EU funding in Romania - Practical tips
Romania can use almost 100 billion euros in EU funding between 2021 and 2030 and has often been described as a "funding paradise". This may sound tempting, but the reality is somewhat less enticing. After all, the money is there, and Romania has learned to make use of almost all the funding available since joining the EU. But getting there is not easy - hence a brief overview of which EU subsidies are currently available to companies and will be in the near future, and what to look out for when submitting an application and handling a project.
EU Digital Service Act on the internal market for digital services - regulation in Romania
The services of the information society determine everyday life in the European Union, but also entail considerable risks and challenges. The EU Regulation 2022/2065 on a Single Market for Digital Services (Digital Service Act, "DSA") was therefore published on 27 October 2022. Its purpose is to establish standardized regulations for dealing with illegal content, online disinformation or other social risks and thus a "safe, predictable and trustworthy online environment". The DSA sets rules for "any service normally provided for remuneration at a distance and on behalf of an individual user", in particular for digital intermediary services consisting of the "mere conduit" of information, its "caching" and "hosting", as the use of these services is increasing exponentially. This applies in particular to social media, remote IT services and transport, accommodation and delivery services.
Electronic signature - necessity and obligation
The year 2023 brought one of the most significant changes in the relationship between companies and public authorities. As of July 4, 2023, public authorities are now obliged to accept documents issued by public or private legal entities in electronic format and with an electronic signature. The need to make working relationships more flexible during the Covid pandemic and the adaptation of these relationships to current circumstances has meant that this event has now become a normality.
The annual one-off tax return for private individuals and freelancers due in 2024
The ANAF recently published on its website[1] a brochure on the one-off tax return - Form 212 - on income tax and social security contributions owed by private individuals - an important and relevant change for many people. [1] https://static.anaf.ro/static/10/Anaf/AsistentaContribuabili_r/Despre_DU_2024.pdf
Contracts with companies undergoing insolvency proceedings
Insolvency proceedings usually have a significant impact on a company's activities. For example, there are statutory changes to the company's decision-making procedures, or a new managing director must be appointed (the so-called special administrator, who acts separately from the insolvency administrator), or certain activities require the consent of the insolvent company's creditors. So what does insolvency mean for a company's current and new contracts?
Household services - flexibilisation or increased administrative burden?
Since 1 January 2024, Law 111/2022 has regulated the performance of activities by natural persons in households. These are remunerated with tax-privileged vouchers for household activities (tichete de activităţi casnice).
E-transport and e-seal - new transport monitoring systems in Romania
Important innovations have been introduced in the area of state monitoring of the Romanian transport system due to European regulations. It is becoming important for the legislator to monitor goods (especially those with high tax and customs risks) on their domestic or intra-Community transport routes. To this end, the means used are becoming increasingly modern and complicated.
Direct investments from the EU also under the microscope of the CEISD
Since December 6 of last year, certain direct investments from EU countries with a value of more than EUR 2 million in Romania must be registered respectively approved before the investment begins. Planned direct investments in the following areas of activity are affected by this:
NEWSFLASH - New regulations for reviewing investments from the EU in Romania
Starting from December 6, 2023, (also) investors from the EU are explicitly required to register direct investments in Romania and are prohibited from executing them prior to obtaining approval, if the investment
Tax news due to the Emergency Ordinance no. 115/2023
In October 2023, the Romanian government took responsibility in parliament for a law that made significant changes to the tax code. Thus, Law no. 296 of October 26, 2023 was published in the Official Gazette no. 977 of October 27, 2023 on some fiscal and budgetary measures to ensure Romania's long-term financial sustainability. Apparently, these amendments were not sufficient, so that Emergency Ordinance ("EO") No. 115 of December 14, 2023, regarding certain fiscal and budgetary measures to consolidate taxes and combat tax evasion, was published in Official Gazette No. 1139 of December 15, 2023. The following lines summarize the important practical changes for companies that pay corporate income tax or micro-enterprise tax.