Electronic invoices mandatory from 2024: Romania expands RO e-Factura system
Beginning 01.01.2024, Romania will introduce mandatory electronic invoicing in the B2B sector. The national system "RO e-Factura" must be used for all transactions with the place of supply in Romania. All companies active in Romania must prepare for this.
NEWSFLASH - Extensive new obligations for employers to combat harassment at the workplace
On 17.10.2023, Government Decision no. 970/2023 (in short: "GD") on the Methodology for Preventing and Combating Gender-based and Moral Harassment at the Workplace (in short: "Methodology") was published in the Official Gazette of Romania. All employers in Romania must implement it by 16.04.2024.
NEWSFLASH - Extensive new obligations for employers
NEWSFLASH Employers must introduce new measures against harassment at work On October 17th, 2023, the Methodology for Preventing and Combating Gender and Moral Harassment at the Workplace was published. All Romanian employers must implement it by 16. April 2024. The methodology contains a sample guide on preventing and combating harassment at work, as well as a series of obligations for the employer, which must be fulfilled in a short term. Key obligations for every employer: Creating its own guidelines for preventing and combating harassment at work, adapted to the specific situation of the employer; Introduction of an internal procedure for promotion, including for decision-making positions, which ensures equal opportunities and equal treatment; Annual training of employees on the provisions of the Methodology; Inclusion of the provisions of Emergency Ordinance No. 137/2000 on the prevention and sanctioning of all forms of discrimination and Law no. 202/2002 on equal opportunities and equal treatment of women and men in the internal regulations; and others. Sanctions Employer’s failure to prevent and combat harassment at work may trigger substantial fines ranging between 30,000 RON (EUR 6,000) and 200,000 RON (i.e. approx. EUR 40,000). Further details on this topic are available in our current publication under the following link: here. In case of questions, do not hesitate to contact us. Kind regards, THE STALFORT Legal. Tax. Audit. – Team
Banking transactions increasingly difficult due to bureaucratic hurdles
Foreign investors are often surprised by the inflexible and bureaucratic attitude of Romanian banks. They require their (prospective) customers to submit a number of forms and information on the beneficial owners (beneficiarii reali) both when opening an account and at regular intervals thereafter. If these are not submitted or not submitted in the required form, the account opening is quickly refused or even blocked - even if the customer has been working with the bank or credit institutions of the same group abroad for many years.
NEWSFLASH - Extensive New Fiscal Measures Package in Romania
On 27.10.2023, Romania has introduced a comprehensive set of tax measures in order to ensure its long-term financial sustainability. Key takeaways: Introduction of minimum or additional turnover tax for CIT payers with quarterly payment starting 2024: 1% minimum turnover tax (MTT) compared to Corporate Income Tax (CIT) for companies with a turnover over EUR 50Mil. 2% in addition to CIT for credit institutions and 5% in addition to CIT for energy companies to be established by the Ministry of Finance with a turnover over EUR 50Mil.
German-Romanian Business Conference in Berlin with STALFORT Legal. Tax. Audit. speaker at 28-29 September
German-Romanian Business Conference in Berlin with STALFORT Legal. Tax. Audit. speaker at 28-29 September STALFORT Legal. Tax. Audit. is pleased to announce our active participation in a premium German- Romanian Business Conference on 28 and 29.September in Berlin. Romania’s potential in the region is a well-known fact, which is currently boosted by the new geopolitical context. This business conference for the promotion of Romania as solid investment location aims to address the opportunities and cooperation areas that Romania has to offer, to strengthen economic and political partnerships and to increase German activities in Romania and the Republic of Moldova. During the first conference day, Romania will be looked at through the lens of its industrial capacity, including the innovation and digitization sector. Investors searching for new opportunities are attracted by the accelerated nearshoring trend, by the constantly improving infrastructure – transportation as well as digital -, backed up by the NATO and EU memberships. In this context, Christian Weident will lead a panel discussion on nearshoring and R&D in Romania. The second day will bring to the fore Romania’s competitiveness in terms of sustainable energy, energy production and food supply. Considering that both Romania and Moldova are major players in the agricultural sector, with high potential in the “Farm to Fork” segment, and that both hold an expanding portfolio of new energy projects, these areas allow for new cooperation and possibilities. This event offers a great platform for dialogue between the business environment and high-ranking Government representatives, while strengthening bilateral relations and creating new partnership opportunities. Around 300 guests from Germany, Romania and Moldova are expected, representing the business community as well as central and local public authorities. We would be delighted to meet you at the conference in Berlin. Please use this link to register. More details about the German-Romanian Business Conference are available here.
Update regarding the Romanian VAT rates
VAT consistently represents one of the largest sources of government revenue. In 2022, the 22 EU member states that belong to the OECD had an average standard VAT rate of 21.8%[1]. This tax is thus one of the main macroeconomic tools available to the government to adjust budget revenues. In the near future there will be a lot of discussion about changes in VAT rates. [1] https://www.oecd.org/tax/tax-policy/tax-database-update-note.pdf
Corporate tax consolidation through fiscal unities
The Romanian Tax Code provides the possibility for certain companies to form fiscal unities, which file a joint corporate income tax return. The essential feature of these fiscal unities is that the tax results of their members are added together. If the overall tax result is positive, it is taxed; a negative overall result is carried forward at a later date.
Supreme Court of Justice decides on grounds for contesting a tax administrative act
The Romanian Law No. 554/2004 on Administrative Procedure (hereinafter referred to as the Administrative Procedure Law APL) regulates the appeal against administrative acts, decisions and resolutions issued by Romanian authorities, including the Central Tax Administration ANAF.
Changes regarding the use of rental vehicles in road transport of goods
On 25th May, 2023 the Law No. 124/ 2023, which amends and supplements the regulations concerning road transport of goods, entered into force.