice nor any other document serving as invoice. The statement of the supplier confirming the latter did not benefit of any tax exemption or tax refund for the purchase, import or intra-community acquisition of goods delivered by the reseller taxable person, shall be attached to this invoice. The invoice issued by self-invoicing must include the following information:
1. the serial number and the issue date of the invoice;
2. the acquisition date and the number assigned in the special purchase journal stipulated in let. a) or the date when the goods are received;
3. the name and address of the parties;
4. the registration code for VAT purposes of the reseller taxable person;
5. the description and the quantity of goods purchased or received;
6. the purchase price, which is recorded at the purchase moment for the goods under a consignment agreement;
(8) A small undertaking which delivers goods to a reseller taxable person, according to art. 152^2 par. (2) let. c) of the Fiscal Code, shall mention in the invoice issued that the delivery in question refers to the goods stipulated in art. 152^2 par. (1) let. a) - d) of the Fiscal Code, and that these goods were used by the small undertaking as fixed tangible assets, as defined in art. 125^1 par. (1) pt. 3)of the Fiscal Code.
(9) For the purpose of application of art. 152^2 par. (15) of the Fiscal Code, the taxable amount for the deliveries of second-hand goods, works of art, collectors' items or antiques, carried out by the organizer of public auction sales, acting in their own name under a contract based on a commission for the sale, on behalf of the person stipulated in art. 152^2 par. (2) let. a) - d) of the Fiscal Code, is formed of the total amount invoices in accordance with par. (11), to the purchaser, by the organizer of the public auction, from which the following shall be subtracted:
1. the net amount, payable or paid by the organizer of the public auction to its principal, determined according to par. (10), and
2. the amount of the tax collected by the organizer of the public auction for its delivery.
(10) The net amount, payable or paid by the organizer of the public auction to its principal shall be equal to the difference between:
a) the price of the goods sold in the public auction, and
b) the value of the commission, inclusive of the tax, obtained or to be obtained by the organizer of the public auction from its committant, under the contract based on the sale commission.
(11) The organizer of a sale by public auction must issue an invoice to the purchaser, or, as the case may be, the fiscal receipts issued according to the Government Emergency Ordinance no 28/1999 on the obligation of the companies to use fiscal electronic cash registers, as republished, which do not necessarily have to include separately the value of the tax, but must contain the following information:
a) the price of the goods sold in the auction;
b) taxes, fees and other amounts to be paid;
c) incidental expenses such as the commission, the packaging expenses, transportation and insurance, billed by the organizer to the purchaser of the goods.
(12) The organizer of the sale by public auction to which the goods were transmitted under the contract based on sale commission, must issue a document to its committant, in which to indicate the value of the transaction, meaning the price of the goods under auction, without including the value of the commission obtained or to be obtained from the committant and based on which the committant, when in capacity as taxable person, must issue the invoice to the organizer of the sale by public auction according to art. 155 par. (1) of the Fiscal Code, or that will serve as invoice to any other persons than the taxable persons registered according to art. 153 of the Fiscal Code.
(13) The organizers of sales by public auctions which deliver goods under the circumstances stipulated in par. (9) must record under the accounts of the third parties (miscellaneous debtors/creditors) the amounts obtained or to be obtained from the purchaser of the goods and the amount paid or to be paid to the seller of the goods. These amounts must be appropriately supported with documents.
(14) The delivery of goods to a taxable person which is the organizer of a sale by public auction shall be considered as being carried out when the sale of the goods in question by public auction has been carried out. As an exception, when the public auction lasts for many days, the delivery of all the goods sold during such public auction is considered to be occur in the last day of the auction.
Fiscal Code:
Special scheme for investment gold
ART. 152^3
(1) Investment gold means:
a) gold, in the form of a bar or a wafer of weights accepted by the bullion markets, of a purity equal to or greater than 995 thousandths, whether or not represented by securities, but excluding small bars or wafers of a weight of 1g;
b) gold coins which meet the following conditions:
1. have a tile bigger or equal to 9000/00;
2. are remade after 1800;
3. are or was the legal exchange coin in the state of origin; and
4. are sold normally at a price which not exceed the value on the free market of gold coins with over 80%;
(2) The coins of numismatic importance are not included in the scope of the present article.
(3) The following operations are exempted from taxation:
a) intra-Community deliveries, acquisitions and the import of investment gold, including the investments in securities, for the nominated or denominated gold or negotiated in goods accounts and which includes especially loans and exchange of gold which give right of ownership or security over the investment gold, as well as the operations related to the investment gold consisting in futures and forward contracts on terms, that generate a transfer of the right of ownership of security over the investment gold;
b) the services of intermediation for the delivery of investment gold provided by agents who act on behalf of an principal.
(4) The taxable person who produces the investment gold or transform any gold in investment gold may opt for the normal regime of taxation for the deliveries of investment gold to another taxable person who normally would be exempted of taxation, according to the provisions of par. (3) letter a).
(5) The taxable person who usually delivers gold for industrial purposes may opt for the normal regime of taxation, for the deliveries of investment gold provided in par. (1) let. a) to another taxable person, who normally would be exempted of taxation, according to par. (3) letter a).
(6) The intermediary who provides services of intermediation for the delivery of gold, on behalf and in the account of a principal, may opt for taxation, if the principal exercised the option provided in par. (4).
(7) Options provided in par. (4) - (6) are exercised by a notification sent to the competent fiscal body. The option enters into force on the date of the registration of the notification sent to the competent fiscal bodies or on the date of submission of such notification by mail with receipt confirmation, as the cas may be, shall apply to all the deliveries of investment gold performed on that date. In the case of an option exercised by an intermediary, such option is applied for all the services of intermediation provided by the respective intermediary for the benefit of the same principal who exercised the option provided in par. (5). In the case of exercising the options provided in par. (4) - (6), the taxable persons may return to the special regime.
(8) If the delivery of investment gold is exempted from taxation, according to the present article, the taxable person has the right of deduct:
a) tax due or paid, for the acquisitions of investment gold performed by a person who exercised the option of taxation;
b) the tax due or paid, for intra-Community purchases or import of gold, that shall be later transformed in investment gold by the taxable person or by a third person on behalf of the taxable person;
c) the tax due or paid for the services provided for his benefit, consisting in the change of the form, weight and purity of gold, including the investment gold.
(9) The taxable person who produces investment gold or transforms the gold in investment gold has the right to the deduction of the tax due or pais for acquisitions related to the production of the respective gold.
(10) For the deliveries of alloys or semi-finished products of gold with a security over or equal to 3250 per thousand, as well as for the deliveries of investment gold, performed by taxable persons who exercised the option of taxation to the buyers, taxable persons, the buyer is the person who is required to pay the tax, according to norm.
(11) The taxable person who trades investment gold shall keep the record of all transactions of investment gold and shall keep the documentation allowing the identification of the client in these transactions. These records shall be kept for a least 5 years after the end of the year following the performance of such operations.
Methodological Norms:
65. (1) To enforce art. 152^3 par. (1) of the Fiscal Code, the weights measures accepted on the ingot markets include at least the following units and weights measures:
Unit Traded weight measures
Kg 12.5 / 1
Gram 500 / 250 / 100 / 50 / 20 / 10 / 5 / 2.5 / 2
Ounce (loz = 31.1035 g) 100 / 10 / 5 / 1 / 1/2 / 1/4
Tael (1 tael = 1.193 oz)
(Chinese measuring unit) 10 / 5 / 1
Tola (10 tolas = 3.75 oz)
(Indian measuring unit) 10
(2) For the purpose of art. 152^3 par. (1) let. b) pt. 2 of the Fiscal Code, by coins remade after 1800, is understood such coins fabricated after the year 1800.
(3) The notification stipulated in art. 152^3 par. (7) of the Fiscal Code, must occur before the operations to which it refers and must include the following information:
a) the legal provisions on which it is based and if the taxable person apply the option in its capacity as supplier or intermediary;
b) the name and the registration code for VAT purposes of the taxable person to which benefit the deliveries were carried out or are to be carried out, as well as the taxable amount for such deliveries.
(4) The person appointed by art. 152^3 par. (10) of the Fiscal Code, as having the obligation to pay the tax for the acquisitions stipulated in the provision in question, shall keep separate records for these acquisitions and shall pay the tax due according to art. 157 par. (2) of the Fiscal Code.
Fiscal Code:
Registration of taxable persons for VAT purposes
ART. 153
(1) The taxable person who is established in Romania in accordance with art. 125^1 par. (2) let. b), and who carries out or intends to carry out an economic activity which involves taxable and/or operations exempt from the tax with the right of deduction shall apply to be registered for VAT purposes at the competent fiscal body, as follows:
a) before carrying out such operations, in the following cases:
1. if such person declares to realize a turnover that will reach or exceed the exemption ceiling as provided by art. 152 par. (1), regarding the special regime of exemption for small enterprises;
2. if he/she declares that he/she is to achieve a turnover less than the ceiling of exemption provided in art. 152 par. (1), but he/she chooses the normal regime of taxation;
b) if during a calendar year such person achieves or exceeds the ceiling of exemption provided in art. 152 par. (1), within 10 days after the end of the month when such person achieved or exceeded this ceiling;
c) if the turnover achieved during a calendar year is less than the ceiling of exemption provided in art. 152 par. (1), but he/she chooses the normal regime of taxation.
(2) The provisions of par. (1) shall apply for the taxable person who:
a) performs operations outside Romania with right of deduction of the tax, according to art. 145 par. (2) letter b);
b) performs operations exempted of taxation and opts for their taxation, according to art. 141 par. (3).
(3) The provisions of par. (1) shall not apply for person treated as taxable person only because such person performs occasionally intra-Community deliveries of new means of transportation.
(4) An unregistered taxable person, according to art. 125^1 par. (2) let. b), and who is not also registered for VAT purposes in Romania to the competent fiscal bodies for operations performed on the territory of Romania with right of deduction of the tax, before the performance of such operations, except the cases in which such person who is required to pay the tax is the beneficiary, according to art. 150 par. (1) lett. b) - g). According to the present article, the persons established outside the Community who perform electronic services to non-taxable persons in Romania and who are registered in another Member State, according to special regime for electronic services, for all electronic services provided within the Community, is not required to register in Romania.
(5) A taxable person who is not established in Romania and is unregistered for VAT purposes in Romania, who has or not a permanent office in Romania and who wants to perform an intra-Community purchase of goods for which he/she is required to pay the tax, according to art. 151, or an intra-Community delivery of goods exempted from taxation, shall request the registration for VAT purposes, according to the present article, before the performance of the intra-Community purchase or delivery.
(6) The competent fiscal bodies shall register for VAT purposes, according to the present article, all the persons who, according to the present article, are required to request the registration, according to par. (1), (2), (4) or (5).
(7) If a person is required to register, according to the provisions of par. (1), (2), (4) or (5), and does not request the registration, the competent fiscal bodies shall register ex officio such person.
(8) The competent fiscal bodies may cancel the registration for VAT purposes of a person, according to the present article, if, according to the provisions of the present article, the person was not obliged to request the registration for VAT purposes, according to the present article. The competent fiscal organ may also cancel ex officio the registration of a person for VAT purposes, according to the present article, in the case of the taxable persons who are registered in the special records and in the list of the inactive taxpayers. The procedure for the cancellation of the registration is established by procedural norms in force. After the cancellation of the registration for VAT purposes, the taxable persons may request the registration for VAT purposes only after the circumstances that generated the cancellation of the registration no longer exist.
(9) The registered person according to the present article, within 15 days form the date of the occurrence of one of the events below, shall inform in writing the competent fiscal bodies about the following:
a) modifications of the data related to his/her registration declared in the registration request, communicated by another procedure to the competent fiscal body, or registered in the registration certificate;
b) ceasing of his/her economic activity.
(10) The condition for the application of the present article are established by norms.
Methodological Norms:
66. (1) If a person has the obligation to apply for registration under the conditions of art. 153 par. (1), (2), (4), (5) or (7) of the Fiscal Code, the registration of such person shall be considered effective as of:
a) the date when the registration certificate is communicated in the cases stipulated in art. 153 par. (1) let. a) and, as the case may be, par. (2), (4) ) or (7) of the Fiscal Code ;
b) the first day of the month following the month when the taxable person chooses to apply the regular tax scheme in the cases stipulated in art. 153 par. (1) let. c) of the Fiscal Code;
c) the first day of the month following the month when the taxable person applies for registration in the cases stipulated in art. 153 par. (1) let. b) and, as the case may be, in par. (2) of the Fiscal Code;
d)after thr first business day following the one the registration administrative document was communicated to the taxable persons, in the case provided in art. 153 par. (7) of the Fiscal Code.
(2) To apply art. 153 par. (1 )of the Fiscal Code, the economic activity is deemed to be under way as of the moment when a person intends to carry out such activity. The intention of such person must be evaluated based on the objective elements such as, for instance, the fact that costs are committed and/or investigations are made in preparation of starting an economic activity.
(3) The public institutions requiring the registration for VAT purposes shall receive an VAT registration code only for the part of the structure/activity that has the capacity of taxable person, in accordance with the provisions of art. 127 of the Fiscal Code, whereas for the activities such persons do not have the capacity of a taxable person for, respectively for that part from the structure by which they only carry out activities as a public authority for which they do not have such a taxable person capacity, a different registration code shall be provided to them. After the attribution of the VAT registration code, such code shall be available for any other taxable operations\, exempted with or without deduction right, that they will subsequently realize. The public institutions carrying out only activities having the taxable person capacity for, respectively taxable operations, exempted without the right of deduction in accordance with art. 141 of the Fiscal Code or exempted with the right of deduction in accordance with art. 143, 144, 144^1 of the Fiscal Code shall be attributed a sole VAT registration code in case the registration is required in accordance with art. 153 of the Fiscal Code. The public institutions that are registered for VAT purposes in accordance with art. 153 of the Fiscal Code for the registration of the activity carried out are bound that in a 90-day delay since the entrance in force of the present methodological norms to require the allocation of a different VAT registration code compared to the fiscal registration code, if they are partially taxable persons, respectively they carry out also activities they are taxable for, in accordance with art. 127 of the Fiscal Code, as well as operations they are taxable for. The public institutions carrying out only tax-exempted activities in accordance with art. 141 of the Fiscal Code are considered taxable persons for such operations.
(4) The taxable person which is not established in Romania according to art. 125^1 par. (2) let. b) of the Fiscal Code, and which may have or not have a permanent headquarters in Romania according to art. 125^1 par. (2) let. a) of the Fiscal Code, may register with the relevant fiscal authority, as follows:
a) either directly, or by appointing a fiscal representative, if the person is established in the community area. In the case of the direct registration, this person shall declare the address in Romania where all the registers and documents which must be kept in accordance with the provisions in this title can be examined;
b) by appointing a fiscal representative, if the person is not established in the community area, even if this person has a permanent headquarters fix in Romania according to art. 125^1 par. (2) letter a) of the Fiscal Code.
(5) All the branches or other sub-units without legal status of a taxable person must be registered under a single registration code for VAT purposes. The taxable person with headquarters for the activity located abroad and established in Romania for VAT purposes, according to art. 125^1 par. (2) let. a) or b) of the Fiscal Code, through structures without legal status such as branches or other sub-units without legal status, shall appoint either one branch or one sub-unit for submitting the tax return and being responsible for all the obligations for VAT purposes, according to the current title, of all the sub-units established in Romania.
(6) The taxable persons which are registered in Romania before the accession date through permanent headquarters, have the obligation to apply the provisions in par. (5). In the course of the month of January 2007, they shall use a single registration code for VAT purposes assigned to one of the permanent headquarters and, at the same time, shall request the cancellation of all the registration codes for VAT purposes of the rest of the permanent headquarters.
(7) Any taxable person registered for VAT purposes which after the registration carries out only operations which do not generate a deduction right, shall request the cancellation of the registration within 10 days after the end of the month when only the operations which do not generate a deduction right are carried out.
(8) The cancellation shall be done in the first day of the month following the month when the taxable person requested that the registration be cancelled or the registration is cancelled under the conditions of art. 153 par. (8) of the Fiscal Code.
(9) Any taxable person registered for VAT purposes which stops its economic activity shall request the write-off within 15 days after the date of the documents which prove this. The taxable persons registered in Romania according to art. 153 par. (5) of the Fiscal Code, may request the write-off if they no longer carry out any intra-community acquisitions or deliveries in Romania for which they are liable to pay the value-added tax in Romania according to art. 151 of the Fiscal Code. The taxable persons registered in Romania according to art. 153 par. (4) of the Fiscal Code, may request the write-off if they no longer carry out any deliveries of goods/supplies of services in Romania for which they would be liable to pay the value-added tax in Romania according to art. 150 par. (1) letter a) from the Fiscal Code are also excisable. The write-off shall be effective starting with the first day of the month after month when the declaration is submitted to declare that the activity is stopped.
Fiscal Code:
Registration for VAT purposes of other persons who carry out intra-Community acquisitions
ART. 153^1
(1) A taxable person who is not registered nor liable to be register under art. 153, and a non-taxable legal person intending to make an intra-Community acquisition in Romania are required to apply for registration for VAT purposes under this article before the date of that intra-Community acquisition, if the value of that intra-Community acquisition exceeds the intra-Community acquisitions threshold for the calendar year in which he makes the intra-Community acquisition.
(2) A taxable person who is not registered nor liable to be registered under art. 153, or a non-taxable legal person may apply to be registered under this article, if they carry out intra-Community acquisitions in accordance with art. 126 par. (6).
(3) The competent fiscal body shall register for VAT purposes, according to this article, every person who applies for registration in terms of par. (1) or
(4) If a person is liable to register for VAT purposes, in terms of par. (1), does not request the registration, the competent fiscal bodies shall register ex officio such person.
(5) The registered person for VAT purposes, according to par. (1), may request at any moment the cancellation of the registration, after the end of the calendar year following the year of the registration, if the value of his/her intra-Community acquisitions did not exceed the ceiling of acquisitions during the year when such person requests the cancellation or during the previous calendar year, if he/she did not exercise the option according to par. (7).
(6) The registered person for VAT purposes, according to par. (2), may request at any moment the cancellation of the registration after 2 calendar years following the year when he/she opted for the registration, if the value of his/her intra-Community purchases did not exceeded the ceiling of acquisitions during the year of the submission of this request or during the previous calendar year, if he/she did not exercised the option according to par. (7).
(7) If at the end of the calendar year provided in par. (5) or at the end of the 2 calendar years provided in par. (6), following the year of the registration, the taxable person performs an intra-Community purchase based on the registration code for VAT purposes, obtained according the present article, then it is considered that the respective person opted according to art. 126 par. (6), except the case in which such person exceeded the ceiling of intra-Community purchases.
(8) The competent fiscal bodies shall cancel the registration of a person, according to the present article, if:
a) the respective person is registered for VAT purposes, according to art. 153; or
b) the respective person had the right to the cancellation of the registration for VAT purposes, according to the present article and requests the cancellation according to art. (5) or (6).
Methodological Norms:
67. (1) The taxable persons stipulated in art. 126 par. (4) of the Fiscal Code, have the obligation to apply for registration for VAT purposes for the intra-Community acquisitions according to art. 153^1 par. (1) of the Fiscal Code, if the it is exceeded the 10.000-euro ceiling for intra-Community acquisitions established according to pt. 2 par. (5) - (7). If a person has the obligation to apply for registration under the conditions in art. 153^1 par. (1) of the Fiscal Code, the registration of such person according to the current article shall be deemed effective as of the application date.
(2) If a person applied for registration for VAT purposes under the conditions of art. 153^1 par. (2) of the Fiscal Code, which is by choosing to apply the general scheme stipulated in art. 126 par. (3) let. a) of the Fiscal Code, the registration of such person according to the current article shall be deemed effective as of the application date.
(3) If a person requires the cancellation of the registration accordance with art. 153^1 par. (5) or (6) of the Fiscal Code, the registration of such person shall be deemed as cancelled as of the first day of the calendar year when the request for cancellation is submitted.
(4) The persons registered according to art. 153^1 of the Fiscal Code, may not communicate such registration code to other persons for the goods delivered or services supplied, as the code may be communicated to other persons only in the case of intra- Community acquisitions and in the situations stipulated in art. 154 of the Fiscal Code.
(5) The taxable person or the non-taxable legal person which is not registered according to art. 153 of the Fiscal Code, and which carried out intra-Community acquisitions of goods subject to excise duties, does not have the obligation to register according to art. 153^1 of the Fiscal Code, for the purpose of paying the value-added tax for the intra-Community acquisition in question.
(6) Any person which carries out intra-Community acquisitions of new transportation means, and which is not registered according to art. 153 of the Fiscal Code, does not have the obligation to register according to art. 153^1 of the Fiscal Code, for the purpose of paying the value-added tax for the intra-Community acquisition in question.
(7) The provisions in the current norms shall be completed by the provisions in pt. 2.
(8) The public institutions registered for VAT purposes according to art. 153 of the Fiscal Code, for the whole activity or for only part of the structure, shall not apply for registration according to art. 153^1 of the Fiscal Code. For all the intra-Community acquisitions of goods such institutions shall communicate the registration code for VAT purposes assigned according to art. 153, irrespective of the acquisitions being destined for the use in the activity carried out in capacity as public authority, for which the public institution does not have the capacity as taxable persons, or for activities for which such public institution has the capacity as taxable person.
Fiscal Code:
General provisions related to the registration
ART. 154
(1) A Value Added Tax registration number allocated under art. 153 şi 153^1, shall have the prefix "RO" in accordance with ISO International Standard 3166 - alpha 2.
(2) The cancellation of the registration for VAT purposes of a person shall not relieve that person from any liability incurred under this Title in virtue of anything done before the date of the cancellation or from the obligation to apply for registration in terms of this Title.
(3) A department of a public institution may be registered for VAT purposes if, this department can be considered as a separate part of the organizational structure of the public institution, through which this activity is performed.
(4) The cases where a person not established in Romania may be exempt from registering for VAT purposes under this chapter will be specified in the norms.
Methodological Norms:
68. (1) For the purposes of art. 154. par. (4) of the Fiscal Code, the taxable person not established in Romania may be exempt from the obligation to register for VAT purposes when such taxable person carries out in Romania one or more of the operations listed below, for which the taxable person in question has the obligation to pay the value-added tax according to art. 150 of the Fiscal Code:
a) occasional supply of services, provided such operations be not preceded by any intra-Community acquisitions of goods performed in Romania;
b) occasional deliveries of goods in Romania, except for:
1. intra-Community deliveries of goods which are value-added tax exempt according to art. 143 par. (2) of the Fiscal Code;
2. distance sales;
3. deliveries of goods preceded by intra-Community acquisitions of goods in Romania;
c) tax-exempt deliveries of goods, under the conditions in art. 143 par. (1) let. a) and b) of the Fiscal Code;
d) tax-exempt deliveries of goods which are placed under a suspensive customs regime;
e) tax-exempt deliveries or acquisitions of goods which are placed under a VAT warehouse regime and/or are still under such regime;
f) tax-exempt service supplies for the goods placed under the VAT warehouse regime and/or which are still under such regime.
(2) For purposes of par. (1) let. a) and b), the deliveries of goods and supplies of services are deemed to be occasional if they are carried out only once during a whole year.
(3) The persons not established in Romania have the obligation to pay the tax due in Romania under the conditions stipulated in art. 157 par. (6) of the Fiscal Code.
Fiscal Code:
(5) Registered persons:
a) according to art. 153 they communicate the registration code for VAT purposes to all the purchasers/suppliers or clients. This communication is however optional if this person receives a supply of services referred to in art. 133 par. (2) let. c) - f), let. h) pt. 2 and let. i);
b) according to art. 153^1 shall communicate his VAT registration number to his supplier whenever he makes an intra-Community acquisition. This communication is however optional if this person receives a supply of services referred to in art. 133 par. (2) let. c) - f), let. h) pt. 2 and let. i). For any other deliveries of goods and supplies of services, communication of the VAT registration number, obtained according to art. 153^1 to suppliers/providers or clients is strictly prohibited.
(6) The taxable person who is not established in Romania and who has appointed a fiscal representative shall communicate the name, address and value added tax registration number referred to in art. 153 of this fiscal representative, to all his clients or suppliers, for the operations made or received in Romania.
Invoicing
ART. 155
(1) Every taxable person who makes a delivery of goods or a supply of services, other than a delivery or a supply without right to deduct the tax pursuant to art. 141 par. (1) and (2), shall issue an invoice to each beneficiary at the latest on the 15th working day of the month following the month during which the chargeable event of the tax occurs, unless an invoice has already been issued. Every taxable person shall also issue an invoice to each beneficiary for the amount of every advance payment with respect to a delivery or supply he receives, at the latest on the 15th working day of the month following the month during which he receives such an advance payment, unless an invoice has already been issued.
Methodological Norms:
69. (1) The provisions in art 155 par. (1) of the Fiscal Code, shall apply as well for the situations stipulated in art. 132 par. (3) of the Fiscal Code.
(2) The taxable person which makes a delivery of goods or a service supply which is exempt without a right for tax deduction according to art. 141 par. (1) and (2) of the Fiscal Code, does not have the obligation to issue any invoice, but the operations must still be recorded in documents according to accounting legislation. It is not forbidden to issue the invoice, as it is the option of the taxable person to bill such operations. If the invoice is issued, such invoice must contain the information stipulated in art. 155 par. (5) of the Fiscal Code.
(3) The transfer of ownership of goods in executing the receivables, when the goods are delivered based on an agreement between the debtor and the creditor, shall be recorded in the invoices by the debtor, if the operation is a delivery of goods.
(4) The invoices issued for the advance payments shall be regularized by writing-off the advance invoice on the date when the invoice is issued for the whole value of the delivery of goods and/or supply of services. The write-off may be done separately or on the same invoice in which the whole value of the delivery of goods and/or supply of services is recorded.
(5) In the case of price discount granted by the producers/distributors of goods according to the provisions stipulated in pt. 19 par. (2), based on value coupons, the discount invoices shall be issued directly on the name of the traders which accepted the value coupons from the final consumers, even though the invoices for the delivery of goods for which the discount is granted were initially issued by the producers/distributors to miscellaneous purchasers-resellers. Under the "Purchase" heading shall be recorded the data of the purchaser which accepted the coupons from the final clients. Moreover, the fiscal invoice for the price discount shall read "price discount granted based on value coupons".
Fiscal Code:
(2) Every person registered under art. 153 shall issue an invoice to himself, within the time stated in par. (1), with respect to each self-delivery of goods and each self-supply of services.
Methodological Norms:
70. (1) The self-issued invoice for self-delivery of goods or self-supply of services must be issued only if such operations are taxable and only for tax purposes, with the following information being compulsory:
a) the number of the invoice, which shall be a serial number assigned based on one or multiple series, which uniquely identifies an invoice;
b) issuance date;
c) the name, address and the registration code for VAT purposes of the taxable person, under the supplier heading;
d) for the situations stipulated in art. 128 par. (4) let. a) let. c) and let. d) of the Fiscal Code, as well as in the first thesis of the art. 129 par. (4) let. a) of the Fiscal Code, the information mentioned under let. c) shall be recorded under the purchaser heading;
e) the name, address and the registration code for VAT purposes of the beneficiary, under the purchaser heading, for the situations stipulated in art. 128 par. (4) let. b), as well as in the second thesis of the art. 129 par. (4) letter b of the Fiscal Code.
f) the name and description of the goods delivered or the services supplied;
g) the value, exclusive of the tax, for the goods or services;
h) the applicable tax rate;
i) the value of the collected tax.
(2) The information included in the self-invoice shall be recorded in the sales journals and appropriately taken over in the tax return stipulated in art. 156^2 of the Fiscal Code, as tax collected.
(3) In case of exceeding the ceilings provided at pt. 6 par. (11) for operations stipulated in art. 128 par. (8) let. f) and art. 129 par. (5) let. b) of the Fiscal Code, the taxable persons for VAT purposes in accordance with art. 153 of the Fiscal Code are bound to draft to self-invoice in accordance with the provisions of par. (1) only for VAT purposes. The self-invoice shall include under the "Purchaser" heading the information from par. (1) let. c), and in case of the goods/services granted for free within the protocol actions, sponsorship, patronage, instead of the denomination and description of the delivered goods or of the services supplied it may be mentioned according to the case: exceeded protocol ceiling, sponsorship, patronage.
Fiscal Code:
(3) Every taxable person shall issue an invoice, within the time stated in par. (1), with respect to every distance sale made by him in terms of art. 132 par. (2).
(4) Every taxable person shall issue an invoice to himself, within the time stated in par. (1), with respect to every transfer made by him to another Member State in terms of art. 128 par. (10).
Methodological Norms:
71. (1) The registered person or the persons which would be liable for registration for VAT purposes in Romania according to art. 153 of the Fiscal Code, has the obligation to issue a self-invoice, according to the provisions in art. 155 par. (4) of the Fiscal Code, for each transfer carried out in another member state. Such invoice shall be issued only for value-added tax purposes, with the following information being compulsory:
a) the number of the invoice, which shall be a serial number assigned based on one or multiple series, which uniquely identifies an invoice;
b) issuance date;
c) the name, address and the registration code for VAT purposes in Romania of the taxable person, under the supplier heading;
d) the name, address and the registration code for VAT purposes of the same taxable persons in the Member State the goods are transferred to, as well as the exact address for the location where the goods were transferred;
e) the name, address and the registration code stipulated in art. 153 of the Fiscal Code, for the fiscal representative, when the person which makes the transfer is not established in Romania but appointed a fiscal representative in Romania;
f) the name and the quantity of goods delivered, the name of the services supplied as well as the specifics stipulated in art. 125^1 par. (3) of the Fiscal Code, for the definition of goods for the transfer of new transportation means;
g) the transfer date for the goods;
h) the valued of the goods transferred;
(2) The information included in the self-invoice shall be recorded in the sales journals and appropriately taken over in the tax return stipulated in art. 156^2 of the Fiscal Code.
Fiscal Code:
(5) The invoice shall compulsory include the following information:
a) registration number, based on one or more series, that identifies the invoice;
b) date of issue of the invoice;
c) name, address and registration code provided in art. 153, as the case may be, of the taxable person who issues the invoice;
d) name, address and registration code provided in art. 153, of the fiscal representative, in the case in which the purchaser/supplier is not established in Romania and designated a fiscal representative, if the latter is not the person who is required to pay the tax;
e) the name, address and the registration code stipulated in art. 153, of the buyer of goods and services, as the case may be;
f) the name and the address of the buyer, as well as the registration code for VAT purposes, in the case in which the buyer is registered, according to art. 153, as well as the exact address of the place where the goods were delivered, in the case of the intra-Community deliveries of goods provided in art. 143 par. (2) letter d);
g) name, address and registration code provided in art. 153, of the fiscal representative, in the case in which the other part is not established in Romania and designated a fiscal representative in Romania, if the fiscal representative is the person who is required to pay the tax;
h) the registration code for VAT purposes communicated by the client for the services provided in art. 133 par. (2) let. c) - f), let. h) pt. 2 and let. i);
i) the registration code for VAT purposes by which the buyer shall be identified in the other Member State, in the case of the operation provided in art. 143 par. (2) letter a);
j) the registration code for VAT purposes by which the supplier was identified in other Member State and under which the intra-Community purchase was performed in Romania, as well as the registration code for VAT purposes, provided in art. 153 or 153^1, of the buyer, in the cases provided in art. 126 par. (4) letter b);
k) name and the quantity of the goods delivered, the name of the services provided, as well as the particularities provided in art. 125^1 par. (3) for defining the goods, in the case of the intra-Community delivery of new means of transportation;
l) date of the delivery of goods/supply of services or the date of cashing an advanced payment, except the case in which the invoice was issued before the delivery/supply or cashing of the advanced payment;
m) the base of taxation of the goods and services, for each rate, exemption or non-taxable operation, the unitary price, exclusively the tax, as well as the rebate, repayments, returns and other discounts;
n) specification, depending on the rates of the tax, the collected tax and the total amount of the collected tax in lei, or of the following specifications:
1. in case no tax is due, a reference to the appropriate provision of this Title or of the 6th EC VAT Directive, or the following mentions "exempt with right of deduction", "exempt without right of deduction", "non-taxable in Romania", or "not included in the taxable amount", as the case may be;
2. in case the tax is due by the beneficiary in terms of art. 150 par. (1) let. b) - d) and g) and art. 160, a reference to the appropriate provision of this Title or of the 6th EC VAT Directive, or the notation "Reverse charge";
o) a reference to other invoices or documents previously issued, then more invoices and documents shall be issued for the same operation;
p) any other specification requested by this title.
(6) The signing an the stamping of the invoice are not mandatory.
(7) By way of derogation from par. (1) and without breaching the provisions of the par. (3), the taxable person is exempted of the obligation to issue an invoice, for the following operations, except the case when the beneficiary requests the invoice:
a) the transport of persons by taxi, as well as the transport of persons based on travel tickets or subscriptions;
b) deliveries of goods by stores at retail and supplies of services to the general population, as noted in documents without naming the purchaser;
c) deliveries of goods and supplies of services as noted in specific documents containing at least the information provided in par. (5).
(8) The following conditions shall be established by norms:
a) an overview invoice for more separate deliveries of goods or supplies of services;
b) invoices may be issued by the buyer or client on behalf and in account of the purchaser/supplier;
c) invoices may be issued by electronic means;
b) invoices may be issued by a third part on behalf and in account of the purchaser/supplier;
e) invoices may be kept in a certain place.
Methodological Norms:
72. (1) The invoice stipulated in art. 155 par. (5) of the Fiscal Code, shall be drawn up in any EU official language, but upon request from the control bodies the Fiscal Code shall be translated in Romanian. The taxable base may be written down in foreign currency, unless the operation is tax-exempt, in which case it has to be in lei as well. For recording purposes in the sale journals, the taxable amount shall be converted in lei based on the exchange rate stipulated in art. 139^1 of the Fiscal Code.
(2) If the name of the goods delivered/services supplied cannot be included on one single page, the elements stipulated in art. 155 par. (5), except for the information provided at let. k), m), n) and p), of the Fiscal Code are registered only on the first page of the invoice. In such case it is mandatory to register on the first page of the invoice the number of pages contained by the invoice and the total number of positions included in such invoice. On the invoices issued and paid in cash based on the fiscal bills issued in accordance with the Government Emergency Ordinance no 28/1999 on the obligation of the economic agents to use the fiscal electronic cash registers, republished with the further amendments, it is not necessary to mention the goods or services delivered as it is enough to mention "according to the fiscal bill no/date".
(3) For the purpose of art. 155 par. (8) let. a) of the Fiscal Code, the summary invoice may be drawn up if the following conditions are cumulatively met:
a) to refer to deliveries of goods and/or supplies of services to the same customer, for which the chargeable event occurs within a period which does not exceed a calendar month;
b) all the documents issued on the delivery/supply date for goods/services must be attached to the summary invoice.
(4) For the purpose of art. 155 par. (8) let. b) of the Fiscal Code, the invoice may be issued by the purchaser of any good or service under the following conditions:
a) the parties must enter into an agreement in which such invoicing procedure must be stipulated;
b) the existence of a written procedure for the acceptance of such invoice;
c) the purchaser must be established in the Community and registered in Romania according to art. 153 of the Fiscal Code;
d) both the supplier/provider, if registered in Romania according to art. 153 of the Fiscal Code, and the purchaser must notify the relevant fiscal body, by means of a registered letter, on the application of such invoicing procedure, at least one calendar month before the initiation of the procedure, and attach to this notification the agreement and the acceptance procedure stipulated in let. a) and b), respectively;
e) the invoice must be issued in the name and account of the supplier/provider, by the purchaser, and sent to the supplier/provider;
f) the invoice must include the elements stipulated in art. 155 par. (5) of the Fiscal Code;
g) the invoice must be recorded in a special sale journal by the supplier/provider, if the latter is registered in Romania according to art. 153 of the Fiscal Code.
73. (1) For the purposes of art. 155 par. (8) let. c) of the Fiscal Code, the invoices in electronic format may be sent under the following conditions:
a) for operations carried out in Romania, including intra-Community deliveries:
1. the parties must conclude an agreement stipulating this invoicing procedure;
2. to guarantee the authenticity of the source and the integrity of the invoice contents by: -signature, electronic data exchange according to the provisions in the Law no 455/2001 on the electronic signature, by the EDI electronic data exchange defined in art. 2 of the EC Recommendations 1994/820/EC of October 19, 1994 regarding the legal aspects of the electronic exchange of information, or any other electronic means agreed by the Information Technology Directorate within the Public Finance Ministry;
3. the existence of a summary document on paper, containing the records of all invoices transmitted by a taxable person registered according to art. 153 of the Fiscal Code through the EDI electronic data exchange, within one calendar month, or of all invoices received in such way, within one calendar month, by any person liable to pay the value-added tax, in case the supplier/provider is not registered according to art. 153 of the Fiscal Code;
b) for intra-Community acquisitions carried out in Romania:
1. the parties must conclude an agreement stipulating this invoicing procedure;
2. the existence of a summary document on paper, containing the records of all invoices transmitted by a taxable person through the EDI electronic data exchange, within one calendar month, or by the non-taxable legal person registered according to art. 153^1 of the Fiscal Code;
(2) For purposes of par. (1) let. b) the conditions for electronic invoicing are decided by the country where the intra-Community deliveries take place.
74. (1) For the purposes of art. 155 par. (8) let. d) of the Fiscal Code, the issuance of the invoice may be outsourced, meaning the invoice may be drawn up by a third party under the following conditions:
a) he supplier/provider must notify the relevant fiscal body, by means of a registered letter, at least one calendar month before the initiation of such procedure, on the fact that the invoices are to be issued by a third party, and attach to this letter the name, address and the registration code for VAT purposes of such third party;
b) the invoice must be issued by the third party in the name and the account of the supplier/provider;
c) the invoice must contain all the elements stipulated in art. 155 par. (5) of the Fiscal Code;
d) the invoices must be made available to the relevant fiscal bodies anytime upon request, with no delay.
75. (1) For the purposes of art. 155 par. (8) let. d) of the Fiscal Code, in the case of goods which are subject to forced execution and delivered through the forced execution bodies, the invoice shall be issued by such bodies, in the name and on the account of the debtor subject to forced execution procedure. The invoice shall contain a mention to the fact that the invoicing is done by the forced execution body to which the payments by the purchaser or the highest bidder are addressed. The original invoice is to be sent to the purchaser, with the second copy to be sent to the debtor which is subject to forced execution. The forced execution bodies are such bodies enabled by law to enforce the forced execution procedure.
(2) If the forced execution body collected from the purchaser or the highest bidder the value of the goods, inclusive of the value-added tax, such body has the obligation to transfer to the state budget the tax amount received from the purchaser, within five working days from the date when the adjudication becomes effective. Based on the payment document for the value-added tax sent by the forced execution bodies, the debtor subject to forced execution must record the amount paid, with a minus mark, in the value-added tax return, in the row for regularizations of the collected tax, in the tax return stipulated in art. 156^2 of the Fiscal Code.
(3) If, according to the law, the purchaser or the highest bidder has the obligation to pay the tax for the goods purchased to the State Treasury units, than the forced execution bodies shall have no obligations related to the payment of the value-added tax. The forced execution body, or, as the case may be, the purchaser/highest bidder shall submit a copy of the document by which the tax was paid for the debtor subject to forced execution. The provisions in the current paragraph do not apply in the situations stipulated in art. 160 of the Fiscal Code, where the rules specific to the reverse charge are applicable.
(4) The forced execution bodies shall record the tax from the invoices for forced execution operations which are issued in other accounting accounts than the ones specific for the value-added tax. If the forced execution body is a person registered for VAT purposes according to art. 153 of the Fiscal Code, such person shall not record the operations in question in the value-added tax return.
(5) In case the capitalization of the goods under forced execution is performed through the forced execution bodies, the debtor subject to forced execution must show in their own records the delivery of goods based on the forced execution invoice submitted by the forced execution bodies, including the associated tax collected. The provisions in the current paragraph do not apply in the situations stipulated in art. 160 of the Fiscal Code, where the rules specific to the reverse charge are applicable.
(6) The invoice for forced execution issued by the forced execution body shall contain, in addition to the information stipulated in art. 155 par. (5) of the Fiscal Code, the name and identification of the forced execution body through which the goods are delivered, and the mention "Invoice for operations of forced execution".
76. For the purpose of art. 155 par. (8) let. e) of the Fiscal Code, the invoices issued and received may be stored using any methods and in any places, under the following conditions:
a) the storing place shall be on the Romanian territory, except for the invoices issued and received by electronic means, which may be stored in any location, provided that, during the storing period:
1. the on-line access to the data in question is ensured;
2. the authenticity of the source and the integrity of the invoices' contents are guaranteed, as well as the fact that such invoices are legible;
3. the data which guarantee the authenticity of the source and the integrity of the invoices' contents are stored as well;
b) the invoices or the contents of the invoices issued and received, when electronically stored, must be made available to the relevant fiscal bodies anytime upon request, with no delay.
77. The electronic transfer and storage of the data means the data is transmitted, made available or stored, by means of electronic processing and data storage equipment, including digital compression, using telegraphic cables, radio transmission, optical technology or other electromagnetic means.
Fiscal Code:
Invoicing
ART. 155
[...]
(9) By exception to the provisions of par. (5) simplified invoices may be issued in the cases determined by the norms. Regardless the situation, the issued must be issued in simplified system and include al least of the following information:
a) the date of issuance;
b) the identification of the taxable person who issued the invoice;
c) the identification of categories of provided goods and services;
d) the tax that is to be paid or the information necessary for its computation.
Methodological Norms:
78. (1) The simplified invoices shall not be issued for the intra-Community deliveries of goods, stipulated in art. 143 par. (2) of the Fiscal Code.
(2) For the purpose of issuing simplified invoices, the taxable persons must submit a request to the Directorate for Accounting Settlements within the Public Finance Ministry. Such requests, together with the opinion issued by the directorate, shall be transmitted to the General Directorate Legislation for VAT taxes within the Public Finance Ministry, for consultations with the VAT Committee, according to the 112 Directive provisions. The simplified invoices may be issued only after consultations with the Committee and after a positive answer is received by the applicant.
Fiscal Code:
Records of operations
ART. 156
(1) Taxable persons established din Romania are required to keep correct and complete records of all operations performed while carrying out the economic activities.
(2) The persons who are required to pay the tax for any operation or who are identified as registered as payers of the value-added tax, according to the present article, in order to perform any operation, are required to keep records for any operations regulated by the present title.
(3) The taxable persons and the non-taxable legal persons are required to keep correct and complete records of all the intra-Community purchases.
(4) Records provided in par (1) - (3) must be drafted and kept so that they include the information, documents and accounts, including the record of the non-transfers and the register of the goods received from another Member State, according to the provisions of the norms.
(5) In the case of the association in participation which are not a taxable person, the legal rights and obligations related to the tax of the associate who accounts the incomes and the expenses, according to the contract concluded by the parties.
Methodological Norms:
79. (1) For the purposes of art. 156 par. (4) of the Fiscal Code, each taxable person shall keep the following records and documents:
a) accounting records of their economic activity;
b) the second copy of the invoices or any other documents issued by the taxable person and related to its economic activity, according to the provisions in pt. 76;
c) the invoices or any other documents received and related to the taxable person's economic activity;
d) customs documents and, as the case may be, documents regarding the excise duties for the importation, exportation, intra-Community delivery and intra-Community acquisition of goods carried out by such taxable person;
e) the invoices as well as any other documents issued or received by such taxable person for the increase or the decrease in the value of the deliveries of goods, supplies of services, intra-Community acquisitions or imports;
f) a register for the non-transfers of goods shipped by the taxable person, or by any other person on behalf of such taxable person, outside Romania but within the Community, for the operations stipulated in art. 128 par. (12) let. f)-h) of the Fiscal Code, as well as for other situations when simplification measures apply as approved by order of the public finance minister. The non-transfers register shall include: the description of the goods, the quantity of the goods, the value of the goods, the circulation of the goods and the description of goods which are not returned, the quantity of these goods and a reference the documents issued in relationship with these operations, as the case may be, as well as the issuance date of the documents. S Such register shall not be filled in for the following goods:
1. the transportation means registered in Romania;
2. palettes, containers and any other packaging circulating without invoicing;
3. the goods necessary to carry out media, radio and television activities;
4. the goods necessary to carry out a profession or a business, if:
- the price or the normal value per each separate goods does not exceed the level of 1250 EURO at the exchange rate on the day when the goods are shipped or dispatched in another member state, and provided the goods are not used for more than 7 days outside Romania; or
- the price or the normal value per each separate goods does not exceed the level of 250 EURO at the exchange rate on the day when the goods are shipped or dispatched in another member state, and provided the goods are not used for more than 24 months outside Romania;
5. the laptops and other similar professional materials are shipped out of Romania during business trips by the staff of an economic entity or by an authorized natural person ;
g) a register for the tangible movable goods received, which were shipped from another member state by a taxable person registered for VAT purposes in that state or by another person on behalf of such taxable person, received for expertise purposes or for works to be performed on the goods in question, except for the situations when, by order of the public finance ministry such obligation is not imposed. The register of the goods received must not be kept in case of goods that are placed in the customs regime of active perfection. The register shall contain:
1. the name and address of the shipper;
2. a serial number;
3. the date when the goods are received;
4. the description of the goods received;
5. the quantity of the goods received;
6. the date of the transportation of the goods shipped to the client after the expertise or processing;
7. the quantity and the description of goods which are returned to the cleint after expertise or processing;
8. the quantity and the description of goods which are not returned to the client;
9. a reference related to the documents issued in relationship with the services supplied, as well as the issuance date of such documents.
(2) The sale and purchase journals, the registers, the records and other similar documents for the economic activity of each separate taxable person shall be drawn up so that they could allow the following elements to be determined:
a) the total value, exclusive of the tax, for all deliveries of goods and/or supplies of services carried out by this person within each fiscal period, recorded separately for:
1. intra-Community delivered of exempt goods;
2. tax-exempted deliveries/provisions or for which the place of the deliveries/provisions is outside Romania;
3. taxable deliveries of goods and/or supplies of services to which different tax rates are applicable;
b) the total value, exclusive of the tax, of all the acquisitions for each fiscal period, recorded separately for :
1. intra-Community acquisitions of goods;
2. acquisitions of goods/services for which the taxable person is bound to pay the tax in accordance with art. 150 par. (1) let. b) - g) of the Fiscal Code;
3.acquisitions of goods coming from import, and taxable services to which different tax rates are applicable;
c) the tax collected by such person for each fiscal period;
d) the total deductible tax and the tax deducted for each fiscal period;
e) the calculation of the provisionally deducted tax for each fiscal period, the calculation of the tax actually deducted for each calendar year and the calculation of the adjustments made, when the deduction right is applied based on a pro rata, by separately recording:
1. the tax deducted according to art. 147 par. (3) of the Fiscal Code;
2. the tax not-deducted according to art. 147 par. (4) of the Fiscal Code;
3. the tax deducted based on pro-rata according to art. 147 par. (5) of the Fiscal Code.
(3) The documents provided in par. (2) are not standardized forms established by the Ministry of Public Finance. Each taxable person may establish the template for the documents based on which the tax collected and the deductible tax are determined, in accordance with the specific line of business, but such documents must contain the minimal information stipulated in par. (2) and assure the drafting of the tax deduction account provided in art. 156^2 of the Fiscal Code.
(4) In case of the associations in participation or of other associations regarded as associations in participation in accordance with art. 127 par. (10) of the Fiscal Code, the legal rights and obligations on the \value added tax provided in Title VI of the Fiscal Code go to the associate who accounts the incomes and the expenses, according to the contract concluded by the parties. Legal righst and obligations are included among others, the right to deduct the tax related to the acquisitions in accordance with the provisions of art. 145 - 147^1 of the Fiscal Code, the obligation to issue invoices to the beneficiary and to collect the tax in case of taxable operations. Such provisions shall apply only if the associate who accounts the incomes and the expenses, makes acquisition on his/her behalf and issues invoices in his/her name for third parties for the delivery of goods and services supplies obtained through the association, following the incomes and expenses to be attributed to each associate based on the share of participation in the association. If the associated members act on their behalf towards thirds parties and towards the other associated members, each person shall be regareded as a separate taxable person in accordance with the provisions of art. 127 par. (9) of the Fiscal Code and the such transactions shall be taxed separately in accordance with the rules set forth under Title VI of the Fiscal Code.
Fiscal Code:
The fiscal period
ART. 156^1
(1) The fiscal period is the calendar month.
(2) By way of derogation from par. (1), the fiscal period is the calendar quarter for the taxable person who during the preceding calendar year realized a turnover from taxable operations and/or exempt operations with right of deduction not exceeding of euro 100,000, the equivalent in lei of which is calculated in accordance with rules set by the norms.
(3) The taxable person who registers during the current year is required to declare, upon the registration according to art. 153, the turnover that such person estimates to achieved during the period remain until the end of the calendar year. If the estimated turnover does not exceed the ceiling privided in par. (2), recomputed based on the number of months remaining until the end of the calendar year, the taxable person shall submit quarterly discounts during the year of registration.
(4) Small enterprises registered for VAT purposes, according to art. 153, during the current year, are required to declare upon the registration the obtained turnover, recomputed based on the activity corresponding to an entire calendar year. If the turnover exceeds the ceiling provided in par. (2), during the respective year, the fiscal period shall be the calendar month, according to par. (1). If the recomputed turnover does not exceed the ceiling provided in par. (2), the taxable person shall use the calendar quarter as fiscal period.
(5) If the turnover obtained during the registration year, recomputed based on the activity corresponding to an entire calendar year, exceeds the ceiling provided in par. (2), during the following year, the fiscal period shall be the calendar month, according to par. (1). If the actual turnover does not exceed the ceiling provided in par. (2), the taxable person shall use the calendar quarter as fiscal period.
(6) The taxable person who, according to par. (2) and (5), is required to submit the quarterly discounts, is obliged to submit to the competent fiscal bodies, on or before January 25, a notification mentioning the turnover of the previous year, obtained or, as the case may be, recomputed.
(7) The situations and the conditions under which a fiscal period other than the calendar month or quarter may be used, if such period does not exceed a calendar year, shall be established by norms.
Methodological Norms:
80. (1) For the purposes of art. 156^1 par. (1) of the Fiscal Code, in any case, the lei equivalent of the 100,000-euro ceiling is established based on the exchange rate communicated by the National Bank of Romania valid on December 31 of the previous year, including the taxable persons that require the VAT registration in accordance with art. 153 of the Fiscal Code during the year.
(2) For the purpose of art. 156^1 par. (7) of the Fiscal Code, the competent fiscal bodies may approve, upon justified request by the taxable person, a different fiscal period, as follows:
a) a six-month calendar period, if the taxable person carries out taxable operations only for maximum three calendar months in a six-month period;
b) the calendar year, if the taxable person carries out taxable operations for only up to six calendar in a calendar year period.
(3) The request stipulated in par. (2) shall be submitted to the relevant fiscal authorities before February 25th of the year when the option is applied and shall remain valid for the entire period when the conditions provided in par. (2).
Fiscal Code:
Payment of the tax to the budget
ART. 157
(1) Any person is required to pay the due tax to the competent fiscal bodies before the date on such person is required to submit one of the discounts or declarations provided in art. 156^2 and 156^3.
(2) By way of derogation from provisions of par. (1), the taxable person registered according to art. 153 shall registered the discount account provided in art. 156^2 both as a collected tax and as a deductible tax, within the limits and conditions set forth in art. 145 - 147^1, the tax related to the intra-Community purchases, goods and services acquired for own benefit, for which the respective person is obliged to pay the tax, according to the art. 150 par. (1) let. b) - g).
(3) Tax for import of goods , except the imports exempted from taxation, is paid to the custom body, according to the regulations in force regarding the rights of import.
(4) By exception from provisions of par. (3), between April 15, 2007 - December 31, 2011 the payment of the tax is not made to the custom bodies by the taxable persons registered for VAT purposes according to art. 153, who obtained a certificate for payment deferment, under the conditions established by an order of the Minister of Economy and Finance. Starting with January 1, 2012, by exception from the provisions of the par. (3), the payment of the tax is not made to the custom bodies by the taxable persons registered for VAT purposes according to art. 153.
(5) Taxable persons provided in par. (4) register the tax related to the imported goods in the discount provided by art. 156^2, both as collected tax and deductible tax, within the limit and under the conditions provided in art. 145 - 147^1.
(6) If the taxable person is not established in Romania and is exempted, under the conditions of the art. 154 par. (4), from registration, according to art. 153, the competent fiscal bodies are required to issued a decision specifying the method for the payment of the tax for the deliveries of goods and/or supplies of services performed occasionally, for which the taxable person is required to pay the tax.
(7) Starting with April 15, 2007, for the import of goods exempted form tax according to art. 142 par. (1) let. l), the value-added tax is guaranteed by the custom bodies. The guarantee concerning the valued-added tax related to such imports is issued upon the request of the importers under the conditions established by an Order of Minister of Public Finance.
Methodological Norms:
81. (1) To apply the provisions of art. 157 par. (4) of the Fiscal Code, the customs authorities shall not request the payment of the value-added tax for imports of goods from persons producing evidence of registration for VAT purposes according to art. 153, who obtained a certificate for payment deferment, under the conditions established by an order of the Minister of Economy and Finance.
(2) Starting with January 1, 2012, the customs authorities shall not request the payment of the value-added tax for imports of goods from persons producing evidence of registration for VAT purposes according to art. 153 of the Fiscal Code. Such provisions shall not apply ion case of persons registered for VAT purposes for Intra-Community acquisitions in accordance with art. 153^1 of the Fiscal Code, that perform the payment of the tax in accordance with the provisions of art. 157 par. (3) of the Fiscal Code.
(3) During the fiscal period, the importers which are taxable persons registered for VAT purposes according to art. of the Fiscal Code, shall reflect the Value-Added Tax associated to these imports in the purchase journals based on the customs import declaration or, as the case may be, based on the findings document issued by the customs authority. For accounting purposes, the tax associated with the import is recorded simultaneously, both as tax collected and deductible tax. In the value-added tax return, the tax shall be shown both as tax collected and tax deductible, under the circumstances and within the limits established in art. 145, 146, 147 and 147^1 of the Fiscal Code.
(4) Starting with January 1, 2011, the provisions of par. (3) shall be applied by all importers registered for VAT purposes in accordance with art. 153 of the Fiscal Code.
(5) If the competent fiscal bodies, on the occasion of the verifications carried out, ascertain that the obligations of art. 157 par. (2) of the Fiscal Code or not met or in case of imports, in art. 157 par. (5) of the Fiscal Code, they shall act as follows:
a) if the acquisitions are exclusively intended for the operations that give a right to the deduction, dispose of the application of the provisions of art. 157 par. (2) of the Fiscal Code or in case of the imports, dispose of the application of the provisions of art. 157 par. (5) of the Fiscal Code, during the fiscal period the control was finalized on;
b) if the acquisitions are intended for operations that are submitted to pro-rate, they shall calculate the difference between the collected tax and the tax deducted in accordance with the pro-rate applicable at the date the operation was carried out on. If the control takes place during the fiscal year in which the operation took place, to determine the difference referred to, the temporary pro-rate applied shall be taken into account. If the control takes place in a different fiscal year than the one the operation took place in, to determine the difference referred to, the final pro-rate calculated for the year the operation was carried out in shall be taken into account. The differences thus established will be paid within the deadlines provided by the procedure norms in force;
c) if the imports acquisitions are intended for operations that do not have a deduction right, they will establish the tax owed to the State budget to that shall be paid within the deadlines provided in the procedure norms in force.
Fiscal Code:
Correction of documents
ART. 159
(1) In order to correct information contained on fiscal invoices or other legally approved documents, the following are to be done:
a) in the case where the document has not been transferred to the beneficiary, such document is to be cancelled and a new document is to be issued;
b) in the case where the document has been transferred to the beneficiary, a new document is to be issued that must include, on the one hand, information from the initial document, the number and date of the corrected document, the values with a minus sign, and, on the other hand, information and correct values, or a new document including the information and the correct values shall be issued and a document including the values with a minus sign where are mentioned the number and date of the corrected document shall be simultaneously issued.
Methodological Norms:
81^1. (1) If a taxable person issued invoices applying the taxation regime, and subsequently enters in the possession of the supporting documents giving him/her the right to apply a value added tax deduction provided in art. 143, 144 or 144^1 of the Fiscal Code, he/she may correct the invoices issued, in accordance with the art. 159 par. (1) le. b) of the Fiscal Code, applying the exemption regime corresponding to the operations carried out.
(2) The fiscal control bodies shall allow the deduction of the value added tax if the controlled documents relating to the acquisitions do not contain all the information provided in art. 155 par. (5) of the Fiscal Code or/and these are incorrect, if during the control. the said documents are corrected in accordance with art. 159 of the Fiscal Code.
Fiscal Code:
Simplification measures
ART. 160
(1) The suppliers and the beneficiaries of the goods/services provided to par. (2) are required to apply the simplification measures provided in the present article. The compulsory condition for the application of the simplification measures is both the supplier and the beneficiary to be registered for VAT purposes, according to art. 153.
(2) The goods and the services for whose delivery or supply are applied the simplification measures are the following:
a) wastes and secondary materials, resulted from their sale, as defined in the Government Emergency Ordinance no. 16/2001 on the management of recyclable industrial wastes, republished, as further amended;
b) the goods and/or services delivered or provided for persons for whom the insolvency procedure was initiated, except the goods delivered within a retail sale;
c) wood, according to the provisions of norms.
(3) In the invoices issued for the deliveries of goods provided in par. (2) the suppliers are required to mention "reverse taxation", without register the related tax. In the invoices received from the suppliers, the beneficiaries shall mentioned the related tax, that they registered both as collected tax and deductible tax in the discount of tax. For the operations subject to simplification measures the payment of the tax is not made between the supplier and the beneficiary.
(4) Beneficiaries who are taxable persons under mixed regime shall apply the provisions of the art. 147, depending on the destination of the respective acquisitions.
(5) Both the suppliers/providers and the beneficiaries are responsible for the applications of the provisions of the present article. If the supplier/provider did not mention "reverse taxation" in the invoices issued for the goods/services provided in par. (2), the beneficiary is required to apply the reverse taxation, to not pay the tax to the supplier/provider, to register on his own initiative the mention "reverse taxation" in the invoice and to meet the obligations provided in par. (3).
Methodological Norms:
82. (1) The mandatory condition stipulated in art. 160 par. (1) of the Fiscal Code, for the application of the simplification measures, the "reverse charge", requires that both the supplier/provider and the beneficiary be persons registered for VAT purposes according to art. 153 of the Fiscal Code, and that the operation in question be a taxable operation. The simplification measures apply only for operations carried out within the country, as defined in art. 125^2 of the Fiscal Code.
(2) The goods falling under the "wood material" category, as provided in art. 160 par. (2) let. c) of the Fiscal Code, are the wood turned into logs, as well as the wood material established through Order of the Minister of Economy and Finances.
(3) In the case of deliveries/supplies provided in art. 160 par. (2) of the Fiscal Code, including the advance payments collected, the providers/suppliers issue invoices without tax, mentioning the "reverse charge". The tax amount is calculated by the beneficiary for the amount paid in advance and is recorded in the purchase journal, to be taken over both as tax collected and tax deductible in the value-added tax return. For accounting purposes, the beneficiary shall record during the fiscal period 4426=4427 with the associated tax amount.
(4) The accounting entry 4426=4427 on the purchaser's side is called the self-liquidation of the value-added tax, with the collection of the value-added tax at the level of the deductible tax being assimilated to the payment of the tax to the provider/supplier. The provisions in this paragraph apply to any other situations where the reverse charge applies.
(5) The taxable persons with a mixed regime which are beneficiaries of acquisitions subject to the reverse taxation, according to art. 160 of the Fiscal Code, shall deduct the tax in the tax return within the limits and under the conditions stipulated in art. 145, 146, 147 and 147^1 of the Fiscal Code.
(6) The providers/suppliers having the capacity as taxable persons with a mixed regime shall take into account in the pro-rata calculation, as taxable operations, the value of the deliveries/supplies for which they applied the reverse charge.
(7) The failure to apply the simplification measures stipulated by law shall be punished by the fiscal bodies, with the providers/suppliers having the obligation to rectify the operations to apply the reverse charge in accordance with the provisions in the current norms.
(8) If the competent fiscal bodies, after checks, find out that for the operations provided in art. 160 par. (2) of the Fiscal Code, the simplification measures stipulated by law were not applied, they will force the beneficiaries to write-off the deductible tax through the suppliers account, to make the accounting entry 4426=4427 in record it in the value-added tax return drawn up at the end of the fiscal period for which the control was completed, in the regularization rows. If the beneficiaries are mixed taxable persons, and the goods acquired are destined for both operations with a deduction right and operations without a deduction right, the deductible tax amount shall be determined using the pro rata on the acquisition date of the goods subject to reverse charging and shall be recorded in the regularizations row in the return, which is no longer affected by the application of the pro rata from the current period.
(9) Any situations where the application of the reverse charge generates difficulties in terms of goods and services subject to the provisions of art. 160 of the Fiscal Code, shall be solved by the Central Fiscal Commission.
(10) In case of building deliveries, parts of buildings and any kind of lands for which advances were collected and/or invoices for the total or partial value were issued in reverse charge regime until December 31 2007, but the legal formalities for the transfer of the ownership right form the buyer are accomplished after January 2008, the normal tax regime shall be applied only for the difference between the delivery value and the value of the advances collected/amounts recorded in the invoices until December 31 2007. Without prejudice to the provisions of par. (11), if the legal formalities for the transfer of the ownership from the seller to the buyer are fulfilled until January 1, 2005 or until December 31, 2007 the reverse charge shall be applied, regardless whether the invoice was issued after January 1, 2008 if the price is paid in instalments and after this date .
Example no 1: During 2007 the taxable person contracts the building and acquisition of a building with a real estate company holding also the ownership title over the building to be built. The established value of the building by contract is 10 million lei. The supplier issued partial invoices in amount of 8 million lei in 2007. The transfer of the ownership right is realized for 2008. When issuing the invoice for the entire value of the building the partial invoices issued during 2007 shall be adjusted:
- writing-off partial invoices no ....../2007 - 8 million lei (without VAT) with the minus mark;
- the value of the building: 10 million lei, out of which:
- adjustment partial invoices 2007: 8 million lei (with the plus mark, without VAT, reverse charge);
- difference 2008: 2 million - related VAT 380,000 lei.
The total value of the immovable good: 10,380,000 lei, out of which a remaining payment of 2,380,000 lei.
If, following the same example the supplier issued an invoice for the entire counter-value of the building in 2007 in reverse charge regime, respectively 10 million lei, regardless whether it is paid or not by the beneficiary, in 2008 the normal VAT regime for the delivery of the said good shall not be applied, not being necessary the issuance of an invoice when transferring the ownership right as the chargeability of the tax occurred before the generator fact in accordance with art. 134^2 par. (2) letter a) of the Fiscal Code.
Example no 2: The taxable person A sells to the taxable person B a building in December 2007, when he/she also transfers the ownership right from A to B. The value of the building is 20 million lei and shall be paid by the buyer in monthly equal instalments for a 8-year period. Both persons are normally registered for VAT purposes in accordance with art. 153 of the Fiscal Code. The invoice shall be issued on January 10, 2008 in reverse charge regime for the entire counter-value of the building.
(11) In case of sale-purchase contracts for buildings/parts of buildings, lands, with the payment in instalments valid before December 31, 2006 for which in temporary regime in accordance with art. 161 par. (15) of the Fiscal Code, the chargeability of the value added tax occurs in the data specified in the contract for the payment of the instalments, the tax related to the instalments whose maturity date is on January 1, 2008 is registered in the account 4428 in correspondence with the clients account respectively suppliers account, following that at the date stipulated in the contract for the payment of the instalments to deduct the value added tax related to each instalment.
(12) In case of the assemblage-building works for which advances and/or invoices were issued for the partial or entire value in reverse charge regime until December 31, 2007 but the generator fact occurs in 2008, respectively at the date the situation of works, and as the case may be, these are accepted by beneficiary, the normal tax regime only for the difference between the value of the works for which the tax generator fact occurs in 2008 and the value of the advances collected/amounts registered in invoices issued until on December 31, 2007. If the assemblage-building works are carried out from January 1, 2007 until December 31, 2007 but no situations of works have been issued for, or, as the case may be, these have not been accepted by the beneficiaries and no partial have been issued or for advances in this time interval, the normal tax regime shall be applied, at the date of issuance of these works after January 1, 2008.
Example 1:
During 2007 un advance of 10,000 lei was collected for the accomplishment of assemblage-building works of 100,000 lei. The supplier issued an invoice for the advance collected with the mention "reverse charge" and the beneficiary og the works registered the tax of 1,900 lei related to the advance paid through the accounting form 4426 = 4427.
At every invoice issued based on the situation of works accepted by the beneficiary shall be subtracted from the collected advance of 10% of the value of the invoiced works. During 2007 an invoice was issued for the works executed based on the situation of works drafted and accepted by the beneficiary of 20,000 lei, subtracting 2,000 lei from the collected advance.
In 2008 the situation of works for the works executed in quarter IV of year 2007, in amount of 30,000 lei was accepted by the beneficiary.
In the invoice this operation shall be reflected as follows:
- writing-off of advance invoices no ..../2007 with the mark minus: - 3,000 lei (10% of 30,000 lei) (without VAT);
- the value of the situation of works: 30,000 million lei, out of which:
- adjustment advance 2007: 3,000 lei (10% of 30,000 lei, without VAT, reverse charge);
- difference 2008: 27,000 lei plus VAT 5,130 lei
Total invoice: 32,130 lei.
Example 2:
During 2007 works of assemblage and building in amount of 100,000 lei for which the situation of works was drafted in December 2007 were executed, but not partial or in advance invoices were issued. In according to the contract between the two parties, the deduction of works shall only be made based on the beneficiary's agreement. This one accepts the situation of works on January 15, 2008 and the constructor issues the invoice after this date, on February 2, 2008. When invoicing these works the normal value added tax regime shall be applied, respectively the constructor shall collect in the issued invoice 19,000 lei (100,000 lei x 19%).
Fiscal Code:
Transitional provisions
ART. 161
(1) For the application of paragraphs (2) - (14):
a) an immovable good, or a part of it, is considered as having been built before the date of accession if such immovable good, or a part of it, was used for the first time before the date of accession;
b) an immovable good, or a part of it is considered to have been acquired before the date of accession if the legal formalities, related to the transferal of property from supplier to purchaser, were concluded before the date of accession;
c) an immovable good, or a part of it is considered to have been improved or transformed before the date of accession if, after the improvement or transformation, was first used before the date of accession.
(2) The taxable person who had the right of whole or partial deduction of the tax and who, on or after the date of accession, does not opt for taxation or cancels the option for taxation for any of operations provided in art. 141 par. (2) let. e), for an immovable goods or a part of such good, made, purchased, transformed or modernized before the date of accession, by way of derogation from provisions of art. 149, shall correct the tax, according to norms.
(3) The taxable person who had the right of whole or partial deduction of the tax related to an immovable good or a part of such good, made, purchased, transformed or modernized before the date of accession, opts for taxation of any of operations provided in art. 141 par. (2) let. e), on or after the date of accession, by way of derogation from provisions of art. 149, shall correct the related deductible tax, according to norms.
(4) If an immovable good or a part of such good, made, purchased, transformed or modernized before the date of accession, is transformed or modernized after the date of accession, and the value of each transformation sau modernisation performed after the date of accession does not exceed 20% of the value of the immovable good or of a part of such good, exclusively the value of the land, after the transformation or modernization, the taxable person who had the right to whole of partial deduction of the related tax, and who does not opt for the taxation of the operations, provided in art. 141 par. (2) let. e), or cancels the option for taxation, on or after the date of taxation, by way of derogation from provisions of art. 149, shall correct the tax, according to norms.
(5) If an immovable good or a part of such good, made, purchased, transformed or modernized before the date of accession, is transformed or modernized after the date of accession, and the value of each transformation sau modernisation performed after the date of accession exceeds 20% of the value of the immovable good or of a part of such good, exclusively the value of the land, after the transformation or modernization, the taxable person who had the right to whole of partial deduction of the related tax, does not opt for the taxation of the operations, provided in art. 141 par. (2) let. e), or cancels the option for taxation on or after the date of accession, shall correct the related deductible tax according to the provisions of art. 149.
(6) If an immovable good or a part of such good, made, purchased, transformed or modernized before the date of accession, is transformed or modernized after the date of accession, and the value of each transformation sau modernisation performed after the date of accession exceeds 20% of the value of the immovable good or of a part of such good, exclusively the value of the land, after the transformation or modernization, the taxable person who had the right to whole of partial deduction of the related tax, opts for the taxation of the operations, provided in art. 141 par. (2) let. e), on or after the date of accession, by way of derogation from provisions of art. 149, shall correct the related deductible tax, according to norms.
(7) If an immovable good or a part of such good, made, purchased, transformed or modernized before the date of accession, is transformed or modernized after the date of accession, and the value of each transformation or modernisation performed after the date of accession does not exceed 20% of the value of the immovable good or of a part of such good, exclusively the value of the land, after the transformation or modernization, the taxable person who had the right to whole of partial deduction of the related tax, opts for the taxation of the operations, provided in art. 141 par. (2) let. e), on or after the date of accession, shall correct the tax according to the provisions of art. 149.
(8) The taxable person who had the right to whole or partial deduction of the tax related to a building or a part of such building, of the land on which the respective building is situated or of any other land which is not developed, that are built, purchased, transformed or modernized before the date of accession, an that, on or after the date of accession, does not opt for the taxation of the operations provided in art. 141 par. (2) let. f), shall correct the related deductible tax, according to art. 149, but the correction period is limited to 5 years.
(9) The taxable person who had not the right to whole or partial deduction of the tax related to a building or a part of such building, of the land on which the respective building is situated or of any other land which is not developed, that are built, purchased, transformed or modernized before the date of accession, and that, on or after the date of accession, opts for the taxation of the operations provided in art. 141 par. (2) let. f), shall correct the related deductible tax, according to art. 149, but the correction period is limited to 5 years.
(10) If a building or a part of such building, the land on which it is situated or any other land which is not developed, that are built, purchased, transformed or modernized after the date of accession, and the value of each transformation or modernisation performed after the date of accession does not exceed 20% of the value of the building, exclusively the value of the land, after the transformation or the modernisation, by way of derogation from provisions of art. 149, the taxable person who had the right to whole or integral deduction of the related tax, does not opt for the taxation of the operations provided in art. 141 par. (2) let. e), on or after the date of accession, shall correct the deducted tax before and on the date of accession, according to art. 149, but the correction period is limited to 5 years.
(11) If a building or a part of such building, the land on which it is situated or any other land which is not developed, that are built, purchased, transformed or modernized after the date of accession, and the value of each transformation or modernisation performed after the date of accession exceeds 20% of the value of the building, exclusively the value of the land, after the transformation or the modernisation, the taxable person, who had the right of whole or partial deduction of the related tax, does not opt for the taxation of the operations provided in art. 141 par. (2) let. e), on or after the date of accession, shall correct the deducted tax before and on the date of accession, according to art. 149.
(12) If a building or a part of such building, the land on which it is situated or any other land which is not developed, that are built, transformed or modernized after the date of accession, and the value of each transformation or modernisation performed after the date of accession exceeds 20% of the value of the building, exclusively the value of the land, after the transformation or the modernisation, the taxable person who had not the right of whole or partial deduction of the related tax opts for the taxation of the operations provided in art. 141 par. (2) let. f), on or after the date of accession, shall correct the non-deducted tax before and on the date of accession, according to art. 149, but the correction period is limited to 5 years.
(13) If a building or a part of such building, the land on which it is situated or any other land which is not developed, that are built, purchased, transformed or modernized after the date of accession, and the value of each transformation or modernisation performed after the date of accession exceeds 20% of the value of the building, exclusively the value of the land, after the transformation or the modernisation, by way of derogation from provisions of art. 149, the taxable person who had not the right to whole or integral deduction of the related tax, opts for the taxation of the operations provided in art. 141 par. (2) let. f), on or after the date of accession, shall correct the non-deducted tax before and on the date of accession, according to art. 149.
(14) The provisions of par. (8) - (13) shall not apply in the case of a delivery of a new building or of a part of a building, as defined in art. 141 par. (2) letter f).
(15) In the case of contracts of sale of goods with instalment payment, legally concluded, before or on December 31, 2006, that are in force even after the date of accession, the chargeability of the tax related to the instalments that must be paid after the date of accession, the taxable person intervenes to each of the data specified in the contract in order to pay the instalments. In the case of leasing contracts legally concluded, before or on December 31, 2006, that are in force even after the date of accession, the interests related to the instalments that must be paid after the date of accession are not included in the base of taxation of the value-added tax.
(16) In the case of the immovable goods introduced in the country before the date of accession by the leasing companies, Romanian legal persons, based on leasing contracts concluded with users, Romanian natural or legal persons, and that have been placed under the custom regime of import, with exemption from the payment of the amount related to the rights of import, including of the value-added tax, if they are purchased after the date of accession by users, the regulations applicable on the date of the entry into force of the contract shall apply.
(17) The investment objectives achieved by a capital good, of which the year following the putting into operation is the year of accession of Romania to European Union, are subject to the correction regime for the deductible tax provided in art. 149.
(18) Certificates for tax exemption issued before the date of Accession for the delivery of goods and supplies of services financed by grants or non-refundable loans granted by foreign governments, international organizations or by foreign or local non-profit and charity organizations or by physical persons, remain valid for the remaining project period. No extension of certificates for tax exemption shall be allowed after January 1, 2006.
(19) In the case of firm contracts concluded on or after December 31, 2007, the legal provisions in force on the date of the entry into force of the contracts shall apply for the following operations:
a) research-development and innovation activities for the implementation of the programs and subprograms and projects, as well as of the actions included in the National Plan for Research, Development and Innovation into the projects, in the core and sectors plans provided by the Government Ordinance no. 57/2002 on scientific research and technological development, approved with modifications and completions by Law no. 324/2003, as further amended, as well as the research, development and innovation actions financed by an international, regional and bilateral partnership;
b) work in construction, facilities, maintenance and repairs to monuments that commemorate combated heroes, victims of war and the Revolution of December 1989.
(20) To the additional documents to the contracts provided in par. (19), concluded on or after January 1, 2007, the legal provisions in force after the date of the accession are applicable.
(21) For performance guarantees retained from the countre-value of the constructions - mounting works, registered as such in fiscal invoices on or before December 31. 2006, the legal provisions in force on the date of such guarantee establishment, regarding the chargeability of the value-added tax.
(22) For real estate works resulting in a immovable goods, for which the general entrepreneurs opted, before January 1, 2007, that the payment of the tax to be performed on the date of the delivery of the immovable good, shall apply the legal provisions in force on the date on which they expressed this option.
(23) Associations in participation between Romanian taxable persons and taxable persons established abroad or exclusively between taxable persons established abroad, registered as payers of value-added tax, on or before December 31, 2006, according to the law in force on the date of the establishment, are considered separate taxable persons and remain registered for VAT purposes, until the date of the termination of the contracts for which they have been established.
(24) The operations performed on the date on the accession based on contracts in progress on such date shall be subject to the provisions of the present title, with the exception provided in the present article and by the art. 161^1.
Methodological Norms:
83. (1) To apply art. 161 par. 2) and (4) of the Fiscal Code, the taxable persons have the obligation to adjust the tax deducted for the immovable goods acquired, built or modernized within the previous five years, proportionally to the part of each immovable goods that is to be used to carry out the exempt operations, and proportionally to the number of months when the good is to be used under a taxation regime. The adjustment is operated for a five-year period during which the immovable goods were acquired, staring on the date of acquisition for each good. For the immovable goods which are modernized, the adjustment of the deducted tax associated to such works is to be operated, as well, within a five-year period after the completion date of each modernizing works. For adjustment purposes, the tax amount for each year represents one fifth of the deducted tax associated to the acquisition, the construction or the modernization of the immovable goods. In order to determine the monthly adjustment, each fifth shall be divided by 12. The amount that cannot be deducted is calculated as follows out of the five-year period shall be subtracted the number of months during which the immovable good was used under the taxation regime, and the outcome is multiplied by the monthly adjustment. The month fractions shall be considered as whole month. The not-deductible tax obtained is recorded for accounting purposes as expenditures, and in the purchase journal, and shall be accordingly taken over in the value-added tax return submitted for the fiscal period when the taxable person starts applying the exemption scheme.
Example for adjusting the right of deduction:
A taxable person acquires, on April 15, 2005, through either acquisitions or investments, an immovable good whose value is 30,000,000 lei. The activity of the taxable person includes both taxable operations and tax exempt operations without deduction right. The tax for this immovable good was 5,700,000 lei, out of which 4,560,000 lei were deducted according to the 80% final pro-rata in 2005. At end of 2006 the deducted tax was recalculated, using the 70% final pro-rata for the year 2006, the outcome being the 570,000 lei amount which was recorded as expenditure.
Several modernizing works were carried out in 2006, which increased the value of the immovable good by 1,000,000 lei (less than 20% of the value of the immovable good), for which the tax is 190,000 lei, out of which the amount of 133,000 lei was deducted, using the 70% final pro-rata established for the year 2006. The modernizing works were finalized on April 9, 2006.
Several modernizing works were carried out in 2007, which increased the value of the immovable good by 5,000,000 lei (less than 20% of the value of the immovable good), for which the tax is 950,000 lei, out of which the amount of 665,000 lei was deducted, using the 70% final pro-rata applicable in 2007. The modernizing works were finalized on April 20, 2007.
Between April 15, 2005 and December 31, 2007, the taxable person rents the building as follows: 30% of the immovable good under an exemption scheme, and for 70% of the immovable goods the taxation scheme option is applied.
On January 1, 2008, the taxable person gives up the taxation option for 70% of the immovable good.
The adjustment of the deduction right is calculated as follows:
A. The adjustment of the tax deducted for the acquisition of the immovable good
- The tax for the immovable good 5,700,000 lei
- The initially deducted tax 4,560,000 lei
- The tax difference resulted after
recalculation at the end of the year 2006 570,000 lei
- The tax actually deducted for the immovable
good (4,560,000 - 570,000) 3.,990,000 lei
- The adjustment of the tax deducted for the period April 15, 2005 - December 31, 2007: 33 months
- 3,990,000 lei : 5 years = 798,000 lei
- 798,000 lei : 12 years = 66,500 lei
- 60 months - 33 months = 27 months x 66,500 lei = 1,795,000 lei - the tax to be
adjusted
B. The adjustment of the tax deducted for the modernization works carried out in 2006
- The deducted tax 133,000 lei
The adjustment for the period April 9, 2006 - December 31, 2007: 21 months
- 133,000 lei : 5 years = 26,600 lei
- 26,600 lei : 12 years = 2,216.7 lei
- 60 months - 21 months = 39 months x 2,216.7 lei = 86,451.3 lei - the tax to be
adjusted
B. The adjustment of the tax deducted for the modernization works carried out in 2007
- The deducted tax 665,000 lei
The adjustment for the period April 20, 2007 - December 21, 2007: 9 months
- 665,000 lei : 5 years = 133,000 lei
- 133,000 lei : 12 years = 11,083.3 lei
- 60 months -9 months = 51 months x 11,083.3 lei = 565,248.3 lei - tax to be
adjusted
The amounts of 1,795,500 lei + 86,451.3 lei + 565,248.3 lei, resulted from the adjustments made in let. A, B and C, represent the tax difference to be recorded in the purchase journal for the month of January 2008 under expenditures, with a minus mark, and to be accordingly taken over in the value-added tax return for the relevant fiscal period.
(2) For the application of art. 161 par. (5) of the Fiscal Code, the taxable persons have the obligations to adjust the tax deducted according to art. 149 of the Fiscal Code, for the modernization or the transformation works carried out after the accession date, whose value exceeds 20% of the value of the immovable good, or a part of this, exclusive of the value of the land, after transformation or modernization. The adjustment made according to art. 149 of the Fiscal Code, is different from the adjustment stipulated in par. (1) in the adjustment period, which is of 20 years as compared to 5 years, and in the adjustment method, which is by whole calendar years and not by month. For the deducted tax associated with the immovable good, the modernization or transformation works carried out before the accession date and the modernization and transformation works carried out after the accession date which do not exceed 20% of the immovable good's value, or part of this, exclusive of the land value, after transformation or modernization, the adjustment is made according to the provisions in art. 161 par. (2) and (4) of the Fiscal Code.
The same example as in par. (1), in the situation where the taxable person carried out modernization works in 2007 of 20,000,000 lei instead of 5,000,000 lei.
Since the value of the immovable good after transformation is of 56,000,000 lei and since the value of the modernization exceeds 20% of the immovable good's value, the adjustment of the deduction right for the modernization must be done according to art. 149 of the Fiscal Code, regarding the adjustment period and method.
For the tax associated to the immovable good and the modernization carried out in 2006, the adjustment is done according to the example in par. (1), let. A and B.
(3) For the application of art. 161 par. (3) and (6) of the Fiscal Code, the taxable persons may deduct, out of the not-deducted tax for the acquired immovable goods, built or modernized within the previous five years, proportionally to the part of each immovable good which is to be used for these operations, and proportionally to the number of months when the good is to be used under a taxation regime. The adjustment is made for the 5 year period during which the immovable goods were acquired, starting on the date of acquisition for each immovable good. For the immovable goods which are modernized, the adjustment of the not-deducted tax for these modernization works is operated, as well, within a 5-year period after the completion date for each modernization works In the adjustment, the not-deducted tax amount for each year shall be taken into account, which represents one fifth of the tax for acquisition, construction or modernization of the immovable goods. In order to determine the monthly adjustment, each fifth shall be divided by 12. The amount which can be deducted is calculated as follows: out of the 5-year period shall be subtracted the number of months when the immovable good was used under an exemption regime, with the outcome to be multiplied by the monthly adjustment. The month fractions shall be considered as whole month. The tax not-deducted shall be recorded, for accounting purposes, by diminishing the expenditures, and in the purchase journal as well, and is to be taken over accordingly in the value-added tax return submitted for the taxable period in which the taxable person starts applying the taxation scheme.
Example for adjusting the right of deduction:
Using the example in par. (1), the taxable person chooses the taxation scheme for all renting operations as of January 1, 2008.
A. The adjustment of the not-deducted tax for the acquisition of the immovable good
- The tax for the immovable good 5,700,000 lei
- The initially deducted tax 4,560,000 lei
- The tax difference resulted after
recalculation at the end of the year 2006 570,000 lei
- The initially not-deducted tax for the immovable
good (5,700,000 - 3,990,000) 1,710,000 lei
The adjustment for the remainder of the five-year period: 27 months (60 months - 33 months):
- lei 1,710,000 : 5 years = 342,000 lei
- lei 342,000 : 12 years = 28,500 lei
- 27 months x lei 28,500 = 769,500 lei
B. The adjustment of the not-deducted tax for the modernization carried out in 2006
Not-deducted tax amount 57,000 lei
The adjustment for the remainder of the five-year period: 60 months - 21 months (April 6 - December 31, 2007) = 39 months
- lei 57,000 : 5 years = 11,400 lei
- lei 11,400 : 12 years = 950 lei
- 39 months x lei 950 = 37050 lei
C. The adjustment of the not-deducted tax for the modernization carried out in 2007
Not-deducted tax amount 285,000 lei
The adjustment for the remainder of the five-year period: 60 months - 9 months (April 2007 - December 31, 2007) = 51 months
- lei 285,000 : 5 years = 57,000 lei
- lei 57,000 : 12 years = 4,750 lei
- 51 months x lei 4,750 = 242,250 lei
The amounts of 769,500 lei + 37050 lei + 242,250 lei, resulted from the adjustments made in let. A, B and C are recorded for accounting purposes by reducing the expenditures, and in the purchase journal for the month of January 2008, with a plus mark, to be accordingly taken over in the relevant value-added tax return.
(4) For the application of art. 161 par. (7) of the Fiscal Code, the taxable persons have the obligations to adjust the tax deducted according to art. 149 of the Fiscal Code, for the modernization or the transformation works carried out after the accession date, whose value exceeds 20% of the value of the immovable good, or a part of this, exclusive of the value of the land, after transformation or modernization. The adjustment made according to art. 149 of the Fiscal Code, is different from the adjustment stipulated in par. (1) in the adjustment period, which is of 20 years as compared to 5 years, and in the adjustment method, which is by whole calendar years and not by month. For the deducted tax associated with the immovable good, the modernization or transformation works carried out before the accession date and the modernization and transformation works carried out after the accession date which do not exceed 20% of the immovable good's value, or part of this, exclusive of the land value, after transformation or modernization, the adjustment is made according to the provisions in art. 161 par. (3) and (6) of the Fiscal Code.
The same example as in par. (1), in the situation where the taxable person carried out modernization works in 2007 of 20,000,000 lei instead of 5,000,000 lei.
Since the value of the immovable good after transformation is of 56,000,000 lei and since the value of the modernization exceeds 20% of the immovable good's value, the adjustment of the deduction right for the modernization must be done according to art. 149 of the Fiscal Code, regarding the adjustment period and method.
For the tax associated to the immovable good and the modernization carried out in 2006, the adjustment is done according to the example in par. (3), let. A and B.
(5) For the application of art. 161 par. (8) and (10) of the Fiscal Code, the taxable persons have the obligation to adjust the deducted tax amount according to art. 149 of the Fiscal Code, but the adjustment period is limited to 5 years.
The same example as in par. (1), in the situation where the taxable person sells the building on January 1, 2008 without having chosen the taxation for the same transaction.
A. The adjustment of the deducted tax amount for the acquisition of the immovable good: 2 / 5
- The tax for the immovable good 5,700,000 lei
- The initially deducted tax 4,560,000 lei
- The tax difference resulted after
recalculation at the end of the year 2006 570,000 lei
- The tax deducted for the immovable
imobil (4,560,000 - 570,000) 3,990,000 lei
The year 2005 (the year of acquisition and the first use) as well as the years 2006 and 2007 are taken into account. The year 2008, when the deduction right is lost, is not to be taken into account.
The tax amount that must be adjusted: 3,990,000 lei x 2/5 = 1,596,000 lei
B. The adjustment of the deducted tax amount for the modernizing works carried out in 2006: 3 / 5
- The deducted tax 133,000 lei
The year 2006 (when the modernization works are completed) as well as the year 2007 shall be taken into account. The year 2008, when the deduction right is lost, is not to be taken into account.
The tax amount that must be adjusted: 133,000 lei x 3/5 = 79,800 lei
C. The adjustment of the deducted tax amount for the modernization works carried out in 2007: 4 / 5
- The deducted tax 665,000 lei
The year 2007 (when the modernization works are completed) shall be taken into account.
The year 2008, when the deduction right is lost, is not to be taken into account.
The tax amount that must be adjusted: 665,000 lei x 4/5 = 532,000 lei
The amounts of 1,596,000 lei + 79,800 lei + 532,000 lei, resulted from the adjustments made in let. A, B and C, represent the tax difference to be recorded in the purchase journal for the month of January 2008 under expenditures, with a minus mark, and to be accordingly taken over in the value-added tax return for the relevant fiscal period.
(6) For the application of art. 161 par. (11) of the Fiscal Code, the taxable persons have the obligations to adjust the tax deducted according to art. 149 of the Fiscal Code, for the modernization or the transformation works carried out after the accession date, whose value exceeds 20% of the value of the immovable good, or a part of this, exclusive of the value of the land, after transformation or modernization. The adjustment made according to art. 149 of the Fiscal Code, is different from the adjustment stipulated in par. (5) in the adjustment period, which is of 20 years as compared to five years. For the deducted tax associated with the immovable good, the modernization or transformation works carried out before the accession date and the modernization and transformation works carried out after the accession date which do not exceed 20% of the immovable good's value, or part of this, exclusive of the land value, after transformation or modernization, the adjustment is made according to the provisions in art. 161 par. (8) and (10) of the Fiscal Code.
The same example as in par. (1), for the situation where the taxable person sells the building on January 1, 2008 without having chosen for the taxation of this transaction. The taxable person carried out modernizing works in 2007 of 20,000,000 lei instead of 5,000,000 lei.
Since the value of the immovable good after the transformation is 56,000,000 lei and since the value of the modernization works exceeds 20% of the immovable good's value, the adjustment of the deduction right for the modernization must be done according to art. 149 of the Fiscal Code, regarding the adjustment period and method.
For the tax associated to the immovable good and the modernization carried out in 2006, the adjustment is done according to the example in par. (5), let. A and B.
(7) For the application of art. 161, par. (9) and (12) of the Fiscal Code, of the Fiscal Code, the taxable persons shall adjust the not-deducted tax according to art. 149 of the Fiscal Code, but the adjustment period is limited to five years. The additional tax amount to be deducted is limited to the collected tax amount for the delivery of the good in question.
The same example as in par. (2), for the situation where the taxable person sells the building on January 1, 2008 without having chosen the taxation of the transaction.
A. The adjustment of the not-deducted tax for the acquisition of the immovable good: 2 / 5
- The tax for the immovable good 5,700,000 lei
- The initially deducted tax 4,560,000 lei
- The tax difference resulted after
recalculation at the end of the year 2006 570,000 lei
- The initially not-deducted tax for the immovable
good (5,700,000 - 3,990,000) 1,710,000 lei
The year 2005 (the year of acquisition and the first use) as well as the years 2006 and 2007 are taken into account. The year 2008, when the deduction right is born, is not to be taken into account.
The tax amount that must be adjusted: 1,710,000 lei x 2/5 = 684,000 lei
B. The adjustment of the not-deducted tax for the modernization works carried out in 2006: 3 / 5
- Not-deducted tax amount 57,000 lei
The year 2006 (when the modernization works are completed) as well as the year 2007 shall be taken into account. The year 2008, when the deduction right is born, is not to be taken into account.
The tax amount that must be adjusted: 57,000 lei x 3/5 = 34,200 lei
C. The adjustment of the not-deducted tax for the modernization works carried out in 2007: 4 / 5
- Not-deducted tax amount 285,000 lei
The year 2007 (when the modernization works are completed) shall be taken into account.
The year 2008, when the deduction right is born, is not to be taken into account.
The tax amount that must be adjusted: 285,000 lei x 4/5 = 228,000 lei
The amounts of 684,000 lei + 34,200 lei + 228,000 lei, resulted from the adjustments made in let. A, B and C, represent the tax difference to be recorded under expenditures, in the purchase journal in January 2008, with a plus mark, and to be accordingly taken over in the value-added tax return for the relevant fiscal period.
(8) For the application of art. 161 par. (13) of the Fiscal Code, the taxable persons have the obligation to adjust the tax not-deducted according to art. 149 of the Fiscal Code, for the modernization or the transformation works carried out after the accession date, whose value exceeds 20% of the value of the immovable good, or a part of this, exclusive of the value of the land, after transformation or modernization. The adjustment made according to art. 149 of the Fiscal Code, is different from the adjustment stipulated in par. (7) in the adjustment period, which is of 20 years as compared to five years. For the deducted tax associated with the immovable good, the modernization or transformation works carried out before the accession date and the modernization and transformation works carried out after the accession date which do not exceed 20% of the immovable good's value, or part of this, exclusive of the land value, after transformation or modernization, the adjustment is made according to the provisions in art. 161 par. (9) and (12) of the Fiscal Code. The additional tax amount to be deducted is limited to the collected tax amount for the delivery of the good in question.
The same example as in par. (1), for the situation where the taxable person sells the building on January 1, 2008 and chooses the taxation scheme for this transaction.
The taxable person carried out modernization works in 2007 amounting to 20,000,000 lei instead of 5,000,000 lei.
Since the value of the immovable good after transformation is of 56,000,000 lei and since the value of the modernization exceeds 20% of the immovable good's value, the adjustment of the deduction right for the modernization must be done according to art. 149 of the Fiscal Code, regarding the adjustment period and method.
For the tax associated to the immovable good and the modernization carried out in 2006, the adjustment is done according to the example in par. (7), let. A and B.
84. For the purpose of art. 161 par. (16) of the Fiscal Code, the application of the regulations in force on the effective date of the leasing contract means that the goods in question shall be imported from the value-added tax point of view on the completion dates of the contracts and the value-added tax is due for the residual value of the goods. The value-added tax due for these import operations is not actually paid to the customs authorities by the taxable persons registered for VAT purposes according to art. 153 of the Fiscal Code, but is to be recorded in the tax return, according to the provisions in art. 157 par. (5) of the Fiscal Code.
85. For the purpose of art. 161 par. (18) of the Fiscal Code, the modifications in the exemption certificates are not allowed after January 1, 2007. Nevertheless, if for the same amount recorded in the exemption certificate, the contractors and/or the sub-contractors are replaced, these corrections may be made by the relevant fiscal bodies upon request by the beneficiaries of the grants, in the certificate that was already issued.
Fiscal Code:
Operations performed before and on the date of the accession
ART. 161^1
(1) Provisions in force, at the moment in which the goods have been placed under one the suspensive regimes provided in art. 144 par. (1) lett. a) pt. 1 - 7 or under a similar regime in Bulgaria, shall continue to apply from the date of the accession, until the exit of the goods from such regimes, when the respective goods, coming from Bulgaria or from the Community area, as it was before the date of the accession:
a) entered in Romania before the date of accession; and
b) were placed in a such regime while entering in Romania, and
c) have not been out of such regime before the date of accession.
(2) The occurrence of any of the events below or after the date of accession shall be considered as import in Romania:
a) the exit of the goods from the temporary admission regime in Romania under which they have been placed before the date of the accession under the conditions mentioned in par. (1), even if the legal provisions have not been respected;
b) the exclusion of the goods from the suspensive custom regimes in Romania under which they have been placed before the date of accession, according to provisions provided in art. (1), even if the legal provisions have not been respected;
c) the conclusion in Romania of a internal transit procedure initiated in Romania before the date of accession, for the delivery by a taxable person who acts as such. Delivery of goods by mail shall be considered for this purpose an internal transit procedure;
d) conclusion in Romania of an external transit procedure before the date of accession;
e) any non-conformity or breaching of law committed in Romania during an internal transit initiated under the conditions provided to let. c) or during an external transit procedure provided in let. d);
f) the use in Romania, from the date of accession, by any person, of the good delivered before the date of the accession, from Bulgaria or from the Community area, as it was before the date of the accession:
1. delivery of goods was exempted or was probably exempted, according to art. 143 par. (1) let. a) and b); and
2. the goods were not imported before the date of accession, in Bulgaria or in the Community area, as it was before the date of the accession.
(3) When an import of goods is performed in any of the situations mentioned in par. (2), there is not any event generator of tax if:
a) the goods are shipped or transported outside the Community territory, as it was before the date of the accession; or
b) the imported goods, for purposes of par. (2) let. a), do not represent means of transportation and are shipped again or transported to a Member State from which they have been exported and to the person who exported them; or
c) the imported goods, for purposes of par. (2) let. a), rare means of transportation that were purchased or imported before the date of the accession, under the general conditions of taxation from Romania, Republic of Bulgaria or another Member State of the Community territory, as it was before the date of accession, and/or that did not beneficiated of the exemption from the payment of the tax or from the reimbursement of the tax following the export. This condition is considered fulfilled when the date of the first use of such means of transportation is previous of January 1, 1999 and the amount of the due tax for the import is insignificant, according to the provisions of the norms.
Methodological Norms:
86. (1) For the purposes of art. 161^1 par. (3) let. c) of the Fiscal Code, the amount of the tax owed for the import is insignificant is less than 1,000 de lei.
(2) To apply art. 161^1 par. (3) let. b) of the Fiscal Code no value added tax generator fact exists and the customs bodies shall not collect if the importer proves that the importer is directly intended for re-shipping or transportation of the goods to the Member State which they were exported from and to the person that exported them and, as the case may be, the proof that a transportation and/or insurance contract was concluded.
87. *** Abrogated
ANNEX 1
to the Methodological Norms for the application of the provisions of Title VI of the Fiscal Code
NOTIFICATION
regarding the taxation option for the operations provided in art. 141 par. (2) let. e) of the Fiscal Code.
1. The name of the applicant ..............................................
2. The registration code for VAT purposes, assigned according to art. 153 of the Fiscal Code .................................................................
3. Address ................................................................
4. The date as of which the taxation option is applied ..............................
5. The immovable goods for which the option is applied for (the complete address if the option refers to the immovable good integrally, or if it refers to a part of the immovable good, shall be filled in on the surface of the immovable good. In case of leasing operations with immovable goods it shall be specified if the option refers to the immovable good integrally or if it refers to a part of the immovable good, nearby the surface and it must identify exactly the part of the immovable good subject to the contract) ..................................................
I confirm that the data declared is full and accurate.
Last name and first name ............., position ...................
Signature and seal
.....................
ANNEX 2
to the Methodological Norms for the application of the provisions of Title VI of the Fiscal Code
NOTIFICATION
regarding the option to tax the operations set forth in art. 141 par. (2) let. e) of the Fiscal Code.
1. The name of the applicant ..............................................
2. The registration code for VAT purposes, assigned according to art. 153 of the Fiscal Code .................................................................
3. Address ................................................................
4. The date on which the taxation option is cancelled ..............................
5. The immovable goods for which the taxation option is cancelled (full address, if the option refers to the whole immovable good, or, if this refers to part of the immovable good, the relevant area of the immovable shall be recorded. For the leasing operations with immovable goods, it shall be mentioned whether the option refers to the entire immovable good, or part of it; in addition to the exact area, the part of the immovable good which is to be the object of the contract shall be accurately identified) ..................................................
..........................................................................
..........................................................................
..........................................................................
..........................................................................
I confirm that the data declared is full and accurate.
Last name and first name ............., position ...................
Signature and seal
ANNEX 3
to the Methodological Norms for the application of the provisions of Title VI of the Fiscal Code
NOTIFICATION
regarding the taxation option for the operations provided in art. 141 par. (2) letter f) of the Fiscal Code
1. The name of the applicant ..............................................
2. The registration code for VAT purposes, assigned according to art. 153 of the Fiscal Code .................................................................
3. Address ................................................................
4. The immovable goods (constructions, land) for which the taxation option is applied (full address of the immovable good and the area of the plot of land, for the situations where the taxation option refers only to a part of the immovable good; the part of the immovable good shall be exactly identified)
..........................................................................
..........................................................................
..........................................................................
..........................................................................
I confirm that the data declared is full and accurate.
Last name and first name ............., position ...................
Signature and seal
Fiscal Code:
TITLE VII
Excise duties
CHAPTER 1
Harmonized excises
SECTION 1
General provisions
Scope of application
ART. 162
The harmonized excises are special consumption fees that are payable to the state budget for the following products derived from domestic production or from import:
a) beer;
b) wines;
c) fermented beverages other than beer and wines;
d) intermediate products;
e) ethyl alcohol;
f) tobacco products;
g) energy products;
h) electricity.
Methodological Norms:
1. (1) The amounts representing excises are calculated in lei, based on the exchange rate determined in accordance with the provisions in art. 218 of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, shall be paid as follows:
a) beer:
A = C x K x R x Q
where:
A = excise rate
C = number of degrees Plato
K =the excise per unit, depending on the annual production capacity, as provided under no 1 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = leu/euro exchange rate
Q = the quantity, in hectolitres
The sacharimetrical concentration expressed in Plato, based on which the excise duties are calculated and transferred to the state budget, is the one specified in the technical specifications which are drawn up based on the standards in force for each item, and this concentrations has to match the one displayed on the trade labels of each beer sort. The accepted deviation is of 0.5 Plato degrees;
b) for sparkling wines, sparkling fermented beverages and intermediate products:
A = K x R x Q
where:
A = excise rate
K = the unitary excise as provided under no 2.2, 3.2 and 4 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = leu/euro exchange rate
Q = the quantity, in hectolitres
c) for ethyl alcohol:
A = C x K x R x Q
---
100
where:
A = excise rate
C = alcoholic concentration expressed in volume percentage
K = specific excise, depending on the annual production capacity, as provided in crt. 5 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = leu/euro exchange rate
Q = the quantity, in hectolitres
d) for cigarettes:
Total excise = A1 + A2
where:
A1 = specific excise
A2 = ad valorem excise
A1 = K1 x R x Q1
A2 = K2 PA x Q2
where:
K1 = specific excise provided in no. 6 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
K2 = the ad valorem excise provided in no 6 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = leu/euro exchange rate
PA = maximal retail price
Q1 = the quantity expressed in units of 1,000 cigarettes
Q2 = the number of cigarette packages in Q1
e) for cigarettes and cigars:
A = Q x K x R
where:
A = excise rate
Q = the quantity expressed in units of 1,000 cigars
K = the excise per unit as provided in no 7 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = leu/euro exchange rate
f) for fine-cut tobacco, destined to being rolled up in cigarettes and for other smoking tobaccos:
A = Q x K x R
where:
A = excise rate
Q = quantity in kg
K = the excise per unit provided under no 8 and 9 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = leu/euro exchange rate
g) for power products:
A = Q x K x R
where:
A = excise rate
Q = the quantity expressed in tons, 1000 litters or gigajoules
K = the excise per unit provided under crt. 10-17 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = leu/euro exchange rate
For the natural gas, the supplied power content is determined in accordance with the Regulations for measuring the quantities of wholesale traded natural gas, approved by the decision of the President of the National Authority for Regulations in the Natural Gas sector.
h) for electricity:
A = Q x K x R
where:
A = excise rate
Q = the quantity of active electric power expressed in MWh
K = the excise per unit provided in no 18 in the Annex no 1 to the Title VII - Excise Duties of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed;
R = the leu/euro exchange rate.
(2) For alcoholic drinks- other than beer; wines; fermented drinks and intermediate products -, as well as for the products in the processed tobacco class it shall be calculated the contribution for the financing of such expenses for health as provided in art. 363 of Law no 95/2006 on the reform in the field of health, as amended and further completed;
(3) For alcoholic beverages, cigarettes and cigars, the 1% rate shall be calculated, to be paid to the Sports National Agency, as stipulated in the Physical Education and Sports Law no 69/2000, as subsequently amended, with such rate to be applied to the value of the excise duties calculated according to the provisions in par. (1), diminished by the value of the contribution for financing some health expenditures as stipulated in par. (2).
(4) The amount of excise duties payable to the State Budget represents the difference between the excise duties amount calculated according to the par. (1) out of which the following shall be deducted: the contribution stipulated in par. (2), the 1% rate stipulated in par. (3) ) and, as the case may be, the equivalent value of the marking used to mark the products under such regime, according to the procedure stipulated in pt. 29.
Fiscal Code:
Definitions
ART. 163
The following definitions are used for purposes of the present title:: [...]
b) production of excisable products means any operation by which these products are produced, processed or modified in any manner;
Methodological Norms:
2. (1) Production activity means any operation by which the excisable products produced, processed or modified in any form, including bottling and packaging of the excisable products in order to be delivered for consume.
(2) The production activity includes also the operations of extraction of energy products, as defined in art. 175 par. (1) of the Fiscal Code.
Fiscal Code:
Definitions
ART. 163
The following definitions are used for purposes of the present title:
[...]
c) fiscal warehouse is a place under the control of the competent fiscal authorities where excisable products are produced, transformed, held, received or dispatched under a suspension regime, by the authorized warehouse-keeper, in carrying out its activity, under certain conditions provided by the present title and by norms ;
Methodological Norms:
2^1. (1) In the meaning of the current norms, the competent fiscal authority may be either the central fiscal authority or the territorial fiscal authority.
(2) Central fiscal authority means the Ministry of Public Finance.
(3) Territorial fiscal authority means, as the case may be, the county public finance general directorates or the Bucharest public finance general directorate, the general directorate for the management of large taxpayers or the customs regional directorates.
Fiscal Code:
Definitions
ART. 163
The following definitions are used for purposes of the present title:
[...]
i) NC code means the tariff position, tariff sub-position or tariff code, according to the EC Regulation no. 2658/87 of the Council of July 23, 1987 on the tariff and statistical nomenclature and on the Common Customs Tariff, in force starting with October 19, 1992, and in the case of energetic products, in force starting with January 1, 2002. Any time modifications arrise of the Combined nomenclature of the Common Customs Tariff, the correlation between the NC codes provided in the present title and the new NC codes shall be made according to the provisions of the norms;
[...]
Methodological Norms:
2^1.1. (1) For the products under the harmonised excise tax, the tariff position, tariff sub-position or the tariff code that are at the ground of the definition of such products are the ones provided in Regulation EC no 2658/87 of the Council of July 23, 1987 on the tariff and statistical nomenclature and on the Common Customs Tariff, in force starting with October 19, 1992.
(2) For the energy products, the tariff position, tariff sub-position or the tariff code that are at the ground of the definition of such products are the ones provided in Regulation EC no 2658/87 of the Council of July 23, 1987 on the tariff and statistical nomenclature and on the Common Customs Tariff, amended by Regulation EC no 2031/2001.
(3) The update of the combined nomenclature code for the energy products shall be made through an update decision in accordance with the provisions of art. 2 paragraph 5 and art. 27 of the Directive 2003/96/EC, decision adopted by the Committee for the excises, set forth in art. 24 (1) of Directive 92/12/EEC.
Fiscal Code:
Import
ART. 167
(1) For purposes of the present title, import means any entry of excisable products from outside the Community territory, except for:
a) the placement of imported excisable products under a customs suspension regime in Romania;
[...]
c) the placement of excisable products in free zones, warehouses-keepers and ports, under the conditions provided in the customs legislation in force.
Methodological Norms:
2^2. (1) The "suspension customs regime" notion shall have the following significations:
a) external transit,
b) customs warehouse,
c) active-finishing under suspension system,
d) processing under customs surveillance
and
e) temporary admission.
(2) The excise is deemed to be suspended when the products subject to excises are delivered between Romania and other member states via EFTA states, or between Romania and an EFTA state under a intra-Community transit procedure, or via one or more thirds countries - non-EFTA members, on the basis on a TIR or ATA Carnet.
(3) The excise is deemed to be suspended when the products subject to excises are coming from or intended for third countries or territories mentioned in art. 163^1 of the Fiscal Code.
Fiscal Code:
Production and holding under a suspension regime
ART. 168 [...]
(2) The holding of an excisable product outside a fiscal warehouse is prohibited, if the excise for such product has not been paid.
Methodological Norms:
3. Outside the fiscal warehouse may be held only the excisable products for which the excise is paid, and in the economic circuit the evidence can be produced that such products come from either an authorized warehouse owner, a registered operator, a non-registered operator or an importer.
Fiscal Code:
Production and holding under a suspension regime
ART. 168
(1) The production of excisable products outside a fiscal warehouse is prohibited.
(2) The holding of an excisable product outside a fiscal warehouse is prohibited, if the excise for such product has not been paid.
(3) The provisions of par. (1) and (2) shall not apply for beer, wines and fermented beverages, other than beer and wines, produced in individual households for own consumption.
Methodological Norms:
4. (1) The individual households which produce, for own consumption, beer, wines and fermented beverages, other than beer and wines, have the obligation to register with the public finance administration in the area of residence. The registration is done based on the declaration showed in annex no 1.
(2) The individual household as mentioned in par. (1) means the household which belongs to a producer - natural person, whose production is destined to consumption by such persons and their family members.
Fiscal Code:
Beer
ART. 169
[...]
(3) Each warehouse-keeper authorized as beer producer shall have the obligation to submit to the competent fiscal body until January 15 of each year a declaration on own liability concerning the production capacities owned according to the provisions of norms.
[...]
(5) In cases where an warehouse-keeper authorized for the production of beer, that benefits from a reduced level of excises, increases the production capacity by the acquisition of new capacities or the extension of existing capacity, such person is to notify in writing the competent fiscal authority of the modifications effected and is to compute and pay to the state budget excises in the amount that corresponds to the new production capacity, beginning with the month that immediately follows the month in which the capacity is put into operation, in accordance with the provisions of the norms.
Methodological Norms:
4^1. (1) The obligation to submit the declaration on own account regarding the production capacities put into place which they own, is only for the authorized warehouse owners in their capacity as small beer producers.
(2) The increase of the production capacity after by acquisition of new capacities or extension of the existing ones, shall be notified to both the territorial fiscal authority and the central fiscal authority, within 5 days after the event.
(3) In cases where the new production capacity exceeds the ceiling of 200,000 hl per year, the authorized warehouse-keeper has the obligation to calculate and pay to the state budget the excise amount for the total production capacity, calculated based on the standard rate, starting the month immediately following the month when the capacity is put into operation.
Fiscal Code:
Ethyl alcohol
ART. 173
[...]
(2) Plum brandy and fruit brandies intended for the own consumption of individual households, within the limit of an equivalent quantity of 50 liters of product for each individual household per year, with an alcohol concentration of 100% by volume, shall be subject to excise by applying a rate equal to 50% of the standard excise duty applied to the ethyl alcohol, in accordance with the provisions of the norms.
(3) The ethyl alcohol produced in small distilleries with a production of less than 10 hectolitres of pure alcohol per year, is subject to reduced specific excises.
(4) From the reduced excises shall benefit the small distilleries independent from legal and economic point of view from any other distillery, not operating under product license of another distillery and meeting the conditions provided by norms.
Methodological Norms:
4^2. (1) The individual household which owns as property orchards of fruit trees and wine-growing plots of land may produce for own consumption from own crops: plum brandy and fruit brandies, wine brandy or brandies made of vinification sub products hereinafter referred to as brandy, provided it own appropriate equipment according to the minimal technical requirements set by the Ministry of Agriculture, Forests and Rural Development and approved by the Public Health Ministry . The equipment must be the still-type installations.
(2) The individual household means the household which belongs to a producer, natural person, whose production brandies is destined to consumption by such persons and their family members.
(3) Any individual household owning brandy producing equipment has the obligation to register with the territorial fiscal authority through the public finance directorate of the area of residence, and the individual households producing such products for own consumption having also the obligation to include in the declaration also the estimated quantities to be obtained per year, according to the template showed in annex no 1.
(4) The production equipment owned by the individual households registered in accordance with par. (3), shall obligatorily bear the seals applied by the public finance administration in the area of residence, for the entire period of non-functioning.
(5) The public finance administrations shall record in a special register the individual households stipulated in par. (3). Such special register shall include information on the name and address of the individual household, the production equipment owned and their capacity, as well as columns regarding the equipment sealing and unsealing operations.
(6) In cases where the individual household plans to produce brandy from own crop, such household shall request, in writing, to the public finance administration in the area of residence, the unsealing of the equipment, mentioning at the same time the quantity and type of raw material to be processed, the period in which the equipment is to function, as well as the quantity of product estimated to be obtained. In such case the producer must have the legal means necessary to measure the quantity and the alcoholic concentration of the products obtained.
(7) The public finance administration which unsealed the equipment shall re-seal it in the first working day after the functioning period of the brandy-producing equipment runs out - unless the producers requested the modification of the initially declared functioning period of the equipment - and shall calculate the payable excise amount. In this case the excise becomes chargeable as of the moment when the production equipment is re-sealed, with the payment deadline set on day 25 of the month immediately following the months when the excise becomes chargeable.
(8) For the quantity of 50 litres of product for the own consumption of an individual household, the payable excise level shall be 50% of the standard rate of the excise levied on the ethyl alcohol, i.e. 375 euro/hl of pure alcohol.
(9) Any brandy produced from the own crop and destined to the own consumption by an individual household, if such household does not have an own producing equipment, shall be produced only under a service supply scheme and only in the fiscal warehouses authorized for purposes of brandy production.
(10) In the case stipulated in par. (9), the fiscal warehouses have the obligation to keep individual records regarding the following information: the name of the individual household, the quantity of raw material given out for processing purposes, the quantity of final product such obtained, out of which for own consumption, the date of takeover and the signature of the taking-over person.
(11) For the plum brandy and the brandies destined for own consumption of the individual household produced under a service supply scheme in a fiscal warehouse for production purposes, the excise payable to the state budget shall become chargeable as of the moment when the products are taken over from the production fiscal warehouse. The beneficiary shall pay the provider, in addition to the supply tariff, the excise for the quantity of plum brandy and brandies that is received. For a quantity of 50 litres of products destined for the own consumption of an individual household, the level of the payable excise represents 50% of the standard rate levied on the ethyl alcohol, which is 375 euro/hl of pure alcohol. For the quantity of products which exceeds the ceiling provided in Law no 571/2003 on the Fiscal Code with the amendments and further completions, for own consumption, the payable excise level shall be 50% of the standard rate of the excise levied on the ethyl alcohol, i.e. 375 euro/hl of pure alcohol.
(12) For the purpose of the current Methodological Norms, small distillery means the small distillery owned by either a natural of legal person producing ethyl alcohol and or distilled products, including plum brandy and brandies, of less than 10 hl of pure alcohol per year - exclusive of the quantities produced under a service supply scheme for the individual households - and which is authorized as fiscal warehouse for production purposes under the conditions stipulated in pt. 9^1.
Fiscal Code:
Processed tobacco
ART. 174
[...]
(4) Smoking tobacco is:
a) tobacco that has been cut or minced in any manner, twisted or pressed into blocks and that may be smoked without industrial processing;
b) tobacco refuse processed for retail sale that is not mentioned in par. (2) and (3).
c) any product that consists in part of substances other than tobacco if the product satisfies the criteria in let. a) or b).
Methodological Norms:
4^2.1. (1) To assure the accurate application and understanding of excises for the processed tobacco are established the following rules regarding the trading and transportation of then un-processed and partially processed tobacco:
1. The economic operators that wish to trade unprocessed or partially processed tobacco only based on an authorization issued to this purpose by the fiscal authority they are registered with as taxpayers and the territorial tax/customs authority.
2. The unprocessed or partially processed tobacco can only be traded by another trading economic operator holder of an authorization as provided under pt. 1 or by a fiscal warehouse in the processed tobacco field.
3. Moving the unprocessed or the partially processed tobacco between the trading economic operators provided in art. 1 or between such operator and a fiscal warehouse must be accompanied by a trading documents that shall contain the number of the authorization of the dispatching economic operator.
4. In case of delivery of the products provided under pt. 1 by other economic operators others than the ones provided under pt. 2, the payment of the excises calculated at the level of the excises due for other smoking tobacco shall occur.
(2) The procedure of issuance of the authorization provided in par. (1) pt. 1 shall be established through an Order of the President of the National Agency for Fiscal Administration.
Fiscal Code:
Energy products
ART. 175
[...]
(2) Only the following energy goods are under the provisions of Section 4 and 5 of the chapter I from the present title:
[...]
c) products with codes C.N. from 2710 11 to 2710 19 69. For the products with codes C.N. 2710 11 21, 2710 11 25 and 2710 19 29, the provisions of section 5 shall apply only in case they are traded in bulk;
Methodological Norms:
4^3. In the meaning of the current norms, bulk trading means that the products is transported in bulk in containers, tanks or other similar recipients that are part of the transportation means - tank truck, tank car, oil ships etc. -, or ISO tanks. As well, the trading in bulk includes also the transportation in bulk carried out in containers bigger than 210 litres by volume.
Fiscal Code:
Energy products
ART. 175
[...]
(4) Energy products, other than those of par. (3), are subject to excises if they are designated to the use, sold or used as fuel for heating or for engine. The level of the excise shall be established according to the destination, at the applicable level for equivalent fuel for heating or for engine.
(5) Besides the energy products provided in par. (1), any product designated to be use, sold or used as fuel or additive for engine or for the increase of the final volume of fuel for engine shall be excised at the level of the equivalent fuel for engine.
(6) Besides the energy products provided in par. (1), any other products, except peat, designated to be used, sold or used as fuel for heating shall be excised using the excise applicable to the equivalent energy product.
Methodological Norms:
5. (1) Energy products, other than those of par. (3) of art. 175 of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, are subject to excise taxation when:
a) the products are made with the purpose of being used as either heating fuel or motor fuel;
b) the products are put up for sale as heating fuel or motor fuel;
c) the products are used as heating fuel or motor fuel.
(2) Any economic operator found in one of the situations stipulated in par. (1), before producing, selling or using the energy products, has the obligation to file a request with the Ministry of Public Finance – the Commission with attributions of issuing the fiscal warehouse licenses, in order to classify the product in question from the excise duties standpoint. The request shall be obligatorily accompanied by the analysis document of the relevant product, issued by an approved laboratory, by the tariff classification for the product made by the Customs National Authority and by the approval by the Ministry of Economy and Commerce regarding the assimilation of the product in question with an equivalent product for which excises are set.
(3) The principles set forth in par. (2) also apply for the products regulated in par. (5) and (6) of art. 175 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(4) For the products in one of the situations stipulated in paragraphs (4), (5) and (6) of art. 175 of Law no 571/2003 on the Fiscal Code as amended and further completed, for which the economic operators does not meet the obligations stipulated in par. (2) and (3), in the case of motor fuel and additives, the payable excise duty equals the excise duty provisioned for the leaded gasoline, and in the case of the heating fuel the payable excise duty is the one provisioned for the diesel oil.
Fiscal Code:
Natural gas
ART. 175^1
[...]
(2) The economic operators authorized in the field og natural gas shall have the obligation to register with the competent fiscal body according to the norms.
Methodological Norms:
5^1. (1) The registration of economic operators authorized in the field of natural gas is the responsibility of the central fiscal authority. This obligation is the obligation of the economic operators authorized by the relevant authority in the field, for the direct distribution or provision of the natural gas to the final consumers. The registration is done based on the declaration showed in annex no 2.
(2) In the case of the natural gas from a supplier or second supplier in another member state and destined to be released for consumption in Romania, the excise duty shall be come chargeable at the moment of the supply to the final consumer and shall be paid by a company appointed in Romania by such supplier or second supplier, a company which also has the obligation to register in capacity as representative of the foreign supplier, with the central fiscal authority.
Fiscal Code:
Coal and coke:
ART. 175^2
[...]
(2) The coal and coke extraction and production companies as operators of excisable products shall have the obligation to register with the competent fiscal body according to the norms.
Methodological Norms:
5^1.1. (1) The economic operators authorized for the extraction of coal and the economic operators, coke producers shall register in capacity as excisable product economic operators, with the central fiscal authority. The registration is done based on the declaration showed in annex no 2.
(2) There are subject to the provisions of par. (1)also the economic operators that make intra-Community acquisitions or import such products, the chargeability of the excise arising when delivering the said products to the beneficiaries.
Fiscal Code:
Electricity
ART. 175^3
[...]
(3) The use of electricity for the purpose of producing electric power, for the combined production of electric and thermal power, as well as the use for maintaining the production capacity, for transporting and distributing electric power within the limits established by the Romanian Energy Regulatory Authority is not considered release for consumption.
(4) The economic operators authorized in the field of electricity are required to register with the competent fiscal authority, in accordance with the conditions stipulated in the norms.
Methodological Norms:
5^1.2. (1) The use of electricity for the purpose of producing electric power, for the combined production of electric and thermal power, as well as the use for maintaining the production capacity, for transporting and distributing electric power within the limits established by the National Energy Regulatory Authority is not considered release for consumption in the case of economic operators authorized by the National Energy Regulatory Authority.
(2) The economic operators which are authorized in the field of electricity by the National Energy Regulatory Authority, shall register in capacity as economic operators with excisable products, with the central fiscal authority. This is an obligation of the authorized economic operators that supply electricity directly to the final consumers. The registration is done based on the declaration showed in annex no 2.
(3) In the case of the electricity supplied by a distributor or second distributor established in another member state and destined to the release for consumption in Romania, the excise shall become chargeable when supplied to the final consumer and shall be paid by a company appointed in Romania by such distributor or second distributor; this company has also the obligation to register as representative of the foreign supplier with the central fiscal authority.
Fiscal Code:
Exceptions
ART. 175^4
(1) The provisions regarding excises shall not apply for: [...]
2. the following uses of energy goods and electric energy:
a) energy products used in purposes other than as fuel for engine or for heating;
b) dual use of energy products. [...]
d) electricity when represents more than 50% of the cost of a product according to the norms;
e) mineralogical processes according to the norms.
(2) Energy goods production shall not be considered:
a) operations during which small quantities of energy are obtained according to the provisions of norms; [...]
Methodological Norms:
5^1.3 (1) The economic operator acquiring energy products such as the ones provided in art. 175 par. (2) of the Fiscal Code, aiming to use them in one of the purposes stipulated in art. 175^4 par. (1) pt. 2 let. a), b) and e) of the Fiscal Code, shall submit a registration request to the territorial fiscal authority. The fiscal authority shall issue a end-user authorization, in accordance with the template provided in annex no 20, where it shall be mentioned as legal ground art. 175^4 of the Fiscal Code. The circulation of such products from the fiscal warehouse to the user shall be accompanied by the administrative document, in accordance with the procedure stipulated in art. 14.
(2) The authorization of end-user is valid one year from the date of its issuance. The quantity of excisable products specified in an authorization of end user may be supplement in situations well justified during the same period of authorization validity.
(3) The economic operator acquiring energy products, other than the ones provided in par. (2) of art. 175 of the Fiscal Code, aiming to use them in one of the purposes stipulated in art. 175^4 par. (1) pt. 2 let. a), b) and e) are registered with the territorial fiscal authority by submitting a statement on own liability, drafted in 3 copies, regarding the purpose the products are to be acquired for. Out of the 3 copies, with the fiscal registration number, one shall be kept by the beneficiary, one by the supplier and the third one by the fiscal authority.
(4) Both in case of the authorization of end-user and or the statement on own liability, the number of the authorization allocated by the territorial fiscal authority shall be preceded by the indicative RO followed by the county's indicative. Such number is the number that, in the case provided in par. (1), shall be communicated to the fiscal warehouse - supplier by the beneficiary, for the registration in box 4 of the accompanying administrative document.
(5) The territorial fiscal authorities shall keep records of the economic operators provided in par. (1) and (3) by recording them in special registers. The list including these economic operators shall be also published on the website of the Ministry of Public Finance, list that shall be monthly updated by the 15th of each month.
(6) For the purpose of the current norms, the cost of a product means the sum of all acquisitions of goods and services, plus personnel expenditures and the fixed capital consumption for an activity as defined in pt. 5^1.4. Such cost is calculated as an average cost per unit. For the purpose of the current norms, the electricity cost is the actual purchase price for the electricity, or the production cost of the electricity if obtained in the activity.
(7) For the purpose of the current norms, mineralogical processes means the processes classified in the NACE Nomenclature under code DI 26 “the fabrication of other products made of non-metallic minerals”, in accordance with the Council Regulation no 3037/90 of October 9, 1990 regarding the statistical classification of the economic activities in the European Community.
(8) For the purpose of the current norms, the operations during which small quantities of energy products are obtained, shall not be considered as production of energy products.
Fiscal Code:
Excise level
ART. 176
(1) The level of the harmonized excises during 2007 - 2010 is the one provided in annex no 1 which is part of the present title.
Methodological Norms:
5^1.4. (1) In the case of the energy products and electricity, the use with commercial purpose means the use by any economic operator – final consumer, which independently carries out, in any location, the supply of goods and services, irrespective of the purpose or outcomes of such economic activities.
(2) The economic activities include all the activities carried out by any producers, traders and persons which supply services, including farming activities and mining activities, as well as the free professions or activities assimilated to these.
(3) The government and local authorities and other public institutions shall not be considered as carrying out economic activities, in the case of activities or transactions in which they are involved in capacity as public authorities.
(4) For the purpose of the current norms, a part of a company or a legal body which, from an organizational viewpoint is an independent organization able to function by own means, shall not be considered as economic operator.
(5) The use of electricity for public lighting purposes is considered to be an use for commercial purposes.
(6) When the use for commercial purposes is combined with the use for non-commercial purposes, the excise duties shall be applied proportionally to each type of use, accordingly.
(7) For semester I of year 2007, the structure of the cigarette excise is 16.28 euro/1000 cigarettes + 29% applied to the maximal retail price declared.
Fiscal Code:
Excise calculation for cigarettes
ART. 177
[...]
(1^1) The Ministry of Public Finance, shall determine every six months, by an Order of the Minister of Public Finance, the level of the minimum excise based on the evolution of excise applicable to the cigarettes from the best sold price category.
Methodological Norms:
5^2. (1) In order to determine the excise for the cigarettes in the best sold price category, the authorized warehouse-keepers, the registered operators and the authorized importers of such products have the obligations to present, on a monthly basis, simultaneously with the situation of the markings, the situation of the cigarette deliveries carried out during the reporting month. This situation shall include information on the quantities delivered in the reporting month, expressed in 1000 cigarettes, for each price category, according to the template in annex no 3.
(2) The situations provided in par. (1) shall be drawn up in three copies, having the following destinations: one copy to be kept by the economic operator, the second copy to be transmitted to the competent fiscal authority, together with the approval for the orders and the third copy to be communicated to the central fiscal authority – the directorate having attributions in the elaboration of the legislation in the field of excise duties.
(3) After determining the excise duties for the cigarettes in the best sold price category, by order of the public finance minister, the amount in lei of the minimal excise shall be established, by applying the percentage rate stipulated in par. (1) of art. 177 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
Fiscal Code:
Excise calculation for cigarettes
ART. 177 [...]
(5) The maximum retail price for any brand of cigarettes is determined by the person who manufactures or imports cigarettes in Romania and is brought to public attention in accordance with the requirements of the norms.
Methodological Norms:
6. (1) The maximal retail prices for cigarettes shall be set by the warehouse keeper authorized for production purposes, the registered operator or the importer of such products and shall be communicated to the central fiscal authority - the directorate with attributions in elaborating the legislation in the field of excise duties.
(2) The maximal retail prices are recorded by the central fiscal authority based on the written declaration of the warehouse-keeper authorized for production purposes, of the registered operator or the importer, the template for this declaration is presented in annex no 4.
(3) The declaration shall be drawn up in three copies, to be registered with the central fiscal authority - the directorate with attributions in elaborating the legislation in the field of excise duties. After registration, one copy stays with the central fiscal 14 authority, the second copy goes to the person which draws up the declaration, and the third copy is sent to the fiscal authority having competency in approving the orders.
(4) The declaration, which shall specifically include the date as of which the maximal prices are to be applied, is to be filed with the central fiscal authority at least two days ahead of the date of application of such prices.
(5) The list with the maximal retail prices and the registration number assigned by the central fiscal authority shall be published in two major daily newspapers at least 24 hours before the effective date, by the warehouse-keeper authorized for production purposes, the registered operator or the importer.
(6) Each time they intend to modify the maximal retail prices, the authorized warehouse-keeper for production purposes, the registered operator or the importer have the obligation to re-declare the prices for all sorts of cigarettes, irrespective of the change occurring for one or more sorts of cigarettes. Such declaration shall follow the same template provided in par. (2) and shall be made in observance of the deadlines stipulated in par. (5) and (6).
(7) After receipt of the declarations regarding the maximal retail prices, and after publication in two major daily newspapers, the central fiscal authority shall publish these lists on its own website.
(8) The warehouse-keeper authorized for cigarette production purposes, the registered operator or the authorized importer of such products, when giving up the production, the acquisition or the importation of one cigarette sort, have the obligation to notify the central fiscal authority on this issue and to continue declaring the prices for such cigarette sorts in the maximal retail price declaration, during the entire period before these run out, but for no less than 3 months.
(9) When a non-registered operator acquires cigarettes in another member state, such operator shall follow the procedure provided in paragraphs (1) - (6).
(10) In case the maximal retail price declared cannot be identified for the cigarettes coming from seizures or for those that have not been identified as being traded in duty-free regime, the excises are calculated based on the total excise provided in annex no 1 of the Title VII - Excise duties and other special duties of the Fiscal Code.
Fiscal Code:
SECTION 4
Warehousing regime
General rules
ART. 178
[...]
(1) The production and/or storage of excisable products where the excise has not been paid may take place only in a fiscal warehouse.
(2) A fiscal warehouse may be used only for the production and/or storage of excisable products.
(3) Fiscal warehouse may not be used for retail sale of excisable products.
(4) The holding of excisable products outside a fiscal warehouse, for which no proof of the payment of excises may be made, attracts the payment of excises.
(5) There are excepted from the provisions of par. (3) shall not apply to fiscal warehouses delivering energy goods to airplanes and vessels or supplying excisable products from duty free shops, according to the norms.
(6) There are excepted from the provisions of par. (1) shall not apply to the small producers of still wines manufacturing in average less than 200 hl of wine per year.
Methodological Norms:
7. (1) In a fiscal warehouse for production and storage may be produced and stored only the excisable products falling into one of the groups of products listed below:
a) ethyl alcohol and alcoholic beverages provided in art. 162 162 let. a) - e) of Law no 571/2003 on the Fiscal Code, as amended and further completed;
b) processed tobacco;
c) energy products;
(1^1) The production and/or storage of food flavours; extracts and alcoholic concentrates with an alcoholic concentration exceeding 1,2% per volume.
(2) The small producers of still wines, with an average production of less than 200 hl per year, and the individual households stipulated in Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, which produce for own consumption are not considered to be under the warehousing regime.
(3) For the purpose of the current norms, the small producers of still wines are the economic operators producing still wines, which are legally and economically independent from any other economic operator – wine producer, which use own means for producing the wines and production premises different from the premises of any other economic operator – wine producer, and do not carry out their activity under a product license of any other economic operator – wine producer.
(4) In case no evidence can be produced, in the economic circuit, that the excisable products held for commercial purpose come from a fiscal warehouse, a registered operator, a non-registered operator or an importer, the excise shall be payable by the person where the economic circuit is interrupted, within five days after such finding is made.
(5) The following shall not be considered as retail sale:
a) energy products delivered for planes and ships;
b) the excisable products delivered in duty-free shops;
c) such deliveries which, irrespective of the recipient type – final consumer or not – are carried out by means of tanks, reservoirs or other similar containers, which are an integrant part of the transportation means used for the delivery;
d) energy products deliveries for the purposes set forth in art. 175 4 par. (1) pt. 2 of the Fiscal Code.
(6) In the case of fiscal warehouses authorized only for still and/or frothy wine production, the sale of wine containers from the shows or cellars located inside the warehouse shall not be considered as retail sale.
(7) The shops which are authorized according to the law for selling products under a duty-free regime are assimilated to the storage fiscal warehouses where both alcoholic beverages and processed tobacco may be stored. Such shops receive excisable products under a suspension regime based on the duty-free authorizations and no excise duties are payable for these products when purchased by persons travelling outside the community area.
(8) The still wines producers planning to produce for sale purpose an average annual quantity of less than 200 hl of wine, have the obligation to register with the territorial fiscal authority, through the public finance administration of residence, and to submit on a quarterly basis a declaration on the quantity of still wine produced and sold during the reporting month, following the template provided in annex no 5.
(9) If during the year a quantity of wine of more than 200 hl is produced, and if the producer wishes to continue this activity, such producer has the obligation to submit a request for authorization as authorized warehouse-keeper, within 15 days after the registration date. Until such authorization is obtained, the producer may only carry out a production activity, and not a trading activity. After obtaining the authorization as fiscal warehouse, irrespective of the production in the following period of time, the producer may not return to the status as small producer of still wines.
(10) If the request for authorization is rejected, the production activity shall be terminated and in such case, the stocks may be sold only after approval by the territorial fiscal authority, under fiscal surveillance.
(11) If the still wine producer does not observe the provision in par. (8) the wine production is deemed to take place outside a fiscal warehouse, which attracts the termination of the activity and the application of the penalties stipulated by law.
(12) Small producers may sell still wines in bulk or wholesale system, to shops specialized in wine selling, to food units or fiscal warehouses.
(13) In case the small producers of still wines carry out intra-Community transactions, such producers have the obligation to inform the central fiscal authority - with the purpose of being assigned an excise code – and shall observe the requirements stipulated in pt. 14.
Fiscal Code:
Application for authorization as fiscal warehouse
ART. 179
(1) A fiscal warehouse may operate only on the basis of a valid authorization issued by the competent fiscal authority.
(2) In order to obtain authorization for a place to operate as a fiscal warehouse, the person that intends to be the authorized warehouse-keeper for such place must submit an application to the competent fiscal authority in the form and manner provided in norms.
(3) The application should contain information about, and be accompanied by documents on:
a) location and nature of the place;
b) the types and quantity of excisable products estimated to be produced and / or stored within a year;
c) the identity and other information about the person who is to operate as warehouse keeper authorized;
d) the capacity of the person to be authorized as warehouse-keeper to meet the requirements of art. 183.
(4) The provisions of paragraph (3) are to be adjusted based on the specific activity to be carried out in the fiscal warehouse, in accordance with the provisions of the norms.
(5) A person who intends to be authorized as warehouse keeper shall, also, produced a copy of the management contract or of the ownership documents related to the premises where the fiscal warehouse is located.
(6) A person exercising expressly his/her intention of being authorized warehouse keeper for more fiscal warehouses may submit to the competent fiscal authority a single application. The application shall be accompanied by the documents provided by this title, corresponding to each of the locations.
Methodological Norms:
8. (1) A fiscal warehouse may function only on the basis of an authorization issued by the central fiscal authority, through the commission set up to this purpose by Order of the Minister of Public Finances, hereinafter referred to as the Commission.
(2) In order to obtain the authorization of fiscal warehouse, the proposed authorized warehouse-keeper must file a request with the territorial fiscal authority.
(3) The request must contain the information and be accompanied by the documents stipulated in the template provided in annex no 6, including by the procedure manual in which the production process is described.
(4) The persons wishing to obtain an authorization as warehouse-keepers for either production or storage of excisable products must hold in property or have the utilization right of the buildings and lands. The document attesting that the buildings and lands are held in property or under a utilization right are as follows:
a) for buildings, the extracts from land registry, accompanied by a copy of the title deed or, as the case may be, the reception report, for the case when these were built under own regie or a copy of the document attesting the utilization right in any legal form;
b) for lands, the extract from land registry accompanied by a copy of the title deed or a copy of the document attesting the utilization right in any legal form.
(5) The persons planning to obtain the authorization as warehouse-keepers for the production of excisable products must hold in property or have concluded leasing contracts for the installations and equipment directly involved in the production of the excisable products for which the authorization is to be obtained.
(5^1) The person intending to obtain an authorization as warehouse-keepers and carry out exclusive operations of bottling spirts must own or hold leasing contracts for bottling equipments.
(6) There do not fall under the provisions of par. (4) and (5) the research-development units organized set up to the regulations in Law no 290/2002 on the rules of functioning for the research-development units in the field of agriculture, forestry, food industry and for the "Gheorghe Ionescu-Siseşti" Agricultural and Forestry Science Academy, as amended and further completed.
(6^1) In case of production of ethyl alcohol, alcoholic drinks, mixtures of alcoholic drink with non-alcoholic drinks, the authorized warehouse-keeper proposed must submit the documentation drafted in accordance with the provisions of the present Methodological Norms, that shall include also the list of the type of products to be made in the fiscal warehouse, the detailed composition that may allow the classification in one of the group of excisable products defined in art. 169 - 173 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(6^2) The authorized warehouse-keepers proposed, provided in par. (6^1) may carry out their activity in technological tests regime, under the control of the territorial fiscal authority, during a 60-days period of time since the authority drafted the favourable report.
(6^3) During the technological tests, the authorized warehouse-keeper proposed is bound to obtain the tariff classification of the finite products from the National Customs Authority, based on the laboratory samples. The laboratory samples are performed by the National Customs Authority in its own laboratories or, upon request of such units, in the laboratories of other authorized institutions. The results of the laboratory samples and the tariff code asigned, together with the opinion of the customs authority referring to the classification in one of the groups of excisable products, shall be submitted to the territorial fiscal authority for completing the documentation to be subsequently submitted to the central fiscal authority in order to obtain the authorization.
(6^4) During the technological tests, the finite products obtained shall not leave the place proposed before the authorization of the fiscal warehouse.
(7) For the production of energy products, the proposed authorized warehouse-keeper must submit the documentation, in accordance with the provisions of the current Methodological Norms that also include the list with the semi-products and finite products, as recorded in the manufacture nomenclature, the utilization field for each of such products, as well as the excise duties for each product. The procedure provided in par. (6^1) - (6^4) shall also apply for the authorized warehouse-keepers proposed for the production of energy products.
(8) The provisions of par. (7) shall be applied to any new product entered in the manufacture nomenclature.
(9) The territorial fiscal authority shall verify the material existence and the accuracy of both information and documents submitted by the authorized warehouse-keeper proposed. A special focus shall be on the conditions stipulated in art. 180 of Law no 571/2003 on the Fiscal Code, as amended and further completed, as well as on the capacity of the authorized warehouse-keeper proposed to meet the conditions stipulated in art. 183 par. (1) let. c) and d) of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(10) The authorized warehouse-keeper proposed has the obligation to ensure all the circumstances necessary for the verification to be carried out under proper conditions, during the entire verification procedure.
(11) During the verification, the fiscal authority may require the support by the bodies having control attributions and, as the case may be, by the Ministry of Administration and Interior, for pre-investigation information regarding the observance of authorization conditions by each applicant.
(12) Within 30 days after the requests are submitted, the documentations shall be sent to the central fiscal authority, together with a report specifying the standpoint on the opportunity to issue the authorization for authorized warehouse-keeper and, as the case may be, the aspects found on any inconsistency with the information presented by the authorized warehouse-keeper proposed. Such reports shall be signed and stamped by the territorial fiscal authority.
(13) The central fiscal authority may request from the authorized warehouse-keeper proposed any information and documents deemed as necessary, on:
a) the location and the nature of the proposed fiscal warehouse;
b) the types and quantities of excisable products that are to be produced and/or stored in the proposed fiscal warehouse;
c) the identity of the authorized warehouse-keeper proposed;
d) the capacity of the authorized warehouse-keeper proposed to ensure the guarantee.
Fiscal Code:
Conditions for authorization
ART. 180
(1) The competent fiscal body shall issue the fiscal warehouse authorization for a premises only if the following conditions are met:
a) the premises shall be used to produce, bottle, pack, receive, store and/or dispatch the excisable products. In case of a premises to be authorized only as fiscal warehouse for storing, the quantity of excisable products stored should be bigger than the quantity provided in norms, different according to the group of products stored and to the potential related excises;
Methodological Norms:
9. (1) A location may be authorized as fiscal warehouse for storage purposes when the quantity that is stored at such location corresponds to an average quarterly volume of excisable products recorded within the past calendar year, which exceeds the ceilings provided below:
a) beer - 150,000 litres;
b) wines and fermented drinks - 150,000 litres;
c) intermediary products - 150,000 litres;
d) spirts - 25,000 litres of pure alcohol;
e) ethyl alcohol – 400,000 lifters of pure alcohol;
f) alcoholic drinks in general - 30,000 litres of pure alcohol;
g) cigarettes – a quantity whose value at the maximal retail price should not be under 2,500,000 euro;
h) energy products – 2,500,000 kg. This minimal quantity is not compulsory in the case of fiscal warehouses for storage purposes to be used only for the supply of aircrafts, ships and boats;
i) food flavours, alcoholic extracts and concentrates - 1,500 litres of pure alcohol.
(2) In the case of a fiscal warehouse newly authorized for storage purposes, the minimal quantity stipulated in par. (1) shall be estimated.
(3) In case any authorized warehouse-keeper for storage purposes that fails to observe, during a continuous period of 6 months, the provisions of par. (1), the authorization shall be revoked. The authorization shall be revoked by the central fiscal authority.
(4) The ceilings stipulated in par. (1) are not compulsory for:
a) the fiscal warehouses authorized exclusively for distribution of alcoholic drinks and processed tobacco for consumption or sale on board of ships and aircrafts;
b) the fiscal warehouses for storage of alcoholic drinks and processed tobacco which are located in ports and airports and function solely under a duty-free regime;
c) the state reserve and the mobilization reserve.
(5) The warehouse-keepers authorized for warehousing shall register in their own records all the operations carried out with regard to the acquisitions and deliveries of excisable products and shall submit on a monthly basis to the territorial fiscal authority in the area of the fiscal residence an overview of such operations, until the 15th of the month following then month the situation refers to. The template of the overview is similar to the one provided in annex no 14.
Fiscal Code:
Conditions for authorization
ART. 180
(1) [...]
b) the premises is located, built and equipped so as to prevent the removal of excisable products from such premises without the payment of excises, according to the provisions of the norms;
(2) The provisions of par. (1) shall be adapted accordingly on groups of excisable products and on categories of warehouse keepers according to the provisions of norms.
Methodological Norms:
9^1. (1) The place must be strictly delimitated – own access, enclosing –, and the activity developed in this place to be independent from other activities developed by the company that requests the authorization as fiscal warehouse.
(1^1) Excepted from the provisions of par. (1) regarding the strict delimitation and enclosing of the floating tanks intended for warehousing the energy products within the port areas, in order to supply the ships.
(2) The places destined to the production of ethyl alcohol and distilled products as raw material and the ones destined to the production of alcoholic beverages obtained exclusively from alcohol and distilled processing, must be endowed with legal measuring means to determine the alcoholic concentration, approved by the Romanian Office of Legal Metrology.
(3) In the case of fiscal warehouses of alcohol and distilled production, the distilling, distillation pipes must be endowed with meters to determine the quantity of products obtained, approved by the Romanian Office of Legal Metrology.
(4) In the case of fiscal warehouses – small distilleries – that use alembic type installations to carry out the production, these must be endowed with measuring vessels approved by the Romanian Office of Legal Metrology.
(5) In the case of fiscal warehouses stipulated in par. (4), during the period of non-functioning will be applied the sealing and un-sealing procedure provisioned at pt. 4^2.
(6)*) The places destined to the production of alcohol and distilled products, as raw material, must be endowed with a surveillance system by video cameras at the points the meters and alcohol and distilled products reservoirs are located, and also at the access ways to the fiscal warehouse. The surveillance systems shall bear the seals of the authorized fiscal authority, and the change of the tapes shall be made only in the presence of the fiscal authority representatives. The archiving of the images obtained through the cameras is made on video tapes or in the memory of the system, the archiving duration of the recorded images being of minimum 10 days. It is not within the jurisdiction of these provisions the small producers of distilled products whose production capacity does not exceed 10 hl/year.
------------
*) According to art. I par. 12 from the Government Decision no 213/2007, paragraph 6 of point 9^1,second stage is abrogated.
(7) In a fiscal warehouse of storing can be deposited products from the alcohol drinks range, bottled, in distinctly allocated places, as beer, wines, fermented drinks other than beer and wines, intermediary products, spirts.
(8) A place can be authorized as fiscal warehouse of storing ethyl alcohol and distilled products only if it has calibrated reservoirs approved by the Romanian Office of Legal Metrology.
(9) In order to register the beer production obtained, each warehouse-keeper authorized for production is required:
a) to register the beer production resulted at the end of the technologic process, by the appropriate measuring equipment of the barrels, bottles, laddens or of the beer filtered at the storing containers, and register these data in the production and management reports, specifying the capacity of the packs and the quantity of beer expressed in litres;
b) to determine the sugar concentration of beer, according to the valid standards regarding determination of concentration expressed in Plato grades of beer, set up by the Standardization Association in Romania and issue bulletins of physical-chemical analysis. While verifying the sacharimetrical concentration of beer assortments, the concentration written in the technical internal specification shall be taken into consideration, set up based on the valid standard for each assortment.
(10) A place can be authorized as fiscal warehouse of storing energy products only if is equipped with reservoirs distinctly standardized for each type of product, calibrated by the Romanian Office of Legal Metrology.
(11) The places destined to the production of energy products must be endowed with measuring means of the volume and mass debit.
(12) The places destined to producing energy products for which are due excises only in Euro/tone or Euro/1000 kg, the places destined to produce fuels which tariff code is provisioned in art. 175 par. (3) let. g) of Law no 571/2003 on the Fiscal Code, as amended and further modified, as well as the places destined to bottle the liquefied petrol gas will be endowed with mass measuring means.
(13) Any exit in suspension regime of the alcohol and distilled products, as well as the exit of energy products from the reservoirs of the fiscal warehouse shall be communicated to the fiscal territorial authority where the warehouse in question carries out its activity, before it occurs, based on a procedure established by an Order of the President of the National Agency of Fiscal Administration.
(14) A customs warehouse where products subject to harmonized excise duties coming from import may be also authorized as fiscal warehouse only based on the customs warehouse authorization, upon the request of the economic operator - importer.
Fiscal Code:
ART. 180
[...]
(3) Premises related to the State reserve and reserve for mobilization shall be assimilated to the fiscal warehouses according to the provisions of norms.
Methodological Norms:
9^2. (1) The state reserve and mobilization reserve will be authorized as a sole fiscal warehouse of storing, disregarding the number of storing places it owns.
(2) In order to obtain the authorization, the institution managing the state reserve and mobilization reserve shall submit a request at the central fiscal authority, according to the model provisioned in annex no 6.
Fiscal Code:
Authorization as fiscal warehouse
ART. 181
(1) Fiscal competent authority shall notify in writing the authorization as fiscal warehouse, in 60 days from the date of submission of complete documentation for authorization.
Methodological Norms:
10. (1) The Commission established at the Ministry of Public Finances issued decisions approving or rejecting the request of the authorized warehouse-keeper proposed after analyzing the complete documentation submitted by the applicant.
(2) To the works of the committee there shall be invited, as the case may be, one representative from the Ministry of Administration and Interior, the Ministry of Economy and Commerce and Ministry of Agriculture, Forestry, Water and Environment, and one representative of the owners associations of producers of excisable products or warehouse-keepers of such products, legally established.
(3) The authorization for a fiscal warehouse is issued on the 1st of the month following the month when the authorization request was approved by the Commission.
(4) In the case of authorization of fiscal warehouse loss, the holder of the authorization shall announce the loss in the Official Gazette of Romania, 3rd Part.
(5) Based on the document certifying that the previous announcement regarding the loss was forwarded for publishing in the Official Gazette, the fiscal authority issuing the authorization shall issue upon request a duplicate of this.
Fiscal Code:
ART. 181
[...]
(2) The authorization is to contain the following:
[...]
f) the period of validity for the authorization;
[...]
(3) In the case of authorized fiscal warehouses for storing, the storing maximum capacity of the proposed fiscal warehouses shall be determined commonly agreed with the competent fiscal authority, according to the provisions of the norms.
[...]
(6) An authorized warehouse-keeper may request to the competent fiscal authority to modify the authorization, according to the provisions of the norms.
Methodological Norms:
10^1. (1) *** Abrogated
(2) In the case of the proposed warehouse that fulfils the conditions for authorization as fiscal warehouse of storing and complies with the limits stipulated in pt. 9, shall also present a declaration regarding the maximum storing capacity.
(3) The authorized warehouse-keepers can solicit to the central fiscal authority the modification of the authorization when errors are observed within the written fiscal warehouse authorization or in other cases this is justified.
Fiscal Code:
Obligations of the authorized warehouse-keeper
ART. 183
(1) Any authorized warehouse-keeper is required to meet the following requirements:
a) to submit to the competent fiscal body, if necessary, a guarantee for the production, processing and possession of excisable products, and a mandatory guarantee for the movement of these products under the conditions laid down by norms;
Methodological Norms:
11. (1) The guarantee for the flow of the excisable products is constituted for the products moved in suspension regime and is valid on the entire European Community territory.
(2) The excisable energy products transported within the community by sea or through pipes exclusively are not under the obligation of guarantee constituting.
11^1. *** Abrogated
Fiscal Code:
ART. 183
(1) Any authorized warehouse-keeper is required to meet the following requirements: [...]
l) to comply with other requirements imposed by the norms.
Methodological Norms:
12. (1) The authorized warehouse keepers must own a computerized system of products from the warehouses evidence, of those entered or exit, those lost by deterioration, breaking, stealing and of the excises for these product categories. In the case of the fiscal warehouse of production for ethyl alcohol and distilled products as raw material, the system must also ensure the evidence of raw materials introduced in fabrication, as well semi-products on the line of fabrication.
(2) There do not fall under the provisions of par. (1) fiscal warehouses – small distilleries -, that use for production installations of alembic type.
(3) *** Abrogated
Fiscal Code:
Annulment, revoking and suspension of the authorization
ART. 185
[...]
(12) The authorized warehouse keepers, whose authorization was suspended, revoked or annulled and have excisable products stocks at the date of suspension revoking or annulment, can turn to account the products registered on stock – raw materials, semi-products, finite products – only with by the approval of the competent fiscal authority, according to the conditions within the norms.
Methodological Norms:
12^1. (1) The suspension measure - except for the case stipulated in par. (4) -, of revoking or cancelling authorizations shall be decided by the Commission established within the central fiscal authority, based on the control papers issued by the specialized authorities, in which were noted breaches of the legal regulations that attract enforcement of these measures.
(2) The control papers stipulated in par. (1), duly justified, will be handed in, in 2 working days since termination, to the commission established within the central fiscal authority, that will analyze the control authority's proposal and decide in consequence.
(3) The decision by the Commission established within the central fiscal authority shall be brought to the knowledge of the sanctioned warehouse-keeper and of the territorial fiscal authority.
(4) In case of non payment of the excises on terms provisioned by the law, the authorizations suspension measure will be decided at the moment of finding, by the territorial fiscal authority.
(5) When the shortcomings that lead to the revocation measure do not have fiscal consequences and are remediate within 10 working days since the date of control act by the relevant bodies, these bodies following to communicate to the Commission established within the central fiscal authority that the shortcomings have been remediate, in which case the Commission shall no longer continue with the revocation measure.
(6) *** Abrogated
(7) In all the cases regarding the authorization suspension, revocation or annulment, this leads to the activity suspension and, as the case may be, to sealing the production installations, operation that will be executed by the territorial fiscal authority in the area where the authorized warehouse-keeper carries out its activity.
(8) The authorized warehouse-keepers whose authorization was suspended, revoked or annulled can turn to account the products registered on stock – raw materials, semi-products, finite products – only with the approval of the territorial fiscal authority financially liable for managing the authorized warehouse-keeper by issuing a decision for this purpose.
(9) In all the cases of suspension or revocation of the fiscal warehouse authorization - until the date such deed produces effects-, the turning to account the products registered on stock is made under fiscal surveillance, as follows:
a) either by other fiscal warehouses, in excises suspension regime;
b) either by other economic operators at prices including excises.
(10) In case of annulment or revocation of the authorization, the request for a new authorization may only be submitted after a 5-year period of time, respectively 6 months from the moment when the decision of annulment or revocation becomes final with respect to administrative appeal methods or of the date of the final and irrevocable court decision.
(11) The request of renunciation to a fiscal warehouse, containing the reasons of such decision, shall be submitted to the territorial fiscal body. The territorial fiscal body has the obligation to verify if when submitting the request the authorized warehouse-keeper has stock of excisable products and it the provisions in the field have been accordingly observed. After verification, the request of renunciation, accompanied by the verification document, shall be submitted to the central fiscal authorities.
(12) The request of renunciation to the authorization issued for a fiscal warehouse, if such authorization was suspended or annulled, as the case may be, shall not produce legal effects during the period in which the decision or revoke or annul, as the case may be, is stipulated in the procedure provided by Law no 554/2004 on contentious administrative matters, as amended and further completed.
Fiscal Code:
Registered operator
ART. 185^1
(1) The registered operator should be registered with the competent fiscal authority according to the norms before the receipt of the products.
Methodological Norms:
12^2. (1) The registered operator is the authorized natural or legal person to develop this activity, to receive excisable products under suspension regime from the authorized warehouse keepers, others than those on Romanian territory.
(2) The registered operator can function only based on the authorization issued by the central fiscal authority through the Commission.
(3) In order to obtain the registered operator authorization, the person that intends to be a registered operator must submit an application to the territorial fiscal authority.
(4) The application shall contain the information and be accompanied by the documents provided in annex. 7. In order to be authorized each proposed registered operator must have declared at least one location in which is to receive excisable products from the authorized warehouse-keepers from other member states.
(5) In case the reception of excisable products occurs in multiple locations the application will be accompanied by a statement regarding the locations the reception of the excisable products is to occur.
(6) The request that does not fulfil the conditions stipulated in par. (4) and (5) is considered null.
(7) The territorial fiscal authority can solicit the proposed registered operator any information and documents considered necessary, as the case may be, regarding:
a) the identity of the proposed registered operator;
b) location and maximum storing capacity of the places the excisable products are received at;
c) types of excisable products to be received in any location;
d) the proposed registered operator’s capacity to ensure the guarantee according to the provisions of pt. 20.
(8) During the checking activity the territorial fiscal authority can solicit the control authorities’ support to provide some preliminary investigation elements regarding the fulfilment of the authorization conditions by each applicant.
(9) When in 30 days since the documentation hand in, the territorial fiscal authority, after verifying the correctness of the data and information presented by the proposed registered operator, finds that he does not fulfill the conditions to be authorized, will communicate in writing to the proposed registered operator the decision of application rejection with the corresponding justification.
(10) The person convicted by a definitive court decision in Romania or other state for an crime among those provisioned by the custom or fiscal legislation will not be authorized as registered operator.
(11) The proposed registered operator is conditioned during the checking activity to ensure the necessary conditions for its development.
(12) The territorial fiscal authority has the obligation that within 30 days since the application and complete documentation were submitted, to transmit the Commission the file accompanied by a report regarding the opportunity of issuing the registered operator authorization.
(13) The Commission will communicate in writing to the applicant the decision of authorization as registered operator, or, as the case may be, the decision of rejecting the application. At the same time, the Commission will inform the territorial fiscal authority on the way of settling the application.
(14) In the case of authorization as registered operator, the Commission will issue the authorization that contains the following items: the excise duties code, registered operator's identification elements, type of excisable products that are to be received, level and form of guarantee, and also the validity period of the authorization.
(15) The registered operator authorization shall be valid for 5 years, starting on the day 1 of the month following the month when the registered operator proves the guarantee constituted in the amount and form provisioned by the authorization.
(16) In case of any modifications from the initial data mentioned in authorization, the registered operator has the obligation to request the modification by the Commission its modification, as follows:
a) for each new location where the reception of excisable products is to occur, the registered operator will submit to the territorial fiscal authority an application accompanied by the statement stipulated at par. (5), at least 15 days before products reception;
b) if the registered operator's identification data are modified in 30 days since the date of modification registration;
c) if the modifications concern the type of the excisable products, at least 60 days prior to the receipt of products.
(17) The registered operator may not receive any excisable products in a location unless its registration with the territorial fiscal authority where it is registered as taxpayer is proved and it has an assigned excise duties code. The territorial fiscal authority shall submit to the Commission, within 5 working days a copy of the declaration for the new location, for the assignment of an excise code.
(18) After allocation of the excise duties code, within 3 working days, a copy of the statement this code is written on will be transmitted to the registered operator's fiscal authority in order to bring to his knowledge and, as the case may be, the territorial fiscal authority's knowledge from the area the new location is found.
(19) The excisable products received in suspension regime by the registered operator are accompanied by the accompanying administrative document, according to the procedure stipulated at pt. 14.
(20) The registered operator authorization can be revoked when its holder does not fulfil one of the conditions stipulated in art. 185^1 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(21) The registered operator authorization can be revoked also in case the authorized registered operator commits a crime against the customs or fiscal regulations.
(22) The revoking decision is communicated to the registered operator and it becomes effective as of the date when it is communicated.
(23) Under exceptional circumstances, when the registered operator’s legitimate interests impose this, the Commission may postpone the coming into effect of the revoking decision, for a later date.
(24) Any registered operator may dispute the decision of authorization revoking, according to the actual legislation.
(25) The contest of the revoking decision of the registered operator authorization suspends the legal effects of this decision during the period of contest settlement in administrative procedure.
(26) In case the registered operator wishes to renounce the authorization has the obligation to notify the Commission this fact at least 60 days before the date the renouncement produces its effects.
Fiscal Code:
Non-registered Operator
ART. 185^2
The non-registered operator has the following obligations:
a) to submit a declaration to the competent fiscal authority, before the products are delivered by the authorized warehouse-keeper; and to guarantee the payment of the excise duty, under the norms conditions;
Methodological Norms:
12^3. (1) The non-registered operator is an individual or legal person authorized to perform its profession, to receive occasionally products subject to excise duty under duty-suspension arrangements originated from authorized warehouse-keepers, others than those on the territory of Romania.
(2) The non-registered operator may not hold or deliver products subject to excise duty under duty-suspension arrangements.
(3) A non-registered operator may perform intra-Community procurement of products subject to excise duty, only base on the authorization issued by the territorial fiscal authority with which it is registered as tax and duties payer, through the department with responsibilities in authorization field.
(4) In order to obtain the authorization of non-registered operator, the persons intending to has such operator capacity must submit a declaration to the territorial fiscal authority.
(5) The application shall contain the information and be accompanied by the documents provided in Annex. 8.
(6) The declaration that does not contain all required information is deemed null and void.
(7) Before registering declaration, the non-registered operator shall establish a guarantee according to the amount of the excise duty related to the products to be received, in the account of the Ministry of Public Finance, and to notify this to the territorial fiscal authority.
(8) The authorization of non-registered operator is issued for each operation of procurement of excisable products under duty-suspension arrangements according to the provisions of par. (1)
(9) In order to issue the authorization, the territorial fiscal authority may require the proposed non-registered operator any information and documents deemed necessary, as the case may be, on:
a) identity of the proposed non-registered operator;
b) place where are received the excisable products;
c) types of excisable products to be received.
(10) The authorization of non-registered operator shall be issued within maximum 5 working days from the submission of the complete documentation, in two copies.
(11) One copy of the authorization is kept by the issuer fiscal authority and the second copy is issued to the non-registered operator. For each operation one copy of the authorizations is sent to the fiscal warehouse-dispatcher, and it shall accompany the shipment to the destination, being enclosed to the accompanying administrative document.
(12) There shall not obtain the capacity of non-registered operator the persons that have perpetrated a serious crime or repeated crimes against the custom or fiscal regulations.
(13) The non-registered operator shall keep separate records regarding the quantity of the products received under duty-suspension arrangements. The information on the products shall be registered in a special register where shall be specified the following information's: the country and the name of the fiscal warehouse-dispatcher, products name, the measurement unit, the received quantity, the authorization registration number, the number of the related accompanying administrative document, the amount of the paid excise duty and the number of the payment document.
(14) The products subject to excise, received under duty-suspension arrangements by the non-registered operator are accompanied by the accompanying administrative document, according to the procedure provided at pt. 14.
(15) The non-registered operator shall upon the receipt of the products subject to excise duty to notify the fiscal authority under which jurisdiction the products were received, and to keep the excisable products at the receipt location at least 48 hours, in order for them to be verified and for the accompanying administrative document to be certified by the representative of this authority.
(16) If the receipt of the excisable products is carried out at a location found in the jurisdiction of another fiscal authority than that having issued the authorization, the fiscal authority from the location of products receipt shall operatively notify the fiscal authority issuer of the authorization on this aspect.
Fiscal Code:
SECTION 5
Moving and receiving excisable products under duty-suspension arrangements
The movement of excisable products under duty-suspension arrangements
ART. 186
[...]
(2) During the movement of an excisable product, the excise duty is suspended, if the following requirements are met:
[...]
d) the container, in which the product is moved, is properly sealed, according to the norms provisions;
Methodological Norms:
13. (1) The containers, in which the excisable products under duty-suspension arrangements are moved, shall bear the seals of fiscal warehouse-dispatcher.
(2) For the purpose of this methodologic norms, container means any container used to transport wholesale quantities of excisable products and for the bulk commercial movement, any tank related to the trucks, wagons, ships or other transportation means, or a ISO tank.
(3) For the movement under duty-suspension arrangements of the excisable products from a fiscal warehouse in Romania to a Member State, including for the movement to a custom office of exit from the Community Territory, the containers, in which the respective products are moved, shall bear also the seals affixed by the representative designated by the territorial fiscal authority which jurisdiction the product leave or the competent authority of another Member State, in situation when the seals of the containers have to be broken and then these have to be resealed. When the custom clearance is carried out at a custom office on the Community Territory, the seals affixed by the representative of the fiscal authority shall be replaces, as the case may be, with the custom seals.
(4) For the movement of the excisable products between a custom office of entry on the Community Territory and a fiscal warehouse in Romania, the containers, where the products are, shall bear also the seals of the custom office or of the competent authority of the Member State, in the situation when the seals of the containers have to be broken and then these have to be resealed.
(5) The seals provided in par. (3) and (4) one use only and shall bear the marks of those affixing them.
(6) The provisions of par. (2) of art. 186 of the Fiscal Code are applied also to the intra-Community movement of the products subject to excise duty with zero share, which were not released for consumption.
Fiscal Code:
Accompanying administrative document
ART. 187
(1) The movement of excisable products under duty-suspension arrangements is permitted only when accompanied by the accompanying administrative document. The model of the accompanying administrative document shall be provided in the norms.
(2) For the movement of excisable products under duty-suspension arrangements, this document is executed in 5 copied, used as follows:
a) the first copy is kept by the fiscal warehouse-dispatcher;
b) the 2, 3 and 4 copies of the document accompany the excisable products during the movement to fiscal warehouse receiver, registered operator or non-registered operator. Upon the arrival of the products at the destination location, these shall be filled in by the receiver and shall be certified by the competent fiscal authority under which jurisdiction it carries out its activity of receiver, with the exceptions provided in the norms. After the certification, the copy no. 2 of the accompanying administrative document shall be kept by this, the copy no. 3 shall be sent to the shipper, and iar the copy no. 4 shall be sent to and kept by competent fiscal authority of the receiver;
c) The copy no. 5 is forwarded by the shipper, at the time of shipment of the products, to the competent fiscal authority under which jurisdiction it operates.
(3) The fiscal warehouse-receiver, the registered operator or the non-registered operator shall send to the fiscal warehouse-dispatcher the copy no. 3 of the accompanying administrative document, in accordance with the legislation of the Member Stat of the shipper.
Methodological Norms:
14. (1) The accompanying administrative document is a cheeking instrument for the origin, delivery, transport and admission of the excisable products moved under duty-suspension arrangements from a fiscal warehouse to another fiscal warehouse or to a registered operator or to a non-registered operator.
(2) The model of the accompanying administrative document is in accordance with the Regulation (EC) No. 2719/1992 on the accompanying administrative document for the movement under duty-suspension arrangements of products subject to excise duty, as further amended and completed, and it is provided in Annex no. 9.
(3) The accompanying administrative document, according to the Community Legislation, is usually drafted in 4 copies, out of which:
a) the first copy is kept by the fiscal warehouse-dispatcher;
b) the 2, 3 and 4 copies of the document accompanying the excisable products during the movement to fiscal warehouse-receiver, registered operator or non-registered operator.
(4) For Romania, the accompanying administrative document is drafted in 5 copies. The copy no. 5 is sent by the fiscal warehouse-shipper to the territorial fiscal authority under which jurisdiction it operates, in electronic format upon the shipment of the products, and on hard copy in the next working day after the products shipment.
(5) Upon the arrival of the product in the fiscal warehouse-receiver, to the registered operator or to the non-registered operator, it shall fill in all 3 copies of the accompanying administrative document in the receiver related fields. Before opening and unloading product, the receiver shall notify the territorial fiscal authority under which jurisdiction it operates, in order to designate a representative thereof, who shall carry out, within maximum 48 hours from the notification, the verification and certification of the data included in the accompanying administrative document.
(6) Out of the 3 copies certified by the representative of the territorial fiscal authority, the copy no. 3 is sent by the fiscal warehouse-receiver, registered operator or non-registered operator to fiscal warehouse-shipper, and the copy no. 4 is sent to the fiscal authority under which jurisdiction the receiver operates. The copy no. 2 is kept by the fiscal warehouse-receiver, to the registered operator or to the non-registered operator, as the case may be.
(7) To what concerns the warehouse-keeper authorized for the ethyl alcohol production and processing, all 5 copies of the accompanying administrative document shall be endorsed in the field related to the sending fiscal authority, by the fiscal representative designated by this authority. If the fiscal warehouses for ethyl alcohol production and processing are in different localities, it shall act as provided in par. (4), (5) and (6).
(8) However, when fiscal warehouses for ethyl alcohol production and processing are in the same place, the accompanying administrative document is drafted in 3 copies, out of which the first copy is kept in the fiscal warehouse for production, copy no. 2 remains with the fiscal warehouse for processing, and the copy no. 3 is sent to the territorial fiscal authority under which jurisdiction they operate. In this case, the copies no. 2 and 3 are filled in by fiscal warehouse for processing as fiscal receiver, and the certification is carried out by the fiscal representative.
(9) For the intra-Community deliveries under duty-suspension arrangements, the warehouse-keeper authorized as shipper, or its representative, may modify the content of the boxes no. 4, 7, 7a, 13, 14 and/or 17 in the accompanying administrative document, in order to specify the new receiver - authorized warehouse or registered operator -, as well as the new delivery destination location. In this situation, the competent fiscal authority of the shipper shall be immediately notified, and the new receiver or delivery location shall be specified in on the back page of the accompanying administrative document.
(10) Upon the issuance of the accompanying administrative document for the intra-Community movement of the energy products on maritime or fluvial ways, the warehouse-keeper authorized as shipper may not fill in the boxes no. 4, 7, 7a, 13, 14 and/or 17 in this, if, upon the products shipment, it does not know the receiver, but only if:
a) the territorial fiscal authority authorize the fiscal warehouse-shipper not to fill in those boxes before the products delivery;
b) the fiscal authority-shipper sends to the territorial fiscal authority the appropriate information on the name and address of the receiver, the excise duty code of these and the Member State of destination, immediately as these are known or when the products reach the destination, the latest.
(11) For the intra-Community movement of the excisable products under duty-suspension arrangements, the fiscal warehouse-shipper in a Member State may use instead of the accompanying administrative document a commercial document provided in the legislation of that Member State, which shall contain the same information as those contained in the accompanying administrative document.
(12) The provisions of par. (1) of art. 187 of the Fiscal Code are not applicable for the situation provided in par. (2) and (3) of pt. 2^2.
(13) The intra-Community movement of the excisable products subject to the marking according to the provisions of art. 202 of the Fiscal Code, from a Member State other than Romania, products intended to the sale in Romania, shall be accompanied by the accompanying administrative document.
(14) If the receiver of the excisable products, after the certification of the copies no. 2, 3 and 4, ascertains the loss of the copy no. 3 of the accompanying administrative document, this may sent to the shipper a photo copy of the copy no. 4 of the accompanying administrative document.
Fiscal Code:
The receipt of the excisable products under duty-suspension arrangements
ART. 188
For a product under a duty-suspension arrangements that is moved, the excise duty continues to be suspended upon the receipt of the product at a fiscal warehouse, if the following requirements are satisfied:
[...]
c) the fiscal warehouse-receiver shall obtain from the competent fiscal authority a certification of the accompanying administrative document for the excisable products received, except as provided in norms;
Methodological Norms:
14^1. The obligation for the competent fiscal authority to certify the accompanying administrative is not applicable for the excisable products moved under duty-suspension arrangements through fixed lines.
Fiscal Code:
Discharge of the accompanying administrative document
ART. 189^1
If a person that shipped an excisable product under duty-suspension arrangements does not receive the certified accompanying administrative document, within 45 days from the date of the product shipment, it shall notify within the following 5 days the competent fiscal authority on such fact, and it shall shall pay the excise duty for that product, within 7 days from the date of expiration of the term for the receipt of such document.
Methodological Norms:
14^2. (1) The term of receipt of the certified accompanying administrative document, is of 45 working days from the date of products shipment.
(1^1) The authorized warehouse shall notify the competent fiscal authority on the fiscal warehouse-keeper shipper failure to receive in due time the certified accompanying administrative document, and also it shall pay the appropriate excise duty.
(2) If the certified accompanying administrative document is received by the shipper after the expriation term provided in par. (1), this may request the refund of the excise duty paid, within 12 months from the document's certification. In this situation the shipper shall submit a request to the fiscal authority with which it is registered as tax and duties payer, the request being accompanied by supporting documents.
Fiscal Code:
The movement of an excisable product between a fiscal warehouse and a customs office
ART. 191
(1) For the movement of an excisable product between a fiscal warehouse in Romania and a customs office of exit from the Community Territory, or between a customs office of entry on the Community Territory and a fiscal warehouse in Romania, the excise duty shall be suspended if the conditions laid down in norms are met. These conditions are in accordance with the principles laid down in art. 186 - 190.
Methodological Norms:
15. (1) Notwithstanding the custom legislation formalities, the movement of an excisable product between a fiscal warehouse in Romania and a customs office of exit from the Community Territory, for export purposes, is accompanied by the accompanying administrative document. This document is drafted in 5 copies.
(2) During the movement the excise duty is suspended if the following conditions are met:
a) the product is accompanied by copies no. 2, 3 and 4 of the accompanying administrative document;
b) the packaging in which the product is moved has on the outside part the markings clearly identifying the type and quantity of the product contained;
c) the container, in which the product is moved, is sealed according to the provisions of pt. 13;
d) the product is accompanied by proof of a security established by the fiscal warehouse for the payment of excise duties related to the product moved.
(3) The first copy of the accompanying administrative document remains to fiscal warehouse-shipper, and the copy no. 5 is sent to the territorial fiscal authority under which jurisdiction it operates.
(4) After the final exit of the products from the Community Territory and the drafting of the single administrative document provided in par. (5), the copies no. 2, 3 and 4 of the accompanying administrative document are confirmed by the custom office of exit from the Community Territory. The copy no. 2 remains with the custom office, and the copies no. 3 and 4 are to be sent by these to the fiscal warehouse-shipper and respectively to the territorial fiscal authority under which jurisdiction the shipper operates.
(5) For the movement of a product between a customs office of entry on the Community Territory and a fiscal warehouse in Romania, the excise duty is suspended if the following conditions are met:
a) the excisable product is accompanied by 3 copies of the single administrative document regulated by the custom legislation, out of which one is a photo copy of the copy no. 2. This document replace the accompanying administrative document and has the same role;
b) the packaging in which the product is moved has on the outside part the markings clearly identifying the type and quantity of the product contained;
c) the container, in which the product is moved, is sealed according to the provisions of pt. 13;
d) the product is accompanied by the proof of a security established by the fiscal warehouse-receiver for the payment of excise duties related to the product moved.
(6) The 3 copies of the single administrative document accompany the excisable products to fiscal warehouse-receiver.
(7) After the certification of these 3 copies by fiscal warehouse-receiver, a copy shall be kept by it, the second copy is sent back to the customs office of entry on the Community Territory, and the third one is sent the territorial fiscal authority in which jurisdiction the fiscal warehouse-receiver operates.
(8) The proof of a security established by a fiscal warehouse for the payment of the excise duties related to the product moved shall be represented by the written confirmation of the territorial fiscal authority regarding the security deposited, in accordance with the provisions of art. 183 par. (1) letter a) from the Law no 571/2003 on the Fiscal Code, as amended and further completed.
(9) For the case when the single administrative document is used, upon its filling in the following rules shall be taken into consideration:
a) in box no. 33 of the single administrative document, the appropriate NC code shall be filled in;
b) in box no. 44 it shall be clearly specified that this is a delivery of products subject to excise duties;
c) a photo copy of the copy no.1 of the document shall be kept by the shipper;
d) a photo copy of the copy no. 5 of the endorsed document shall be given back to the shipper by the beneficiary.
15^1. *** Abrogated
Fiscal Code:
Moment of the chargeability of the excise duties
ART. 192 [...]
(3) In the case of loss or shortcomings, the excise duty for an excisable product becomes chargeable at the time when a loss or a lack of excisable product is ascertained.
(4) The provision of par. (3) shall not apply and the payment of excise duty is not due if the loss or lack occurs while the excisable product is under duty-suspension arrangements and any of the following conditions are met: [...]
b) the product is not available for use in Romania due to evaporation or other causes which are the result of natural production, possession or movement of the product, but only if the quantity of product which is not available to be used in Romania does not exceed limits provided by the norms.
Methodological Norms:
16. In the case of loss or shortcomings of excisable products, they are admitted as non-taxable when the following conditions are met:
a) they may be proved by the minutes regarding the recording of losses or deficiencies;
b) they observe the limits provided by the technical norms of the machineries and installations; and
c) they are shown and recorded in the accounting system.
Fiscal Code:
(3) In the case of loss or shortcomings, the excise duty for an excisable product becomes chargeable at the time when a loss or a lack of excisable product is ascertained.
[...]
(5) For an excisable product, which has the right to be exempted from excise duty, the excise duty becomes chargeable on the date on which the product is used for any purpose that is not in accordance with the exemption.
(6) For an energy product, for which the excise duty has not been previously chargeable, the excise duty becomes chargeable on the date on which the energy product is used as fuel for engine or fuel for heating.
(7) For an excisable product, for which the excised duty has not been previously chargeable and which is stored in a fiscal warehouse for which the authorization is to be revoked or cancelled, the excise duty becomes chargeable on the date of revocation or cancellation of the authorization for the excisable products that may be released for consumption.
Methodological Norms:
17. (1) For all the situations provided in art. 192 par. (3), (5), (6) and (7) of the Law no. 571/2003 on the Fiscal Code, as further amended and completed, the excise duty shall be paid within 5 days from the date when it became chargeable.
(2) In the case of losses registered in an fiscal warehouse authorized for the production and/or storage of excisable products with different excise duty levels, the excise duty related to the losses, when this does not fall under one of the situations provided in art. 192 par. (4) of Law no 571/2003 on the Fiscal Code, as further amended and completed, is calculated with the lowest share in that fiscal warehouse.
(3) In the case of energy product for which the excise duty has not been previously chargeable, and by changing the original destination, is offered for sale or used as fuel or carburant, the excise duty becomes chargeable on the date when energy product is offered for sale, the seller shall pay the excise duty, or the date when it is used as fuel or carburant, the user shall pay the excise duty.
Fiscal Code:
(8) The excise duties are calculated on the share and the exchange rate in force when the excise duty becomes chargeable.
Methodological Norms:
18. The exchange rate for the calculation of the excise duties is that established according to the provisions of art. 218 of the Fiscal Code.
Fiscal Code:
Excise duties refunds
ART. 192^1
(1) For the energy products accidentally contained or combined, returned to the fiscal warehouse for recycling, the excise duties paid shall be refunded under the conditions provided by the norms.
(2) For alcoholic drinks and tobacco products withdrawn from the market, if their condition or outdated make improper for consumption, the paid excise duties shall be refunded under the conditions provided in norms.
(3) The refunded excise duty may not exceed the amount actually paid.
Methodological Norms:
18^1. (1) For the products subject to harmonized excise duties, returned in the production fiscal warehouses in order to be recycled, reconditioned or destroyed, the excise duties paid, as a result of the release for consumption of this products, may be refunded upon the request of the fiscal warehouse-receiver.
(2) The fiscal warehouse-receiver shall submit the request of refund of the excise duties related to the excisable products quantity before they are returned to the production fiscal warehouse, to the territorial fiscal authority with which is registered as tax and duties payer.
(3) The request of refund is to be accompanied by the following documents:
a) a memorandum within which to be justified the causes and the excisable products quantities subject to the return in the production fiscal warehouse,
b) the supporting documents confirming the causes determining the return of the excisable products in the production fiscal warehouse;
c) the documents justifying the fact that those products were made by the fiscal warehouse-receiver.
(4) The territorial fiscal authority shall analyze the request and the documentation submitted by the fiscal warehouse-receiver and shall decide on the refund of the excise duties.
(5) The excise duties shall be refunded according to the provisions of the Fiscal Procedure Code.
(6) There do not fall under the provisions of par. (1) the products subject to excise duties which were released for consumption with more than 2 years before the date of request submission.
Fiscal Code:
SECTION 5^1
The shortcomings and nonconformities occurred during the intra-Community movement of the excisable products under duty-suspension arrangements
Shortcomings during the suspension
ART. 192^2
(1) The authorized warehouse-keepers benefit from exemption for the losses as those provided in art. 192 par. (4), occurred during the intra-Community movement of the products under duty-suspension arrangements. In this situation, the losses shall be proved according to the rules of the destination Member State. These exemptions are applied also to registered operators and to non-registered operators during the movement under duty-suspension arrangements.
(2) Without breaching the provisions of art. 192^3 in the case of shortcoming, other than the losses referred to in par. (1), and in the case of the losses for which there are not grated the exemptions provided in par. (1), the excise duty shall be established based on the shares applicable in those Member States, when the losses - correctly established by the competent authorities - occurred or, if necessary, when the shortcoming was registered.
(3) The shortcomings referred to in par. (2) and the losses which are exempted according to the provisions of par. (1), for all situations, shall be specified by the competent fiscal authorities on the back page of the copy of the accompanying administrative document which shall be returned to the shipper, according to the procedure established by norms.
Methodological Norms:
18^2. (1) In the case of products losses or shortcomings occurred during the intra-Community movement of the products subject to excise duties under duty-suspension arrangements, the competent authority of the Member State where those losses or shortcomings were ascertained, shall specify this on the accompanying document copy to be returned.
(2) On the arrival of the products in the destination Member State, the competent authority of that Member State shall specify if partial exemption or exemption is granted or not for the losses or shortcomings established.
(3) In the cases covered by par. (1) and (2) the competent authority of the destination Member State, shall specify the calculation basis of the excise duty.
(4) The competent authority of the destination Member State shall send to the competent authority of the Member State where the losses or shortcoming were ascertain, a photo copy of the accompanying document copy to be returned.
(5) The excise duty due is calculated by the competent authority of the Member State where the losses or shortcoming were ascertain or established, based on the excise duties share applicable in that state, when the losses occurred, or if necessary, when the shortcoming was registered.
Fiscal Code:
Products with paid excise duties, used for commercial purposes in Romania
ART. 192^4
[...]
(3) The excise duty is due, as the case may be, by the trader in Romania or by the person receiving the products to be used in Romania.
Methodological Norms:
18^2.1. - (1) For the food flavours, the alcoholic extracts and concentrates, the excise duties paid by the trade in Romania as result of the purchased from a supplier in another Member State, may be refunded upon the request o the trader complying with the requirements provided in par. (5) of art. 192^4 of the Fiscal Code.
(2) The request of refund is to be accompanied by:
a) a document certifying that that the excise duty was paid; and
b) the photo copy of the documents certifying the delivery was made by a production fiscal warehouse of alcoholic drinks at prices without exice duties; or
c) photo copy of the documents certifying the delivery was made to an economic operator-producer of non-alcoholic drink or food products, where to be specified "excise duty exempted".
Fiscal Code:
Simplified accompanying document
ART. 192^5
(1) The simplified accompanying document is drafted by the shipper in 3 copies and it is used as follows:
a) the first copy is kept by the shipper;
b) the copy no. 2 and 3 of the Simplified accompanying document accompany the excisable products during the transportation to the receiver;
c) copy no. 2 is kept by the products receiver;
d) copy no. 3 shall be returned to the shipper with the receipt certificate and with the specification of the subsequent fiscal treatment of the merchandises in the destination Member State if the supplier clearly requests this within a request of refund of excise duties.
(2) The model of the simplified accompanying document shall be provided in the norms.
Methodological Norms:
18^3. (1) The simplified accompanying document is used for the products subject to excise duties which were released already for consumption in a Member State and which move within this Member State and Romania in order to be used for commercial purposes.
(2) The simplified accompanying document is used also for the intra-Community movement of the alcohol completely denaturised.
(3) The model of the simplified accompanying document is in accordance with the Community Legislation and it is provided in Annex no. 10.
(4) In the cases covered by par. (1) and (2) for the excisable products already released for consumption in a Member State and which are intended to be used for commercial purposes in another Member State, the Member States may use a commercial document containing the same information as that contained by the simplified accompanying document.
Fiscal Code:
Refund of the excise duties for the products with paid excise duties
ART. 192^6
(1) A trader, during its activity, may request the refund of the excise duties related to the excisable products which were released for consumption in Romania, when these products are intended for consumption in another Member State, by observing the following conditions:
a) before the products release, the shipper trader shall submit a request of refund to competent fiscal authority and shall prove that the excise duty was paid;
b) the delivery of the products to the destination Member State is made in accordance with the provisions of the art. 192^4;
c) the shipper trader shall produce to the competent fiscal authority the returned photo copy of the document provided in art. 192^5, certified by the receiver, which shall be accompanied by a document certifying that the excise duty was paid in the destination Member State. The shipper trader shall also produce the notice to the fiscal authority office in the destination Member State and the acceptance dare of the declaration of the receiver by the competent fiscal authority of the destination Member State, together with the registration number of this declaration.
(2) For the products subject to excise duties, which are marked and released for consumption in Romania, the excise duties may be refund by the competent fiscal authority, if this authority established that those marking respective were destroyed under the conditions provided in the norms.
Methodological Norms:
18^4. (1) Before products shipment, the shipper trader shall notify the territorial fiscal authority on its intention to request the refund of the excise duties for the products to be shipped for consumption in another Member State and to prove that those excisable products were paid.
(2) After the products are received by the receiver and the excise duty is paid in destination Member State, the shipper trader shall submit to the territorial fiscal authority the request of refund, which model is provided in Annex no. 11. The request of refund shall be accompanied by the documents provided by the Fiscal Code.
(3) The excise duty to be refunded shall be related to the quantities actually shipped and received.
(4) The excise duties shall be refunded according to the provisions of the Fiscal Procedure Code.
(5) For the products subject to the excise duties, that were marker and released for consumption in Romania, and which are indended for consumption in another Member State, the excise duties may be refunded by the territorial fiscal authority only to the extend of a value corresponding to the value of the excise duties related to the quantity of shipped products. The marks shall be unsticked under fiscal surveillance, upon the request of the shipper trader.
(6) If a trader in Romania is to receive products subject to the excise duty released for consumption in another Member State, before the products are shipped by the supplier, this shall submit a declaration on this fact to the territorial fiscal authority. Based on this declaration, the territorial fiscal authority shall acknowledge the operation to be carried out and for which the chargeability of the excise duties arise on the receipt of the products, the payment term is the first working day following the day when the products were received.
Fiscal Code:
Individuals
ART. 192^7
(1) For the products subject to the excise duties and released for consumption in another Member State, purchased by individuals for own needs, and transported by themselves, the excise duties are due in the Member State where the products were purchased.
(2) The products purchased by individuals are deemed to be indented for commercial purpose, under the conditions and in the quantities provided by the norms.
Methodological Norms:
18^5. (1) For establishing the commercial purpose of the excisable products purchased from another Member State, by individuals, the following requirements shall be taken into consideration:
a) the commercial status of the holder and the reasons for holding the products;
b) the location where the products are, or, if the case may be, the used transportation mean;
c) any other document regarding those products;
d) nature of the products;
e) quantity of products.
(2) Ther are deemed procurements for own use the products bought and transported by individuals in these quantities:
A) Processed tobacco:
1) cigarettes - 800 pieces;
2) cigarettes (with a maximum weight of 3 grams/piece) - 400 pieces
3) sheets for cigarettes - 200 pieces
4) tobacco for smoke - 1 kg
B) Alcoholic drinks
1) spirits - 10 litres
2) intermediary products - 20 litres
3) wines and fermented drinks - 90 litres
4) beer - 110 litres.
(3) The products purchased and transported in higher quantities that those established in par. (2) are deemed, unless otherwise proved, to be purchased for commercial purposes, and for these shall be observed the provisions of art. 192^4 of the Law no. 571/2003 on the Fiscal Code, as amended and further completed.
(4) The competent fiscal authority may establish based on the criteria provided in par. (1) if the products hold in lower quantities or equal to the limit quantities provided in par. (2) are intended for commercial purposes.
Fiscal Code:
Remote sale
ART. 192^8
(1) The products subject to excise duties, bought by persons who do not have the capacity of authorized warehouse-keeper or registered operator or non-registered operator, and which are directly or indirectly shipped or transported by the seller or on its behalf, are excise duties in the destination Member State. For the purpose of this article, the "destination Member State" is the Member State where the dispatch or transport of excisable products arrive.
(2) The delivery of products subject to excise duties, already released for consumption in Member State and which are directly or indirectly shipped or transported by the seller or on its behalf by a person provided in par. (1), settled in another Member State, makes the excise duty to be due for these products in the destination Member State. In this situation, the paid excise duties in the goods origin Member State shall be refunded upon the request of the seller , under the conditions established by norms.
(3) The destination Member State excise duty shall be due by the seller upon the delivery.
Methodological Norms:
18^6. (1) The person who does not have the capacity of authorized warehouse-keeper or registered operator or non-registered operator, and which purchases products subject to excise duties in order to directly or indirectly ship or transport them in another Member State, for other purposes than commercial ones, shall register in this end with the fiscal authority where it has its location.
(2) The persons specified in par. (1) shall keep a strict record of all products deliveries for the remote sales, where they shall register for each delivery:
a) the registration number appropriate to the delivery;
b) delivery date;
c) the number of the invoice or of the commercial document replacing the invoice;
d) destination country;
e) the receiver's identification data: name, address;
f) group of shipped products, including the appropriate NC codes;
g) quantity of shipped products, expressed in measurement units appropriate to the excise duty calculation rule;
h) the level of the security established in the destination state;
i) proof of receiver products receipt;
j) proof of the excise duties payment in the destination Member State;
k) the amount of the excise duties for which the refund was requested;
l) reference to the trimester of the year when the refund is requested.
(3) The seller shall request to the fiscal authority under which jurisdiction it has its office, and a refund request, according to the model provided in Annex no. 12, specifying the deliveries made within the remote sale, for which excise duties were paid on the territory of the destination Member States, during a trimester.
(4) The request shall be presented within the last 20 days of the month following the end of the trimester when were paid the excise duties in the destination Member States and it shall contain the information referring to the quantities of excisable products and the registration numbers of the deliveries for which the refund is requested, as well as the total amount to be refunded.
(5) The transaction generating the refund right is the payment of the excise duties in the destination Member State.
(6) The seller shall keep available for the fiscal authorities for a period of 5 years, the invoices and all the documents certifying the excise duties payment on the national territory, for the shipped products, and the excise duties payment in the destination Member States.
(7) The fiscal authority analyzes the request and the documents presented by the seller and if these are justified, it shall refund the excise duties requested.
(8) The value of the excise duties refunded may not exceed the excise duties paid through the purchase price of excisable products.
(9) When the destination Member State is Romania, the excise duty is due by the seller and is paid in Romania by the seller, mandatory through the fiscal representative designated by this in Romania.
(10) The payment term for the excise duties shall be working day following immediately the day when the receiver receivesd the merchandises.
Fiscal Code:
Fiscal representative
ART. 192^9
(1) For the products subject to excise duties originated from another Member State, the warehouse-keeper authorized as shipper may designate a fiscal representative.
(2) The fiscal representative shall be settled in Romania and registered with the competent fiscal authority.
(3) The fiscal representative shall instead and on behalf of the receiver, who does have the capacity of authorized warehouse-keeper, observe these requirements: [...]
b) to pay the excise duties upon the merchandises receipt, according to the procedures established by norms; [...]
(4) For the situations regulated by art. 192^8, the seller may designate a fiscal representative, under the form and method provided in par. (2) and (3).
Methodological Norms:
18^7. (1) The warehouse-keeper authorized as shipper from another Member State may, before making a delivery to a registered or non-registered operator in Romania, to designate a fiscal representative.
(2) The fiscal representative shall be settled in Romania and registered with the central fiscal authority.
(3) In order to obtain the authorization, the fiscal representative shall submit to the central fiscal authority a request accompanied by these documents:
a) the articles of incorporation of the fiscal representative, which enables it to carried out this activity;
b) the representation contract concluded with the warehouse-keeper authorized as shipper.
(4) The model of request for fiscal representative authorized is provided in Annex no. 13.
(5) The authorization as fiscal representative may be granted only to persons offering the securities necessary for the correct application of the legal provisions and for which the necessary follow-up and control measures may be provided without being necessary additional administrative expenses.
(6) The request for authorization may not be approved for the persons who have perpetrated a serious crime or repeated breached of the custom or fiscal regulations.
(7) The decision not to grant the authorization shall be sent in written, together with the reasons that led to this decision.
(8) The authorization is revoked or modified when one or several conditions provided for its issuance were not or are no longer met.
(9) The authorization may be revoked when the its holder does not comply with an obligation it has, as the case may be, by holding this authorization.
(10) The authorization is revoked if after its issuance there are perpetrated one of the deeds provided in par. (6).
(11) The revocation or modification of the authorization is notified to its holder.
(12) The revocation or modification of the authorization produces effects from the date when it was notified. However, for exceptional cases ant to the extended to which the legitimate interests of the authorization's holder impose this, the competent fiscal authority may establish a further effective date.
(13) The same procedure is applied for the fiscal representative designated by the seller who carries out the remote sale.
(14) The fiscal representative pays the excise duties for the received products, according to the information received from the registered operator, non-registered operator or from the remote seller.
(15) The merchandises receipt date is the date of the document drafted for the merchandises receipt.
Fiscal Code:
Declaration regarding the intra-Community purchases and deliveries
ART. 192^10
The registered and non-registered operators, as well as the fiscal representative shall send to the competent fiscal authority a monthly situation of the purchases and deliveries of excisable products, by the 15th, including, of the month following the one the situation refers to, under the conditions established by norms.
Methodological Norms:
18^8. (1) The registered and non-registered operators, as well as the fiscal representative shall register in their own records the transactions carried out regarding the purchases and deliveries of excisable products.
(2) The registered and non-registered operators, as well as the fiscal representative shall monthly submit to the territorial fiscal authority under which jurisdiction they have their office, an overview of the purchases and deliveries of excisable products, by the15th of the month following the one the overview refers to.
(3) The model of overview provided in par. (2) is provided in Annex no. 14.
Fiscal Code:
Electronic data register
ART. 192^11
[...]
(2) The persons authorized as warehouse-keepers and registered operators, as well as the locations authorized as fiscal warehouses, will be attributed by the competent fiscal authority with an excise duty code, which configurations shall be made according to the provisions of the norms.
Methodological Norms:
18^9. The warehouse-keepers and registered operators, as well as the locations authorized as fiscal warehouses, will be attributed by the competent fiscal authority with an excise duty code, which configurations shall established by Order of the Minister of Public Finance.
Fiscal Code:
SECTION 6
Obligations of the excise duties payer
Payment of the excise duties to the state budget
ART. 193
(1) The excise duties are revenues to the state budget. The excise duties are to be paid by the 25th, including, of the month following the month when the excise duties become chargeable.
(2) By exception from provisions of par. (1), the excise duties payment term is:
a) for registered operators - the working day following immediately the one when the excisable products were received;
b) for electric energy or natural gas authorized suppliers - the 25th of the month following the one when the final consumer was invoiced.
(3) For the import of a excisable product, which is not under duty-suspension arrangements, by derogation from par. (1), the excise duties payment date is date of custom import declaration registration.
Methodological Norms:
18^10. For excisable products for which it is due the contribution to health fund in accordance with the provisions of the Law no. 95/2006 on health care reform, as further amended and completed, the amounts representing the contribution are transferred in the account of the Ministry of Public Health by the excise duties payer: the legal persons warehouse-keepers authorized for production or the warehouses authorized for storage to which the products were shipped, as well as the authorized importer, the registered operators and non-registered operators .
18^11. *** Abrogated
Fiscal Code:
Fiscal Documents
ART. 195
(1) For excisable products other than those marked, which are transported or held outside the fiscal warehouse or customs warehouse, the origin should be established using the document to be determined by the norms. The document can not be older than 5 days. This provision is not applicable to excisable products transported or held by persons other than traders, to the extent that these products are packed in packages intended for retail sale.
(2) All shipments of excisable products are accompanied by a document, as follows:
a) the movement of excisable products under duty-suspension arrangements is accompanied by the accompanying administrative document;
b) the movement of excisable products released for consumption is accompanied by invoice that shall specify the amount of the excise duty, the model being provided in the norms;
c) the transportation of excisable products, while the excise duty was paid, is accompanied by an invoice or accompanying endorsement, as well as by a simplified accompanying document; as the case may be.
Methodological Norms:
19. (1) Any excise duty payer, who delivers excisable products to another person, shall deliver to that person an invoice. This invoice shall contain all elements provided in art. 155 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(2) For the deliveries of excisable products made from fiscal warehouses, except for deliveries under duty-suspension arrangements, the invoice shall include separately the value of the excise duty for each product or, if excise duties are not due as result of an exemption, the words "exempted from excise duty."
(3) For cigarettes deliveries, the invoice shall contain a field related to the maximum retail sale price declared by the producer, importer, registered operator or non-registered operator, as the case may be.
(4) The person issuing the invoice which includes excise duty shall keep a copy of each invoice and shall submit this copy at the request of fiscal authorities.
(5) For marked excisable products, except for the situation when the products are under duty-suspension arrangements, their transports from the production fiscal warehouse-keeper to other proper storage locations of the authorized warehouse-keeper, or the transport from the location where the products are received by the registered or non-registered operator to other proper locations of them, the accompanying endorsement shall be used, where there shall be specified the value of the excise duties related to the quantities of transferred excisable products.
(6) The accompanying endorsement where the excise duty is separately recorded is used with other excisable products for which the excise duty becomes chargeable at the time of removal from under duty-suspension arrangement, without interfering the exchange of property.
(7) In the cases provided in par. (5) and (6) is not mandatory the registration of the excise duties in the invoices prepared on the delivery of products, but there shall be mentioned the words "excise duties paid".
(8) The movement of excisable products under duty-suspension arrangements is always accompanied by the accompanying administrative document. For the movement of excisable products under duty-suspension arrangements from a custom office of entry on the Community Territory to a fiscal warehouse, these shall be accompanied by the single accompanying document issued by that custom office.
(9) During the intra-Community movement of the products purchased in Romania, for which the excise duty was paid in the shipment Member State, the documents that shall accompany the transport are the invoice and the simplified accompanying document regulated in pt. 18^3 or other commercial document containing the same information as in the simplified accompanying document.
(10) The accompanying administrative document and the simplified accompanying document are documents under special regime and are printed by the Compania Naţională "Imprimeria Naţională" - SA
(11) The documents provided in par. (10) are purchased against a price from the territorial fiscal authority based on an order bill provided in Annex no. 15. The order bill shall be approved only if the applicant justifies the necessity of purchasing these documents.
Fiscal Code:
Responsibilities of the excise duties payer
ART. 197
[...]
(2) The authorized production warehouse-keepers shall monthly submit, by the 15th of each month, for the previous month, to the competent fiscal authority a situation containing the information regarding the stock of raw materials received and finished products during the month, the purchase of raw materials, the quantity manufactured during the month, the stock of finished products and raw materials at the end of the reporting month and the quantity of delivered products, according to the model presented in the norms.
Methodological Norms:
19^1. (1) For purposes of art. 197 par. (2) of Law no 571/2003 on the Fiscal Code, as further amended and completed, raw materials mean the raw material received at the base necessary for the excisable product production, and the finished products shall be reported on groups of products.
(2) The model of the situation provided in art. 197 par. (2) of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, is provided in Annex no 16 and it shall be drafted on group of products.
Fiscal Code:
Guarantees
ART. 198
(1) The authorized warehouse-keeper - after accepting the conditions of authorization of the fiscal warehouse -, the registered operator, non-registered operator and the fiscal representative shall submit to the competent fiscal authority a guarantee, according to the provisions of the norms, to ensure the payment of the excise duties which may become chargeable.
(2) The calculation method, the amount and duration shall be provided in norms.
(3) The amount of the guarantee is to be analyzed periodically in order to reflect any change in the volume of the business or in the level of excise duties due.
Methodological Norms:
20. (1) Any authorized warehouse-keeper shall provide a guarantee to cover the risk of non-payment of excise duties for excisable products produced and/or stored in each fiscal warehouse.
(2) Any authorized warehouse-keeper shall provide a guarantee to cover the risk of non-payment of excise duties for excisable products moved under duty-suspension arrangements.
(3) Any registered or non-registered operator shall ensure a guarantee to cover the risk of non-payment of excise duties for excisable products purchased from a fiscal warehouse in another Member State.
(4) Any fiscal representative designated in Romania shall a guarantee to cover the risk of non-payment of excise duties for excisable products delivered by a fiscal warehouse in a Member State to a registered operator or to a non-registered operator or in the case of a remote sale.
(5) The guarantee may be as cash deposit and/or as a personal guarantee.
(6) In the case of a cash deposit the following rules shall apply:
a) there shall be specified the money means at the unit of the State Treasury where the fiscal body is registered, at the level of the guarantee;
b) any interest paid by the Treasury in connection with the deposit belongs to the authorized warehouse-keeper.
(7) For the personal guarantee the following rules shall apply:
a) the guarantor shall be a banking company in the Community Territory;
b) there shall be a bank guarantee letter in the favour of the fiscal authority with which the economic operator is registered as tax, duties and other contribution payer.
(8) A warehouse-keeper authorized for production, transformation and/or storage of excisable products, shall submit a guarantee corresponding to a share of 6% of the amount of the excise duties related to the annual exits average of excisable products from the fiscal warehouse, in the last 3 calendar years.
(8^1) By exception from provisions of par. (8) a warehouse-keeper authorized for production, transformation and/or storage of excisable products, shall submit a guarantee corresponding to a share of 8,33% of the amount of the excise duties related to the annual exits average of excisable products from the fiscal warehouse, in the last 3 calendar years.
(8^2) For all situations, including the cigarettes, the value of the excise duties representing the calculation base for establishing the guarantee is determined by applying the excise duty share in force upon the guarantee establishment, provided in Annex no. 1 of the Title VII - Excise duties and other special duties of the Fiscal Code.
(8^3) In the situations provided in par. (8) and (8^1), the guarantee is reduced as follows:
b) by 50%, if the Commission established in the central fiscal authority determines that in the last 3 consecutive years of activity as warehouse-keeper authorized it complied with the legal provisions on excise duties.
b) by 75%, if the Commission established in the central fiscal authority determines that in the last 5 consecutive years of activity as warehouse-keeper authorized it complied with the legal provisions on excise duties.
(9) Any authorized warehouse-keeper provided in par. (8) and (8^1) shall establish a guarantee corresponding to a share of 2.5% of the amount of excise duties related to the quantity of excisable products moved under duty-suspension arrangements to another Member State in the year previous to the guarantee establishment.
(10) If the amount of the guarantee established according to the provisions of par. (8) and (8^1) is greater than the guarantee established according to the provisions of par. (9), the latter one shall be deemed as already established.
(11) Any registered operator shall deposit a guarantee corresponding to a share of 6% or 8.33%, in the case of processed tobacco, of the total of the excise duties related to the products purchased in the previous year.
(12) In the case of a new authorized warehouse-keeper or of a new registered operator, the guarantee shall be of 6% or 8.33%, in the case of the processed tobacco, of the estimate excise duties, related to the products to be manufactured or purchased during one year.
(13) *** Abrogated
(14) Any non-registered operator and the fiscal representative shall deposit a guarantee equivalent to the value of the excise duties related to each transaction concerning the purchase of excisable products. The guarantee shall be established before the products are delivered by the shipper.
(15) The guarantees established upon the authorization are valid as long as they are not executed by the fiscal body with which the authorized warehouse-keeper and registered operator are registered as tax, duties and other contributions payer.
(16) In the case of the executed guarantees, the failure to establish a new guarantee within 30 days at the level provide in these norms, leads to the interdiction to carry out the transactions with excisable products under suspension arrangements.
(17) The guarantees established by the authorized warehouse-keepers are deposit with the territorial fiscal authority within 15 days from the date when authorization become valid. The territorial fiscal authority, within 5 working days, shall send the original document certifying the establishment of the guarantee to the fiscal body with which the authorized warehouse-keeper is registered as tax, duties and other contribution payer, and a photo copy of the document shall be send to the fiscal authority that issued the authorization.
(18) The guarantee level is analyzed every semester by the territorial fiscal authority in order to update depending on the changes in the volume of business, in the activity of the warehouse-keeper/the registered operator or in the due excise duty. In this respect, the authorized warehouse-keeper/registered operator shall submit one at sis months, by the 15th of month following the end of the semester, to the territorial fiscal authority, a statement on information necessary to the analysis. The amount of the guarantee established by the update shall be communicated to the warehouse-keeper/registered operator by way of decision issued by the territorial fiscal authority, which shall be part of the authorization of fiscal warehouse. A photo copy of the decision shall be send also to the central fiscal authority. The establishing term of guarantee thus determined shall be of maximum 30 days from the communication date.
(19) Any authorized warehouse-keeper or registered operator may ensure, upon request, one guarantee to cover all the fiscal warehouses of that authorized warehouse-keeper, or all locations designated by the registered operator for the receipt of excisable products, as well as the guarantee related to the excisable products movement. The value of the total guarantee shall be equal to the amount of the guarantees related to each fiscal warehouse hold by the authorized warehouse-keeper, including the guarantee related to the movement under suspension-arrangements of the excisable products, or the amount of the guarantees related to each location of receipt designated by the registered operator.
(20) In the case of the fiscal authorized warehouses base on the authorization of custom warehouse, there is no obligation to establish a guarantee when the guarantee related to the custom warehouse includes also the value of the excise duties.
Fiscal Code:
SECTION 7
Exemptions from excise duty payment
General exemptions
ART. 199
(1) The excisable products are exempt from the excise duty payment when they are intended for:
a) delivery in the context of diplomatic or consular relations;
b) international organizations recognized as such by the public authorities of Romania, and the member of these organizations, within the limits and under the conditions laid down by international conventions, which bring the bases of these organizations, or by agreements concluded at state or government level;
c) the armed forces of any state Party to the North Atlantic Treaty (NATO), except for the Armed Forces of Romania, as well as for the civil personnel that accompanies them or for the supply of the officers' mess or their canteen;
d) the consumption subject to an agreement concluded with non-member states or international organizations, provided that such an agreement is permitted or authorized in respect with the exemption for value added tax.
(2) The method and conditions for granting the exemptions provided in par. (1) shall be regulated by norms.
(3) The excise duties are not to apply to the import of excisable products in the luggage of travellers and other natural persons, whether domiciled in Romania or abroad, within the limits and in accordance with the requirements provided by the norms.
Methodological Norms:
21.
21.1. (1) The exemption from the excise duties payment provided in art. 199 of Law no 571/2003 on Fiscal Code, as further amended and completed, are directly granted when the beneficiary purchase the excisable products from a fiscal warehouse, hereinafter named supplier, except for the situations provided in pt. 21.2, 21.3 and 21.4.
(2) The contractors of the armed forces, belonging to the State Party to the North Atlantic Treaty, as defined in the special agreements (NATO/SOFA), as well as the Ministry of National Defence when purchasing excisable products for/or on behalf of NATO forces.
(3) For the application of the exemption provided in art. 199 par. (1) letter a), b) and d) of the Law no. 571/2003 of the Fiscal Code, as further amended and completed, the beneficiary of the exemption - legal person, shall address to the Ministry of Foreign Affairs, in order to be established the quantity of excisable products that may be purchased under exemption arrangements, on group of products, as provided in art. 162 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(4) In the case of the exemption provided in art. 199 par. (1) let. c) of Law no 571/2003 of the Fiscal Code, as further amended and completed, the beneficiary of the exemption - legal person, shall address the Ministry of National Defence, in order to determine the quantity of products, as provided in art. 162 of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(5) The quantity requested according to the provisions of par. (3) and (4) shall represent the necessary estimated for one year, or, as the case may be, the necessary related to the period of stay on the territory of Romania, when this period is less than one year.
(6) After establishing the quantity of excisable products, the Ministry of Foreign Affairs or the Ministry of National Defence, as the case may be, it shall be sent to the territorial fiscal authorities serving the beneficiary - legal person, an overview situation including the quantities established for each beneficiary.
(7) For each purchase transaction on the territory of Romania of excisable products under exemption arrangements, the beneficiary shall use the certificate of exemption which model is provided in Annex no. 17.
(8) For each intra-Community purchase transaction of excisable products under exemption arrangements, the beneficiary shall use the certificate of exemption regulated by the Commission Regulation no. 31/1996, which mode is provided in Annex no. 18.
(9) In the cases provided in par. (7) and (8) certificate of exemption represents the proof for the authorized warehouse-keeper for the exemption from the payment of excise duties of the goods intended for institutions, according to art. 199 par. (1) of Law no 571/2003 on the Fiscal Code, as amended and further completed.
(10) The certificate of exemption is drafted by the receiver and it is certified by the competent authority of its host Member State before the shipment of excisable products. In the case of Romania, the competent authority for sealing the certificates of exemption, is the fiscal authority serving the beneficiary.
(11) If the exempted beneficiary is on the territory of Romania, the certificate of exemption is drafted in2 copies:
a) a copy is kept by the shipper, as part of its documentation;
b) the second copy accompany the transport from the supplier to the beneficiary and it is kept by the exempted beneficiary.
(12) The authorized warehouse-keeper as shipper shall register in its records the certificates of excise duties exemption, realted to each transaction.
(13) The transport of excisable products from the supplier to the beneficiary is accompanied, besides the certificate of excise duties exemption, also by the accompanying administrative document provided in pt. 14.
(14) Upon the arrival of the product to the beneficiary, this shall fill in all the 3 copies of the accompanying administrative document to the fields related to the receiver and, before opening and unloading the product, it shall request to the fiscal authority, serving it, to designate representative thereof, who within 48 hours shall verify and certify the data included in the 3 copies of the accompanying administrative document.
(15) Out of the 3 copies certified by the representative of the fiscal authority serving the beneficiary, the copy no. 3 shall be sent by the beneficiary to the fiscal warehouse-shipper, and the copy no. 4 shall be sent to the fiscal authority serving the beneficiary. The copy no. 2 is kept by the beneficiary.
21.2. (1) For the car fuels purchased through distribution stations, the exemption from the payment of excise duties shall be granted by refund.
(2) The beneficiaries of the exemption from the excise duties payment provided in art. 199 par. (1) of Law no 571/2003 on Fiscal Code, as further amended and completed, shall address the Ministry of Foreign Affairs or, as the case may be, to the Ministry of National Defence, in order to determine the annual quantities of fuels, scheduled by months, to be purchased under excise duty exemption arrangements, for each car and person.
(3) The Ministy of Foreign Affairs and the Ministry of National Defence shall send to the fiscal authority serving the beneficiary, the list including the quantities of fuel established according to par. (2).
(4) On the occasion of each fuel supply from the distribution stations, the beneficiary oof the exemption shall request the fiscal bill issued by the electronic fiscal marking device. The fiscal bill shall be sealed by the seller, who shall specify on the back page the car registration number and the designation/name of the buyer.
(5) In order to refund the amounts representing the excise duties, the beneficiaries of exemptions - institutions, organizations - shall submit, including for the hired personnel, by the end of the month following that for which the refund is requested, to the fiscal authority serving the beneficiary, the following documents:
a) the request of refund, according to the model provided in Annex no. 19;
b) an overview where shall be listed the fiscal bills and the quantities of fuel purchased in the month for which the request is made, to which shall be enclosed the fiscal bills properly certified by the seller, the photo copy and the original.
(6) If the applicant of excise duty exemption benefits also of the value added tax exemption for car fuels, the request of excise duties refund shall be submitted with the request of value added tax refund.
(7) The speciality department of the fiscal authority serving the beneficiary, shall verify the information in the request of refund, comparing them with the data in the fiscal bills, after which it shall determine the amount of excise duties to be refunded for each applicant.
(8) The refund of the excise duties shall be made within 45 days from the date of complete documentation submission.
(9) After the settlement of the request, the original documents shall be render back to the beneficiary.
21.3. (1) For the import of excisable products from a third country, the excise duty arrangement is directly granted based on the certificate of exemption provided in Annex no. 17.
(2) The certificate of exemption is drafted by the beneficiary in two copies endorsed by the fiscal authority serving the beneficiary, for each transaction.
(3) A copy of the certificate of excise duty exemption, together with the custom document, accompany the transport of the excisable products from the custom office of entry in Romania to the beneficiary, and it is kept by the latter one.
(4) The second copy is kept by the custom office.
(5) If the import is made through another custom office of entry on the Community Territory, than that provided in paragraph (3), the transport of the excisable products shall be accompanied by the custom document and by the copy of the certificate of exemption of the beneficiary.
(6) The exemption from the excise duties payment is directly granted to the exemptions beneficiaries based on the certificate of exemption provide in Annex no. 17 and for the excisable products purchased from an importer for which the excise duties were paid by this at custom.
(7) The certificate of exemption is drafted by the beneficiary in two copies endorsed by the fiscal authority serving the beneficiary, for each transaction.
(8) One copy of the certificate of excise duties exemption accompany the transport of excisable products from the importer to the beneficiary and it is kept by this, and the second copy is kept by the importer.
(9) The importer delivers to the exemption beneficiary the excisable products at a price excise duty free, and it shall request the settlement/refund of the excise duties related to such delivery, according to the provisions of the Fiscal Procedure Code.
(10) In order to refund the amounts representing the excise duties, the importer shall submit, by the 25 of the month following that for which the refund is requested, to the territorial fiscal authority with which it is registered as taxes and duties payer, the following documents:
a) the request of excise duties refund;
b) the photo copy of the invoices of delivery to the exemption beneficiary, where it is mentioned "excise duties exempted";
c) proof of excise duties payment at custom;
d) photo copy of the certificate of exemption, related to each transaction.
(11) The model of the request of excise duties refund is provided in Annex no. 19.
21.4. (1) For electricity and natural gas, the exemption arrangements are granted based on the certificate of exemption which model is provided in Annex no. 17, drafted by the beneficiary and endorsed by the fiscal authority serving the beneficiary.
(2) The certificate of excise duty exemption shall be valid for 12 consecutive months.
(3) The certificate of excise duty exemption is drafted in two copies. One copy shall be kept by the beneficiary and the second one shall be presented to the economic operator natural gas and electricity, who directly supplies the beneficiary, and it shall be kept by this one.
(4) Based on the certificate of excise duty exemption, the natural gas supplier and the electricity supplier shall issue to the beneficiary invoices at prices excise dirty free.
Fiscal Code:
General exemptions
ART. 199
[...]
(3) The excise duties are not to apply to the import of excisable products in the luggage of travellers and other natural persons, whether domiciled in Romania or abroad, within the limits and in accordance with the requirements provided by the norms.
Methodological Norms:
21^1. (1) There are exempted from the excise duties payment the excisable products found in the personal luggage of travellers, come from third countries, provided that the import has no commercial character.
(2) The procedure and conditions for granting the exemptions provided in par. (1) shall be established by order of the Minister of Public Finance.
(3) There are assimilated to the excisable products found in the personal luggage of the travellers and of the small batches having non-commercial character shipped by individuals from a third country to individuals in Romania.
Fiscal Code:
Exemptions for ethyl alcohol and other alcoholic products
ART. 200
(1) The ethyl alcohol and other alcoholic products are exempt from the payment of excise duties provided in art. 162, when they are:
a) completely denaturised, according to the legal specifications;
b) denaturised and used to produce products not intended for human consumption;
c) used to produce steel with the code NC 2209;
d) used to produce medicines;
e) used to produce food flavourings for the preparation of food or soft drinks that have a concentration not exceeding 1.2% by volume;
f) used for medical purposes in hospitals and pharmacies;
g) directly used or as part of semi-finished products to produce food with or without cream, provided that in each case the concentration of alcohol do not exceed 8.5 liters of pure alcohol per 100 kg of product included in the composition of chocolate and 5 litres of pure alcohol per 100 kg of product included in the composition of other products;
(2) The method and conditions for granting the exemptions provided in par. (1), as well as the products used for the denaturising of alcohol shall be regulated by norms.
Methodological Norms:
22. (1) The ethyl alcohol is considered completely denaturised when the denaturisation is made with denaturants notified by each Member State to the European Commission, and accepted by this and the other Member States.
(2) For Romania, the products accepted to be used for the complet penetration of alcohol, per one hectolitre of pure alcohol, are:
a) 1 gram of denatonium Benzoate,
b) 2 litres of Methyl Ethyl Ketone(Butanone) and
c) 0.2 grams of methylene blue.
(3) For the ethyl alcohol intended to be used on the territory of Romania to produce products intended for human consumption, the substances accepted for the denaturising of alcohol are at least one of these:
a) for the cosmetics industry
1. Diethyl Phthalate 0.1% in vol.
2. Mint oil 0.15% in vol.
3. Lavender oil 0.15% in vol.
4. Benzyl Benzoic 5.00% in vol.
5. Isopropanol 2.00% in vol.
6. 1.2 Propanediol 2.00% in vol.
b) for other industries
1. Higher alcohols 0.4 kg/1000 l
2. Methyl Violet 1.0 g/1000 l
3. Extraction gasoline 0.6 kg/1000 l
4. Monoethylene Glycol 3.5 kg/1000 l
5. Ethyl/Methyl Salicylate 0.6 kg/1000 l
6. Phenolphthalein 12 g/1000 l
7. Methylene blue 3.5 g/1000 l
(4) The economic operators users of alcohol completely denaturised or partially denaturised, which, due to sanitary, technical or commercial reasons, may not use the alcohol denaturised with the substances provided in par. (2) and (3), may require the approval of the custom laboratory for the use by the fiscal warehouse in Romania of the substances they propose. The requests shall contain the reasons for which it is necessary the approval of that specific denaturant and the description of the basic components of the proposed denaturant, as well as the declaration on own liability that the other components of the product, in which denaturised alcohol shall be uses, does not react with the substances proposed as denaturants, so that to cancel the denaturisation. This approval is issued only base on the laboratory analysis of the samples of ethyl alcohol denaturised with those substances presented by the manufacturers in question. The approval shall be the basis of the documentation necessary for the issuance of the end user authorization.
(5) In the case of the exemption provided in art. 200 par. (1) letter b) of Law no 571/2003 on the Fiscal Code, as further amended and completed, human consumption means the food human consumption.
(6) The denaturising of the ethyl alcohol is made only in the fiscal warehouses for the production of ethyl alcohol, under the surveillance of the fiscal authority.
(7) The operation of alcohol denaturising may made as follows:
a) by successively adding the accepted denaturant substances in the alcohol quantity to be denaturised;
b) by adding in the alcohol quantity to be denaturised a mixture prior made from denaturant substances accepted.
(8) The alcohol denaturising is made according to this procedure:
a) with at least 5 working days before carrying on the operation of denaturising, the fiscal warehouse request, in written for this, the agreement of the territorial fiscal authority;
b) in the application requesting the agreement, the authorized warehouse-keeper shall specify the alcohol quantity to be denaturised, the denaturant to be used, the denaturing procedure, the date and time of the denaturising operation, the destination of the denaturised alcohol justified by orders received from users and the photo copies of the authorizations of final consumers;
c) depending on the result of the verification of the data contained in the submitted documentation, the territorial fiscal authority decides on the acceptance of the denaturising operation and designated its representative who shall supervise the carry out of this operation. If the data contained in the presented documentation do not comply with the reality, the territorial fiscal authority rejects the request of carrying out the denaturising operation;
d) the denaturising operation is specified in a special register, which is kept in the fiscal warehouse, where shall be specified: the date of operation, the denaturised quantity, the substances and quantities used for the denaturising, as well as the name and signature of the fiscal authority representative.
(8^1) The authorized warehouse-keeper may deliver ethyl alcohol denaturised by the economic operators, other than the final consumers, only if the alcohol is bottled in bottles intended for retail sale.
(8^2) The intra-Community movement of the alcohol completely denaturised shall be accompanied by the simplified accompanying document.
(9) In the case of the exemption provided in art. 200 par. (1) let. d) of Law no 571/2003 on the Fiscal Code, as further amended and completed, it is exempted only the ethyl alcohol used for the production of medicaments as defined in the Directives 2001/82/EEC and 2001/83/EEC.
(10) For all the situations provided in art. 200 par. (1) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the excise duties exemption is granted only to the user, provided that the supply should be directly carried out by a fiscal warehouse.
(11) When the user make intra-Community purchases of ethyl alcohol in order to use it for the purposes provided in art. 200 par. (1) letter b) - g) of Law no 571/2003 on the Fiscal Code, as further amended and completed, they shall have also the capacity of registered operator or non-registered operator.
(12) For the ethyl alcohol imported from a third country in order to be used for the purposes provided in art. 200 par. (1) letter b) - g) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the importer shall be also the user of raw material.
(13) The exemption is directly granted for:
a) the situations provided in art. 200 par. (1) letter a), b), d), f) and g) of the Fiscal Code.
b) warehouse-keepers authorized for the production of ethyl alcohol, which use the ethyl alcohol as raw material for the purposes provided in art. 200 par. (1) letter a), b), c) and e) of the Law no. 571/2003 on the Fiscal Code, as amended and further completed;
c) denaturated ethyl alcohol and other denaturated alcoholic products, imported and used by the importers in the production process.
(14) For all the cases of direct exemption, the exemption is granted based on the end user authorization. This authorization is issued to all user pruchasing products under excise duty payment exemption regime.
(15) The emd user authorization is issued by the territorial fiscal authority under which jurisdiction the applicant has the office.
(16) The template of the end user authorization is provided in Annex no. 20.
(17) The authorizations of final consumer shall be issued in two copies, having these destinations:
a) the first copy is kept by the final consumer. One photo copy of this copy shall be send to and kept by the fiscal warehouse-supplier of the excisable products under exemption arrangements;
b) the second copy shall be kept by the issuer territorial fiscal authority.
(18) The end user authorization of final consumer shall be issued upon the written request of the beneficiary, accompanied by:
a) the articles of incorporation - a photo copy and the original - from where to result that the company carries out an activity that requires the consumption of ethyl alcohol and other alcoholic products;
b) the supporting documents for the quantity to be purchased under excise duty payment exemption for an year for each product, identified by NC code and trade name;
c) *** Abrogated
d) any information and documents which the territorial fiscal authority deems as necessary for issuing the authorization.
(19) *** Abrogated
(20) Subsequent to the issuance of the authorizations, the territorial fiscal authorities shall keep strict records of these by writing in the special registeres the authorizations of final consumers issued for ethyl alcohol and alcoholic products. The list including these economic operators shall be also published on the website of the Ministry of Public Finance, list that shall be monthly updated by the 15th of each month.
(21) For the direct exemption, the delivery of the products is made at prices excise duties free, and their movement shall be accompanied by the copies no. 2, 3 and 4 of the accompanying administrative document, provided in pt. 14.
(22) Upon the arrival of the product to the economic operator-user, it shall fill in all 3 copies of the accompanying administrative document in the fields related to the receiver, before opening and unloading the product, and shall request to the territorial fiscal authority, under which jurisdiction it operates, to designate a representative thereof, who within 48 hours shall verify and certify the data included in the accompanying administrative document.
(23) Out of the 3 copies certified by the representative of the territorial fiscal authority, the copy no. 3 shall be send by the economic operator-user to fiscal warehouse-shipper, and the copy no. 4 shall be sent to the the territorial fiscal authority under which jurisdiciton the receiver operates. The copy no. 2 shall be kept by the economic operator-user.
(24) For the direct exemption, if within 45 working days from the shipment of the product, the fiscal warehouse-shipper does not receive the photo copy of the certified accompanying administrative document, it shall notify on this the fiscal authority issuer of the authorization, within 5 days. The issuer fiscal authority shall very within the next 3 days the correctness of the information and if this shall prove correct, it shall analyze the reasons that generated this fact and it shall decide on the measurs of execution of the guarantees established by the exemption beneficiary.
(25) If the fiscal warehouse-shipper does not communicated the failure to comply with the provisions of par. (24), that operation is deemed as released for consumption and after the experiation of 5 days term, the excise duty becomes chargeable.
(26) The quantity of excisable products specified in an uthorization for end user of ethyl alcohol and other alcoholic products, may be supplement in situations well justified during the same period of authorization validity.
(27) The economic operators that hold an end user authorization shall monthy sent, by the 15th of the month following that for which the reporting is made, to the fiscal authority issuer of the authorization, a situation on the purchases of ethyl alcohol under direct exemption arrangements, which shall contain: the quantity of ethyl alcohol purchased, the quantity of ethyl alcohol used for the purpose for which the exemption was granted, the stock of ethyl alcohol at the end of the month, the quantity of finished product resulted.
(28) The failure to present the overview situation provided in par. (27) leads to the cancellation of the end user authorization and the obligation to pay the excise duties related to the quantities purchased and used for the purpose for which the end user authorization was issued.
(29) The end user authorization is annulled if it was issued based on inaccurate or incomplete data and:
a) if the applicant reasonably knows or should have known the inaccurate or incomplete character; and
b) if the authorization was not issued based on some accurate and complete elements.
(30) The decision on cancelling the emd user authorization is communicated to the holder and is effective starting with the date of authorization issuance.
(31) There shall not be issued end user authorization when the persons have perpetrated a serious crime sau repreted crimes against the custom or fiscal regulations.
(32) The authorization of final consumer shall be valid for 12 consecutive months.
(33) For indirect exemption, the delivery of the products is made at prices excise duty free, following that the economic operators-user to request the settlement/refund of excise duty, according to the provisions of the Fiscal Procedure Code.
(34) For the excise duty refund, the users may submit to the territorial fiscal authority the request of excise duty refund, accompanied by:
a) the photo copy of the purchase invoice of the ethyl alcohol, where the excise duty shall be separately recorded;
b) the proof of payment of excise duties to the supplier, consisting of the payment document confirmed by the bank at which the user has the account open.
c) the proof of quantity used for the purpose for which the exemption is granted, consisting in an overview situation of the quantities effectively used and of the related documents.
(35) The model of the request of excise duty exemption shall be approved by Order of the Ministry of Public Finance.
(36) The pharmaceutical storage facilities purchase ethyl alcohol at prices excise duty free and delivers it to hospitals and pharmacies at preţuri prices excise duty free. Under these conditions, the sale price of the ethyl alcohol shall be established by the pharmaceutical storage facilities based on the purchase price of this product, which shall not include the excise duty, so that the hospitals and pharmacies benefit by the facility provided by Law no. 571/2003 on the Fiscal Code, as amended and further completed.
(37) For the ethyl alcohol quantities delivered at prices excise duty free to the hospitals and pharmacies, the pharmaceutical storage facilities may request the settlement/refund excise duties. For these purpose, the pharmaceutical storage facilities may submit to the territorial fiscal authority the request of excise duty refund, accompanied by:
a) the photo copy of the purchase invoice of the ethyl alcohol, where the excise duty shall be separately recorded;
b) the proof of payment of excise duties to the supplier, consisting of the payment document confirmed by the bank at which the user has the account open.
c) the proof of ethyl alcohol quantity delivered to the hospitals and pharmacies at excise duty free prices, consisting of an overview situation of the documents related to the quantity effectively delivered.
Fiscal Code:
Exemption for the processed tobacco
ART. 200^1
(1) The processed tobacco is exempted from excide duties payment, when is exclusively intended for scientific tests and those test concerning the products quality.
(2) The method and conditions for granting the exemptions provided in par. (1) shall be regulated by norms.
Methodological Norms:
22^1. (1) The processed tobacco representing cigarettes, is exempted from the excise duty payment when it is intended for scientific tests or some market tests, provided that the testing shall not be made by trading this products, but by means specific to the scientific research or market survey.
(2) The batches intended for the purpose provided in par. (1) may not exceed the quantity of 200,000 pieces of cigarettes per semester.
Fiscal Code:
Exemption for energy products and electric energy
ART. 201
(1) There are exempt from excise duty:
a) the energy products supplied for use as fuel for aircraft engines, other than the aviation for private tourism purposes. Private tourism aviation means the use of an aircraft by its owner or by the natural or legal person that leased or other way holds it, for other purposes than commercial ones and in particular for other purposes than the transport of passengers or goods or for the supply of services for onerous consideration or for the needs of the public authorities;
b) the energy products delivered to be used as engine fuel for the navigation in the Community waters and for the navigation in the inner navigable channels, including those for fishing, others than for the navigation of the leisure private watercrafts. The electricity produced on the board of the watercrafts is also exempted from excise duties. Leisure private watercraft means any by its owner watercraft used by the its owner or by the natural or legal person that leased or other way holds it, for other purposes than commercial ones and in particular for other purposes than the transport of passengers or goods or for the supply of services for onerous consideration or for the needs of the public authorities;
c) the energy products and the electric energy used for the production of electric energy, as well as the electric energy used for the maintenance of the capacity to produce electric energy;
d) the energy products and electric energy used for the combined production of electric energy and thermal energy;
e) the energy products - natural gas, coal and solid fuels -, used by households and/or charity organizations;
f) engine fuels used for the production, development, testing and maintenance of aircrafts and boats;
g) engine fuels used for the operations of dredging in the navigable water streams and in harbours;
h)energy products injected into blast furnaces or other industrial aggregate for the purpose of chemical reduction, as an additive to coke used mainly as fuel;
i) the energy products entering Romania from a third country, contained in the standard tank of an engine vehicle, intended to be used as fuel for such vehicle, as well as the special containers and intended to be used for the operation, during transport, of the systems equipping those containers;
j) any energy product that is removed from state reserve or mobilization reserve, being given for free for humanitarian aid purposes;
k) any energy product directly purchased from the economic operators-producers, importer or distributors, used as fuel for the heating of the hospitals, sanatoriums, elderly asylums, orphanage and other institutions of social assistance, education institutions and religious establishments;
l) the energy products, if such products are made of or contain one or several of these products:
- products included in NC code from 1507 to 1518;
- products included in NC codes 3824 90 55 and from 3824 90 80 to 3824 90 99 for their components made of biomasses;
- products included in NC codes 2207 20 00 and 2905 11 00, which are of synthetic origin;
- products obtained from biomasses, including products contained in NC codes 4401 and 4402.
m) electric energy produced from renewable energy resources;
n) electric energy obtained by electric accumulators, mobile generating sets, electric installations mounted on any kind of vehicles, alternating current electric energy stationary sources, energetic installations located in the territorial sea, which are connected to the electric network and electric sources with an active power installed under 250 KW;
o) products contained in NC code 2705, used for heating.
(2) The method and conditions for granting the exemptions provided in par. (1) shall be regulated by norms.
Methodological Norms:
23.1. (1) For all the situations provided in art. 201 par. (1) letter a) and b) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the excise duties exemption is directly granted, provided that the supply is carried out from a fiscal warehouse.
(2) There may be supplied with energy products intended exclusively to be used as engine fuels for aircrafts at excise duty free prices:
a) economic operators holding certificates of authorization as an express distributor for civil aeronautical products and/or contract services with companies holding certificates of authorization as an express distributor for civil aeronautical products.
b) the person holding a certificate of authorization as aerial operator.
(3) The certificates provided in par. (2) are issued by the "Romanian Civil Aeronautical Authority" Public Corporation.
(4) There may be supplied with energy products exclusively intended to be used as engine fuels for navigation in the Community waters and for the navigation on the inner navigable channels at exile duty free delivery prices:
a) the economic operators holding authorizations as distributors of engine fuels for navigation;
b) the person holding a certificate of authorization for navigation.
(5) The economic operators provided in par. (2) let. a) and par. (4) letter a) shall obtain an authorization as storage fiscal warehouse. This obligation fall in the charge of the economic operators that have at their disposal proper storage spaces and carries out operation of supply with engine fuels for the aircrafts, as well as for the ships and watercrafts.
(6) The production warehouses fiscal shall daily registered all the quantities of engine fuels delivered and being exclusively intended for aircrafts, respectively ships, in special logs drafted according to the model provided in Annex no. 21.
(7) The logs specified in par. (6) shall be drafted for each calendar month based on the operative evidence documents and shall be submitted, within 5 days from the end of the month, to the territorial fiscal authorities under which jurisdiction the fiscal warehouse operates, in order to be registered and endorsed by this.
(8) The economic operators provided in par. (5) shall daily register all input and output quantities in the logs regarding the inputs and outputs of engine fuels exclusively intended to be used for aircrafts and ships, drafted according to the model provided in Annex no. 22.
(9) The logs specified in par. (8) shall be drafted for each calendar month based on the operative evidence documents and shall be submitted, within 15 days from the end of the month, to the territorial fiscal authorities under which jurisdiction the economic operator operates, in order to be registered and endorsed by this.
(10) The territorial fiscal authorities shall monthly send, by the 25th of the month following that of reporting, of the General Directorate of Information Technology of the Ministry of Public Finance, the data from the logs provided in par. (7) and (9) in order to centralize then at national level.
(11) The General Directorate of Information Technology shall monthly send, by the end of the following month, the overview situation at country level concerning the quantities of engine fuel exclusively used for aircrafts, as well as the overview situation at country level concerning the quantities of engine fuel exclusively used for the ships of the National Agency for Fiscal Administration - Directorate with control responsibilities.
(12) The overview situation provided in par. (11) shall be monthly verified by the territorial fiscal authorities having control responsibilities.
(13) The verification shall take into consideration the delivered and supplied quantities, as the case may be, as well as their effective use for the declared purpose.
(14) The engine fuel movement among fiscal warehouses shall be accompanied by the accompanying administrative document according to the procedure provided in pt. 14.
(15) There are subject to the provisions of par. (1) also the state institutions that involve the defence, public order, public health, national safety and security, which, due to their specific activities, do not hold certificates issued by the Romanian Civil Aeronautical Authority and, respectively, by the Romanian Naval Authority, for their aircrafts and ships.
23.2 (1) For all the situations provided in art. 201 par. (1) letter c), d) and h) of the Fiscal Code, the exemption is directly granted, provided that the electric energy to come from economic operators authorized by the National Regulatory Energy Authority (ANRE), and the energy products are directly supplied from a fiscal warehouse, from a registered operator, from an importer, from own import operations, from coal extraction companies or other economic operators that trades this product or from an authorized distributor, in the case of natural gas.
(2) In order to apply the exemption, the holders of the electric energy production stations, of the electric and thermal energy combined stations, as well as the economic operators-users of energy products provided in art. 201 par. (1) letter h) of the Fiscal Code shall request to the territorial fiscal authority under which jurisdiction the authorization of final consumer for energy products have their office.
(3) There do not fall under the provisions of par. (2) the electric energy and the natural gas.
(4) The authorizations of final consumer shall be issued upon the written request of the beneficiary, accompanied by:
a) the articles of incorporation - a photo copy and the original - from where to result that the company carries out an activity of production of electric energy and combined production of electric and thermal energy;
b) supporting documents for the quantities to be purchased under excise duty exemption arrangements.
(5) The authorizations of final consumer shall be issued by the territorial fiscal authority, according to the model provided in Annex no. 20, and they are valid for 3 years.
(6) The authorizations of final consumer shall be issued in two copies, having these destinations:
a) the first copy is kept by the final consumer. One photo copy of this copy shall be send to and kept by the economic operator-supplier of the excisable products under exemption arrangements;
b) the second copy shall be kept by the issuer territorial fiscal authority.
(7) The quantities of excise duty exempted products, specified in an authorization for each of its validity year, shall be represent the annual average of the quantities used in the last 3 years. For economic operators that do not have activity for minimum 3 years, the quantities shall be estimates based on the consumption norms and on the production estimated to be made.
(8) Subsequent to the issuance of the authorizations, the territorial fiscal authorities shall keep strict records of these by writing in the special registers the authorizations of final consumers issued for energy products.
(9) The exemption beneficiaries shall keep accounting records regarding the inputs and the effective consumption of products purchased under exemption arrangements.
(10) The delivery of energy products and electricity is made at excise duty free prices.
(11) The movement of energy products from the fiscal warehouse to the economic operator-user shall be accompanied by the copies no. 2, 3 and 4 of the accompanying administrative document, provided in pt. 14.
(12) Upon the arrival of the product to the economic operator-user, it shall fill in all 3 copies of the accompanying administrative document in the fields related to the receiver, before opening and unloading the product, and shall request to the territorial fiscal authority, under which jurisdiction it operates, to designate a representative thereof, who within 48 hours shall verify and certify the data included in the accompanying administrative document.
(13) Out of the 3 copies certified by the representative of the territorial fiscal authority, the copy no. 3 shall be send by the economic operator-user to fiscal warehouse-shipper, and the copy no. 4 shall be sent to the territorial fiscal authority under which jurisdiction the receiver operates. The copy no. 2 shall be kept by the economic operator-user.
(14) For the direct exemption, if within 45 working days from the shipment of the product, the fiscal warehouse-shipper does not receive the photo copy of the certified accompanying administrative document, it shall notify on this the fiscal authority issuer of the authorization, within 5 days. The issuer fiscal authority shall very within the next 3 days the correctness of the information and if this shall prove correct, it shall analyze the reasons that generated this fact and it shall decide on the measures of cashing the excise duties related to the quantities specified in the document.
(15) If the fiscal warehouse-shipper does not communicated the failure to comply with the provisions of par. (14), that operation is deemed as released for consumption and after the expiration of 5 days term, the excise duty becomes chargeable.
(16) The holders of authorization of final consumers shall present each trimester, by the 15th of the month following the trimester, to the fiscal authority, issuer of the authorization, an overview situation regarding the energy products purchased during one trimester, the quantities used for the purpose of carrying out the activities for which the exemption is granted and the stock of energy products not used.
(17) The failure to present the situation provided in par. (16) leads to the cancellation of the authorizations.
(18) The registered operators, the importers or economic operators that purchase the energy products, in order to deliver under direct exemption arrangements to the electric energy production stations or electric and thermic energy combined production, shall deliver the products to these stations at excise duty free prices and shall request to the competent fiscal authorities the refund of the excise duties related to the quantities delivered for this purpose, which were paid upon receipt, the import or purchase. There do not fall under these provisions the exemption beneficiaries that use energy products come from own import operations, for which the exemption is directly granted.
(19) In order to refund the excise duties under the situation provided in par. (18), the registered operator, the importer or economic operator shall submit to the competent fiscal authority ,where it made the payment, a request of excise duty refund which model shall be approved by Order of the Minister of Public Finances. The request shall be accompanied by the photo copy of the authorization of final consumer of the station benefiting from the exemption and by the document that certifies the payment of the excise duties by the registered operator, importer or economic operator.
(20) The end user authorization is annulled if it was issued based on inaccurate or incomplete data and:
a) if the applicant reasonably knows or should have known the inaccurate or incomplete character; and
b) if the authorization was not issued based on some accurate and complete elements.
(21) The decision on cancelling the end user authorization is communicated to the holder and is effective starting with the date of authorization issuance.
(22) *** Abrogated
(23) When, in the situations provided in art. 201 par. (1) letter c) and d) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the electric energy production station or the electric and thermal energy combined production, take over energy products as loan from the state reserve based on some special normative acts, the takeover shall be carried out based on the authorization of final consumer. Both the purchase of energy products from an authorized fiscal warehouse, in order to extinguish the obligation, and the effective restitution of the quantities thus taken over is made under excise duties exemption arrangements, based on the authorization of final consumer.
23.3 (1) For the situations provided in art. 201 par. (1) let. e) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the exemption is directly granted, provided that the products are directly purchased from economic operators registered with the central fiscal authority as suppliers of energy products, or - for the natural gas come from a Member State - directly from a distributor/supplier authorized/licensed by the competent authority in that Member State.
(2) The engery products - respectively the natural gas, coal and solid fuels -, are exempted from excise duties, when are supplied to the household consumers, as well as the charity organizations.
(3) For the purpose of these methodological norms, the charity organizations are organizations which have specified in the activity object and which effectively carried out charitable activities for free in the field of health, protection of mother - child, elderly persons, disabled person, persons that live in poverty or in the case of natural calamities.
(4) For the charity organizations, the exemption is granted based on the authorization of final consumer issued by the territorial fiscal authority with which the exemption beneficiary is registered as tax and duties payer, less for the natural gas, for which it is not obligatory to hold this authorization.
(5) The authorizations of final consumer shall be issued upon the written request of the charity organization, accompanied by:
a) the articles of incorporation - photo copy and original - from where to result that the company carries out one of the activities provided in par. (3);
b) supporting documents for the quantities to be purchased under excise duty exemption arrangements, for a calendar year.
d) any information and documents which the territorial fiscal authority deems as necessary for issuing the authorizations.
(6) The authorizations of final consumer shall be issued by the territorial fiscal authority, according to the model provided in Annex no. 20, and they are valid for 3 consecutive years.
(7) The authorizations of final consumer shall be issued in two copies, having these destinations:
a) the first copy is kept by the final consumer. One photo copy of this copy shall be send to and kept by the economic operator-supplier of the excisable products under exemption arrangements;
b) the second copy shall be kept by the issuer territorial fiscal authority.
(8) Subsequent to the issuance of the authorizations, the territorial fiscal authorities shall keep strict records of these by writing in the special registers the authorizations of final consumers issued for energy products.
(9) The exemption beneficiaries shall keep accounting records regarding the inputs and the effective consumption of products purchased under exemption arrangements.
(10) Each charity organization holder of an authorization of final consumers shall present each year, by the 31st of January of each year, to the fiscal authority, issuer of the authorization, an overview situation regarding the energy products purchased during one calendar year, the quantities used for the purpose of carrying out charitable activities and the stock of energy products not used.
(11) The failure to present the overview situation provided in par. (10) leads to the cancellation of the authorization of final consumer and the obligation to pay the excise duties related to the quantities purchased and used for the purpose for which the authorization of final consumer was issued.
(12) The end user authorization is annulled if it was issued based on inaccurate or incomplete data and:
a) if the applicant reasonably knows or should have known the inaccurate or incomplete character; and
b) if the authorization was not issued based on some accurate and complete elements.
(13) The decision on cancelling the end user authorization is communicated to the holder and is effective starting with the date of authorization issuance.
(14) There shall not be issued end user authorization when the persons have perpetrated a serious crimes against the custom or fiscal regulations.
23.4. (1) For all the situations provided in art. 201 par. (1) letter f) and g) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the excise duties exemption is indirectly granted, provided that the supply is carried out from a fiscal warehouse.
(2) Before each purchase of engine fuel under exemption arrangements, the user shall submit a request to the territorial fiscal authority under which jurisdiction it operates. The request shall be accompanied by a memorandum where it shall be described the operation for which it is necessary the consumption of engine fuel and there shall be specified: the period when the operation is carried out, the number of operating hours of the engines and of the installations of dredging and the standardized engine fuel consumption.
(3) The economic operators may request each trimester the settlement/refund of the excise duties according to the provisions of the Fiscal Procedure Code.
(4) For the excise duty refund, the users may submit to the territorial fiscal authority the request of excise duty refund, accompanied by:
a) the photo copy of the purchase invoice of the engine fuel, where the excise duty shall be separately recorded;
b) the proof of payment of excise duties to the supplier, consisting of the payment document confirmed by the bank at which the user has the account open.
c) the proof of the quantity used for the purpose for which the exemption is granted, consisting of the photo copy of the document certifying fulfillment of the dradging operations - certified by the competent authority for this purpose.
(5) The model of the request of excise duty exemption shall be approved by Order of the Ministry of Public Finance.
(6) For the purpose of these norms, the engine fuels used for the production, develpment, testing and maintenance of the aircrafts and ships means inclusively engine fuels used for testing and maintenance of the engines with which are equipped the aircrafts and ships.
23.5. In the case of the exemption provided in art. 201 par. (1) letter i) of Law no 571/2003 on the Fiscal Code, as subsequently amended and completed, for the purpose of these methodological norms:
a) "standard tank" means:
- tanks definitevely mounted by the manufacturer on all engien-vehicles of the same type as the vehicle in question, and which definitive mounting enables the fuel to be directly used, both for propulsion and operation during transportation, if the need may be, of the refrigerating systems and other systems. There are also considered standard tanks the gas tanks mounted on engine-vehicles designed for the direct use of gas as fuel, as well as the tanks adapted to other systems with which a vehicle may be equipped;
- the tanks definitevely mounted by the manufacturer on all the containers of the same type as the container in question and and which definitive mounting enables the fuel to be directly used for the operation, during transportation, of the refrigerating systems and other systems with which the special containers may be equipped;
b) "special containers" mean any containers equipped with special devices designed for refrigerating, oxigenation, thermal insulation systems or other systems.
23.6. For the case provided in art. 201 par. (1) let. j) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the exemption is directly granted, based on the normative acts issued for gratuitousness for humanitarian aid purposes.
23.7. (1) For the situations provided in art. 201 par. (1) let. k) of Law no 571/2003 on the Fiscal Code, as further amended and completed, the exemption is directly granted when the supply is carried out from a fiscal warehouse. The exemption is directly granted also for the supply of natural gas.
(2) The exemption is granted based on the authorization of final consumer issued by the territorial fiscal authority with which the exemption beneficiary is registered as tax and duties payer, less for the natural gas, for which it is not obligatory to hold this authorization.
(3) The authorizations of final consumer shall be issued in two copies, having these destinations:
a) the first copy is kept by the final consumer. One photo copy of this copy shall be send to and kept by the economic operator-supplier of the excisable products under exemption arrangements;
b) the second copy shall be kept by the issuer territorial fiscal authority.
(4) The quantities of excise duty exempted products, specified in the authorizations, shall represent the annual average of the quantities used in the last 3 years. For the economic operators that do not have activity for minimum 3 years, the quantities shall be estimates based on the data determed according to the period of heating fuel use and according to the technical parameter of the installations.
(5) Subsequent to the issuance of the authorizations, the territorial fiscal authorities shall keep strict records of these by writing in the special registeres the authorizations of final consumers issued for energy products.
(6) The exemption beneficiaries shall keep accounting records regarding the inputs and the effective consumption of products purchased under exemption arrangements.
(7) The delivery of energy products is made at excise duty free prices.
(8) The movement of enegry products from the fiscal warehosue to the economic operator-user shall be accompanied by the copies no. 2, 3 and 4 of the accompanying administrative document, provided in pt. 14.
(9) Upon the arrival of the product to the user, it shall fill in all 3 copies of the accompanying administrative document in the fields related to the receiver, before opening and unloading the product, and shall request to the territorial fiscal authority, under which jurisdiction it operates, to designate a representative thereof, who within 48 hours shall verify and certify the data included in the accompanying administrative document.
(10) Out of the 3 copies certified by the representative of the territorial fiscal authority, the copy no. 3 shall be send by the economic operator-user to fiscal warehouse-shipper, and the copy no. 4 shall be sent to the the territorial fiscal authority under which jurisdiciton the receiver operates. The copy no. 2 shall be kept by the economic operator-user.
(11) If within 45 working days from the shipment of the product, the fiscal warehouse-shipper does not receive the photo copy of the certified accompanying administrative document, it shall notify on this the fiscal authority issuer of the authorization, within 5 days. The issuer fiscal authority shall very within the next 3 days the correctness of the information and if this shall prove correct, it shall analyze the reasons that generated this fact and it shall establish the obligation of the user to pay the excise duties.
(12) If the fiscal warehouse-shipper does not communicated the failure to comply with the provisions of par. (11), that operation is deemed as released for consumption and after the experiation of 5 days term, the excise duty becomes chargeable.
(13) For the purpose of these methodological norms, religious establishments means the establishments as defined according to the legislation on cults.
(14) The holders of authorization of final consumers shall present each trimester, by the 15th of the month following the trimester, to the fiscal authority, issuer of the authorization, an overview situation regarding the energy products purchased during one trimester, the quantities used for the purpose of carrying out the activities for which the exemption is granted and the stock of enegry products not used.
(15) The failure to present the overview situation provided in par. (14) leads to the cancellation of the end user authorization and the obligation to pay the excise duties related to the quantities purchased and used for the purpose for which the end user authorization was issued.
(16) The end user authorization is annulled if it was issued based on inaccurate or incomplete data and:
a) if the applicant reasonably knows or should have known the inaccurate or incomplete character; and
b) if the authorization was not issued based on some accurate and complete elements.
(17) The decision on cancelling the end user authorization is communicated to the holder and is effective starting with the date of authorization issuance.
(18) There shall not be issued end user authorization when the persons have perpetrated a serious crimes against the custom or fiscal regulations.
(19) For the energy products purchased from importers or other economic operators, the excise duties exemption is indirectly granted, by refund.
(20) For the excise duty refund, the exemption beneficiary may submit to the territorial fiscal authority the request of excise duty refund, accompanied by:
a) photo copy of the purchase invoice of energy products;
b) the proof of the quantity used for the purpose for which the exemption is granted.
(21) The model of the request of excise duty exemption shall be approved by Order of the Ministry of Public Finance.
23.8. (1) For the situations provided in art. 201 par. (1) letter l) of the Fiscal Code, when the energy products used as heating fuel are produced totally from biomasses, the exemption is total.
(2) Biomass means the biodegradable fraction of the products, sweepings and residues from agriculture - including the vegetable and animal substance -, forestry and related industries, as well as the biodegradable fraction of the industrial and urban waste.
(3) According to the provisions of par. (3) of art. 201 of the Fiscal Code, when the energy products used as heating fuel contain a minimum 5% in the volume of the products obtained from biomass, a reduced excise duty is applied. The reduced excise duty which shall be applied to the mixture shall represent the excise duty related to the heating fuels equivalent to the mixture, reduced by 5%.
(4) It is forbidden to use as engine fuel the mixture of diesel and bio fuels, for which it is applied a reduced level of excise duty in accordance with the provisions of par. (3). Otherwise, the user shall pay to the state budget the difference between the standard level and the reduced level of excise duty related to diesel fuel.
(5) The provisions of par. (3) shall cease to apply for the mixture of bio fuel with energy products provided in Annex no. 1 in title VII of the Fiscal Code, upon the entry into force of the reduced shares of the excise duties, when the shares shall be thus established.
(6) According to the provisions of art. 16 paragraph 6 of Directive 2003/96/EC restructuring the Community framework for the taxation of energy products and electricity, and according to the provisions of the Government Decision no. 1.844/2005 on promoting the use of bio fuels and other renewable fuels for transportation, as further amended and completed, for the engine fuels containing entirely biomasses or represents a mixture of bio fuels with regular fuels, it is due the excise duty related to the fuel equivalent to the standard share provided in Annex no. 1 to the Title VII of the Fiscal Code.
(7) There are excepted from the provisions of par. (6) the energy product as gasoline types, containing a minimum 2% in the volume of the products from biomasses, according to the provisions of Government Decision no. 1.844/2005, as further amended and completed, for which it shall be applied a reduced excise duty, as it follows:
a) leaded gasoline - 536.06 euro/ton
412.77 euro/1.000 litres
a) lead-free gasoline - 416.56 euro/ton
320.74 euro/1.000 litres.
(8) The bulk mixture of bio fuels and regular fuels, in accordance with the specific legislation, under suspension arrangements, may be made only in fiscal warehouse under fiscal surveillance.
(9) The bulk mixture of bio fuels and regular fuels, under suspension arrangements, may be made only in fiscal warehouse under fiscal surveillance.
(10) By way of derogation from provisions of pt. 2 par. (1), the exclusive operation of bulk mixture of bio fuels and regular fuels and of bio fuels and regular fuels may be made in storage fiscal warehouse, under fiscal surveillance.
23.9. For the exemption from the excise duty of the electric energy provided in art. 201 par. (1) letter m) of Law no 571/2003 on the Fiscal Code, as further amended and completed, for the purpose of these methodological norms "renewable energy sources" means: eolian energy, sun energy, geothermal power, wave power, tides energy, hydro- energy, biomass, waste fermentation gas, slime fermentation gas in the wastewater treatment plants and biogas.
23.10. (1) The exemption from the excise duties for diesel fuel and kerosene used as engine fuels in the situations provided in art. 201 par. (1) of Law no 571/2003 on the Fiscal Code, as further amended and completed, is granted provided that this products are marked according to the provisions of Directive No. 95/60/EC on fiscal marking of gas oils and kerosene, as well as the national legislation specific to this field.
(2) The marking of gas oils and kerosene is made only in fiscal warehouses, under fiscal surveillance, according to the procedure established by the Order of the President of the National Agency for Fiscal Administration.
23.11. (1) For all situations when there are issued authorization of final consumers , the territorial fiscal authorities shall keep strict records of these by writing in the special registers the authorizations of final consumers issued for energy products. The list including these economic operators shall be also published on the website of the Ministry of Public Finance, list that shall be monthly updated by the 15th of each month.
(2) The quantity of excisable products specified in an authorization of final consumer for energy products may be supplement in situations well justified during the same period of authorization validity.
(3) *** Abrogated
Fiscal Code:
SECTION 8
Marking alcoholic products and tobacco products
General rules
ART. 202
(1) The provisions of this section shall apply to the following excisable products:
a) intermediary products and alcohol, except as provided by norms;
b) tobacco products.
Methodological Norms:
24. (1) There are not subject to the system of marking:
a) denatured ethyl alcohol with substances specific to the destination, other than human consumption, so that not to be used in the production of alcoholic beverages;
b) technical ethyl alcohol result solely as secondary product of the process of obtaining the refined ethyl alcohol and which due to its composition may not be used in food industry.
c) alcoholic soft drinks, with an alcohol concentration of maximum 6% in volume;
d) products from the domestic production intended for export;
e) products similar to those subject to marking, come from import, under transit or temporary import arrangements;
f) food flavours, alcoholic extracts and concentrates.
(2) *** Abrogated
Fiscal Code:
Responsibility of marking
ART. 203
The responsibility of marking the excisable products belong to the authorized warehouse-keepers, registered operators or authorized importers, according to the provisions of norms.
Methodological Norms:
25. (1) The authorization of fiscal warehouse and registered operator certify the right of marking products subject to these arrangements.
(2) The right of marking products subject to these arrangements fall in the charge of the importer of such products from third countries, as well as the non-registered operator that purchase products subject to marking from other Member States, based on the authorizations issued by the competent fiscal competent authority in order to make these purchases.
(3) The authorization of importer is granted by the central fiscal authority in accordance with the provisions of pt. 27, the model of application for the grant of this authorization is provided in Annex no 23.
(4) In order to purchases processes tobacco products from other Member States, the stamps procured by the registered operators or by the non-registered operators is sent to the address of the production fiscal warehouse that shall apply them on the products.
(5) In order to purchases processes alcoholic drinks subject to marking from other Member States, the bands procured by the registered operators or by the non-registered operators are sent to the address of the production fiscal warehouse or to a fiscal warehouse designated by this that shall apply them on the products.
(6) In order to import products subject to marking, the stamps or bands, as the case may be, procured by importers, are sent to address of the external manufacturer that shall apply them on the products.
(7) In the cases provided in par. (4), (5) and (6), the markings are to be sent within maximum 15 days from the execution of the order by the unit authorized for printing.
(8) After the expiration of the 15 days terms, the registered operators, the non-registered operators or authorized importers shall return to the specialized unit authorized for printing, in order to be destroyed, the markings not sent in due time.
(9) For the imports of excisable products subject to marking, the markings shall be sent to the external manufacturers solely as non-accompanied luggage, by submitting to the custom of the custom document of temporary export. The custom document of temporary export shall be accompanied by:
a) international transport document, from which it shall result that the receiver is the manufacturer of goods to be imported;
b) a copy of the contract concluded between the importer and external manufacturer or its representative;
c) a photo copy of the importer authorization;
(10) Upon the import, with the custom document of import, it is submitted a customs document of re-import, for the applied markings, in order to conclude the arrangements granted for their temporary removal from their country.
(11) For storage fiscal warehouses for products subject to marking, these require markings, both when the markings are applied by the manufacturer, and when the marking is made in the storage fiscal warehouses, if it was authorized for this purpose.
Fiscal Code:
Procedures for marking
ART. 204
(1) The products are marked by stamps, bands or labels.
Methodological Norms:
26. (1) The size of markings are presented in Annex. 24.
(2) The markings are securities subject to special arrangements and are printed by the Compania Naţională "Imprimeria Naţională" - SA
(3) The stamps for marking the processed tobacco products are marked with the following elements:
a) name of the economic operator having the right of marking and the marking code awarded to it;
b) the general name of the product, namely: cigarettes, cigars, cigarillos, smoking tobacco;
c) series and number solely identifying the stamp.
(4) The bands for the marking the intermediary products and ethyl alcohol shall be printed with the following elements:
a) name of the economic operator having the right of marking and the marking code awarded to it;
b) the general name of the product, namely: alcohol, alcoholic soft drinks - as the case may be, spirits, plum brandy, fruit spirits, intermediary products;
c) series and number solely identifying the band;
d) index of application in "U" or "L" form;
e) nominal quantity expressed in litres of contained product;
f) alcohol concentration.
(5) The printing on the markings of the elements provided in par. (3) and (4) may be codified, the way of reading the code is made available to the lawful bodies by the Compania Naţională "Imprimeria Naţională" S.A., upon their request.
(6) The bands are applied on the sealing system of the bottles or Tetra Pak boxes, tetra brick and other similar items, in the form of "U" or "L". There are subject to marking by bands inclusively the cylinders and boxes that exceed the capacity of 1 litre, but no more than 3 litres.
(7) For the purpose of these methodological norms, the sale of the ethyl alcohol and of the alcoholic drinks similar to those subject to marking, in bottles or in boxes that exceeds the capacity of 3 litres, is considered bulk sale.
(8) If the size of the markings do not allow the inclusion of the full names of the economic operators having right of marking, there shall be printed the initials or abbreviations determined by each economic operator, by mutual agreement with the Compania Naţională "Imprimeria Naţională" - S.A.
(9) Each economic operator having right of marking is awarded with a marking code of 13 characters. For the authorized warehouse-keepers and the registered operators, the marking code is the excise duty code. For the authorized importers and the non-registered operators, the marking code is made of two alphanumeric characters related to the country code, according to the Standard ISO 3166, from where the intra-Community import or purchase is made, as the case may be, followed by the fiscal identification code consisting of 11 alphanumeric characters. When the fiscal identification code does not consist of 11 alphanumeric characters, this shall be preceded by "0", so that the total characters number to be 11. The marking code shall be specified on the printed markings that shall be applied on products intended for sale on the territory of Romania.
(10) In the case of authorized economic operators-importers that do not have contracts directly concluded with the external manufacturer, but with a representative of it, the markings shall be sent to the external manufacturer, and the code assigned shall contain the indicative of the country where the actual import is made.
Fiscal Code:
Issue of markings
ART. 205 [...]
(2) Issuance of markings is made by:
a) persons importing excisable products provided in art. 202, based on the importer authorization. The importer authorization is granted by the competent fiscal authority, in accordance with the norms;
Methodological Norms:
27. (1) A person who intends to obtain the importer authorization submit to the central fiscal authority filed a request according to the model presented in the Annex no. 17, accompanied by documents produced in certified photocopies certified by the territorial fiscal authority for accordance with the original:
a) legal documents for the formation of the person, with all the changes occurred up to the authorization request date;
b) criminal records of administrators and executive managers, issued by the authorized institutions in Romania;
c) contracts directly concluded between the foreign importer and the foreign producer or its representative. If the contract is concluded with a representative of the foreign manufacturer, a statement of the foreign manufacturer shall be submitted to certify the contractual relationship between this one and the foreign supplier of the holder of the importer authorization;
d) letter of good standing to the bank;
e) the applicant's declaration on its head office and other premises in which are to operate import activity as well as their addresses;
f) the report drawn up by the competent fiscal body showing the manner of fulfilling of the tax obligations to the state budget.
(2) To issue the importer authorizations, the central fiscal authority shall request the approval of the central customs authority.
(2^1) Any registered importer shall have the obligation to deposit a guarantee corresponding to a quote of 6% or 8.33%, in case of processed tobacco, of the total amount of the excises related to the products imported in the previous year. In case of a new importer authorized, the guarantee shall represent 6% or 8.33% of the total amount of the estimate excises related to the products to be imported during a fiscal year, in case of tobacco products. The form and method to establish the guarantee are those provided in art. (5), (6) and (7) from point 20.
(3) The importer authorization shall be issued by the central fiscal authority in 60 days from the date of submission of complete documentation.
Fiscal Code:
(3) Markings are required by submitting an application to the competent fiscal body, in the form and manner specified in norms.
Methodological Norms:
28. (1) For each application requesting markings, the warehouse-keeper authorized for production or for storing, the registered operator, the non-registered operator and the authorized importer shall submit to the competent fiscal body where they are registered as taxpayers an order notice.
(2) The form of the order notice is provided in annex no 25.
(3) In case of the authorized warehouse-keeper, registered operator and authorized importer, each order notice shall be approved - in whole or partially - by the competent fiscal body provided in par. (1), depending on:
a) data from the monthly report concerning the records related to purchases, use and return of markings, presented by the applicant to the fiscal body according to par. (9);
b) supplies of excisable products marked made in the last 60 days compared to the date of application for a new order notice.
c) the guarantee established upon authorization in case of alcoholic beverages under marking obligation which should cover the value of the excises related to the quantities of products for which bands have been ordered. For the authorized warehouse-keeper and registered operator, the level of the guarantee established upon authorization is that determined according to par. (8), (11) and (12) from point 20, and for the authorized importer, the level of the guarantee established upon authorization is that determined according to par. (2^1) of pt. 27. The value of the excises which should be covered by the guarantee represents the value of the excises representing revenue to the state budget, determined according to the provisions of point 1 par. (4). When the value of these excises exceeds the guarantee established upon authorization, the order notice may be approved in its whole only provided the establishment by the bands applicant of an additional guarantee able to cover the excise difference of value.
(4) In case of requesting of a quantity of markings bigger than the monthly average of the deliveries from the last 60 days, a justifying memorandum shall be submitted in which the reasons generating additional needs shall be explained.
(5) In case of non-registered operator, the order notice for markings shall be approved by the competent fiscal body based on the guarantee established at a level equal with the value of the excises related to the product quantities for which the relevant markings have been ordered.
(6) Order notices shall be drawn up by the applicant in 3 copies.
(7) Order notices shall be approved in 7 working days from the date of their recording with the competent fiscal authority. After approval, the 3 copies of the order notices shall have the following destinations: the first copy is kept by the applicant, the second copy shall be forwarded to the National Company "Imprimeria Naţională" -S.A. and the third copy is kept by the fiscal authority competent to approve the order notices.
(8) The economic operators having right to mark shall have the obligation to use the markings approved by the order notices in term of 6 months consecutive from their issuance by the National Company "Imprimeria Naţională" S.A. After the expiry of this term, the markings not used shall be returned to the National Company "Imprimeria Naţională" S.A., in view of their destruction which shall develop under fiscal monitoring on the charge of the economic operator having the right to mark.
(9) The authorized warehouse-keepers, the registered operators and the authorized importers of products subject of marking shall have the obligation to submit monthly until the 15th of each of the months, to the fiscal body competent to approve the order notices for markings, the report on markings used in the month previous to the reporting month, using the form provided in annex no 26. In case of bands, this report shall be drawn up on types of band according to their sizes and features on them. In order to confirm the reality of data contained in the justifying documents related to the use of markings for import, these documents shall be certified by the National Customs Authority.
(10) The percentage of maximum destroyed markings in the process of production and which can not be recovered to be recorded, shall be of 0.5% of the used markings number.
(11) For the quantity of markings destroyed in the production process over the maximum limit admitted, provided in par. (10), the excises related to the quantities of products which could be marked, shall be owed.
(12) In the case provided in par. (11) the excise shall become chargeable in the last day of the month in which the destruction was registered and the payment term of it shall be until the 25th of the next month.
(13) Warehouse-keepers authorized, registered operators and authorized importers of products subject to marking shall distinctly keep records of markings destroyed and damaged, according to the form presented in the annex no 27.
(14) All markings damaged shall be posted at the end of each day on a special form, designed for this, according to the form provided in annex no 28.
(15) Each semester end, until the 15th of the month next to the relevant ended semester, the deteriorated markings recorded in annex no 28, shall be destroyed by the authorized warehouse-keeper, the registered operator or the authorized importer, on own charge, according to the conditions provided in the applicable law, mandatory under fiscal surveillance.
(16) In case of lost or stolen markings, the authorized warehouse-keepers, the registered and non-registered operators and the authorized importers shall have the obligation to inform the fiscal body competent to approve the order notice for markings in order to be assessed the payment obligations related to excises in term of 15 days from the date of registration of the statement or written informing notice or ascertainment minutes on the disappearance of the markings drawn up by the person having ascertained this situation.
(17) In the case of exceeding of the term provided in par. (16), the excise shall become chargeable on the day following the day of exceeding of the term and shall be paid in 3 working days from the date of the exceeding of the relevant term.
Fiscal Code:
(4) Issuance of markings is done by the unit specialized in printing them, authorized in this regard by the competent fiscal authority, as specified in norms.
(5) The counter-value of the marking is to be provided by the state budget, from the amount of excises related to products subject of marking, according to the provisions of norms.
Methodological Norms:
29. (1) After the approval of order notices for markings by the competent fiscal body, the copy no 2 of the order notice shall be communicated by the economic operator having the right to mark to the National Company "Imprimeria Naţională" - S.A., accompanied by the document attesting the payment of the counter-value of the markings ordered in the account of this company.
(2) Issuance of the markings shall be done by the NationaL Company "Imprimeria Naţională" - S.A.
(3) If authorized importers, the issue marks is under custom's surveillance.
(4) The markings are made by the National Company "Imprimeria Naţională" - S.A. by issues identified by a code and an issue series number approved by the specialized directorate with control competence within the National Agency for Fiscal Administration.
(5) The term of execution of orders by the National Company "Imprimeria Naţională" - S.A. is of 15 working days from the date of receipt and registration of orders for markings approved by the competent fiscal authority.
(6) Until the issuance of markings to the beneficiaries, they are stored to the National Company "Imprimeria Naţională" - S.A. in complete security.
(7) The counter-value of the markings is to be provided by the state budget, from the amount of excises related to products subject of marking, according to the provisions of marking, as follows:
a) the authorized warehouse-keepers, monthly, from the amount to be remitted to the state budget as excise, assessed according to the provisions of par. (4) of point 1, shall deduct only the counter-value of the markings used for the products effectively traded. The counter-value of the markings to be deducted from excise shall be determined based on the sale prices of the products without V.A.T.;
b) the registered and non-registered operator, upon each operation, from the amount to be remitted to the state budget as excise, assessed according to the provisions of par. (4) of point 1, shall deduct only the counter-value of the markings used for the products effectively received. The counter-value of the markings to be deducted from excise shall be determined based on the sale prices of the products without V.A.T.;
b) the authorized importer, upon each marked product import operation, from the amount to be remitted to the state budget as excise, assessed according to the provisions of par. (4) of point 1, shall deduct only the counter-value of the markings used for the products effectively imported. The counter-value of the markings to be deducted from excise shall be determined based on the sale prices of the products without V.A.T.
Fiscal Code:
Seizure of processed tobacco
ART. 206
[...]
(2) The allocation of each batch of tobacco products confiscated, taking over of it by the warehouse-keepers, registered operators and importers, and the procedure of destruction is carried out in accordance with the norms.
Methodological Norms:
30. (1) Allocation of each batch of tobacco products confiscated - other than those of nomenclatures of the economic operators with right to mark - to the authorized warehouse-keepers shall be made proportionally with the market share held by them.
(2) The report on the market shares shall be communicated by the central fiscal authority, quarterly, through the special directorate competent for the drafting of the law in excise field, to the territorial fiscal bodies, to the directorates responsible for control of the Ministry of Public Finance, National Customs Authority and Ministry of Interior and Administration.
(3) For all the situations provided in art. 206 par. (1) of Law no 571/2003 concerning the Fiscal Code, as subsequently amended and completed, the delivery of the quantities of tobacco products seized shall be made based on a delivery-receipt minutes signed both by the representatives of the body having seized the products, and by the representatives of the economic operators with right to mark the products, which shall take them over.
(4) Destruction of tobacco products shall be made by using special methods assuring the total denaturising of them not allowing any possibility to be recovered, reconstituted, sorted, folded or in any other way recovered the raw material contained in such products. Destruction shall be made on the basis of the approval given by the National Agency for Fiscal Administration - through the special directorate with control competences, at the request of the economic operator with the right to mark such products, in the presence of a committee of destruction established in this particular purpose. This committee shall be built of a representative of the police and a representative of the power steering control directorate of the National Agency for Fiscal Administration.
(5) Non-processing of the quantities of tobacco products by the economic operators with right to mark such products according to par. (3), in term oof 30 days from the date of the information, shall lead to the suspension of the authorization assuring the right to mark such products until the observance of the legal provisions.
Fiscal Code:
Level and computation of excise
ART. 208
[...]
(3) For yachts and other vessels and boats with or without engine for recreation the excise levels are between 0% and 50% and shall be established differently based on the criteria provided in norms.
(4) There do not fall under the provisions of par. (3):
a) boats with or without engines with a length smaller than 8 meters and with engine with capacity less than 25 CP;
b) yachts and other vessels and boats designated to the use in sport under the conditions provided in norms.
(5) For engines of over 25 CP designated to yachts and other vessels and boats for recreation the excise levels are between 0% and 50% and shall be established differently based on the criteria provided in norms.
Methodological Norms:
30^1. (1) The excises for yachts and other vessels and boats with or without with or without motor for recreation are the following:
_____________________________________________________________________________
|No | Designation |Excise|
|crt. | | (%) |
|______|_______________________________________________________________|______|
| 1 | Inflatable boats, with a length between 8 and 12 m | 5 |
|______|_______________________________________________________________|______|
| 2 | Inflatable boats, with a length over 12 m | 7 |
|______|_______________________________________________________________|______|
| 3 | Sailboats, without engine, with a length between 8 - 12 m | 7 |
|______|_______________________________________________________________|______|
| 4 | Sailboats, without engine, with a length between 12 - 16 m | 9 |
|______|_______________________________________________________________|______|
| 5 | Sailboats, without engine, with a length between 16 - 24 m | 10 |
|______|_______________________________________________________________|______|
| 6 | Sailboats, with engine, with a length between 8 - 12 m | 9 |
|______|_______________________________________________________________|______|
| 7 | Sailboats, with engine, with a length between 12 - 16 m | 10 |
|______|_______________________________________________________________|______|
| 8 | Sailboats, with engine, with a length between 16 - 24 m | 12 |
|______|_______________________________________________________________|______|
| 9 | Motorboats, other than those with outboard engine, with | |
| | with a length between 8 - 12 m | 9 |
|______|_______________________________________________________________|______|
| 10 | Motorboats, other than those with outboard engine, with | |
| | with a length between 12 - 16 m | 10 |
|______|_______________________________________________________________|______|
| 11 | Motorboats, other than those with outboard engine, with | |
| | with a length between 16 - 24 m | 12 |
|______|_______________________________________________________________|______|
| 12 | Other vessels and boats for recreation or sport | |
| | of which: | |
|______|_______________________________________________________________|______|
| 12.1 | Motorboats with outboard engine, with a length between 8 - 12 m | 9 |
|______|_______________________________________________________________|______|
| 12.2 | Motorboats with outboard engine, with a length between 12 - 16 m | 10 |
|______|_______________________________________________________________|______|
| 12.3 | Motorboats with outboard engine, with a length between 16 - 24 m | 12 |
|______|_______________________________________________________________|______|
| 12.4 | Skyjets | 15 |
|______|_______________________________________________________________|______|
(2) The excises for engines with capacity of over 25 CP designated for yachts and other vessels and boats for recreation are the following:
_____________________________________________________________________________
|No | Type of engine |Excise|
|crt.| | (%) |
|____|_________________________________________________________________|______|
| 1 | Engines with capacity between 60 CP şi 120 CP | 5 |
|____|_________________________________________________________________|______|
| 2 | Engines with capacity between 60 CP and 120 CP | 7 |
|____|_________________________________________________________________|______|
| 3 | Engines with capacity over 120 CP | 9 |
|____|_________________________________________________________________|______|
(3) The following motorboats that do not meet one of the conditions provided in art. 208 par. (4) letter a) from the Fiscal Code are also excisable. The excise shall be computed by applying the rate related to the engine to the total acquisition value on the invoice, and the result shall be reduced by 50%.
Fiscal Code:
Excise payers
ART. 209
[...]
(3) Economic operators purchasing from the Community Territory the products provided in art. 207, should be registered with the competent fiscal body under the norms, before the receipt of products and should observe the following requirements:
a) to guarantee the payment of the excises according to the conditions established by the competent fiscal body;
b) to keep the accounting of the product deliveries;
c) to present the products any time requested by the audit bodies;
d) to accept any monitoring or verification of the inventory.
Methodological Norms:
30^2. (1) Economic operator - authorized natural or legal person - for exercising of the economic activity, may purchase form other Member States of European Union, excisable products as those provided in art. 207 of Fiscal Code, provided holding an authorization for intra-Community purchases of such products issued by the territorial fiscal authority issued with which it is registered as taxes and duties payer.
(2) To obtain the authorisation provided in par. (1) the economic operator is required to submit a request containing the information and accompanied by the documents provided in Annex no. 29.
(3) The territorial fiscal authority may require to the economic operator applying for authorization any information and documents deemed necessary, as the case may be, on:
a) identity of the economic operator;
b) places where are received the excisable products;
c) types of excisable products to be received in any location;
d) capacity of the economic operator to ensure financial security.
(4) The person who was convicted by a final judgment in Romania or in another state for an offence out of those regulated by the custom or fiscal regulations shall not be authorized for intra-Community acquisitions.
(5) The authorization of economic operator for intra-Community acquisitions shall be valid for 3 years, starting with the first day of the month following to that during which the economic operator produce the proof of a security in the amount and under the form established by the competent fiscal authority. Any other economic operator is required to submit a guarantee corresponding to a quote 3% of the total amount of the excises related to the products purchased during the previous year. In the case of a new operator, the guarantee shall represent 3% of the estimate excises, related to the products that are to be purchased during one year. The form and method to establish the guarantee are those provided in art. (5), (6) and (7) from point 20.
(6) If any modifications arise compared to the initial date specified in the authorisation, the economic operator has the obligation to require to the fiscal authority issuer of the authorization such modifications, as follows:
a) for each new location where the excisable products are to be received, at least 15 days prior to the receipt of products;
b) if the identification data of the economic operator modify, in term of 30 days from the date of the modification occurrence;
c) if the modifications concern the type of the excisable products, at least 60 days prior to the receipt of products.
(7) The economic operator cannot received the excisable products to any location if it do not product the proof of the registration of such location to the territorial fiscal authority.
(8) The excisable products received by the economic operator are accompanied by the commercial document that certifies the intra-Community purchase.
(9) The authorization may be revoked if the economic operator perpetrates a crime against the custom or fiscal regulations.
(10) The revoking decision is communicated to the economic operator and it becomes effective as of the date when it is communicated to the economic operator.
(11) For exceptional cases when the legitimate interests of the economic operator impose this, the fiscal authority issuer of the authorization may postpone the day of entering into force of the revoking decision, on a subsequent date.
(12) An economic operator may contest the revoking decision of the authorisation, according to the law in force.
(13) Challenging the revoking decision of the authorisation for intar-Community acquisitions by the economic operator, suspends the legal effects of this decision for the period of delivering a solution for such an appeal in administrative procedure.
(14) In case the warehouse-keeper authorized wants to renounce to the authorization, this one shall have the obligation to notify this intention to the Commission with at least 60 days prior to the date of effective renouncement to the authorization.
Fiscal Code:
CHAPTER 2
Other excisable products
Exemptions
ART. 210
[...]
(2) Economic operators exporting or delivering in another Member State brands of coffee obtained following processing of the coffee purchased directly by them from other Member States or from import, may request to the competent fiscal bodies, based on justifying documents, the refund of the excises remitted to the state budget related to the quantities of coffee used as eaw material for the coffee exported or delivered in other Member State. From this refund of the excises remitted to the state budget benefit the economic operators also for the quantities of coffee purchased directly by them from a Member State or from import and returned to the suppliers.
(2^1) From the refund of excises benefit also the economic operators purchasing directly from another Member4 State or from import products as provided in art. 207 letter d) - j) subsequently returned to the suppliers and which are exported or delivered in other Member State without any modification.
Methodological Norms:
31. (1) The economic operators exporting or delivering in another Member State brands of coffee obtained following processing of the coffee purchased directly by them from other Member States or from import, may request the refund of the excises.
(2) From the refund of excises benefit also the economic operators purchasing directly from another Member State or from import products as provided in art. 207 let. d) - j) of Fiscal Code and which are exported or delivered in other Member State without any modification.
(3) The refund requests are submitted to the fiscal authority with which the applicant is registered as tax and duties payer, within 3 months from the date of delivery to another Member State or the date of the export to a third country.
(4) The request provided in par. (3) shall mandatory contain the information on the quantity of shipped products, the destination Member State or the third country, total invoice value and the supporting documents for the amounts representing the excise duties to be refunded.
(5) Together with the refund request, the applicant shall submit these supporting documents:
a) for export:
1. the photo copy of the custom import document or of the document certifying the purchase from a Member State of the excisable products;
2. the photo copy of the document certifying the payment of the excise duties on the import or purchase from a Member State of the excisable products, confirmed by the bank with which the payer has its account open;
3. photo copy of the custom declaration that is the proof that the products were exported;
b) for deliveries to a Member State:
1. the photo copy of the custom import document or of the document certifying the purchase from a Member State of the excisable products;
2. the photo copy of the document certifying the payment of the excise duties on the import or purchase from a Member State of the excisable products, confirmed by the bank with which the payer has its account open;
3. photo copy of the invoice to the buyer form a destination Member State.
(6) If the excise duty level is reduced, for the refund requests that were presented within the 3 months from the reduction, the refund is granted to the excise duty level in force upon the request submission, if it is not proved that for the shipped products there were paid excise duties at the level applicable previous to the reduction.
(7) The economic operators may benefit, upon request, from the refund of the excise duties also for the quantities of products provided in par. (1) and (2) directly purchased from other Member States or imported and returned to the suppliers without bearing any modification.
(8) In the situations provided in art. (7) the refund request is submitted to the fiscal authority with which the applicant is registered as taxes and duties payer, within 30 days from the date of products purchasing.
(9) The request provided in par. (8) shall mandatory contain the information on the quantity of purchased excisable products, the purchase Member State or the third country, total purchase invoice value, the reason for returning the excisable products and the supporting documents for the amounts representing the excise duties to be refunded.
(10) At the same time with the refund request provided in par. (8), the applicant shall submit these supporting documents:
a) for refund on export:
1. the photo copy of the custom import document or of the document certifying the purchase from a Member State of the excisable products;
2. the photo copy of the document certifying the payment of the excise duties on the import or purchase from a Member State of the excisable products, confirmed by the bank with which the payer has its account open;
3. photo copy of the custom declaration that is the proof that the products were refunded on export;
b) for the return of the excisable products to the supplier in a Member State:
1. the photo copy of the custom import document or of the document certifying the purchase from a Member State of the excisable products;
2. the photo copy of the document certifying the payment of the excise duties on the import or purchase from a Member State of the excisable products, confirmed by the bank with which the payer has its account open;
3. photo copy of the commercial document certifying that the products were returned to the supplier from another Member State.
(11) For all situations, after the fiscal authority verifies the accuracy of the information presented by the applicant, the excise duties shall be refunded within maximum 45 from the request submission.
(12) The excise duties shall be refunded according to the provisions of the Fiscal Procedure Code.
Fiscal Code:
Chargeability
ART. 211
[...]
(3) In case of natural persons purchasing products as provided in art. 207 letter h), the chargeability arises upon the registration with the competent authorities by law.
Methodological Norms:
31^a. The individuals purchasing from the Community Territory weapons as those provided in par. 207 letter h) of the Fiscal Code, shall pay the excise duties to the units of the State Treasury within the fiscal units under which jurisdiction they have their domicile, and for the import, to the custom body or to the unit of the State Treasury under which jurisdiction the first custom office of entry in the country operates.
31^1. *** Abrogated
31^2. *** Abrogated
Fiscal Code:
CHAPTER 3
The tax on crude oil and natural gas from domestic production
General provisions
ART. 215 [...]
(5) The tax on oil and natural gas from domestic production is chargeable at the delivery date.
Methodological Norms:
33. The tax on oil from domestic production is paid to the state budget until 25th of the following month following the month when the tax becomes chargeable.
Fiscal Code:
ART. 218
The value in lei of the excises, of the special fee for cars/motor vehicles and of the tax on the oil from domestic production due to the state budget, established according to this title in Euro per measure unit shall be determined by conversion of the amounts expressed in Euro using the exchange rate valid for the first working day from October of the previous year as published in the Official Journal of the European Union.
Methodological Norms:
32^1. In order to ensure the correct application of the exchange rate for the excise duties calculation, this shall be communicated on the website of the Ministry of Economy and Finance within 15 days from the publishing in the Official Journal of the European Union, this exchange rate shall be used during the next year.
Fiscal Code:
CHAPTER 4
Common provisions
Payers' obligations
ART. 219
[...]
(3) Payers shall have the obligation to keep the records for excises and tax on the oil from domestic production, as the case may be, according to the norms, and to submit annual settlement reports concerning the excises and the tax on the oil from domestic production according to the legal provisions concerning the payment obligations to the state budget until the April 30 of the year following the reporting year.
Methodological Norms:
33. (1) The accounting records of the excise duties, the tax on crude oil obtained from domestic production shall meet the accounting regulations as applicable by the economic operators.
(2) The payable amounts in excise duties, tax on crude oil from domestic production and special fees for motor cars and vehicles shall be transferred by the payers in the corresponding revenue accounts of the state budget opened with the treasury and public accounts units where these are registered as taxpayers, with the exception of the excise duties payable for the imports of excisable products which are to be paid in corresponding accounts of the state budget opened with the state treasury units where are located the customs offices through which the import operations are carried out. The IBAN codes of the state budget accounts where these obligations must be paid are published on the website of the Ministry of Public Finances, at the address:
www.mfinante.ro/Portal/ANAF/Asistenta contribuabililor.
34. For products removed from state reserves or reserve mobilization, excise duty is made by the units holding these stocks when delivering the products to the beneficiaries.
35. (1) Excisable products held by the economic agents with outstanding tax obligations may be sold by forced execution procedure carried out by the competent bodies, according to the law, as follows:
a) the excisable products intended for the use as raw materials, shall be fructified in suspensive regime only by a production fiscal warehouse. For the capitalization of excisable products, within the forced execution procedure, through direct sale or auction, the delivery is made based on specific fiscal invoice and the accompanying administrative document. The accompanying administrative document is obtained from the beneficiary fiscal warehouse;
b) the marked excisable products are capitalized at the excise duty prices to the trade economic agents. For the capitalization of marked excisable products, within the forced execution procedure, through direct sale or auction, the delivery is made based on specific fiscal invoice, where the excise duty shall be separately recorded.
(2) The persons obtaining excisable products following their capitalization according to par. (1), shall meet the conditions provided by law, as the case may be.
Fiscal Code:
Settlements between economic agents
ART. 220 [...]
(2) There do not fall under the provisions of par. (1):
a) supplies of products subject to excise duty by economic marketing such products in retail system;
b) product deliveries subject to excise, carried out under the system of offset of the obligations to the state budget, approved by special normative acts. The amounts representing excise duties may not be the subject to offset, unless the special normative acts provide otherwise.
Methodological Norms:
36. (1) The offsets accepted by normative acts, carried out between the economic agents, are included in the system of offsets.
(2) The settlements between the economic agents-suppliers of excisable products and the economic agents-buyers of these products are made entirely through the banking units in the case of deliveries made by the economic agents-producers and importers of such products, with the exception provided in art. 220 par. (2) of the Fiscal Code.
36^1. *** Abrogated
Fiscal Code:
CHAPTER 5
Transitional provisions
Derogation for the energy products
ART. 221
By way of derogation from the provisions of art. 193, the delivery of energy products from fiscal warehouses is made only when the buyer presents the payment document certifying the transfer to the state budget of the amount of excise duties related to the quantity to be invoiced. On the occasion of filing the monthly excise duty declaration there shall be adjusted any potential differences between the amount of excise duties transferred to the state budget by the products beneficiaries on behalf of the fiscal warehouse and the amount of the excise duties related to the quantities of energy products actually delivered during the previous month.
Methodological Norms:
37. (1) The release for consumption of energy products from the fiscal warehouses is carried out on the moment when the buyer submits the payment document attesting the transfer to the state budget of the amount of excise duties associated to the quantity that is to be invoiced.
(2) The payment orders for the state treasury, which attest the transfer to the state budget of the amount in excise duties for the quantity that is to be invoiced, submitted by the buyers to the authorized warehouse-keepers, must be confirmed by the stamp and the 78 authorized signature of the bank debiting the payer’s account for the relevant amount and a copy of the bank statement.
(3) The excise duties for the energy products delivered from the fiscal warehouses is payable by the buyers in the corresponding revenue account of the state budget, opened with the state treasury units where the authorized warehouse-keepers have their registered offices, in accordance with the provisions in the Order of the Ministry of Finances no 246/2005 for approving the methodological norms on the use and filling out of the payment order for the State Treasury (OPT).
(4) The energy products shall be delivered only based on orders submitted by the buyers.
(5) Based on the order submitted by the buyer, the authorized warehouse-keepers issue a pro-forma invoice (cod 14-4-10/aA) to the buyers, mentioning: the name of the product, the quantity, the value of the payable excise duty, as well as any information regarding the fiscal identification code of the authorized warehouse-keepers in whose name the excise duties are paid, and the state treasury unit in the area where the authorized warehouse-keepers have their permanent offices.
(6) In case the delivered quantities are determined by weighting, the orders must be expressed in metric tons.. For the conversion to litres at +15 degrees C the densities associated with the +15 degrees C temperature shall be used.
(7) In case the deliveries are carried out using standardized containers and/or the quantities are determined using the volume-density method, the orders must be expressed in litres, corresponding to the capacity in the standardizing document.
(8) The quantity inscribed in the order, expressed in litters at the actual temperature, shall be rectified with the density at the temperature of +15 degrees C, with the outcome being the quantity expressed in litres at +15 degrees C.
(9) The value of excise duties payable by the buyer according to the pro-forma invoice shall be the quantity expressed in litres at the temperature of +15 degrees C, established according to the provisions in par. (9), multiplied by the excise per litre.
(10) On delivery, the excise shall be re-calculated according to the procedure above, with the resulted value to be recorded separately.
(11) For the other types of energy products the calculation of the payable excise amount is based on the densities recorded in the density register on the moment of preformed invoicing, re-calculated for the temperature of +15 degrees C, as follows:
- excise (euro/metric ton): 1,000 = excise (euro/kg) x density at +15 degrees C (kg/litre) = excise (euro/litre);
-the quantity in kg: density at +15 degrees C = quantity litres to +15 degrees C;
- the excise value = the quantity in litres at + 15 degrees C x excise (euro/litre).
(12) The potential differences between the value of the excises transferred by the beneficiary to the state budget, according to the pro-forma invoice, and the value of the excises for the quantities of energy products actually delivered by the authorized warehouse-keepers, according to the fiscal invoice, determined by the density variation, shall be rectified when the monthly return on the obligations to the state budget is submitted.
(13) On a daily basis, the units of the state treasury shall issue, upon request of the authorized warehouse-keepers, copies of the bank statements for the state budget revenue account, showing the excise duty amounts transferred to such accounts, based on which the provider may not carry out any delivery.
38. (1) All economic agents-producers of excisable products provided in art. 162 of the Fiscal Code, holder of the authorizations issued in accordance with the provisions of Law no. 521/2002 as regards the regime of surveillance and authorization of products, the import and circulation of products subject to excises, valid by 31 December 2003, shall, within10 days from the publishing of these methodological norms in the Official Gazette of Romania, Part I, to submit to the territorial fiscal authority the inventory lists of the products registered in stock on 31 December 2003.
(2) The inventory lists are drawn up in two copies that are certified by the territorial fiscal authority. The first such certificate copy is kept by the economic agent, and the second one is kept by the territorial fiscal authority.
(3) The inventory lists shall be accompanied by declaration of the economic agent on procurement of excisable products from the last two months, used as raw material.
(4) The declaration shall be made in two copies, of which the first copy is kept by the economic agent, and the second copy is kept by the territorial fiscal authority with the inventory lists.
(5) The economic agents that at 31 December 2003 registered stocks of excisable products, made by that date, and that do not fulfil the conditions to become storage authorized warehouse-keepers according to the Title VII of the Fiscal Code, may capitalize the products in stock by 31 December 2004 based on a special approval issued by the fiscal authority issuing the authorization granted in accordance with the Law no. 521/2002. 521/2002, with the excise duties payment, as the case may be. The arrangements on excise duties payment shall be determined by the fiscal authority issuing the special approval. The economic agents-producer of ethyl alcohol and distilled products - as raw materials - shall sell these products only to authorized beneficiaries in accordance with provisions of the Title VII of the Fiscal Code. After 31 December 2004, the quantities remaining in stock can no longer be marketed.
(5^1) The quantities of excisable products come from the stock registered on 31 December 2004, hold by the economic agents provided in par. (5), that have no longer the right, according to the law, to be marketed, may be handed over under fiscal surveillance, in order to be destroyed, under the conditions provided by the legislation on this matter.
(6) The warehouse-keepers authorized as producers of products of ethyl alcohol group, which hold in stock ethyl alcohol and distilled products - as raw materials - purchased at excise duty prices, do not paid excise duties for the products derived solely from the processing of these raw materials and for such products registered in stock on 31 December 2003, provided that the excise duties related to raw materials have been paid to the supplier. This provision shall apply by 30 June 2004, after this date there shall be applied the provisions of Title VII of the Fiscal Code.
(7) For excisable products in stock on 31 December 2003 in locations other than fiscal warehouses of the authorized warehouse-keeper for which the excise duty has not been paid, the excise duty becomes chargeable at the time of delivery of products.
(8) The alcoholic soft drinks from the group of ethyl alcohol, which alcohol concentration is more than 1.2% in volume, unmarked with bands, come from stocks of such products registered on 31 December 2003, held by the warehouse-keepers authorized for production, or by the importers authorized under the conditions of the Fiscal Code, may be marketed without being subject to marking only under the fiscal surveillance provided by the fiscal authority where are registered as excise duties payers. For this purpose, by the 5th of each month, the economic agents shall draw up in two copies a situation of the deliveries of products come from the stocks registered on 31 December 2003, made in the previous month, the second copy shall be sent to the fiscal authority. The model of the situations is provided in Annex no. 22.
(9) The economic agents-traders holding alcoholic drinks like those specified in par. (8), unmarked by bands, come from economic agents-legal producers or legal importers, may market these drinks until the quantity of such products is depleted, but no later than 31 December 2004. After this date it is forbidden to trade those alcoholic drinks.
(10) The economic agents authorized after 1 January 2004 as authorized warehouse-keepers for the production of plum brandy and fruit spirits, which obtain such products by processing fruits, fruits marks or other semi-products taken over from individuals in 2003 and 2004, may deliver those products to the individuals from where they took them over the raw material, without excise duties payment, only when the products are intended for its own consumption, based on the declaration on its own liability of the individuals in question. The model of the declaration is provided in Annex no. 23.
(11) In 2004, the plum brandy and fruits natural spirits may be produced for individuals own consumption "in service provision system", without the payment of excise duties, also by other economic agents - authorized according to the provisions of the Law no. 300/2004 regarding the authorization of natural persons and family associations that perform economic activities independently. In this case, the services may be provided only based on the written confirmation of the territorial fiscal authority, according to which the natural person notified in written to this authority about the fruits quantity to be processed, who shall provide the services, and it declared that the products thus obtained are intended for its own consumption.
(12) The economic agents - warehouse-keepers authorized for the production of excisable products, other than those in the group of ethyl alcohol - that hold stocks of raw materials come from purchases made by 31 December 2003 at excise duties prices, upon the release for consumption from the fiscal warehouse of the excisable products resulted from the processing of these stocks, may setoff the excise duty due to the state budget by the amount representing the excise duty related to the quantity of raw material which is found in the final excisable product. According to the Methodological Norms for the enforcement of the Government Ordinance no 92/2003 on the Fiscal Procedure Code, approved by the Government Decision no. 1.050/2004, the setoff request shall be accompanied by the proof of having paid the amounts representing the excise duties related to the raw materials in the account of the supplier of such raw materials. The setoff shall be also conditioned by the existence of the economic agent-supplier. There may be subject to the setoff only the excise duties related to the raw materials directly purchased from the economic agents-domestic producers or importers. The excise duties related to the raw materials may be subject to the setoff only under the limit of excise duties related to the delivered final products.
(13) The economic agents holding stocks of raw materials come from legal purchases made by 31 December 2003 at excise duties prices and which made by processing these stocks products that are not subject to the excise duties or products for which the excise duty is "0", may request the setoff or the refund, as the case may be, of the excise duties related to the raw materials included in the final products resulted, according to the Fiscal Procedure Code, as well as the methodological norms applied to it. The setoff or the refund shall me made to the extent of the sale of final products resulted by processing and only based on the documents supporting the purchase of raw material at excise duties prices, their payment in the account of the supplier, the raw material processing, as well as the sale of final products resulted.
(14) The alcoholic products as those defined in art. 169 - 173 of the Fiscal Code and the tobacco products which do not meet the legal conditions of marketing, held by warehouse-keepers authorized for production and/or storage, as well as by the economic agents-traders, may be handed over under fiscal surveillance, in order to be destroyed, under the conditions provided by the legislations on this matter. The fiscal surveillance shall be provided by the fiscal authority under which jurisdiction the economic agent operates.
39. (1) The fiscal documents found in stock on 31 December 2003 may be also used after that date.
(2) All economic agents having the obligation to use special fiscal documents provided in the normative acts on excise duty arrangements, which were applied to the entry into force of the Fiscal Code, within 10 days from the date of publication of these detailed methodological norms in the Official Gazette of Romania, Part I, shall submit to the territorial fiscal authority a statement on the stock of such documents, recorded on 31 December 2003. The declaration is made in two copies, the first of which is kept by the economic agents.
40. (1) For October 1 - December 31, 2003, the economic agents-producers of cigarettes and tobacco products shall deduct from the amount of excise duties due on 25 January 2004 the stamps equivalent value established based on the price without value added tax, related to the deliveries of such products made during this period. At the same time, the economic agents shall transfer in the account of the Companiei Naţionale "Imprimeria Naţională" - S.A. the equivalent value of those stamps, established based on the price with value added tax.
(2) The economic agents-domestic producer of cigarettes and tobacco products, which have not received the authorization of authorized warehouse-keeper with effect of 1 January 2004, shall within 10 days from the date of publication of these methodological norms in the Official Gazette of Romania, Part I, to return in order to be destroyed to the Companiei Naţionale "Imprimeria Naţională" - S.A. the unused stamps in stock on 31 December 2003. These economic agents shall also transfer the equivalent value of these stamps in the accout of the Companiei Naţionale "Imprimeria Naţională" - S.A. The amounts to be transferred into the accout of the Companiei Naţionale "Imprimeria Naţională" - S.A. shall be established by an act of control concluded by the fiscal territorial authority under which jurisdiction they economic agents in question operate, at the request of the central fiscal authority.
(3) The economic agents-domestic producers of excisable products subject to marking, other than cigarettes and tobacco products, which have not received authorization of authorized warehouse-keeper with effect from 1 January 2004, or economic agents-domestic producers of products which from that date no longer are subject to marking, shall within 10 days from the date of publication of these methodological norms in the Official Gazette of Romania, Part I, return to the Companiei Naţionale "Imprimeria Naţională" - S.A. the unused markings to be destroyed.
41. (1) Within 10 days from the effective date of these methodological norms, the warehouse-keepers authorized for production and the importers of mineral oil shall sent to the Ministry of Economy and Trade the list of semi-products and finished semi-products in their nomenclature of manufacturing or import, positions on tariff classification, field of use and excise duty proposed for them. The lists shall be accompanied by the technical data sheets of each finished product.
(2) After checking the lists, the Ministry of Economy and Trade, within 10 days of their receiving shall sent them in order to be endorsed by the Ministry of Public Finance - Central Commission for approval of fiscal warehouses.
(3) The provisions of par. (1) and (2) shall be applied to any new product included in the nomenclature of manufacturing or import of the warehouse-keeper authorized for production or importer of mineral oils.
41^1. The economic agents carrying out the activity of supplying electric energy shall by 30 September 2005 submit the requests and the documentation drafted in accordance with the provisions of these methodological norms, in order to be authorized as warehouse-keepers.
41^2. (1) A leasing contract is considered to be initiated when the beneficiary of the leasing contract concluded by signing a firm contract with a leasing company, based on which it shall carry out the leasing operation.
(2) For leasing contracts initiated before 1 April 2005, the excise duty due upon the conclusion of the custom import arrangements is calculated according to the condition of the cars when they were introduced in the country and based on the excise duties share in force upon the initiation of the leasing contract, under the conditions provided by the legislation on this matter applicable by 1 April 2005.
(3) The provisions of par. (1) and (2) shall apply also for other products subject to excise duties, included in art. 208 of Fiscal Code, introduced in the country based on some leasing contracts.
42*). (1) Annexes no. 1, 2, 10, 13, 22 and 23 are abrogated.
(2) Annexes no. 1 - 29 are part of these methodological norms.
(3) Annexes no. 3, 4, 5, 12, 14, 15, 16, 17, 18, 19, 20 and 21 are replaced by the annexes no. 4, 6, 9, 15, 17, 20, 23, 24, 25, 26, 27 and 28 to these methodological norms.
------------
*) Point 42 is rendered as amended by art. I let. G (Title VII "Excise duties and other special duties") pt. 56 from the Government Decision no 1861/2006. In order to correspond with these current references to the annexes related to this title, the annexes no. 1 - 21 of the Government Decision no 44/2004, under the form previous to the amendment made by the Government Decision no. 1861/2006, were replaced by the annexes no. 1 - 29 of the Government Decision no 1861/2006.
NOTES:
1. We shall reproduce below the provisions of art. I let. G (Title VII "Excise duties and other special duties") pt. 57 - 64 of the Government Decision no 1861/2006, as further amended.
"57. The warehouse-keepers authorized for production of excisable products subject to marking and the importers of such products, whose authorization was revoked or cancelled, and which upon the revocation or cancellation of the authorization, hold unused, damaged markings or register damaged markings, shall pay within 15 days from the date of revocation or cancellation, in the account of the Companiei Naţionale "Imprimeria Naţională" S.A., the equivalent value of all purhcased markings, as well as those executed and found in stock at Compania Naţională "Imprimeria Naţională S.A.", unpaid by that date. After the payment date, within 15 days, the unused markings shall be returned, to be destroyed, to the Companiei Naţionale "Imprimeria Naţională" S.A., and the legat expenses for destruction shall be born by the economic operators in question.
58. (1) The authorization of final consumer issued in 2006, for direct exemptions from excise duties, valid by 31 December 2006, shall be valid by 1 March 2007, exclusively, in the limit of some quantities established for to months of the total quantity approved specified in the authorization.
(2) Starting with 1 March 2007, these authorizations of final consumer shall be longer valid, direct exemption following to be granted according to the provisions of pt. 22 and 23.
(3) For direct exemptions from excise duties, for which authorization of final consumer were issued in 2006, and on 1 January 2007 become subject of the provisions of art. 175^4 par. (1) pt. 2 letter a) of the Fiscal Code, the validity of the authorizations being extended by 1 March 2007, after that date there shall be applied the provisions of pt. 5^1.3. The beneficiaries of the excise duty free arrangements that purchased energy products at excise duties prices shall be entitled to the refund of the excise duties paid by the supplier.
(4) The beneficiaries of the direct exemption from the excise duties payment provided in pt. 23, which after 1 January 2007 and until when the end user authorization shall be obtained have purchased energy products at excise duty prices, may request the refund of the excise duties paid by the supplier. There may also request the refund of the excise duties economic operators that purchased after 1 January 2007 energy products at excise duty prices which they delivered at excise duty free prices, until the authorization of final consumer shall be obtained by the beneficiary of the exemption.
(5) In the cases provided in par. (3) and (4), the refund of the excise duties shall be made according to the provisions of the Fiscal Procedure Code, based on a request submitted to the territorial fiscal authority, accompanied:
a) the photo copy of the energy products purchase invoice, in which the excise duty is separately recorded, the proof of the excise duties payment by the supplier and, as the case may be, the photo copy of the invoice for the delivery of those products at excise duty free prices;
or
b) the excise duty payment document upon the import and the photo copy of the invoices for the delivery of the energy products at excise duty free prices.
59. All individual house holdings, producer of plum brandy, the fruit spirits, spirit of wine and spirits of vilification sub-products, which on 1 January 2007 hold stocks of such products intended for its own consumption, shall declare these stocks to the territorial fiscal authority through the public finance administration under which jurisdiction they have their domicile, upon the registration of the installations held for the production of such products.
60. The accompanying administrative documents registered in the stock on 1 January 2007 both with the authorized warehouse-keepers and with the C.N. Imprimeria Naţională" S.A. may be used further on until they are depleted, but only for the movement of the excisable products under duty-suspension arrangements on the territory of Romania.
61. (1) All warehouse-keepers authorized by 31 December 2006, holding authorizations valid after 1 January 2007, shall, by 31 March 2007, inclusively, communicate to the Commissions set up within the central fiscal authority the level of guarantee established according to par. (8) and (8^1) of pt. 20 and the data based on which this level was established, in order to update the guarantees already established. The Commission shall establish for each authorized warehouse-keeper the level of the updated guarantee and, as the case may be, of the reduced guarantee, as well as the difference of establishment to be communicated to the warehouse-keeper. The difference of guarantee thus determined shall be established by the authorized warehouse-keeper within 30 days from the date of notifying this to the Commission.
(2) All authorized importers of excisable products subject to marking, holding authorizations valid after 1 January 2007, shall, by 31 March 2007, inclusively, communicate to the Commissions set up within the central fiscal authority the level of guarantee established according to par. (2^1) of pt. 27 and the data based on which this level was calculated, in order to determine the level of guarantees to be established. The guarantee determined shall be established by the authorized importer within 30 days from the date of notifying this to the Commission.
(3) The warehouse-keepers authorized by 31 December 2006, exclusively, for bottling the alcoholic drinks, holding authorizations valid after 1 January 2007, shall comply with the provisions of par. (3) of point 2 by 30 September 2007.
(4) All warehouse-keepers authorized by 31 December 2006, holding authorizations valid after 1 January 2007, shall comply with the provisions of par. 8 par. (5) and (5^1) by 30 September 2007.
62. (1) For those transactions with excisable products with the Member States which begun before 1 January 2007 and which are completed after this date, there shall be applied the regulations in force on the date of transaction beginning.
(2) The movement started of the excisable products and which entered the custom offices of exit from the Community before 1 January 2007 and which are subject to the Community custom arrangements as established in art. 5 of the Directive 92/12/EEC on the accession date, shall continue to be subject to these arrangements until its conclusion in the extended Community.
(3) For the import operations of excisable products subject to the marking, which started before 1 January2007, which are completed after this date and for which the excise duties were already paid, there shall be applied the regulations in force on the date when the import operations began.
(4) The markings purchased from the Compania Naţională "Imprimeria Naţională" - S.A. by the authorized warehouse-keepers and importers authorized for excisable products subject to marking, based on the order notes approved by the competent fiscal authority in 2006, may be used until they are depleted, but no later than 30 June 2007. There are also subject to these provisions the bands intended for marking bottles or boxes with a capacity of more 3 liters and, implicitly, the marketing by the producers and importers of the alcoholic drinks so marked. After this date it is forbidden to be market by the producers and importers the alcoholic drinks so marked, and the bands unused shall be handed over to teh Compania Naţională "Imprimeria Naţională" - S.A. in order to be destroyed. The legat expenses for destruction shall be born by the authorized warehouse-keeper or authorized importer.
(5) The warehouse-keeper authorized for the production of alcoholic drinks, as well as the importers of such products, which on the effective date of these norms hold in stock bands unused or have shipped to the external supplier the bands intended for the marking of bottles or boxes with a capacity of more than 3 litre, shall present, within15 days from this date, to the territorial fiscal authority with which they are registered as taxes and duties payer a situation including the number of bands unused/shipped, as well as the stock of products marked and bottled in bottles of more than 3 litre registered by the producer/importer, inclusively those existing at the external supplier.
63. The economic operators-producers of products subject to harmonized excise duties, for which, starting with 1 January 2007, there arise the obligation of authorizing the production site as fiscal warehouse, may further carry out the production activity until the authorization of that site as production fiscal warehouse, but no later than 31 March2007.
64. The condition provided in par. 23.10 become mandatory starting with 1 April 2007*)."
------------
*) According to art. 9 par. (2) of the Government Decision no 314/2007, the deadline of 1 April 2007 provided at pt. 64 of the Title VII "Excise duties and other special duties" of the Government Decision no. 1.861/2006 shall be extended by 1 September 2007.
2. We shall reproduce below the provisions of art. I let. G (Title VII "Excise duties and other special duties") pt. 36 from the Government Decision no 1579/2007.
"36. After point 64, two new points shall be introduces, points 65 and 66, having this content:
<<65. For the storage sites for energy products of a warehouse-keeper authorized for the production of such products, which on the effective date of these methodological norms are authorized as production fiscal warehouses, the exchange of the authorization of storage fiscal warehouses shall be made upon the request of the authorized warehouse-keeper. The request shall be submitted to the central fiscal authority and shall contain the information on the fulfilment of the legal conditions for the capacity of storage fiscal warehouse. If the central fiscal authority deems necessary, it may request additional information from the territorial fiscal authority where the site to be authorized as storage fiscal warehouse is located.
66. The warehouse-keepers authorized for the production of excisable products of the group provided in art. 169 - 173 of the Fiscal Code, which on 1 January 2008 hold valid authorizations, shall meet the requirements provided in par. (6^1) and (6^3) of pt. 8, with regard to obtaining the classification on the positions and the tariff codes of the finished products made by the National Customs Authority, by 30 April 2008.>>"
ANNEX 1
______________________________________________________________________________
| | Registration No......... | Date ............... |
|__________________________|____________________________|______________________|
DECLARATION
for the registration of the individual household producing alcoholic drinks intended for its own consumption
______________________________________________________________________________
| 1. Name and surname | |
| individuals | |
|___________________________|__________________________________________________|
| 2. Address | County .................... District ......... |
| | Locality ................................... |
| | Street .................... No. ........../............. ..... Building .... |
| | Entrance .... Floor .... Ap. .... Zip Code ...... |
|___________________________|__________________________________________________|
| 3. Phone | |
|___________________________|__________________________________________________|
| 4. Personal Numeric Code | |
|___________________________|__________________________________________________|
| 5. Activity description | Production |
| to be carried out | _ _ _ _ _ _ |
| | |_| |_| |_| |_| |_| |_| |
| | Beer Wines Drinks Plum Brandy Spirits Other |
| | fermented spirits|
| | other |
| | than beer |
| | and wines |
|_____________________________|________________________________________________|
| 6. Specify the quantity | |
| (in liters) estimated to be | |
| obtained in one year | |
| the carry out period | |
| of the activities: | |
| 6.1. - beer | |
| 6.2. - wines | |
| 6.3. - fermented | |
| drinks, other than | |
| beer and wine | |
|_____________________________|________________________________________________|
| 7. Specify the installations | |
| of production held for| |
| the production of plum brandy and | |
| fruits spirits*) | |
| 7.1. - plum brandy | |
| 7.2. - spirits | |
| 7.3. - other spirits | |
|_____________________________|________________________________________________|
| 8. Specify the quantity | |
| estimated to be produced | |
| in one year, in liters | |
| and the alcohol concentration, | |
| as well as the period of | |
| activity carry out: | |
| 8.1. - plum brandy | |
| 8.2. - spirits | |
| 8.3. - other spirits | |
|_____________________________|________________________________________________|
NOTE:
*) there shall be annexed also the photo copies of the authorizations for holding the installations for the production of plum brandy and fruit spirits.
Knowing the provisions of art. 474 on the misrepresentation, of the Criminal Code, I declare that the data contained in this form are correct and complete.
.......................... ..........
Signature of applicant Date
ANNEX 2
______________________________________________________________________________
| | Registration No......... | Date ............... |
|__________________________|____________________________|______________________|
APPLICATION
regarding the registration of the authorized economic operator: natural gas supplier/for coal extraction/for coke production/electric energy supplier
______________________________________________________________________________
| 1. Name of the economic | |
| operator | |
|___________________________|__________________________________________________|
| 2. Address | County .................... District ......... |
| | Locality ................................... |
| | Street .................... No. ........../............. ..... Building .... |
| | Entrance .... Floor .... Ap. .... Zip Code ...... |
|___________________________|__________________________________________________|
| 3. Phone | |
|___________________________|__________________________________________________|
| 4. Fax | |
|___________________________|__________________________________________________|
| 5. E-mail address | |
|___________________________|__________________________________________________|
| 6. Fiscal Identification | |
| Code | |
|___________________________|__________________________________________________|
| 7. Name and phone | |
| number of | |
| the legal representative | |
| or of other contact | |
| person | |
|___________________________|__________________________________________________|
| 8. Description of the economic | _ _ _ _ |
| activity carried out in | |_| |_| |_| |_| |
| Romania | Supply Extraction Production Supply |
| | natural gas coal coke electric |
| | energy |
|___________________________|__________________________________________________|
| 9. Please enclose the certified photo copy of the authorization issued by the regulatory |
| authority in the field |
|______________________________________________________________________________|
| 10. Please enclose the confirmation of the fiscal authority regarding the capacity of |
| excise duties payer |
|______________________________________________________________________________|
Knowing the provisions of art. 474 on the misrepresentation, of the Criminal Code, I declare that the data contained in this form are correct and complete.
.............................. ..........
Signature of applicant Date
or of the fiscal representative
ANNEX 3
SITUATION
of cigarettes delivery
in month ...... year ......
Name
of the warehouse-keeper authorized for production/
warehouse-keeper authorized for storage/
registered operator/
authorized importer
.........................................................................
Registered office:
County ................. District ......... Locality ................
Street .................... No. ........../............. ... Building ... Entrance ... Floor ... Ap. ...
Zip Code ............... Telephone/fax ................................
Excise duties code ...........................................................
Fiscal identification code .............................................
______________________________________________________________________________
|No | Range | Maximum price | Quantity | Excise duty | Excise duty |
|| | of sales | deliveries | (RON) | (EUR) |
| | | retail | (thousand pts.) | | |
|____|_____________________|______________|______________|__________|__________|
| 0 | 1 | 2 | 3 | 4 | 5 |
|____|_____________________|______________|______________|__________|__________|
|____|_____________________|______________|______________|__________|__________|
|____|_____________________|______________|______________|__________|__________|
|____|_____________________|______________|______________|__________|__________|
|____|_____________________|______________|______________|__________|__________|
|____|_____________________|______________|______________|__________|__________|
|____|_____________________|______________|______________|__________|__________|
| | TOTAL | | | | |
|____|_____________________|______________|______________|__________|__________|
Certified by the management of the authorized warehouse-keeper/
authorized operator/authorized importer
...................................
Date .......................
Signature ..................
ANNEX 4
(Annex no. 3 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
Name of the warehouse authorized for production/registered
operator/non-registered operator/importer
..............................................................
Registration number in the trade register/year ........
County ......................... District ...................
Locality ..................................................
Street ........................................ No. ........../............. ..........
Building ........ Entrance .......... Floor ............ Ap. .........
Zip Code ...................................................
Excise duties code ..............................................
Fiscal identification code ................................
DECLARATION
regarding the maximum prices of retail sales for ranges of cigarettes
Since ............ the maximum prices for retail sale, applied for ranges, shall be the following:
_______________________________________________________________________________
No Name Number Retail Sale Maximum Price
for range of cigarettes/package (lei/package)
_______________________________________________________________________________
0 1 2 3
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
General Director, Economic Director,
................. ..................
ANNEX 5
______________________________________________________________________________
| | Registration No......... | Date ............... |
|__________________________|____________________________|______________________|
DECLARATION
regarding the production of still wines made as small producer
trimester .......... year ..........
______________________________________________________________________________
| 1. Name of the legal person/ | |
| authorized natural person | |
|__________________________________|___________________________________________|
| 2. Address | County ............. District ......... |
| | Locality ............................ |
| | Street ....................... No. ........../............. ..... |
| | Building ..... Entrance .... Floor .... Ap. .... |
| | Zip Code ............................. |
|__________________________________|___________________________________________|
| 3. Phone | |
|__________________________________|___________________________________________|
| 4. Fiscal Identification Code/| |
| Personal Numeric Code | |
|__________________________________|___________________________________________|
| 5. Quantity made in | |
| the reporting trimester | |
| (in litres): | |
|__________________________________|___________________________________________|
| 6. Cumulated quantity made | |
| from the beginning of the year (in litres)| |
|__________________________________|___________________________________________|
| 7. Quantity delivered in | |
| the reporting trimester, to: | |
| 7.1. specialized stores in | |
| wines sale | |
| 7.2. food supply public | |
| units | |
| 7.3. fiscal warehouses | |
|__________________________________|___________________________________________|
| 8. Total quantity delivered in | |
| the reporting trimester | |
|__________________________________|___________________________________________|
Knowing the provisions of art. 474 on the misrepresentation, of the Criminal Code, I declare that the data contained in this form are correct and complete.
......................... ..........
Signature of the declaring party Date
ANNEX 6
______________________________________________________________________________
| | Registration No......... | Date ............... |
|__________________________|____________________________|______________________|
APPLICATION
regarding the granting of the authorization of fiscal warehouse
(attach the additional number of pages necessary to provide the complete information)
______________________________________________________________________________
| I. INFORMATION ON PROPOSED AUTHORIZED WAREHOUSE-KEEPER |
|______________________________________________________________________________|
| 1. Name | |
|__________________________________|___________________________________________|
| 2. Address | County ............. District ......... |
| | Locality ............................ |
| | Street ....................... No. ........../............. ..... |
| | Building ..... Entrance .... Floor .... Ap. .... |
| | Zip Code ............................. |
|__________________________________|___________________________________________|
| 3. Phone | |
|__________________________________|___________________________________________|
| 4. Fax | |
|__________________________________|___________________________________________|
| 5. E-mail address | |
|__________________________________|___________________________________________|
| 6. Fiscal Identification Code| |
|__________________________________|___________________________________________|
| 7. Name and phone number | |
| of the legal representative or of | |
| other contact person | |
|__________________________________|___________________________________________|
| 8. Economic activities | |
| carried out in Romania | |
|__________________________________|___________________________________________|
| 9. Name, address and the fiscal code| |
| of the affiliated person with | |
| the warehouse-keeper | |
|__________________________________|___________________________________________|
| 10. If the warehouse-keeper is | |
| legal person: name, | |
| address and the personal numeric code | |
| of each administrator; there shall| |
| be enclosed also the criminal records of | |
| the administrators | |
|__________________________________|___________________________________________|
| 11. Prove if the warehouse-keeper (or if| _ _ |
| the warehouse-keeper is a legal person, any of its | |_| |_| |
| administrators) was finally sentenced in the last 5 years | Yes No |
| 5 years for crimes provided in the fiscal legislation | |
|____________________________________________________________|_________________|
| 12. Attach the certificate of fiscal attestation or, as the case may be, the docket statement |
| regarding the fiscal obligations to the state budget, as well as the fiscal record of |
| the warehouse-keeper |
|______________________________________________________________________________|
| 13. Enclose the photo copy of the annual financial statements (balance sheet) in the last two |
| years |
|______________________________________________________________________________|
| 14. Enclose the confirmation of the fiscal body on the capacity of excise duties |
| payer |
|______________________________________________________________________________|
| 15. Enclose an ascertaining certificate, issued by the Trade Register |
| Office, from where to result: the share capital, shareholders, the object of |
| activity, administrators, as well as the photo copy of the certificate of registration |
| issued according to the legal regulations in force |
|______________________________________________________________________________|
| II. INFORMATION ON THE FISCAL WAREHOUSE |
| (for each fiscal warehouse is submitted separately a II part |
| as well as any other necessary information) |
|______________________________________________________________________________|
| 1. Address of the fiscal warehouse | County ............. District ......... |
| | Locality ............................ |
| | Street ....................... No. ........../............. ..... |
| | Building ..... Entrance .... Floor .... Ap. .... |
| | Zip Code ............................. |
|__________________________________|___________________________________________|
| 2. Description of the activities to be | |
| carried out in | |
| the fiscal warehouse(including | |
| the nature of activities and types | |
| of excisable products) | |
|__________________________________|___________________________________________|
| 3. Show if it was previously | |
| rejected, revoked or cancelled | |
| any authorization of fiscal | |
| warehouse for that site | |
|__________________________________|___________________________________________|
| 4. List the types and | |
| quantities of excisable products| |
| produced and/or stored in | |
| that site in each of the | |
| last 12 month (if the case | |
| may be), as well as the types and | |
| estimate quantities for | |
| each of the following 12 months. | |
| | |
| Types of excisable products | |
| shall be detailed according to| |
| the unitary excise duty per product. | |
| | |
| Codification of the products types | Product type ........ - (code and .......... |
| | (name of the product) sub code) |
| | |
| | Product type ........ - (code and .......... |
| | (name of the product) sub code) |
| | |
| | ................. |
| | |
| | Product type ........ - (code and .......... |
| | (name of the product) sub code) |
|__________________________________|___________________________________________|
| 5. For a site to be| |
| exclusively used for | |
| the storage of excisable | |
| products, specify | |
| the maximum storage capacity | |
| (quantities of excisable products| |
| which may be stored at a | |
| certain time in that site) | |
|__________________________________|___________________________________________|
| 6. Enclose a location plan of the fiscal warehouse |
|______________________________________________________________________________|
| 7. Enclose the photo copies of the licenses, authorizations or approvals regarding |
| the carry out of the activities in the fiscal warehouse |
|______________________________________________________________________________|
| 8. If the site is the property of the authorized warehouse-keeper, please enclose |
| the photo copy of the property acts |
|______________________________________________________________________________|
| 9. If the site is the property of other person, please enclose these: |
| Photo copy of the leasing contract or the proof of holding under any legal for . |
| A declaration signed by the owner confirming the access permission |
| for the personnel with control responsibilities. |
|______________________________________________________________________________|
| III. INFORMATION ON THE GUARANTEE |
|______________________________________________________________________________|
| 1. Type of proposed guarantee | |
|__________________________________|___________________________________________|
| 2. The amount proposed for the guarantee | |
| for each fiscal warehouse | |
| (and the description of calculation method)| |
|__________________________________|___________________________________________|
| 3. For cash deposit, please enclose the bank good standing letter |
|______________________________________________________________________________|
| 4. For a banking guarantee, please enclose these: |
| Name, address and telephone of the proposed guarantor. |
| The declaration of the proposed guarantor on the intention to insure the banking |
| guarantee for an amount and the time period specified. (Letter of |
| bank guarantee). |
|______________________________________________________________________________|
Knowing the provisions of art. 474 on the misrepresentation, of the Criminal Code, I declare that the data contained in this form are correct and complete.
............................. ..........
Signature of applicant Date
or of the fiscal representative
ANNEX 7
______________________________________________________________________________
| REQUEST OF AUTHORIZATION | No. ......... |
| REGISTERED OPERATOR |_______________________|
| reserved box |
| for the territorial |
| fiscal authority |
|______________________________________________________________________________|
| 1. Name and surename or | Sole Registration Code | |
| name of the company and |____________________________|_______________________|
| exact address | Identification number | |
| | VAT | |
| |____________________________|_______________________|
| | Telephone number | |
| |____________________________|_______________________|
| | Fax number | |
| |____________________________|_______________________|
| | E_mail address | |
|_________________________|____________________________|_______________________|
| 2. For legal persons, it shall be written the name, address and personal |
| numeric code of each administrator: |
| |
|______________________________________________________________________________|
| 3. Address of the location/locations for products reception: |
| |
|______________________________________________________________________________|
| 4. Nature of products and the monthly average quantity of products estimated to be |
| received in one year, as the case may be: |
| ______ _________ |
| |//////| |/////////| |
| |//////| alcoholic drinks |/////////| energy products |
| |______| |_________| |
| ______ _________ |
| |______| beer ____________ litres |_________| fuels ______ litre |
| ______ _________ |
| |______| still wine ____ litres |_________| fuels ________ litres |
| ______ _________ |
| |______| sparkling wine ______ litres |/////////| |
| ______ |/////////| processed tobacco |
| |______| intermediary |_________| |
| products ____ litres _________ |
| ______ |_________| cigarettes __________ pieces |
| |______| fermented _________ |
| still |_________| cigarettes and |
| drinks _______ litres cigarillos ____________ pieces |
| ______ _________ |
| |______| drinks |_________| smoking tobacco ____ kg |
| fermented |
| sparkling ________ litres |
| ______ |
| |______| alcoholic _________ |
| drinks |
| spirits _______ litres __________________________________ |
|______________________________________________________________________________|
| 5 If you are already to holder of an authorization issued by the competent |
| fiscal authority, please specify the date and authorization object: |
| |
| Number _____________ of ______________ _______________________ |
| |
| Number _____________ of ______________ _______________________ |
| |
| 1 |
|______________________________________________________________________________|
| 6. If it was previously rejected, revoked or cancelled any |
|authorization of registered operator, please specify this: |
|______________________________________________________________________________|
| 7. Enclosed documents: |
| ______ |
| |______| certificate of fiscal attestation or, as the case may be, the docket statement |
| regarding the fiscal obligations to the state budget, as well as the fiscal |
| record of the applicant |
| ______ |
| |______| criminal records of administrators |
| ______ |
| |______| balance sheet of the last two years |
| ______ |
| |______| confirmation of the fiscal body on the capacity of excise duties |
| payer |
| ______ |
| |______| ascertaining certificate, issued by the Trade Register |
| Office, from where to result: the share capital, shareholders, |
| the object of activity, the administrators, working units where |
| there are to be received the excisable products, as well as |
| the photo copy of the registration certificate issued according to |
| the legal regulation in force |
| ______ |
| |______| photo copy of the contracts directly concluded between the proposed registered |
| operator and the person authorized from another Member State |
| ______ |
| |______| list of quantities of excisable products received in each |
| month of the previous year |
| ______ |
| |______| letter of bank good standing, if the guarantee is |
| established by recording money means with the State |
| Treasury |
| ______ |
| |______| name, address and telephone of the proposed guarantor, as well as the declaration |
| of the guarantor on the intention to insure the banking guarantee |
| for an amount and time period specified (letter of |
| bank guarantee), when a bank guarantee is established |
|______________________________________________________________________________|
| Knowing the provisions of art. 292 on the misrepresentation, of the Criminal |
| Code, I declare that the data in this form are correct and complete |
|______________________________________________________________________________|
| Provided for the validity of the signature | Date, name and its capacity |
| of the compnay responsible | (owner, shareholder) |
| 2 | |
|______________________________________|_______________________________________|
ANNEX 8
______________________________________________________________________________
| | Registration No......... | Date ............... |
|__________________________|____________________________|______________________|
DECLARATION
for obtaining the authorization of non-registered operator
______________________________________________________________________________
| 1. name of the company | |
|__________________________________|___________________________________________|
| 2. Address | County ............. District ......... |
| | Locality ............................ |
| | Street ....................... No. ........../............. ..... |
| | Building ..... Entrance .... Floor .... Ap. .... |
| | Zip Code ............................. |
|__________________________________|___________________________________________|
| 3. Telephone/Fax | |
|__________________________________|___________________________________________|
| 4. Fiscal Identification Code| |
|__________________________________|___________________________________________|
| 5. VAT-payer ID | |
|__________________________________|___________________________________________|
| 6. Name and phone number | |
| of the legal representative or of | |
| other contact person | |
|__________________________________|___________________________________________|
| 7. Period when it shall be | |
| carried out the operation | |
|__________________________________|___________________________________________|
| 8. Please enclose the photo copies of the licenses, | |
| authorizations or approvals on | |
| the carry out of | |
| the activity | |
|__________________________________|___________________________________________|
| 9. Please specify the address where | County ............. District ......... |
| the excisable shall be received | Locality ............................ |
| products | Street ....................... No. ........../............. ..... |
| | Building ..... Entrance .... Floor .... Ap. .... |
| | Zip Code ............................. |
|__________________________________|___________________________________________|
| 10. Name and address | |
| of the fiscal warehouse-supplier | |
|__________________________________|___________________________________________|
| 11. Category and quantity of | |
| excisable products | |
|__________________________________|___________________________________________|
| 12. Level of the guarantee established| |
| Please enclose the letter of bank | |
| good standing | |
|__________________________________|___________________________________________|
Knowing the provisions of art. 474 on the misrepresentation, of the Criminal Code, I declare that the data contained in this form are correct and complete.
......................... ..........
Signature of the declaring party Date
ANNEX 9
(Annex no. 5 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
EXCISABLE PRODUCTS ACCOMPANYING ADMINISTRATIVE DOCUMENT
____________________________________________________________________________
| 1 | 1 Shipper | 2 Excise duties code | 3 No.
| | _ | shipper | reference
|____________| |_| | |
| | |__________________|_______________
|Copy | | 4 Excise duties code | 5 No.
|for | | receiver | invoice
|shipper | | |
| | |__________________|_______________
| | | 6 Invoice Date
| | |
| |____________________________|__________________________________
| | 7 Receiver | 8 Competent authority
| | | of the shipment location
| | |
| | |
| | 7a Delivery |
| | location |__________________________________
| | | 10 Guarantee
| |____________________________|
| | 9 Carrier |__________________________________
| | | 12 County of | 13 County of
| | | shipment | receipt
| |____________________________|__________________|_______________
| | 11 Other information | 14 Fiscal
| | on transportation | Representative
| | |
|____________|____________________________|__________________________________
| 1 | 15 Location of | 16 Date | 17 Transportation duration
| | shipment| shipment|
___|____________|_____________|______________|__________________________________
18a | | 19a Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20a | 21a Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22a Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18b | | 19b Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20b | 21b Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22b Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18c | | 19c Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20c | 21c Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22c Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
| 23 Certificates (for some wines and spirits
| , small producers of beer and small distilleries)
|
|_______________________________________________________________
| A Registration | 24 Boxes 1 - 22 certification
| controls. | of correct filling in
| It shall be filled in by |__________________________________
| competent | Signatory company and
| authorities. | telephone number
| |
| |__________________________________
| | Name of the signatory
| |
| |__________________________________
| | Place and date
| |
| |__________________________________
| It continues on the back page | Signature
| (copies no. 2, 3 and 4) |
|____________________________|__________________________________
Instructions for filling in the form
1. General Observations
1.1. The accompanying administrative document is used for the purpose of applying the excise duties, according to the provisions of art. 18 and 19 of the Council Directive no. 92/12/EEC, of 25 February 1992
1.2. The document shall be legible filled in so that the writings may not be erased. The information may be previously printed. There are not allowed erasures or cuts.
1.3. The general characteristics of the document and the boxes sizes are those provided in the Official Journal of the European Community no. C 164 of 1.07.1989 page 3.
The paper shall be white for all the copies and shall be of 210 x 297 mm format; it is allowed a maximum deviation of minus 5 mm or plus 8 mm to what concerns the paper height.
1.4. Any unused space in the boxes 18a - 22c shall be crossed off, so no additional information may be inserted. In the document, there may be inserted the separate descriptions of the products, which must be from the same category of excise duties. These categories are energy products, tobacco products and alcohol/alcoholic drinks.
1.5. The accompanying document has 5 copies:
copy no. 1 shall be kept by the shipper
copy no. 2 shall be kept by the receiver;
copy no. 3 shall be returned to the shipper for unloading the operation
together with the certificate or approval of the competent fiscal
authority from the destination Member State, if necessary;
copy no. 4 shall be presented by the receiver to the competent authority of
the destination Member State;
copy no. 5 shall be sent by the shipper to its fiscal authority,
upon the shipment of the products.
1.6. The copies no. 2, 3 and 4 of the document shall accompany the products during the transportation.
1.7. If this document is used for the movement through fixed lines, the copies no. 2, 3 and 4 are sent to the receiver by way of the fastest means available to the shipper warehouse-keeper. For all cases, the document shall arrive to the delivery location within 24 hours from the receipt of the products it refers to.
2. Headings
Box 1. Shipper: name and address, complete.
Box 2. Excise duty code of the shipper: registration code for
the excise duties awarded to the shipper by the competent fiscal
authority.
Box 3. Reference no.: reference number identifying the shipment
in the shipper's records (e.g. no. of the invoice may be
used for this purpose).
Box 4. Excise duty code of the receiver: for a warehouse-keeper or
registered operator, the registration code of the excise duty. For a
non-registered operator there shall be specified the authorization number
of the shipment awarded by its fiscal authority.
Box 5. Invoice no.: number of the invoice related to the products. If not,
the number of the shipment endorsement or any other transportation
document.
Box 6. Invoice date: issuing date of the document specified in box
no. 5.
Box 7. Receiver: complete name and address, and if
the receiver is a non-registered operator, the number of
VAT identification. For exported merchandises, shall be specified
the name of the person acting on behalf of the shipper at
the export location.
Box 7a. Delivery location: location where the products are actually delivered, if
the products are not delivered to the address please specify, in box 7.
For the exported products there shall be specified "EXPORT OUTSIDE
THE COMMUNITY" and the export location. For products to be
placed into a Community custom procedure (other than
putting into free movement), there shall be written the mention "IN
CUSTOM PROCEDURE" as well as the location where the products shall be
subject to custom clearance.
Box 8. Competent authority of the shipment location: name and address
of the competent fiscal authority responsible with the control on
excise duties at the shipment location.
Box 9. Carrier: name and address of the person responsible with the first
transport, if it is other person than the shipper.
Box 10. Guarantee: identification data of the party or parties
responsible for the guarantee.
There shall be specified only "shipper", "carrier" or "receiver".
Box 11. Other information on the transportation: name of the carrier,
transportation mean, vehicle registration number,
number, type and identification of possible commercial seals.
Box 12. Shipment country. Member State from where the transport leaves. It
is used an abbreviation:
BE Belgium LU Luxembourg
BG Bulgaria HU Hungary
CZ Czech Republic MT Malta
DK Denmark NL Netherlands
DE Germany AT Austria
EE Estonia PL Poland
GR Greece PT Portugal
ES Spain RO Romania
FR France SI Slovenia
IE Ireland SK Slovakia
IT Italy FI Finland
CY Cyprus SE Sweden
LV Latvia GB United Kingdom.
LT Lithuania
Box 13. Receipt country. Member State where the transportation ends.
There shall be used the same abbreviations provided in box 12.
Box 14. Fiscal representative: if the shipper appointed a fiscal
representative in the destination Member State, there shall be written in the box
the name or address, identification number, VAT and excise duty
code (as the case may be).
Box 15. Shipment location: registration number of the warehouse
(if it exists).
Box 16. Shipment date: date, and if it is required by the fiscal
authorities of the departure state, time at which the products leave
the warehouse-shipper.
Box 17. Transportation duration: normal time period, necessary for
completing the route, taking into consideration the transportation mean and
distance.
Box 18a. Parcels and products description: identification numbers and
number of parcels (e.g. containers); number of packages
inside the parcels (e.g. canons) and the commercial description of
of the products. The description may continue on a separate page
attached to each copy. A list of the packages may
be used for this purpose.
The alcohol and alcoholic drinks, other than beer, shall
have an alcohol concentration provided (percentage in volume of
20 degrees C).
For beer, the alcohol concentration shall be specified either in
degrees Plato, either percentage in volume at 20 degrees C, or in both,
according to the request of the destination Member State and of the shipment
Member State. For mineral oils there shall be specified
the density at 15 degrees C.
Box 19a. Product code: NC code.
Box 20a. Quantity:
- number of products expressed in thousands (cigarettes)
- net weight (cigarettes and cigarillos)
- litres of products at (the temperature of 20 degrees C with two decimals
(alcohol and alcoholic drinks)
- litre at the temperature of 15 degrees C (mineral oils except
for the heavy oil).
Box 21a. Gross weight: gross weight of the shipment.
Box 22a. Net weight: there shall be specified the weight without packages of excisable
products in the case of alcohol and alcoholic drinks,
mineral oils and in the case of tobacco products except for
the cigarettes.
Boxes 18b - 22b and 18c - 22c are used if the shipment
contains products other than those described in boxes 18a - 22a.
Box 23. Certificates: this space is reserved for certain
certificates which are requested only on copy no. 2.
1. For certain wines, when it is deemed necessary,
the certificate referring to the origin and quality of the products,
according to the Community Legislation.
2. For certain spirits, the certificate referring
to the production site, according to the Community Legislation.
3. For the beer produced by independent small producers
according to the definition in the specific directive of the Commission on
alcohol and alcoholic drinks excise duties structure, for which
it is intended the request of a reduced share of the excise duty in
the destination Member State, the certification of the shipper
as follows: "Hereby it is certified that the product described
was manufactured by an independent small brewery with a production for
the previous year of ..... hectolitre of beer."
4. For ethyl alcohol produced by a small distillery,
according to the definition in the specific directive of the Commission on
alcohol and alcoholic drinks excise duties structure, for which
it is intended the request of a reduced share of the excise duty in
the destination Member State, the certification of the shipper as follows:
"Hereby it is certified that the product described was
manufactured by a small distillery with a production for the previous year
of ....... hectolitre of pure alcohol.
Box 24. The company of the signatory etc: the document shall be filled in
by, or on behalf of the shipper. Company of the signatory
of the document shall be identified. The document shall
be signed, except for the situation when the shipper was authorized
to replace the signature with a special seal. For these case
there shall be specified "SIGNATURE WAIVED".
Box A Registration of the controls: competent authorities
register the performed controls on copies no. 2, 3 and 4.
If the space is not enough on the first page of the document,
the registrations may be continued on the back page. All specification shall
be signed, dated and sealed by the competent officer.
If the products are subject to a custom arrangement, the controls
performed shall be registered by the competent officer. If
a signature waiver was authorized,
the special seal shall be also affixed in the upper right
corner of box A.
Box B If, during the transportation the products' destination is changed
and it is different from the one specified in boxes 7 or 7a,
the shipper or delivery agent shall specify in
Box B the new delivery location. In addition, the shipper shall
immediately notify to the competent fiscal authority, the change
of the delivery location.
Box C Certificate of receipt, this certificate shall be issued by
the receiver. When the product’s reception is made in a warehouse
it is subject to the fiscal inspection when the products are
exported or placed under a Community Custom Arrangement (other than
putting into free movement), the fiscal authority or the custom
office, as the case may be, shall issue the compliance certificate. It
is recommended that the reception of the products to be also
certified on the back page of the copy no. 2, which shall be
kept by the receiver. Thus, if
the copy no. 3 is lost upon its resending to the shipper, this
may request the cease of the transportation, by
a photo copy of the certification on the copy no. 2.
EXCISABLE PRODUCTS ACCOMPANYING ADMINISTRATIVE DOCUMENT
____________________________________________________________________________
| 2 | 1 Shipper Sole Registration | 2 Excise duty code | 3 Reference
| | _ Code | shipper | no.
|____________| |_| | |
| | |__________________|_______________
|Copy | | 4 Excise duty code | 5 No.
|for | | receiver | invoice
|receiver | | |
| | |__________________|_______________
| | | 6 Invoice Date
| | |
| |____________________________|__________________________________
| | 7 Receiver Sole Registration | 8 Competent authority
| | Code | of the shipment location
| | |
| | |
| | 7a Delivery |
| | location |__________________________________
| | | 10 Guarantee
| |____________________________|
| | 9 Carrier |__________________________________
| | | 12 County of | 13 County of
| | | shipment | receipt
| |____________________________|__________________|_______________
| | 11 Other information | 14 Fiscal
| | on transportation | Representative
| | |
|____________|____________________________|__________________________________
| 2 | 15 Location of | 16 Date | 17 Transportation duration
| | shipment| shipment|
___|____________|_____________|______________|__________________________________
18a | | 19a Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20a | 21a Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22a Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18b | | 19b Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20b | 21b Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22b Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18c | | 19c Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20c | 21c Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22c Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
| 23 Certificates (for some wines and spirits
| , small producers of beer and small distilleries)
|
|_______________________________________________________________
| A Specifications on | 24 Boxes 1 - 22 certification
| verification. | of correct filling in
| It shall be filled in by |__________________________________
| competent fiscal | Signatory company and
| authority. | telephone number
| |
| |__________________________________
| | Name of the signatory
| |
| |__________________________________
| | Place and date
| |
| |__________________________________
| It continues on the back page | Signature
| (copies no. 2, 3 and 4) |
|____________________________|__________________________________
______________________________________________________________________________
| |
| B CHANGE OF THE DELIVERY PLACE |
| New address Ther shall be immediately informed |
| the authority specified in |
| box 8 |
| | |
| | |
| Name of the signatory | |
| | |
| Place and date Signature | |
| | |
|_______________________________________________|______________________________|
| |
| C CERTIFICATION OF THE RECEPTION OR OF THE EXPORT |
| _ |
| |_| Products received |
| by the receiver |
| Date ................ Location ............. Reference no. .......... |
| |
| Products description | Pluses | Minuses |
| | | |
| | | |
| | | |
| | | |
| _ | | |
| |_| Verified transportation |
| |
| Transportation mean ........... |
| _ |
| |_| Products exported*/placed in |
| a Community Custom Procedure (other |
| than putting into free movement)* |
| Date ................ |
| _ |
| |_| Name of the signatory ............... Location and date .................. |
| Company of the signatory Signature |
| ................................... |
| _ |
| |_| The fiscal authority or the custom office Approved by the fiscal authority |
| Name or by the custom office |
| Address |
| |
| * cross off the version that does not apply |
|______________________________________________________________________________|
| |
| A Registration of the controls(continuation) |
| |
| |
| |
| |
| |
| |
| |
| |
|______________________________________________________________________________|
EXCISABLE PRODUCTS ACCOMPANYING ADMINISTRATIVE DOCUMENT
_____________________________________________________________________________
| 3 | 1 Shipper Sole Registration | 2 Excise duty code | 3 Reference
| | _ Code | shipper | no.
|_____________| |_| | |
| | |__________________|_______________
|Copy to be | | 4 Excise duty code | 5 No.
|returned | | receiver | invoice
|of the shipper| | |
| | |__________________|_______________
| | | 6 Invoice Date
| | |
| |____________________________|__________________________________
| | 7 Receiver Sole Registration | 8 Competent authority
| | Code | of the shipment location
| | |
| | |
| | 7a Delivery |
| | location |__________________________________
| | | 10 Guarantee
| |____________________________|
| | 9 Carrier |__________________________________
| | | 12 County of | 13 County of
| | | shipment | receipt
| |____________________________|__________________|_______________
| | 11 Other information | 14 Fiscal
| | on transportation | Representative
| | |
|_____________|____________________________|__________________________________
| 3 | 15 Location of | 16 Date | 17 Transportation duration
| | shipment| shipment|
__|_____________|_____________|______________|__________________________________
18a | | 19a Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20a | 21a Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22a Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18b | | 19b Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20b | 21b Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22b Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18c | | 19c Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20c | 21c Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22c Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
| 23 Certificates (for some wines and spirits
| , small producers of beer and small distilleries)
|
|_______________________________________________________________
| A Specifications on | 24 Boxes 1 - 22 certification
| verification. | of correct filling in
| It shall be filled in by |__________________________________
| competent fiscal | Signatory company and
| authority. | telephone number
| |
| |__________________________________
| | Name of the signatory
| |
| |__________________________________
| | Place and date
| |
| |__________________________________
| It continues on the back page | Signature
| (copies no. 2, 3 and 4) |
|____________________________|__________________________________
______________________________________________________________________________
| |
| B CHANGE OF THE DELIVERY PLACE |
| New address Ther shall be immediately informed |
| the authority specified in |
| box 8 |
| | |
| | |
| Name of the signatory | |
| | |
| Place and date Signature | |
| | |
|_______________________________________________|______________________________|
| |
| C CERTIFICATION OF THE RECEPTION OR OF THE EXPORT |
| _ |
| |_| Products received |
| by the receiver |
| Date ................ Location ............. Reference no. .......... |
| |
| Products description | Pluses | Minuses |
| | | |
| | | |
| | | |
| | | |
| _ | | |
| |_| Verified transportation |
| |
| Transportation mean ........... |
| _ |
| |_| Products exported*/placed in |
| a Community Custom Procedure (other |
| than putting into free movement)* |
| Date ................ |
| _ |
| |_| Name of the signatory ............... Location and date .................. |
| Company of the signatory Signature |
| ................................... |
| _ |
| |_| The fiscal authority or the custom office Approved by the fiscal authority |
| Name or by the custom office |
| Address |
| |
| * cross off the version that does not apply |
|______________________________________________________________________________|
| |
| A Registration of the controls(continuation) |
| |
| |
| |
| |
| |
| |
| |
| |
|______________________________________________________________________________|
EXCISABLE PRODUCTS ACCOMPANYING ADMINISTRATIVE DOCUMENT
_____________________________________________________________________________
| 4 | 1 Shipper Sole Registration | 2 Excise duty code | 3 Reference
| | _ Code | shipper | no.
|_____________| |_| | |
| | |__________________|_______________
|Copy | | 4 Excise duty code | 5 No.
|for | | receiver | invoice
|the fiscal | | |
|authority of | |__________________|_______________
|the receiver | | 6 Invoice date
| | |
| |____________________________|__________________________________
| | 7 Receiver Sole Registration | 8 Competent authority
| | Code | of the shipment location
| | |
| | |
| | 7a Delivery |
| | location |__________________________________
| | | 10 Guarantee
| |____________________________|
| | 9 Carrier |__________________________________
| | | 12 County of | 13 County of
| | | shipment | receipt
| |____________________________|__________________|_______________
| | 11 Other information | 14 Fiscal
| | on transportation | Representative
| | |
|_____________|____________________________|__________________________________
| 4 | 15 Location of | 16 Date | 17 Transportation duration
| | shipment| shipment|
__|_____________|_____________|______________|__________________________________
18a | | 19a Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20a | 21a Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22a Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18b | | 19b Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20b | 21b Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22b Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18c | | 19c Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20c | 21c Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22c Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
| 23 Certificates (for some wines and spirits
| , small producers of beer and small distilleries)
|
|_______________________________________________________________
| A Specifications on | 24 Boxes 1 - 22 certification
| verification. | of correct filling in
| It shall be filled in by |__________________________________
| competent fiscal | Signatory company and
| authority. | telephone number
| |
| |__________________________________
| | Name of the signatory
| |
| |__________________________________
| | Place and date
| |
| |__________________________________
| It continues on the back page | Signature
| (copies no. 2, 3 and 4) |
|____________________________|__________________________________
______________________________________________________________________________
| |
| B CHANGE OF THE DELIVERY PLACE |
| New address Ther shall be immediately informed |
| the authority specified in |
| box 8 |
| | |
| | |
| Name of the signatory | |
| | |
| Place and date Signature | |
| | |
|_______________________________________________|______________________________|
| |
| C CERTIFICATION OF THE RECEPTION OR OF THE EXPORT |
| _ |
| |_| Products received |
| by the receiver |
| Date ................ Location ............. Reference no. .......... |
| |
| Products description | Pluses | Minuses |
| | | |
| | | |
| | | |
| | | |
| _ | | |
| |_| Verified transportation |
| |
| Transportation mean ........... |
| _ |
| |_| Products exported*/placed in |
| a Community Custom Procedure (other |
| than putting into free movement)* |
| Date ................ |
| _ |
| |_| Name of the signatory ............... Location and date .................. |
| Company of the signatory Signature |
| ................................... |
| _ |
| |_| The fiscal authority or the custom office Approved by the fiscal authority |
| Name or by the custom office |
| Address |
| |
| * cross off the version that does not apply |
|______________________________________________________________________________|
| |
| A Registration of the controls(continuation) |
| |
| |
| |
| |
| |
| |
| |
| |
|______________________________________________________________________________|
EXCISABLE PRODUCTS ACCOMPANYING ADMINISTRATIVE DOCUMENT
_____________________________________________________________________________
| 5 | 1 Shipper Sole Registration | 2 Excise duty code | 3 Reference
| | _ Code | shipper | no.
|_____________| |_| | |
| | |__________________|_______________
|Copy | | 4 Excise duty code | 5 No.
|for | | receiver | invoice
|the fiscal | | |
|authority of | |__________________|_______________
|the shipper| | 6 Invoice Date
| | |
| |____________________________|__________________________________
| | 7 Receiver Sole Registration | 8 Competent authority
| | Code | of the shipment location
| | |
| | |
| | 7a Delivery |
| | location |__________________________________
| | | 10 Guarantee
| |____________________________|
| | 9 Carrier |__________________________________
| | | 12 County of | 13 County of
| | | shipment | receipt
| |____________________________|__________________|_______________
| | 11 Other information | 14 Fiscal
| | on transportation | Representative
| | |
|_____________|____________________________|__________________________________
| 5 | 15 Location of | 16 Date | 17 Transportation duration
| | shipment| shipment|
__|_____________|_____________|______________|__________________________________
18a | | 19a Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20a | 21a Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22a Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18b | | 19b Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20b | 21b Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22b Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
18c | | 19c Product code (NC code)
Description | |
of the products, | |________________|_____|_____|_____
Identification | | 20c | 21c Gross
Number, | | Quantity | weight (kg)
quantity and | | |______________________
type | | | 22c Net
of packages | | | weight (kg)
________________|____________________________|___________|______________________
| 23 Certificates (for some wines and spirits
| , small producers of beer and small distilleries)
|
|_______________________________________________________________
| A Specifications on | 24 Boxes 1 - 22 certification
| verification. | of correct filling in
| It shall be filled in by |__________________________________
| competent fiscal | Signatory company and
| authority. | telephone number
| |
| |__________________________________
| | Name of the signatory
| |
| |__________________________________
| | Place and date
| |
| |__________________________________
| It continues on the back page | Signature
| (copies no. 2, 3 and 4) |
|____________________________|__________________________________
ANNEX 10
SIMPLIFIED ACCOMPANYING DOCUMENT
for intra-Community movement of the excisable products
already released for consumption
- First page --
______________________________________________________________________________
| 1 | 1. Shipper no. of VAT | 2. Reference number of |
|_________| (Name and address) | the operation |
|Copy | | |
|for | |___________________________________|
|the shipper| | 3. Competent authority of |
| | | the destination state |
| |________________________________| (Name and address) |
| | 4. Receiver VAT-payer ID | |
| | (Name and address) | |
| | | |
| |________________________________|___________________________________|
| | 5. Carrier/transportation | 6. Reference number and date |
| | mean | of the declaration |
| | | |
| |________________________________| |
|_________| 7. Delivery place | |
| 1 | | |
|_________|________________________________|___________________________________|
| 8. Marks and numbers of | 9. Product code (NC code) |
| identification, no. and type | |
| of the packages, description |___________________________________|
| of the goods | 10. Quantity | 11. Gross |
| | | weight (kg) |
| | | |
| | |___________________|
| | | 12. Net |
| | | weight (kg) |
| | | |
| |_______________|___________________|
| | 13. Invoice price/commercial |
| | value |
| | |
|________________________________|___________________________________|
| 14. Certificates (for some wines and spirits, small |
| breweries, small distilleries) |
| |
|____________________________________________________________________|
| A. Specifications on | 15 Boxes 1 - 13 correctly |
| verification. There shall be filled in | filled in |
| by the competent authority | Return of the copy no. 3 |
| | _ _ |
| | requested Yes |_| No |_| (*) |
| |___________________________________|
| | Signatory company and the telephone|
| | number |
| | |
| |___________________________________|
| | Name of the signatory |
| | |
| |___________________________________|
| | Place and date |
| | |
| |___________________________________|
| It continues on the back page | Signature |
| (copies no. 2 and 3) | |
|________________________________|___________________________________|
(*) Check the appropriate box
INSTRUCTIONS FOR COMPLETING
(back page of the copy no. 1)
The intra-Community movement of the products subject to excise duties, which were released for consumption in the delivery Member State
1. General Observations
1.1. The simplified accompanying document is used for the purpose of applying the excise duties, according to the provisions of art. 7 of the Council Directive no. 92/12/EEC of 25 February 1992.
1.2. The document shall be legible filled in so that the writings may not be erased. The information may be previously printed. There are not allowed erasures or cuts.
1.3. The general characteristics of the document and the boxes sizes are those provided in the Official Journal of the European Community no. C 164 of 1 July 1989 page 3.
The paper shall be white for all the copies and shall be of 210 mm by 297 mm format; it is allowed a maximum deviation of minus 5 mm or plus 8 mm to what concerns the paper height.
1.4.Any unused space shall be crossed off, so no additional information may be inserted.
1.5. The accompanying document has 3 copies:
copy no. 1 shall be kept by the shipper
copy no. 2 shall accompany the products and shall be kept by the receiver;
copy no. 3 shall accompany the products and shall be returned to the shipper,
with the certification of receipt confirmed by the person
specified in box 4, if the shipper request it in
order for the excise duties to be refunded;
2. Headings
Box 1. Shipper: complete name and address, number of VAT (if
it exists) of the persons delivering the products in other Member
State. If there is a number of excise duties, this shall also
be specified.
Box 2. Reference number of the operation: reference number communicated
by the person delivering the products and that shall identify
movement with its commercial registrations. Usually, this
shall be the invoice number and date.
Box 3. Competent authority of the destination state: name and address
of the authority in the destination Member State, to which the
shipment was previously notified.
Box 4. Receiver: complete name and address, number of VAT (if it exits)
of the persons that receives the products. If there is a number of
excise duties, this shall be also specified.
Box 5. Carrier/transportation mean: there shall be filled in with "shipper",
"receiver" or name and address of the person responsible with the first
shipment, if it is different from the persons specified in box 1
or box 4, there shall be also specified the transportation mean.
Box 6. Reference number and declaration date:
The declaration and/or the authorization that shall be given by the relevant
authority of the destination Member State before the start of the
shipment.
Box 7. Delivery place: the delivery address if it is different from that of
box 4.
Box 8. Complete description of the products, markings and the numbers and type
of packages: outside markings and numbers of the packages, e.g.
containers; number of the inside packages, e.g. cardboards; and
the commercial description of the products. The description may continue on
a separate page attached to each copy. A list of
the packages may be used for this purpose.
For alcohol and alcoholic drinks, other than beer,
there shall be specified the alcohol concentration (percentage in volume
at 20 degrees C).
For beer, the alcohol concentration shall be specified either in
degrees Plato, either percentage in volume at 20 degrees C, or in both,
according to the request of the destination Member State and of the shipment
Member State.
For mineral oils there shall be specified the density at 15 degrees C.
Box 9. Product code: NC code.
Box 10. Quantity: number, weight or volume, as the case may be, according to the
excise duties in the destination Member State, for example:
- cigarettes, pieces number, expressed in thousands,
- cigarettes and cigarillos, net weight,
- alcohol and alcoholic drinks, litres at the temperature of 20 degrees C
with two decimals,
- energy products, except for the heavy oil, litre at the temperature of
15 degrees C.
Box 11. Gross weight: gross weight of the shipment.
Box 12. Net weight: there shall be specified the weight without packages of the products
Box 13. Invoice price/commercial value: total amount of the invoice which
includes also the excise duty. If the movement is not related to the
sale, there shall be introduced also the commercial value.
In this case there shall be added the specification "not for sale purposes".
Box 14. Certificates: this space is reserved for certain
certificates which are requested only on copy no. 2.
1. For certain wines, when it is deemed necessary,
the certificate referring to the origin and quality of the products,
according to the Community Legislation.
2. For certain spirits, the certificate referring
to the production site, according to the Community Legislation.
3. For the beer produced by independent small producers
according to the definition in the specific directive of the Commission on
alcohol and alcoholic drinks excise duties structure, for which
it is intended the request of a reduced share of the excise duty in
the destination Member State, the certification of the shipper
as follows: "Hereby it is certified that the beer was
produced by an independent small brewery with a production for
the previous year of ..... hectolitre of beer."
4. For ethyl alcohol produced by a small distillery,
according to the definition in the specific directive of the Commission on
alcohol and alcoholic drinks excise duties structure, for which
it is intended the request of a reduced share of the excise duty in
the destination Member State, the certification of the shipper
as follows: "Hereby it is certified that the product described
was manufactured by a small distillery with a production for the previous year
of ....... hectolitre of pure alcohol.
Box 15. The company of the signatory etc: the document shall be filled in
by on behalf of the person responsible for the movement
of the products. If the shipper request to be returned to it
the copy no. 3 with a receipt certificate, this shall
be specified.
Box A Specifications on verification: the relevant authorities shall
register on the copies no. 2 and 3 the controls performed. All
observations shall be signed, dated and sealed by
the responsible officer.
Box B. Receipt certificate: it shall be sent by the receiver
and returned to the shipper if the latter one
expressly requested it for the excise duties refund.
SIMPLIFIED ACCOMPANYING DOCUMENT
for intra-Community movement of the excisable products
already released for consumption
- First page --
______________________________________________________________________________
| 2 | 1. Shipper no. of VAT | 2. Reference number of |
|_________| (Name and address) | the operation |
|Copy | | |
|for | |___________________________________|
|the receiver| | 3. Competent authority of |
| | | the destination state |
| |________________________________| (Name and address) |
| | 4. Receiver VAT-payer ID | |
| | (Name and address) | |
| | | |
| |________________________________|___________________________________|
| | 5. Carrier/transportation | 6. Reference number and date |
| | mean | of the declaration |
| | | |
| |________________________________| |
|_________| 7. Delivery place | |
| 2 | | |
|_________|________________________________|___________________________________|
| 8. Marks and numbers of | 9. Product code (NC code) |
| identification, no. and type | |
| of the packages, description |___________________________________|
| of the goods | 10. Quantity | 11. Gross |
| | | weight (kg) |
| | | |
| | |___________________|
| | | 12. Net |
| | | weight (kg) |
| | | |
| |_______________|___________________|
| | 13. Invoice price/commercial |
| | value |
| | |
|________________________________|___________________________________|
| 14. Certificates (for some wines and spirits, small |
| breweries, small distilleries) |
| |
|____________________________________________________________________|
| A. Specifications on | 15 Boxes 1 - 13 correctly |
| verification. There shall be filled in | filled in |
| by the competent authority | Return of the copy no. 3 |
| | _ _ |
| | requested Yes |_| No |_| (*) |
| |___________________________________|
| | Signatory company and the telephone|
| | number |
| | |
| |___________________________________|
| | Name of the signatory |
| | |
|________________________________|___________________________________|
| | Place and date |
| | |
| |___________________________________|
| It continues on the back page | Signature |
| (copies no. 2 and 3) | |
|________________________________|___________________________________|
(*) Check the appropriate box
- back page -
______________________________________________________________________________
| |
| B. CERTIFICATION OF THE RECEPTION |
| |
| Product received by the receiver |
| |
| Date .............. Location .............. Reference number .............. |
| |
| |
| The excise duties were paid*)/declared for payment to the relevant authorities |
| |
| |
| Date .................... Reference number ............................. |
| |
| |
| Other observations of the receiver: |
| |
| |
| |
| |
| Location/Date ...................... Name of the signatory ...................... |
| Signature ................................ |
| |
| *) Cross off the irrelevant mention|
|______________________________________________________________________________|
| |
| A. Specification on verification (continuation) |
| |
| |
| |
| |
|______________________________________________________________________________|
SIMPLIFIED ACCOMPANYING DOCUMENT
for intra-Community movement of the excisable products
already released for consumption
- First page --
______________________________________________________________________________
| 3 | 1. Shipper no. of VAT | 2. Reference number of |
|_________| (Name and address) | the operation |
|Copy | | |
|to | |___________________________________|
|be returned | | 3. Competent authority of |
|to the | | the destination state |
|shipper |________________________________| (Name and address) |
| | 4. Receiver VAT-payer ID | |
| | (Name and address) | |
| | | |
| |________________________________|___________________________________|
| | 5. Carrier/transportation | 6. Reference number and date |
| | mean | of the declaration |
| | | |
| |________________________________| |
|_________| 7. Delivery place | |
| 3 | | |
|_________|________________________________|___________________________________|
| 8. Marks and numbers of | 9. Product code (NC code) |
| identification, no. and type | |
| of the packages, description |___________________________________|
| of the goods | 10. Quantity | 11. Gross |
| | | weight (kg) |
| | | |
| | |___________________|
| | | 12. Net |
| | | weight (kg) |
| | | |
| |_______________|___________________|
| | 13. Invoice price/commercial |
| | value |
| | |
|________________________________|___________________________________|
| 14. Certificates (for some wines and spirits, small |
| breweries, small distilleries) |
| |
|____________________________________________________________________|
| A. Specifications on | 15 Boxes 1 - 13 correctly |
| verification. There shall be filled in | filled in |
| by the competent authority | Return of the copy no. 3 |
| | _ _ |
| | requested Yes |_| No |_| (*) |
| |___________________________________|
| | Signatory company and the telephone|
| | number |
| | |
| |___________________________________|
| | Name of the signatory |
| | |
|________________________________|___________________________________|
| | Place and date |
| | |
| |___________________________________|
| It continues on the back page | Signature |
| (copies no. 2 and 3) | |
|________________________________|___________________________________|
(*) Check the appropriate box
- back page -
______________________________________________________________________________
| |
| B. CERTIFICATION OF THE RECEPTION |
| |
| Product received by the receiver |
| |
| Date .............. Location .............. Reference number .............. |
| |
| |
| The excise duties were paid*)/declared for payment to the relevant authorities |
| |
| |
| Date .................... Reference number ............................. |
| |
| |
| Other observations of the receiver: |
| |
| |
| |
| |
| Location/Date ...................... Name of the signatory ...................... |
| Signature ................................ |
| |
| *) Cross off the irrelevant mention|
|______________________________________________________________________________|
| |
| A. Specification on verification (continuation) |
| |
| |
| |
| |
|______________________________________________________________________________|
ANNEX 11
Name of the economic operator
.................................................................
Registered office:
County ............ District ...... Locality ................
Street ............ No. ........../............. ... Building ... Entrance ... Floor ... Ap. ...
Zip Code ............... Telephone/fax ........................
Fiscal identification code ...................................
APPLICATION
for the refund of excise duties
in month ........ year ..........
The columns in the table below have the following meaning:
A - Symbol of the destination Member State
B - Received quantity
C - NC code of the product
D - Quantity*)
E - Excise duty level**)
F - Payment date
G - Number and document certifying the payment
______________________________________________________________________________
|N |Number | A|Name |Description|Date |B|Date |Amount to be |
|r.|of the simplified| |of the receiver|of the products|of the reception| |on |refunded|
| |accompanying | |and the fiscal |shipped |of the products| |payment | |
|c |document | |identification | | | |of the excise duties | |
|r | | |code | | | |in the destination | |
|t.| | | | | | |Member | |
| | | | | | | |State| |
| | | | |__________| | |__________| |
| | | | |C | D | E | | | F | G | |
|__|____________|__|______________|__|___|___|__________|_|___|______|_________|
| 0| 1 | 2| 3 |4 | 5 | 6 | 7 |8| 9 | 10 | 11 |
|__|____________|__|______________|__|___|___|__________|_|___|______|_________|
| | | | | | | | | | | | |
|__|____________|__|______________|__|___|___|__________|_|___|______|_________|
| | | | | | | | | | | | |
|__|____________|__|______________|__|___|___|__________|_|___|______|_________|
| | | | | | | | | | | | |
|__|____________|__|______________|__|___|___|__________|_|___|______|_________|
| | TOTAL | | | | | | | | | | |
|__|____________|__|______________|__|___|___|__________|_|___|______|_________|
*) For the energy products the volume shall be measured at the temperature of 15 degrees C; for alcohol and alcoholic drinks the volume is determined at 20 degrees C; for cigarettes there shall be specified on one line the number of cigarettes packages and on the following line their value in lei, with only one registration number and without repeating the common data.
**) There shall be specified the actual level born. If this may not be determined, there shall be applied the excise duties level in force in the last 3 months previous to the date on which it was made the payment in the destination Member State.
..................... ...............
Signature and seal Date
ANNEX 12
Name of the economic operator
.................................................................
Registered office:
County ............ District ...... Locality ................
Street ............ No. ........../............. ... Building ... Entrance ... Floor ... Ap. ...
Zip Code ............... Telephone/fax ........................
Fiscal identification code ...................................
APPLICATION
for the repayment of the excise duties in the case of remote sale
in the trimester ........ year ............
______________________________________________________________________________
|No | Destination Member | Number | PRODUCTS |
|| State | corresponding |______________________________________|
| | | to the delivery | NC code of| Quantity*)| Amount |
| | | | of the product | | requested|
| | | | | | to be |
| | | | | | repaid|
| | | | | | **) |
|____|_______________|__________________|____________|_____________|___________|
| 0 | 1 | 2 | 3 | 4 | 5 |
|____|_______________|__________________|____________|_____________|___________|
| | | | | | |
|____|_______________|__________________|____________|_____________|___________|
| | | | | | |
|____|_______________|__________________|____________|_____________|___________|
| | | | | | |
|____|_______________|__________________|____________|_____________|___________|
| | | | | | |
|____|_______________|__________________|____________|_____________|___________|
| | | | | | |
|____|_______________|__________________|____________|_____________|___________|
| | TOTAL | | | | |
|____|_______________|__________________|____________|_____________|___________|
*) For the energy products the volume shall be measured at the temperature of 15 degrees C; for alcohol and alcoholic drinks the volume is determined at 20 degrees C; for cigarettes there shall be specified on one line the number of cigarettes packages and on the following line their value in lei, with only one registration number and without repeating the common data.
**) There shall be specified the actual amount born. If it may not be precisely determined, there shall be calculated by applying the excise duties level in force in the last 3 months previous to the date of payment made in the destination Member State.
..................... ...............
Signature and seal Date
ANNEX 13
______________________________________________________________________________
| | Registration no. ........| Date ....................|
|________________________|__________________________|__________________________|
APPLICATION
regarding the granting of the authorization of fiscal representative
______________________________________________________________________________
| 1. Name | |
|_________________________________|____________________________________________|
| 2. Address | County ................. District ........ |
| | Locality .............................. |
| | Street ........................ No. ........../............. ...... |
| | Building ..... Entrance ..... Floor .... Ap. ..... |
| | Zip Code ............................... |
|_________________________________|____________________________________________|
| 3. Phone | |
|_________________________________|____________________________________________|
| 4. Fax | |
|_________________________________|____________________________________________|
| 5. E-mail address | |
|_________________________________|____________________________________________|
| 6. Fiscal Identification Code| |
|_________________________________|____________________________________________|
| 7. Name and phone number | |
| of the legal representative or| |
| of other contact person | |
|_________________________________|____________________________________________|
| 8. Description of the economic | |
| activities carried out in | |
| Romania | |
|_________________________________|____________________________________________|
| 9. Name, address and the fiscal code | |
| of the persons | |
| affiliated to the applicant | |
|_________________________________|____________________________________________|
|10. If the applicant is | |
| legal person, the name, | |
| address and the personal numeric code | |
| of each | |
| administrator; there shall be enclosed | |
| also the criminal records of | |
| the administrators | |
|_________________________________|____________________________________________|
|11. Prove if the applicant (or if the applicant | _ _ |
| is a legal person, any of its administrators) have | |_| |_| |
| been finally sentenced in the last 5 years for the crimes| Yes No |
| provided in the fiscal legislation | |
|__________________________________________________________________|___________|
|12. Please enclose the articles of incorporation of the company which enables it to carry out |
| activities of fiscal representative |
|______________________________________________________________________________|
|13. Please enclose the photo copy of the representation contract concluded with the warehouse-keeper |
| authorized as shipper |
|______________________________________________________________________________|
| 14. Enclose the confirmation of the fiscal body on the capacity of excise duties |
| payer |
|______________________________________________________________________________|
|15. Level of the guarantee | |
| | |
|Please enclose the letter of bank good standing| |
|______________________________________|_______________________________________|
Knowing the provisions of art. 474 on the misrepresentation, of the Criminal Code, I declare that the data contained in this form are correct and complete.
____________________________ _____________________
Signature of the applicant or
of the fiscal representative Date
ANNEX 14
Name of the registered operator/
of the non-registered operator/
of the fiscal representative
................................... Territorial Fiscal Authority
Excise duties code/Fiscal identification code _______________________________
................................... |_______________________________|
Locality .......................
county/district ....................
Street ................... No. ........../............. ....
Building ... Entrance ... Floor ... Ap. ...
Zip Code ........................
OVERVIEW SITUATIONS
REGARDING THE PURCHASES AND DELIVERIES OF EXCISABLE PRODUCTS
in month ............. year ........
The columns in the table below have the following meaning:
A - Shipper excise duties code/Receiver fiscal identification code
B - NC code of the product
C - Product condition (bulk(vrac)/bottled(îmbuteliat)) (V/I)
D - Density at 15 degrees C Kg/l*4)
E - Concentration of the alcohol degree/degree Plato*5)
F - Nominal capacity
______________________________________________________________________________
|Document |Purchase/|Origin/|A |B | C| D| E|Recipients|Quantity|Excise duty |
| |Delivery |Destination | | | | | |*5) | |due|
|_________|__________|*3) | | | | | |__________|_________| |
|Type|Number| Type| Date| | | | | | | F | no. |kg |liters| |
|*1)| | *2)| | | | | | | | | | | | |
|___|_____|____|_____|____________|__|__|__|__|__|____|_____|___|_____|________|
| | | | | | | | | | | | | | | |
|___|_____|____|_____|____________|__|__|__|__|__|____|_____|___|_____|________|
| | | | | | | | | | | | | | | |
|___|_____|____|_____|____________|__|__|__|__|__|____|_____|___|_____|________|
| | | | | | | | | | | | | | | |
|___|_____|____|_____|____________|__|__|__|__|__|____|_____|___|_____|________|
| | | | | | | | | | | | | | | |
|___|_____|____|_____|____________|__|__|__|__|__|____|_____|___|_____|________|
| | | | | | | | | | | | | | | |
|___|_____|____|_____|____________|__|__|__|__|__|____|_____|___|_____|________|
*1) DAI, DAS, invoice;
*2) For purchases (achiziţii) shall be specified "A"; for deliveries (livrări) shall be specified "L";
*3) There shall be specified the country code for the EU origin/destination(RO for national deliveries), it shall be specified the "EX" index for deliveries outside EU;
*4) There shall be filled in only for energy products;
*5) There shall be filled in only for alcohol and alcoholic drinks.
The columns in the table below have the following meaning:
A - Bulk(vrac)/Bottled(îmbuteliat) (V/I)
B - Actual stock M.U.
______________________________________________________________________________
| SUMMARY OF THE PERIOD |
|______________________________________________________________________________|
|NC Code of |A |Stock at |Quantity|Surplus|Quantity|Losses|B |Difference|
|of the product | |beginning|entered |during |exited | | |(+) or |
| | |of the month | |the month | | | |(-) |
| | | M.U. | M.U. | M.U. | M.U. | M.U. | | M.U. |
|___________|__|_________|__________|__________|_________|________|__|_________|
| | | | | | | | | |
|___________|__|_________|__________|__________|_________|________|__|_________|
| | | | | | | | | |
|___________|__|_________|__________|__________|_________|________|__|_________|
.................................. .........
Signature and seal of the operator Date
ANNEX 15
_________________________________
| Territorial Fiscal Authority |
|_________________________________|
ORDER NOTE
for special fiscal documents
number .......... of ...................
Name ......................................................
Fiscal identification code ...................................
Locality ...................... county/district ...........
Street ................ No. ........../............. ... Building ... Entrance ... Floor ... Ap. ...
Zip Code ............................... District .............
Fiscal domicile .............................................
Telephone/fax ...................................................
______________________________________________________________________________
| Code | Quantity| Measurement | Price per unit| Value | V.A.T.| Total |
| of the document| requested| unit| | (lei) | (lei) | Value |
| | | | | | | including |
| | | | | | | V.A.T. |
| | | | | | | (lei) |
|_____________|___________|__________|____________|_________|_______|__________|
| 0 | 1 | 2 | 3 | 4 | 5 | 6 |
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
|_____________|___________|__________|____________|_________|_______|__________|
Territorial Fiscal Authority ...................
Date of order approval ...........................
Number of approved documents .....................
Payment Method ..............................
...................................... .......................
(signature and seal of the applicant) (signature and seal)
ANNEX 16.1
_________________________________
| Territorial Fiscal Authority |
|_________________________________|
Name of the fiscal warehouse ..........................
Excise duties code ...............................................
Locality ................... county/district .........
Street ..................................... No. ........../............. .........
Zip Code ...............................................
Fiscal domicile ........................................
Situation
regarding the operations carried out in the production fiscal warehouse
of alcohol and spirits
in month .................. year ...........
I. Raw materials (expressed in hectolitre of pure alcohol)
______________________________________________________________________________
|Type | Initial | Inputs (B) |Used| Final |Difference|
|of the product| Stock|________________________________| (C) | Stock| (E) |
| | (A) | Internal operations |EU |Import| | (D) | |
| | |___________________| | | | | |
| | |From |Other | | | | | |
| | |own|purchases| | | | | |
| | |production | | | | | | |
|__________|________|_________|_________|_____|______|________|______|_________|
| 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
|__________|________|_________|_________|_____|______|________|______|_________|
|__________|________|_________|_________|_____|______|________|______|_________|
|__________|________|_________|_________|_____|______|________|______|_________|
II. Deliveries (expressed in hectolitres of pure alcohol)
The columns in the table below have the following meaning:
a - Internal acquisitions (RO)
b - Other acquisitions (EU)
c - Import
d - With excise duties
e - National territory
f - EU
g - Export
h - Exemption
______________________________________________________________________________
|Type |Initial |Quantities|Inputs| Outputs (D) |Used |Final |Difference|
|of the product|Stock|of products | (C) | |in |Stock| (G) |
| | (A) | (B) |_______|______________|its | (F) | |
| | | |a |b|c |d|Without excise duties|own | | |
| | | | | | | |____________|activity | | |
| | | | | | | |Duty-suspension|h | (E) | | |
| | | | | | | |arrangements| | | | |
| | | | | | | |_________| | | | |
| | | | | | | | e | f| g| | | | |
|__________|_______|_________|__|_|__|_|___|__|__|__|__________|_____|_________|
| 0 | 1 | 2 | 3|4| 5|6| 7 | 8| 9|10| 11 | 12 | 13 |
|__________|_______|_________|__|_|__|_|___|__|__|__|__________|_____|_________|
|__________|_______|_________|__|_|__|_|___|__|__|__|__________|_____|_________|
|__________|_______|_________|__|_|__|_|___|__|__|__|__________|_____|_________|
I. (A) Initial stock: quantity of raw materials existing at the beginning of the period shall coincide with the final stock of the previous period; (B) Inputs: input quantities of raw materials shall correspond to that registered in the movement documents corresponding to each origin, related to the reporting period; (C) Quantities of raw materials used to produce the alcohol, during the reporting period; (D) Quantities of raw materials existing at the end of the reporting period; (E) Differences: Quantity resulted for each raw material, according to this formula: Initial stock + inputs - used - final stock E = A + B - C - D
II. The quantities of alcohol are expressed in hectolitres, with two decimals. The data related to (A), (B), (C), (D) and (E) correspond to the operations carried out during the reporting period; The difference (G) = A + B + C - D - E - F The difference = initial stock + (produced quantities ) + inputs - outputs - final stock
Date .......... Manager of the fiscal warehouse ..............
Signature and seal
ANNEX 16.2
_________________________________
| Territorial Fiscal Authority |
|_________________________________|
Name of the fiscal warehouse ..........................
Excise duties code ...............................................
Locality ................... county/district .........
Street ..................................... No. ........../............. .........
Zip Code ...............................................
Fiscal domicile ........................................
Situation
regarding the operations carried out in the production fiscal warehouse
of wines/fermented drinks/intermediary products
in month ................ year ..........
I. Raw materials
The columns in the table below have the following meaning:
a - Quantity
b - Concentration
______________________________________________________________________________
|Type |Initial stock| Inputs |Used|Final stock|Difference|
|of the product| (A) | (B) | (C) | (D) | (E) |
| |____________|________________________| | | |
| | a | b |Internal |EU | Import| | | |
| | | |operations | | | | | |
| | | |_________|______|_______|________|__________|_________|
| | | | a | b | a |b | a | b | a | b | a | b | a | b |
|__________|______|_____|____|____|___|__|___|___|____|___|_____|____|____|____|
| 0 | 1 | 2 | 3 | 4 | 5 |6 | 7 | 8 | 9 | 10| 11 | 12 | 13 | 14 |
|__________|______|_____|____|____|___|__|___|___|____|___|_____|____|____|____|
| | | | | | | | | | | | | | | |
|__________|______|_____|____|____|___|__|___|___|____|___|_____|____|____|____|
A - quantities of raw materials existing in the warehouse at the beginning of the period, and which shall correspond to the final stock in the document of the previous month; B - quantities of raw materials and of products in manufacturing process, which entered the warehouse - there shall be taken into consideration the reception date specified in DAI; C - quantities of raw materials used during the month in the production process of the intermediary products; D - Final stock - quantities of raw materials existing in the warehouse at the end of the month; G - Difference = quantities of products resulted, determined by using this formula: Initial stock + inputs - used - final stock (E = A + B - C - D)
II. Products in manufacturing process
______________________________________________________________________________
| Type of product| Initial stock| Inputs| Outputs |Final stock| Difference|
|___________|_____________|________|_____________________|__________|__________|
| | | |To other|For | | |
| | | |storehouse |final| | |
| | | | |processing | | |
|___________|_____________|________|__________|__________|__________|__________|
| | | | | | | |
|___________|_____________|________|__________|__________|__________|__________|
III. Products obtained
The columns in the table below have the following meaning:
a - Internal acquisitions (RO)
b - Other acquisitions (EU)
c - Import
d - With excise duties
e - National territory
f - Remaining EU
g - Export
h - Exemption
______________________________________________________________________________
|Type |Initial |Quantities|Inputs| Outputs (D) |Used |Final |Difference|
|of the product|Stock|of products | (C) | |in |Stock| (G) |
| | (A) | (B) |_______|______________|its own| (F) | |
| | | |a |b|c |d|Without excise duties |operations | | |
| | | | | | | |____________| (E) | | |
| | | | | | | |Duty-suspension|h | | | |
| | | | | | | |arrangements| | | | |
| | | | | | | |_________| | | | |
| | | | | | | | e | f| g| | | | |
|__________|_______|_________|__|_|__|_|___|__|__|__|__________|_____|_________|
| 0 | 1 | 2 | 3|4| 5|6| 7 | 8| 9|10| 11 | 12 | 13 |
|__________|_______|_________|__|_|__|_|___|__|__|__|__________|_____|_________|
A - Quantities of products existing in the warehouse at the beginning of the period, and which shall correspond to the final stock in the document of the previous month; B - Quantities of products manufactured in warehouse during the relevant period; C - Quantities of products which entered the warehouse under duty-suspension arrangements. There shall be taken into consideration the reception date specified in DAI; D - Outputs with excise duties - quantities of products released for consumption; Outputs without excise duties - the quantities of each output intermediary product under duty-suspension arrangements or under excise duties exemption arrangements; E - quantities of products obtained in the warehouse and which are further used as raw material in the new production process. F - Final stock - the quantities for each type of products existing in the warehouse at the end of the month; G - Difference - quantities of products resulted, determined by using this formula G = A + B + C - D - E - F
Date .......... Manager of the fiscal warehouse ..............
Signature and seal
ANNEX 16.3
_________________________________
| Territorial Fiscal Authority |
|_________________________________|
Name of the fiscal warehouse ..........................
Excise duties code ...............................................
Locality ................... county/district .........
Street ..................................... No. ........../............. .........
Zip Code ...............................................
Fiscal domicile ........................................
Situation
regarding the operations carried out in the production fiscal warehouse
of beer
month ................ year ..........
I. Raw materials
______________________________________________________________________________
| Name |Kilograms | % dry| Name |Kilograms | % dry|
| | | extract | | | extract |
|______________|__________|__________|___________________|__________|__________|
| Malt | | | Sugar and glucose | | |
|______________|__________|__________|___________________|__________|__________|
| Barley | | | Other extraction | | |
| | | | materials | | |
|______________|__________|__________|___________________|__________|__________|
| Barley and semolina | | | Colored malt | | |
|______________|__________|__________|___________________|__________|__________|
| Maize | | | | | |
|______________|__________|__________|___________________|__________|__________|
II. Produced beer in hectolitres
The columns in the table below have the following meaning:
a - Internal acquisitions (RO)
b - Other acquisitions (EU)
c - Import
d - Average degree Plato
e - Consumption
f - National territory
g - EU
h - Export
______________________________________________________________________________
|Type |Initial |Quantities|Inputs| Outputs |Final |Difference|
|of the| Stock|of products | (C) | |Stock| (F) |
|product | (A) | (B) |_______|___________________________| (E) | |
| | | |a |b|c |With| Without excise duties | | |
| | | | | | |excise duties| | | |
| | | | | | | (D) | | | |
| | | | | | |______|____________________| | |
| | | | | | | d| e |Duty-suspension|Exempted| | |
| | | | | | | | |arrangements|operations | | |
| | | | | | | | |_________| | | |
| | | | | | | | | f | g| h| | | |
|________|_______|_________|__|_|__|__|___|___|__|__|__________|_____|_________|
| 0 | 1 | 2 | 3|4| 5|6 | 7 | 8 | 9|10| 11 | 12 | 13 |
|________|_______|_________|__|_|__|__|___|___|__|__|__________|_____|_________|
|________|_______|_________|__|_|__|__|___|___|__|__|__________|_____|_________|
|________|_______|_________|__|_|__|__|___|___|__|__|__________|_____|_________|
A - the quantities of beer existing in the warehouse at the beginning of the month shall correspond to the final stock in the document of the previous month; B - The quantities of beer produced in the warehouse during the relevant year; C - The quantities of beer which entered the warehouse. There shall be taken into consideration the reception date specified in DAI; D - Outputs with excise duties: Average degree Plato - if the beer released for consumption presents various degrees Plato, there shall be specified the weighted average degree
E.g. 1000 hl of beer of 12 degrees Plato; 2000 hl of beer of 13 degrees Plato; 3000 hl of beer of 14 degrees Plato
(1000 x 12) + (2000 x 13) + (3000 x 14)
Weighted average degree Plato = ---------------------------------------- = 13.33
1000 + 2000 + 3000
F - Final stock - the quantities for each type of products existing in the warehouse at the end of the month; G - Difference - quantities of products resulted, determined by using this formula F = A + B + C - D - E
Date .......... Manager of the fiscal warehouse ..............
Signature and seal
ANNEX 16.4
_________________________________
| Territorial Fiscal Authority |
|_________________________________|
Name of the fiscal warehouse ..........................
Excise duties code ...............................................
Locality ................... county/district .........
Street ..................................... No. ........../............. .........
Zip Code ...............................................
Fiscal domicile ........................................
Situation
regarding the operations carried out in the production fiscal warehouse
of processed tobacco
in month ............. year ........
The columns in the table below have the following meaning:
a - Internal acquisitions (RO)
b - Other acquisitions (EU)
c - Import
d - Value
e - Quantity
f - National territory
g - Exemption
______________________________________________________________________________
|Type |Initial |Quantities|Inputs| Outputs |Final |Difference|
|of the|Stock|of products | (C) | |Stock| (G) |
|product | (A) | (B) |_______|___________________________| (F) | |
| | | |a |b|c |With| Without excise duties | | |
| | | | | | |excise duties| (E) | | |
| | | | | | | (D) | | | |
| | | | | | |______|____________________| | |
| | | | | | | d| e | Duty-suspension arrangements |g | | |
| | | | | | | | |_________________| | | |
| | | | | | | | | f | EU|Export| | | |
| | | | | | | | | | | | | | |
| | | | | | | | |____|_____|______| | | |
| | | | | | | | |d |e| d| e| d | e| | | |
|________|_______|_________|__|_|__|__|___|__|_|__|__|___|__|__|_____|_________|
| 0 | 1 | 2 |3 |4|5 | 6| 7 |8 |9|10|11| 12|13|14| 15 | 16 |
|________|_______|_________|__|_|__|__|___|__|_|__|__|___|__|__|_____|_________|
|________|_______|_________|__|_|__|__|___|__|_|__|__|___|__|__|_____|_________|
|________|_______|_________|__|_|__|__|___|__|_|__|__|___|__|__|_____|_________|
For small cigarettes, cigarettes and cigarillos the quantities shall be expressed in thousands of pieces, and for smoking tobaccos there shall be expressed in kg.
A - Quantities of products existing in the warehouse at the beginning of the period, and which shall correspond to the final stock in the document of the previous month; B - Quantities of products manufactured in warehouse during the relevant period; C - Quantities of products which entered the warehouse under duty-suspension arrangements. There shall be taken into consideration the reception date specified in DAI; D - Outputs with excise duties - quantities of products released for consumption; E - Outputs without excise duties - the quantities of each product which exits under duty-suspension arrangements or under excise duties exemption arrangements; F - Final stock - the quantities for each type of product existing in the warehouse at the end of the month; G - Difference - quantities of products resulted, determined by using this formula G = A + B + C - D - E - F
Date .......... Manager of the fiscal warehouse ..............
Signature and seal
ANNEX 16.5
_________________________________
| Territorial Fiscal Authority |
|_________________________________|
Name of the fiscal warehouse ..........................
Excise duties code ...............................................
Locality ................... county/district .........
Street ..................................... No. ........../............. .........
Zip Code ...............................................
Fiscal domicile ........................................
Situation
regarding the operations carried out in the production fiscal warehouse
of energy products
in month ............. year .......
The columns in the table below have the following meaning:
a - Internal acquisitions (RO)
b - Other acquisitions (EU)
c - Import
d - National territory
e - EU
f - Export
g - Exemptions
h - With excise duties
i - Without excise duties
______________________________________________________________________________
|Type |Initial |Quantities|Inputs| Outputs |Self- |Final |Difference|
|of the|Stock|of products | (C) | |consumption |Stock| (H) |
|product | (A) | (B) | | | (F) | (G) | |
| | | |_______|___________________|_______| | |
| | | |a |b|c |With | Without excise duties| h | i | | |
| | | | | | |excise duties| (E) | | | | |
| | | | | | | (D) | | | | | |
| | | | | | | |____________| | | | |
| | | | | | | |Duty-suspension |g | | | | |
| | | | | | | |arrangements| | | | | |
| | | | | | | |_________| | | | | |
| | | | | | | | d | e| f| | | | | |
|________|_______|_________|__|_|__|______|___|__|__|__|___|___|_____|_________|
| 0 | 1 | 2 |3 |4|5 | 6 | 7 | 8| 9|10| 11| 12| 13 | 14 |
|________|_______|_________|__|_|__|______|___|__|__|__|___|___|_____|_________|
|________|_______|_________|__|_|__|______|___|__|__|__|___|___|_____|_________|
|________|_______|_________|__|_|__|______|___|__|__|__|___|___|_____|_________|
|________|_______|_________|__|_|__|______|___|__|__|__|___|___|_____|_________|
The quantities of products shall be specified in tons or 1000 liters, according to the Annex to the Title VII of Law no. 571/2003 on the Fiscal Code, as subsequently amended and completed, where the excise duties levels are established.
A - Quantities of products existing in the warehouse at the beginning of the period, and which shall correspond to the final stock in the document of the previous month; B - Quantities of products manufactured in warehouse during the relevant period; C - Quantities of products which entered the warehouse under duty-suspension arrangements. There shall be taken into consideration the reception date specified in DAI; D - Outputs with excise duties - quantities of products released for consumption; E - Outputs without excise duties - the quantities of each product which exits under duty-suspension arrangements or under excise duties exemption arrangements; F - Self-consumption - the quantities of products consumed or used in the fiscal warehouse; Final stock - quantities for each type of product existing in the warehouse at the end of the month; G - Difference - quantities of products resulted, determined by using this formula H = A + B + C - D - E - F - G
Date .......... Manager of the fiscal warehouse ..............
Signature and seal
ANNEX 17
(Annex no. 14 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
CERTIFICATE OF EXEMPTION FROM EXCISE DUTIES (RO)
______________________________________________________________________________
| Series no. (optional) |
|______________________________________________________________________________|
______________________________________________________________________________
| 1. BENEFICIARY INSTITUTION/PERSON |
| Designation/name .................................................. |
| Street and number ................................................. |
| Zip Code , place ............................................... |
|______________________________________________________________________________|
______________________________________________________________________________
| 2. COMPETENT AUTHORITY FOR ENDORSEMENT |
| (Name, address and telephone number) |
| ............................................................................ |
| ............................................................................ |
| ............................................................................ |
|______________________________________________________________________________|
______________________________________________________________________________
| 3. BENEFICIARY'S DECLARATION |
| The beneficiary institution/person*1) declares: |
| (a) that the products specified in box 5 are intended*2): |
| _ _ |
| |_| for the official use of: |_| For the personal use of: |
| _ _ |
| |_| A diplomatic foreing |_| A member of a foreing |
| mission diplomatic mission |
| _ _ |
| |_| A foreing consular |_| A member of a foreing |
| representation foreing consular representation|
| _ _ |
| |_| An international organisation |_| A member of the management of|
| an international organisation |
| _ |
| |_| Armed Forces of a State Party to |
| the North Atlantic Treaty|
| (NATO) |
| ....................................... |
| (Name of the institution) (see box 4) |
| |
| (b) that the products described in box 5 meet the conditions and limits |
| applicable to the exemption, and |
| |
| (c) that the information aforementioned is veridic. |
| Hereby, the beneficiary institution or person undetakes, should |
| the products do not comply with the exemption conditions or should |
| the products were not used for the provided purpose, to pay |
| the excise duties which would be due in |
| |
| ............... ................................. |
| Place, date Name and signatory's status |
| |
| ................................. |
| Seal |
|______________________________________________________________________________|
| 4. SEAL OF THE INSTITUTION (for the exemption for personal use) |
| ............... ................................. |
| Place, date SEAL Name and signatory's status |
| |
| ................... |
| (it continues on the back page) Signature |
|______________________________________________________________________________|
______________________________________________________________________________
| 5. DESCRIPTION OF THE DELIVRED PRODUCTS FOR WHICH IS REQUESTED THE EXEMPTION FROM EXCISE DUTIES |
| A. Information on the authorized warehouse-keeper/supplier of natural |
| gas and electricity |
| (1) Name and address ................................................... |
| (2) Excise duties code .................................................... |
| (optional) |
| B. Information on products |
| __________________________________________________________________________ |
| |No.| Detailed description of | Quantity | Value without excise duties | Currency | |
| | | of the products*3) (or | or |______________________| | |
| | | reference to the order | number | Value | Total | | |
| | | form enclosed) | | per unit | Value | | |
| |___|_________________________|____________|__________|___________|________| |
| | | | | | | | |
| | | | | | | | |
| | | | | | | | |
| | | | | | | | |
| |___|_________________________|____________|__________|___________|________| |
| | Total amount | | | | |
| |__________________________________________|__________|___________|________| |
| |
|______________________________________________________________________________|
______________________________________________________________________________
| 6. CERTIFICATION BY THE RELEANT AUTHORITY |
| The delivery of the products described in box 5 entirely |
| - complies with |
| - up to the quantity of ................................ (number)*4) |
| the condition of exemption from excise duties |
| |
| ............... ................................. |
| Place, date SEAL Name and signatory's status |
| |
| ................... |
| Signature |
|______________________________________________________________________________|
______________________________________________________________________________
| 6. THE PERMISION TO USE THE SEAL (only for the exemption for |
| official use) |
| By the letter no. ..................... of ............................. |
| (referece to the file) (date) |
| ..................................... it is granted with the permision by |
| (name of the beneficiary institution) |
| .................................... to use the seal in box 6|
| (name of the competent authority) |
| |
| ............... ................................. |
| Place, date SEAL Name and signatory's status |
| |
| ................... |
| Signature |
|______________________________________________________________________________|
*1) Cross off if appropriate
*2) Check the appropriate box
*3) Cross off the unused space. This obligation is applied also if the order form is enclosed.
*4) Check in box 5 the goods that are not exempted
Instructions for filling in the annex no 17
1. For the authorized warehouse-keeper, this certificate is used as a supporting document for the exemptions from excise duties for products intended for beneficiary institutions/persons in accordance with art. 199 of the Law no. 571/2003 on the Fiscal Code. For this purpose, a different certificate shall be issued for each warehouse-keeper. The warehouse-keeper must keep this certificate in its own records.
2. (a) The paper shall be white for all the copies and shall be of 210 mm x 297 mm format with a maximum deviation of minus 5 mm or plus 8 mm to what concerns the paper height.
The exemption certificate shall be issued in two copies:
- one copy that shall be kept by the dispatcher;
- one copy accompanyies the transportation.
(b) Any unused space in box 5.B shall be crossed off, so no additional information may be inserted.
(c) The document must be filled in legible and in such a way that it could prevent the data to be erased. There are not allowed erasures or cuts. The document shall be filled in Romanian.
3. Through the declaration in box 3 of the certificate, the beneficiary institution/person provides the necessary information for the evaluation of the request for exemption.
4. Through the declaration from box 4 of the certificate, the institution confirms the details in boxes no 1 and 3 of the document and certify the fact that the beneficiary is part of the institution's personnel.
5. (a) The reference to the order form (box 5.B) must contain at least the date and the number of order. The order form must contain all the items from box 5 of the certificate, it must be endorsed by the relevant authority .
(b) The indication regarding the code of excises of the authorized warehouse-keeper
(c) The currency shall be specified by using a code formed of 2 letters.
6. The declaration of the beneficiary institution/person previously mentioned shall be authenticated in box 6 by the stamp of its relevant authority. The said authority may condition the approval by the agreement of a different authority. Obtaining such agreement depends of the competent fiscal authority.
7. In order to simplify the procedure, the relevant authority may exempt the beneficiary institution from the obligation to request the stamp in case of exemption for official use. The beneficiary institutions mentions this exemption in box 7 of the certificate.
ANNEX 18
CERTIFICATE OF EXEMPTION FROM EXCISE DUTIES
[Commission Regulation no. 96/31/EEC]
______________________________________________________________________________
| Series no. (optional) |
|______________________________________________________________________________|
______________________________________________________________________________
| 1. BENEFICIARY INSTITUTION/PERSON |
| Designation/name .................................................. |
| Street and number ................................................. |
| Zip Code , place ............................................... |
| Member State (host) ............................................. |
|______________________________________________________________________________|
______________________________________________________________________________
| 2. COMPETENT AUTHORITY FOR ENDORSEMENT |
| (Name, address and telephone number) |
| ............................................................................ |
| ............................................................................ |
| ............................................................................ |
|______________________________________________________________________________|
______________________________________________________________________________
| 3. BENEFICIARY'S DECLARATION |
| The beneficiary institution/person*1) declares: |
| (a) that the products specified in box 5 are intended*2): |
| _ _ |
| |_| for the official use of: |_| For the personal use of: |
| _ _ |
| |_| A diplomatic foreing |_| A member of a foreing |
| mission diplomatic mission |
| _ _ |
| |_| A foreing consular |_| A member of a foreing |
| representation foreing consular representation|
| _ _ |
| |_| An international organisation |_| A member of the management of|
| an international organisation |
| _ |
| |_| Armed Forces of a State Party to |
| the North Atlantic Treaty|
| (NATO) |
| ....................................... |
| (Name of the institution) (see box 4) |
| |
| (b) that the products described in box 5 meet the conditions and limits |
| applicable to the exemption in the Memeber State specified in 1, and |
| |
| (c) that the information aforementioned is veridic. The beneficiary institution or person |
| undertakes hereby to pay to the Member State of delivery of |
| the products, the excise duties which would be due if these products |
| do not comply with the exemption conditions or should products were not |
| used for the provided purpose. |
| |
| ............... ................................. |
| Place, date Name and signatory's status |
| |
| ................................. |
| Seal |
|______________________________________________________________________________|
| 4. SEAL OF THE INSTITUTION (for the exemption for personal use) |
| |
| ............... ................................. |
| Place, date SEAL Name and signatory's status |
| |
| ................... |
| (it continues on the back page) Signature |
|______________________________________________________________________________|
______________________________________________________________________________
| 5. DESCRIPTION OF THE DELIVRED PRODUCTS FOR WHICH IS REQUESTED THE EXEMPTION FROM EXCISE DUTIES |
| A. Information on the authorized warehouse-keeper/supplier of natural |
| gas and electricity |
| (1) Name and address ................................................... |
| (2) Member State ...................................................... |
| (3) Excise duties code .................................................... |
| (optional) |
| B. Information on products |
| __________________________________________________________________________ |
| |No.| Detailed description of | Quantity | Value without excise duties | Currency | |
| | | of the products*3) (or | or |______________________| | |
| | | reference to the order | number | Value | Total | | |
| | | form enclosed) | | per unit | Value | | |
| |___|_________________________|____________|__________|___________|________| |
| | | | | | | | |
| | | | | | | | |
| | | | | | | | |
| | | | | | | | |
| |___|_________________________|____________|__________|___________|________| |
| | Total amount | | | | |
| |__________________________________________|__________|___________|________| |
| |
|______________________________________________________________________________|
______________________________________________________________________________
| 6. CERTIFICATION BY THE RELEANT AUTHORITY OF THE MEMBER STATE |
| The delivery of the products described in box 5 entirely |
| - complies with |
| - up to the quantity of ................................ (number)*4) |
| the condition of exemption from excise duties |
| |
| ............... ................................. |
| Place, date SEAL Name and signatory's status |
| |
| ................... |
| Signature |
|______________________________________________________________________________|
______________________________________________________________________________
| 7. THE PERMISION TO USE THE SEAL (only for the exemption for |
| official use) |
| By the letter no. ..................... of ............................. |
| (referece to the file) (date) |
| ..................................... it is granted with the permision by |
| (name of the beneficiary institution) |
| .................................... to use the seal in|
| (name of the competent authority of the hoste state) |
| box 6 |
| |
| ............... ................................. |
| Place, date SEAL Name and signatory's status |
| |
| ................... |
| Signature |
|______________________________________________________________________________|
*1) Cross off if appropriate.
*2) Check the appropriate box.
*3) Cross off the unused space. This obligation is applied also if the order form is enclosed.
*4) Check in box 5 the product that are not exempted from the payment of excise duties.
Instructions for filling in the annex no 18
1. For the authorized warehouse-keeper, this certificate is used as a supporting document for the exemptions from excise duties for products intended for beneficiary institutions/persons in accordance with art. 23 par. (1) of Directive 92/12/EEC. For this purpose, a different certificate shall be issued for each warehouse-keeper. The warehouse-keeper must keep this certificate in its own records in accordance with the legal provisions applicable in its Member State.
2. (a) The general specifications regarding the kind of paper to be used are established in the Official Journal of the European Community no C 164 of 1.7.1989.
The paper shall be white for all the copies and shall be of 210 mm x 297 mm format with a maximum deviation of minus 5 mm or plus 8 mm to what concerns the paper height.
The exemption certificate shall be issued in two copies:
- one copy that shall be kept by the dispatcher;
- one copy for the accompanying administration document.
(b) Any unused space in box 5.B shall be crossed off, so no additional information may be inserted.
(c) The document must be filled in legible and in such a way that it could prevent the data to be erased. There are not allowed erasures or cuts. The document must be filled in, in a language known by the hosting Member State.
(d) If the products description (box 5.B of the certificate) refers to an order form drafted in a different language than the one acknowledged by the hosting Member State, the institution/beneficiary shall attach a translation.
(e) On the other hand, if the certificate is drafted in another language than the one acknowledged by the Member State of the warehouse-keepr, the institution/beneficiary shall annex a translation of the information regarding the products in box 5.B.
(f) The acknowledged language means one of the official languages used in the Member State or any other official language within the Community that the Member States declares as being usable for this purpose.
3. Through the declaration in box 3 of the certificate, the institution/beneficiary provides the necessary information for the evaluation of the request for exemption from the tax duties within the Member State.
4. Through the declaration from box 4 of the certificate, the institution confirms the details in boxes no 1 and 3 of the document and certify the fact that the beneficiary is part of the institution's personnel.
5. (a) The reference to the order form (box 5.B) must contain at least the date and the number of order. The order form must contain all the items from box 5 of the certificate. If such certificate must be endorsed by the relevant authority of the hosting Member State, the order form shall also need to be endorsed.
(b) The indication regarding the number of excises of the authorized warehouse-keeper, in accordance with art. 15 (a) par. (2) of Directive 92/12/EEC
(c) The currency shall be specified by using a code formed of 3 letters, in accordance with the International ISOIDIS 4127 Standard established by the International Organization for Standardization.
6. The declaration of the institution/beneficiary previously mentioned shall be authenticated in box 6 by the stamp of the relevant authority from the Member State. The said authority may condition the approval by the agreement of a different authority from the Member State concerned. Obtaining such agreement depends of the competent fiscal authority.
7. In order to simplify the procedure, the relevant authority may exempt the beneficiary institution from the obligation to request the stamp in case of exemption for official use. The beneficiary institutions mentions this exemption in box 7 of the certificate.
ANNEX 19
APPLICATION
for the refund of the excise based on the provisions of art. 199 of the Fiscal Code
1. The name of the applicant ..............................................
2. Address from Romania: locality ......................................, st. ....................... no ...., district......, zip code........., fiscal identification code ................... county .....................
According to the provisions of art. 199 par. (1) of Law no 571/2003 on the Fiscal Code, as amended and further completed, we hereby request the refund of the excises related to the quantity of ............... liters of ..................., purchased in accordance with the overview hereby attached.
We hereby request the refund through bank transfer in the bank account ............................., opened at ....................................................................
Signature of the applicant ................... Date ..............
ANNEX 20
(Annex no. 15 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
Territorial Fiscal Authority
...............................
END USER AUTHORIZATION
No ......./(DD)/(MM)/(YYYY) .................
............................................................, with the headquarters in ..............................., st. ...................... no ..., building ..., entrance ..., floor ..., ap. ..., phone/fax .........................., registered with the Trade Registry under no ................., having the fiscal identification code ....................., shall be authorized as end user for excisable products.
The present authorization allows the acquisition under excise duty payment exemption regime, for the purpose set forth in the Fiscal Code in art. .... par. .... let. ...., of the following products:
- name of the product, NC code and quantity ..................................;
- name of the product, NC code and quantity ..................................;
- name of the product, NC code and quantity ................................. .
The authorization is valid as from ......................
The Head of the Fiscal Authority,
.................................
ANNEX 21
Name of the warehouse-keeper authorized for production/
.................................................................
Registered office:
County ........... District ........ Locality ...............
Street ............ No. ........../............. ... Building ... Entrance ... Floor ... Ap. ...
Zip Code ............. Telephone/fax ..........................
Excise duties code/Fiscal identification code ...................
JOURNAL
for the engine fuel deliveries intended for the exclusive use of the aircrafts/ships on (month)................ year.......
The columns in the table below have the following meaning:
A - Name of the operator
B - Fiscal identification code
C - The delivered quantity
______________________________________________________________________________
|No |Type |M.U.| Beneficiary of the delivery |Quantity|Destination|
|no|product| |___________________________________|total |products|
| | | | Warehoused by | Other beneficiaries|delivered|(aircrafts/|
| | | | warehousing| |(6+10) |ships) |
| | | |_________________|_________________| | |
| | | | A| B|Number | C| A| B|Number | C| | |
| | | | | |and date | | | |and date | | | |
| | | | | |of the invoice| | | |of the invoice| | | |
|____|__________|____|__|__|________|__|__|__|________|__|__________|__________|
| 0 | 1 | 2 | 3| 4| 5 | 6| 7| 8| 9 |10| 11 | 12 |
|____|__________|____|__|__|________|__|__|__|________|__|__________|__________|
|____|__________|____|__|__|________|__|__|__|________|__|__________|__________|
|____|__________|____|__|__|________|__|__|__|________|__|__________|__________|
|____|__________|____|__|__|________|__|__|__|________|__|__________|__________|
| | TOTAL | | | | | | |
|____|__________|___________________|__|______________|__|__________|__________|
Certified by the management of the warehouse-keeper
.............................. ..................
Stamp Date
ANNEX 22
Name of the warehouse-keeper authorized for warehousing
.................................................................
Registered office:
County ........... District ........ Locality ...............
Street ............ No. ........../............. ... Building ... Entrance ... Floor ... Ap. ...
Zip Code ............. Telephone/fax ..........................
Excise duties code/Fiscal identification code ...................
JOURNAL
for the engine fuel acquisitions/deliveries intended for the exclusive use of the aircrafts/ships on (month)................ year.......
The columns in the table below have the following meaning:
A - Fiscal identification code
B - Acquired quantity
C - Registration no of the aircraft/ship
______________________________________________________________________________
|No |Number |Type |M.U.|Warehouse |Beneficiary of the delivery |Destination|
|no|and date |product| |fiscal from | |products|
| |of the invoice| | |carried out| |(aircrafts/|
| | | | |acquisition| |ships) |
| | | | |______________|______________________| |
| | | | |Name| A|B|Name|C|Quantity| |
| | | | | | | |of the company| | | |
|____|________|__________|____|_________|__|_|_________|_|__________|__________|
| 0 | 1 | 2 | 3 | 4 | 5|6| 7 |8| 9 | 10 |
|____|________|__________|____|_________|__|_|_________|_|__________|__________|
|____|________|__________|____|_________|__|_|_________|_|__________|__________|
|____|________|__________|____|_________|__|_|_________|_|__________|__________|
|____|________|__________|____|_________|__|_|_________|_|__________|__________|
| | | | | | |
|____|_____________________________________|_|___________|__________|__________|
Certified by the management of the authorized warehouse-keeper
.............................. ..................
Stamp Date
ANNEX 23
(Annex no. 17 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
No ........... of ................
APPLICATION
regarding the granting of the authorization of importer
Importing company ..............................................., with the headquarters in .................... st. ........................ no ......., registered with the Trade Registry under no ......... as from (date) ............., fiscal identification code .................. phone....................., fax ........................, e-mail ............................, represented by .................................., domiciled in ........................, st. .......................... no ..., building ..., entrance ..., floor ..., ap. ..., district......, county ........................., holder of IC Series ....... no ......., issued by ......................., in capacity of ....................................., based on the documents annexed to the file, hereby requests the issuance of the authorization of importer for the following products:
1. ...................................................
2. ...................................................
3. ...................................................
Date .......................
Signature and seal
.........................
ANNEX 24
(Annex no. 16 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
MODELS
of stamps and bands
a) Stamps for marking cigarettes and processed tobacco products
- 45 mm -
____________
| |
|____________| - 22 mm -
b) Bands for the marking intermediate products and ethyl alcohol
- bottles or tetra pak boxes, tetra brik etc., bigger or equal to 500 ml:
- application in "U" form
- 160 mm -
___________________________________
| |
|___________________________________| - 18 mm -
- application in "L" form
- 80 mm -
____________________
| |
|____________________| - 18 mm -
- bottles or tetra pak boxes, tetra brik etc., smaller than 500 ml:
- application in "U" form
- 120 mm -
____________________________
| |
|____________________________| - 18 mm -
- application in "L" form
- 60 mm -
_________________
| |
|_________________| - 18 mm -
- bottles or tetra pak boxes, tetra brik etc., smaller or equal to 50 ml:
- application in "U" form
- 60 mm -
_________________
| |
|_________________| - 18 mm -
- application in "L" form
- 40 mm -
_____________
| |
|_____________| - 18 mm -
ANNEX 25
(Annex no. 18 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
ORDER NOTE No ........
for stamps and bands of .........................
(day) (month) (year)
Name of the warehouse-keeper authorized for production/warehouse-keeper authorized for warehousing/registered operator/non-registered operator/authorized importer
..........................................................................
Fiscal identification code ............................................
Excise duties code ..............................................
Marking code ..............................................
Registered office:
County .............. District ........ Locality ................
Street ........................................ No. ........../............. ................
Building ........ Entrance .......... Floor ............ Ap. ................
Zip Code ...................................................
Telephone/fax ................................
________________________________________________________________________
| Type of | Type of | Quantity | M.U. | Price | VAT. | Value |
| of marking | product | markings | | unitary | | total |
|____________|__________|____________|______|________|________|__________|
|____________|__________|____________|______|________|________|__________|
|____________|__________|____________|______|________|________|__________|
|____________|__________|____________|______|________|________|__________|
|____________|__________|____________|______|________|________|__________|
Signature and stamp of the applicant Date of order approval ...........
..................................... Number of approved markings .......
Modality of payment ..............
ANNEX 26
(Annex no. 19 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
RECORDS
of acquisition, use and return of markings on ( month )................... year ............
Name of the warehouse-keeper authorized for production/warehouse-keeper authorized for warehousing/registered operator/authorized importer
..........................................................................
Registered office:
County .............. District ......... Locality ................
Street ............ No. ........../............. .... Building ... Entrance .... Floor .... Ap. .....
Zip Code ............... Telephone/fax ................................
Fiscal identification code ............................................
Excise duties code .................. Marking code ......................
______________________________________________________________________________
|No | | Number | Number of |
|no| | of stamps | bands |
|____|________________________________________________|___________|____________|
| | For domestic production | | |
|____|________________________________________________|___________|____________|
| 1 | Stock at the beginning of the month | | |
|____|________________________________________________|___________|____________|
| 2 | Acquisitions during the month | | |
|____|________________________________________________|___________|____________|
| 3 | TOTAL (line 1 + line 2) | | |
|____|________________________________________________|___________|____________|
| 4 | Marking used for products of | | |
| | domestic production | | |
|____|________________________________________________|___________|____________|
| 5 | Deteriorated markings | | |
|____|________________________________________________|___________|____________|
| 6 | TOTAL USED MARKINGS (line 4 + line 5) | | |
|____|________________________________________________|___________|____________|
| 7 | Stock at the end of the month (line 3 - line 6) | | |
|____|________________________________________________|___________|____________|
| | For intra-Community acquisitions and acquisitions | | |
| | from import | | |
|____|________________________________________________|___________|____________|
| 1 | Stock at the beginning of the month (at the producer) | | |
|____|________________________________________________|___________|____________|
| 2 | Stock at the beginning of the month (at | | |
| | the operator/importer) | | |
|____|________________________________________________|___________|____________|
| 3 | Acquisitions during the month, out of which: | | |
|____|________________________________________________|___________|____________|
|3.1 | dispatched to the producer | | |
|____|________________________________________________|___________|____________|
|3.2 | to be dispatched | | |
|____|________________________________________________|___________|____________|
| 4 | TOTAL producer markings (line 2 + line 3.1) | | |
|____|________________________________________________|___________|____________|
| 5 | Markings reintroduced in the country | | |
|____|________________________________________________|___________|____________|
| 6 | Markings deteriorated during the production process | | |
|____|________________________________________________|___________|____________|
| 7 | TOTAL MARKING USED by the producer | | |
| | (line 5 + line 6) | | |
|____|________________________________________________|___________|____________|
| 8 | Stock at the producer at the end of the month | | |
| | (line 4 - line 7) | | |
|____|________________________________________________|___________|____________|
| 9 | Stock at the operator/importer at the end of the month | | |
| | (line 2 + line 3.2.) | | |
|____|________________________________________________|___________|____________|
Certified by the management of the warehouse-keeper
authorized/authorized operator/
authorized importer
Verified by .............. Date ...................
Date ...................... Signature ..............
ANNEX 27
(Annex no. 20 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
RECORDS
markings deteriorated and destroyed in the month ............ year ..........
Name of the warehouse-keeper authorized for production/
warehouse-keeper authorized for storage/
registered operator/authorized importer
..........................................................................
Registered office:
County .............. District ......... Locality ................
Street ................................................. No. ........../............. .............
Building ...... Entrance .... Floor .... Ap. ..... Zip Code ................
Telephone/fax ................................
Fiscal identification code ............................................
Excise duties code ..............................................
Marking code ..............................................
_______________________________________________________________________
|No | Causes of deterioration | Number of stamps | Number of bands |
|crt. | | | |
|_____|______________________|___________________|______________________|
|_____|______________________|___________________|______________________|
|_____|______________________|___________________|______________________|
|_____|______________________|___________________|______________________|
|_____|______________________|___________________|______________________|
|_____|______________________|___________________|______________________|
|TOTAL| X | | |
|_____|______________________|___________________|______________________|
Certified by the management
warehouse-keeper/registered
operator/authorized importer
Date ...................
Signature ..............
Fiscal body Verified by ...................
Signature ............. Date ...........................
ANNEX 28
(Annex no. 21 to the Methodological Norms for the application of the provisions of Title VII of the Fiscal Code)
Name of the warehouse-keeper authorized for production/
warehouse-keeper authorized for storage/
registered operator/authorized importer
..........................................................................
DETERIORATED MARKINGS
___________________________________________________________
| | | |
|___________________|___________________|___________________|
| | | |
|___________________|___________________|___________________|
| | Place for pasting | |
|___________________|___________________|___________________|
| | | |
|___________________|___________________|___________________|
Last name and first name of the person Signature of the head of department
that used them
............................... ...........................
Signature .................
ANNEX 29
______________________________________________________________________________
| | Registration No......... | Date ............... |
|______________________|_________________________________|_____________________|
APPLICATION
regarding the economic operator authorization with products subject to the non-harmonized excise duties
(attach the additional number of pages necessary to provide the complete information)
______________________________________________________________________________
| 1. Name | |
|_________________________________________|____________________________________|
| 2. Address | County ............. District ...... |
| | Locality ...................... |
| | Street .................... No. ........../............. .... |
| | Building ..... Entrance ... Floor ... Ap. .. |
| | Zip Code ....................... |
|_________________________________________|____________________________________|
| 3. Phone | |
|_________________________________________|____________________________________|
| 4. Fax | |
|_________________________________________|____________________________________|
| 5. E-mail address | |
|_________________________________________|____________________________________|
| 6. Fiscal Identification Code| |
|_________________________________________|____________________________________|
| 7. Name and phone number of | |
| of the legal representative or other | |
| contact person | |
|_________________________________________|____________________________________|
| 8. Description of the economic activities | |
| carried out in Romania | |
|_________________________________________|____________________________________|
| 9. Name, address and the fiscal code of | |
| persons affiliated with the economic | |
| operator | |
|_________________________________________|____________________________________|
| 10. If the warehouse-keeper is | |
| a legal person, the name, the address and | |
| the personal numeric code of each | |
| administrator; there shall be enclosed also the criminal| |
| records of the administrators | |
|_________________________________________|____________________________________|
| 11. Prove if the warehouse-keeper (or if| _ _ |
| the economic operator is a legal person, any of | |_| Yes |_| No |
| its administrators) was finally sentenced during the last | |
| 5 years for crimes provided in the fiscal legislation | |
|______________________________________________________________|_______________|
| 12. Attach the certificate of fiscal attestation or, as the case may be, the docket statement |
| regarding the fiscal obligations to the state budget, as well as the fiscal record of |
| the economic operator |
|______________________________________________________________________________|
| 13. Enclose the photocopy of the annual financial statements (balance sheet) of the last two years |
|______________________________________________________________________________|
| 14. Enclose the confirmation of the fiscal body on the capacity of excise duties |
| payer |
|______________________________________________________________________________|
| 15. Enclose an ascertaining certificate, issued by the Trade Register |
| Office, from where to result: the share capital, shareholders, the object of |
| activity, administrators, as well as the photo copy of the certificate of registration |
| issued according to the legal regulations in force |
|______________________________________________________________________________|
| II. INFORMATION OF THE PLACE THE PRODUCTS ARE TO BE RECEIVED FROM |
| (for each fiscal location a II part is separately submitted |
|______________________________________________________________________________|
| 1. Adress of the place where the products are | County ........... District ...... |
| received at | Locality ...................... |
| | Street .................... No. ........../............. .... |
| | Building ..... Entrance ... Floor ... Ap. .. |
| | Zip Code ....................... |
|_________________________________________|____________________________________|
| 2. List the types of excisable | |
| products to be acquired| |
| and the countries of origin | |
|_________________________________________|____________________________________|
| III. INFORMATION ON THE GUARANTEE |
|______________________________________________________________________________|
| 1. Type of proposed guarantee | |
|_________________________________________|____________________________________|
| 2. The amount proposed for the guarantee | |
|_________________________________________|____________________________________|
| 3. For cash deposit, please enclose the bank good standing letter |
|______________________________________________________________________________|
| 4. For a banking guarantee, please enclose these: |
| Name, address and telephone of the proposed guarantor. |
| The declaration of the proposed guarantor on the intention to insure the banking |
| guarantee for an amount and the time period specified. (Letter of |
| bank guarantee). |
|______________________________________________________________________________|
Knowing the provisions of art. 474 on the misrepresentation, of the Criminal Code, I declare that the data contained in this form are correct and complete.
_________________________ _______________
Signature of applicant Date
TITLE VIII
Special measures on the supervision of production, import and movement of excisable products
Fiscal Code:
CHAPTER 1
The surveillance system for the production of ethyl alcohol
Scope of application
ART. 222
The surveillance system applies to all warehouse keepers authorized for the production of un-denatured ethyl alcohol and distillates.
Methodological Norms:
1. The surveillance system applies to all warehouse-keepers authorized for the production of un-denatured ethyl alcohol and distillates, used as raw materials.
Fiscal Code:
Fiscal supervisors
ART. 223
[...]
(2) The fiscal warehouse-keepers authorized for the production of the ethyl alcohol and distillates shall draw up and submit to the competent fiscal body along with the authorization application also the working schedule on months providing the quantity estimate to be produced during one year according to the production capacity.
Methodological Norms:
1^1. (1) The working schedule for the ethyl alcohol production and distillates shall cover a 12-month period and shall be modified only upon the request of the authorized warehouse-keeper.
(2) The template of the working schedule and the procedure of verification of the accuracy of the date included in the schedule, as well as the model of observance of the schedule provisions shall be established by Order of the President of the National Agency for Fiscal Administration.
(3) For the entire period of non-functioning, established though the working schedule, the equipment for the alcohol and distillates manufacture shall be sealed by the fiscal supervisor.
(4) The functioning of the alcohol/distillates production equipment outside the approved working schedule shall be sanctioned in accordance with the Fiscal Procedure Code.
Fiscal Code:
CHAPTER 2
The surveillance system of the ethyl alcohol and distillates movement in bulk from domestic production or import
Conditions of delivery
ART. 232 [...]
(5) The sale in bulk and the use as a raw material of alcohol and distillates having an alcohol concentration of less than 96%, by volume, for the production of alcohol beverages is prohibited.
Methodological Norms:
2. The notion of "distillates" includes, in accordance with this provision, only the cereal distillates.
Fiscal Code:
CHAPTER 4
The surveillance system of imports of alcohol, distillates and spirits, in bulk
Surveillance procedure
ART. 236 [...]
(9) The operation of sampling is to be completed by the preparation of an official report of sampling, according to the model presented in norms. [...]
(15) Quantities of alcohol, distillates and spirits in bulk, that are imported are to be sealed by the border customs organ, and in the case where the commodity is transited to an interior customs point in order to perform the customs operation of import. The commodity sealed this way, together with the commodity accompanying document issued by the border customs authority, which includes the quantity of imported alcohol, distillates or spirits, under the manner and in the form provided in norms, is free for circulation until the customs point where the import customs operation and the drawing of samples take place, according to the provisions of par. (2). [...]
(18) The importer has the obligation to record in a special register, according to the model presented in norms, which is to be endorsed by the representative of the territorial fiscal body in whose jurisdiction he/she carries out activity, all quantities of alcohol, distillates and spirits in bulk – in litres and in degrees – by types of products and by destinations of such products.
Methodological Norms:
3. (1) The template for the an official report of sampling of the alcohol, distillates and spirits in bulk is shown in the annex no 1.
(2) The template for the free circulation of alcohol, distillates and drinks in bulk, from import, is the one shown in annex no 2.
(3) All quantities of alcohol, distillates and spirits in bulk from imports, shall be recorded in a special register, in accordance with the template shown in annex no 3.
Fiscal Code:
CHAPTER 5
Common provisions regarding control applied to production and import of alcohol, distillates and spirits
Reports regarding the manner of sale
ART. 237
(1) On a monthly basis, on or before the 15th of each month for the preceding month, authorized warehouse-keepers for production and importers of alcohol and distillates are to submit to the territorial fiscal bodies a report containing information concerning the manner that such products generate value through sale or through processing, including: the destination, the name and address of the beneficiary, the number and date of the invoice, the quantities, the unit price and the total amount, out of which, as the case may be, the amount of excises, according to the model presented in norms. [...]
(2) On a monthly basis, by the last day of the month, for the preceding month, territorial fiscal bodies are to transmit to the Ministry of Public Finance - General Directorate of Information Technology the summary report of each county regarding the manner that alcohol and distillates generate income, according to the model presented in norms.
Methodological Norms:
4. (1) The situation regarding the modality of selling the alcohol and distillates shall be elaborated by authorized warehouse-keepers and importers of such products, in accordance with the template from annex no 4.
(2) The territorial fiscal bodies shall draft on a monthly bases an overview, in accordance with the template shown in annex no 5.
5 Annexes no 1-5 are part of the present Methodological Norms for the application of the provisions of Title VIII of the Fiscal Code.
Fiscal Code:
CHAPTER 6
Special measures regarding the production, import and circulation of mineral oils
Limitations
ART. 239
Any commercial operation with mineral oils that are not derived from fiscal warehouses of production is prohibited.
Methodological Norms:
6. (1) Only the commercial operations with mineral oils whose origin may be proved as deriving from a warehouse-keeper authorized for production or importer, all along the economic circuit, are allowed.
(2) All residues of mineral oils resulting from the operation - waste, washing, cleaning, decanting, contaminations - in other locations than the fiscal warehouses for production can be sold or assigned only for processing purposes and only to a fiscal warehouse for production. The sale or assignment may occur only based on an invoice, and respectively on an accompanying endorsement certified by the territorial fiscal body in the area where the fiscal warehouse carried out its activity. The collection and processing of the oil residues can only be carried out by a fiscal warehouse for the mineral oil production. The collection of the used oils from the combustion engines, engine transmissions, turbines, compressors etc. shall be made by the authorized economic agents, and the processing of such oils shall be carried out only in the fiscal warehouses intended for the production of mineral oils.
(2^1) In case no fiscal warehouse for the production accepts the purchase or the processing of the residues of mineral oils, then the holders of such residues shall hand such products under fiscal surveillance for destruction, under the conditions provided by the relevant legislation.
(3) For the importers of mineral oils, the authorization granted in accordance with Title VII is involved when they hold the fiscal warehouses for production.
Fiscal Code:
Conditions of sale
ART. 240
(1) Non-excisable mineral oils that result from the processing of oil or other raw materials, that have an inflammable point below 85 degrees C, are to be sold directly to final users that use such products for industrial purpose. Otherwise, the authorized warehouse-keeper is to remit to the state budget the related excises, computed at the level of excises payable for leaded petrol. Wholesale traders are not included in the category of final users.
(2) It is prohibited to sell through pumps of distribution stations mineral oils, other than those in the category of liquid petroleum gas, petrol and gas oil, that do not conform to the national standards of quality.
Methodological Norms:
7. (1) End users who purchase mineral oils non-excisable based on the end user authorization that subsequently change the initial destination of the products pay excise duties calculated at the level of the excise duties for leaded petrol.
(2) The kerosene used as fuel for heating by natural persons may be purchased from distribution stations if they are provided with separate pumps for kerosene. In this situation, it is not necessary for an end user to hold any authorization.
(3) The notion industrial purpose mentioned in art. 240 par. (1) of the Fiscal Code includes the activity regarding the use of the mineral oil as raw materials for obtaining other products, that are to be found in the finite product resulted from the production process, as well as those industrial activities that are found in the Classification of the activities in the national economy - NACE, approved by Government Decision no. 656/1997, as further amended.
Fiscal Code:
CHAPTER 7
Other special measures
ART. 243 *** Abrogated
Methodological Norms:
7^1. *** Abrogated
Fiscal Code:
Delays in the payment of excises
ART. 244
A delay in the payment of excises by more than 30 days after the legal deadline results in the revocation of the authorization of the warehouse- keeper and the closing-down of activity until the payment of outstanding amounts.
Methodological Norms:
7^2. (1) Under the provisions of art. 244 of the Fiscal Code are included the tax duties due to the state budget by the fiscal warehouse-keeper after obtaining the fiscal warehouse authorization.
(2) The failure to fulfil the obligation to pay the excise duties within a maximum 5-calaendar day delay since the legal deadline shall lead to the suspension of the authorization(s) for the fiscal warehouse issued to the fiscal warehouse-keeper and the closing of the activity until the payment of the outstanding amounts.
(3) The suspension of the authorization and the closing of the activity shall produce their effects starting with the 6th day since the legal deadline of the excise duty payment.
(4) The territorial fiscal bodies have the obligation to operatively inform the commission formed within the central fiscal authority regarding the authorized warehouse-keepers in the situation provided in par. (2).
Fiscal Code:
Other measures
ART. 244^1
(1) The economic agents who wants to distribute and sell in wholesale system alcoholic beverages and tobacco products are required by March 31, 2005 to register to the territorial fiscal authority and to fulfill the following conditions:
a) to hold proper storage spaces, in ownership, rent, bailment or any other legal title;
b) to have specified in the activity object according to Classification of the activities. in the national economy - NACE, approved by Government Decision no 656/1997, as further amended, marketing activity and wholesale trading of alcoholic beverages or marketing activity and wholesale trading of tobacco products;
c) to equip himself with necessary means for discovering the false and counterfeit marks, in the case of the trading of products subject to marking according to Title VII.
(2) The alcoholic drinks delivered by economic producers to economic distributors or wholesale traders shall be accompanied also by a copy of the mark certificate of the producer, that proves that the respective mark belongs to such producer.
(3) The distributors and wholesale traders of alcoholic drinks and tobacco products are responsible for the illegal origin of the products held and they are required to verify the authenticity of the received invoices.
Methodological Norms:
7^3. (1) The economic agents distributing and trading in wholesale system alcoholic drinks and tobacco products have the obligation to declare such activity to the territorial fiscal body which they are registered with as payers of taxes, fees and contributions. The declaration shall be accompanied by copies of documents attesting the fulfilling of the conditions provided in art. 244^1 of the Fiscal Code.
(2) The economic agents that on the date of entrance into force of the present Methodological Norms distribute and trade in wholesale system alcoholic drinks and tobacco products have the obligation to declare such activity and to submit the copies of the documents attesting the fulfilling of the conditions provided in art. 244^1 of the Fiscal Code, until March 31, 2005.
(3) The economic agents shall purchase the necessary means to find the invoice and false or faked markings from the National Company "Imprimeria Naţională" - S.A.
(4) Under the provisions of art. 244^1 par. (2) of the Fiscal Code all the alcoholic drinks, respectively: beers, wines, fermented drinks - other than beer and wines -, intermediate products, alcoholic drinks form ethyl alcohol class. For the alcoholic drinks produced by the economic agents holding a trading certificate or a certificated issued by the State Office for Inventions and Trademarks the deliveries shall be accompanied by a copy of such documents.
(5) for producing alcohol drinks under a licence, the prior consent of the fiscal authority issuing the fiscal warehouse authorization shall be obtained. The activity carried out without such consent shall be considered outside the fiscal warehouse. The deliveries shall be accompanied by a legal document from which the right of the producer to use the trademark during the period of protection of the trademark shall result. The legal document may be a licence, assignment contract, written consent from the holder of the trademark or the declaration of the producer registered in Romania from which it shall result that this one produces the respective products, nominalized in the declaration, based on licence contracts.
(6) For the wines produced by economic agents, the deliveries shall be accompanied by a copy of the bulleting of the physical-chemical analysis and of the organoleptic characterises, issued by the authorized laboratories.
Fiscal Code:
CHAPTER 8
Sanctions
Criminal law violations
ART. 245
(1) The following deeds committed by the administrator, director or legal representative of the authorized warehouse-keeper or of the company are considered crimes. [...]
b) the purchase of ethyl alcohol and distillates from other suppliers than warehouse-keepers authorized for production or authorized importers of such products, according to Title VII; [...]
d) the acquisition of mineral oils derived from processing of crude oil and other raw materials from suppliers other than authorized warehouse-keepers production and importers authorized according to Title VII.
Methodological Norms:
85. Under the provisions are included the ethyl alcohol, distillates and mineral oils used as raw material to produce other products.
ANNEX 1*)
to the Methodological Norms for the application of
the provisions of Title VIII of the Fiscal Code
*) Annex no 1 is reproduced in photocopy.
OFFICIAL REPORT OF SAMPLING
No ........../.............
Concluded today, ...................,at the headquarters ..........................., date of the procedure, based on order (no and issuing body) ...................................,of taking three samples .......................... in total weight of (or total net volume) ............ kg (l) of lot .................. with invoice no. .................... .
The three samples have the following destination:
a) a sample is intended for the laboratory, for the purpose of issuing the expertise certificate;
b) a sample is intended for the authorized warehouse-keeper/importer and a minutes shall be presented;
c) a sample is indented for the customs office where customs clearance is made.
The samples were taken in accordance with regulations in force in Romania, namely: .....................................................................
The samples were packaged, labelled and sealed with the seal (seals) no ............................... .
The present minutes was drafted in 4 copies, one for each signing party.
______________________________________________________________________________
| Signing party | Name and first name | Delegation or | Signature |
| | | Power of attorney | |
|___________________________|_____________________|________________|___________|
| Representative | | | |
| of the authorized |
| warehouse-keeper/importer | | | |
|___________________________|_____________________|________________|___________|
| The proxy | | | |
| of the agreed laboratory | | | |
|___________________________|_____________________|________________|___________|
| Customs authority | | | |
|___________________________|_____________________|________________|___________|
| The delegate of the Office for| | | |
| the Consumer's Protection | | | |
|___________________________|_____________________|________________|___________|
ANNEX 2*)
to the Methodological Norms for the application of
the provisions of Title VIII of the Fiscal Code
*) Annex no 2 is reproduced in photocopy.
National Customs Authority
The customs office ..................
DOCUMENT
the free movement of alcohol, distillates and drinks in bulk from import
The name of the authorized warehouse-keeper/importer ......................
Sole registration code .............................................
Address .................................................
The date of entry into customs ..............................................
External supplier and country of origin ..................................
The number and date of the external invoice..........................................
Name products and alcoholic concentration expressed as a percentages of volume ........................................
Imported quantity ................................................
Destination .................................................
The management of the customs office,
.............................
Date ................
ANNEX 3*)
to the Methodological Norms for the application of
the provisions of Title VIII of the Fiscal Code
*) Annex no 3 is reproduced in photocopy.
Figure 23 - Register on the imports of alcohol, distillates and spirits in bulk and their destinations - can be found in the Official Gazette of Romania, Part I, no 112 of February 6, 2004, at page 137.
The name of the authorized warehouse-keeper/importer ......................
Sole registration code ...............................
Headquarters ................................................
REGISTER
on the imports of alcohol, distillates and spirits in bulk and their destinations
______________________________________________________________________________
| Imports | Modality of |
| | fructification |
|___________________________________________________________|__________________|
|No |D.V.I. |Type |Quantity |Value |Document |Quantities |
|no|(number |of the product|(litres |excise duties |of payment |used in |
| |and date)| |pure alcohol)|(lei) |of excise duties |own production |
| | | | | | |(litres of pure alcohol)|
|____|________|__________|___________|__________|___________|__________________|
| 0 | 1 | 2 | 3 | 4 | 5 | 6 |
|____|________|__________|___________|__________|___________|__________________|
| | | | | | | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
|____|________|__________|___________|__________|___________|__________________|
The manager of the authorized warehouse-keeper/importer ......................
.......................................................
ANNEX 4*)
to the Methodological Norms for the application of
the provisions of Title VIII of the Fiscal Code
*) Annex no 4 is reproduced in photocopy.
Figure 24 - The situation on the modality of fructification of the of alcohol/distillates - is found in the Official Gazette of Romania, Part I, no 112 of February 6, 2004, at page 138.
The name of the authorized warehouse-keeper/importer ......................
Sole registration code ...............................
Headquarters ................................................
SITUATION
on the modality of fructification of the alcohol/distillates on month ............... year .............
A - processed
B - sold in suspensive regime
C - sold outside the suspensive regime
D - The name of the beneficiary
E - Quantities delivered / processed - litres pure alcohol --
______________________________________________________________________________
| Invoice/ |Quantity |D |Sole registration |Authorization |Price|Value|Excise duty |
| Certificate | - liters | |code |by | |unit|- lei - |- lei -|
| | alcohol | |of the |warehouse | |- lei/| | |
| | pure - | |beneficiary|fiscal | |MU - | | |
|__________|__________| | |___________| | | | |
|number|date| A| B | C | | |number |date| | | | |
|_____|____|__|___|___|__|______________|______|____|__|______|________|_______|
| 0 | 1 | 2| 3 | 4 | 5| 6 | 7 | 8 | 9| 10 | 11 | 12 |
|_____|____|__|___|___|__|______________|______|____|__|______|________|_______|
| | | | | | | | | | | | | |
|_____|____|__|___|___|__|______________|______|____|__|______|________|_______|
| | | | | | | | | | | | | |
|_____|____|__|___|___|__|______________|______|____|__|______|________|_______|
| | | | | | | | | | | | | |
|_____|____|__|___|___|__|______________|______|____|__|______|________|_______|
|TOTAL| x | | | | x| x | x | x | | x | | |
|_____|____|__|___|___|__|______________|______|____|__|______|________|_______|
The manager of the authorized warehouse-keeper/importer ......................
.......................................................
ANNEX 5*)
to the Methodological Norms for the application of
the provisions of Title VIII of the Fiscal Code
*) Annex no 5 is reproduced in photocopy.
Figure 25 - The situation on the modality of fructification of the of alcohol/distillates - is found in the Official Gazette of Romania, Part I, no 112 of February 6, 2004, at page 139.
Territorial Fiscal Authority
OVERVIEW SITUATIONS
on the modality of fructification of the alcohol / distillates month ............... year ...............
______________________________________________________________________________
|No|Name | Quantity |Value| Excise duty|
||of the warehouse-keeper| - liter pure alcohol - |- lei - |- lei -|
| |auhtorized/ |________________________________________| | |
| |importer |realized|processed|sold |sold | | |
| | | | |in suspensive |outside | | |
| | | | |regime|in suspensive| | |
| | | | | |regime| | |
|___|________________|_________|__________|_________|_________|________|_______|
| 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|___|________________|_________|__________|_________|_________|________|_______|
| | | | | | | | |
|___|________________|_________|__________|_________|_________|________|_______|
| | | | | | | | |
|___|________________|_________|__________|_________|_________|________|_______|
| | | | | | | | |
|___|________________|_________|__________|_________|_________|________|_______|
| | TOTAL | | | | | | |
|___|________________|_________|__________|_________|_________|________|_______|
The Head of the territorial fiscal authority,
...............................................
Date ...................