Finance News by Mazars Romania - April 2022

Thu | 28.04.2022

Accounting/audit/tax

Finance News by Mazars Romania - April 2022

C-suite ready to respond to trends and transformations ahead according to Mazars 2021 C-suite barometer

At the end of 2021, more than 1.000 C-suite leaders, from all over the world, have shared a sense of confidence and resilience: qualities businesses need today more than ever.

Main conclusions:

Businesses say transformations in technology (68%) and sustainability strategies (62%) are most likely to happen.
ESG is firmly on the C-suite agenda: three quarters plan to boost investment in sustainability initiatives and most have made public commitments on a range of ESG topics.
But research at a global level suggests a gap between intent and action.
96% of Romanian businesses are expecting transformation in new services/markets, while 92% are looking forward to technology transformation.
74% of C-suites in Romania are currently focusing on each ESG factor.

ESG is here to stay

ESG (environmental, social, and governance) factors represent critical challenges for both boards and executive teams. In Romania, more than half of C-suite leaders (52%) mentioned that employee expectations are the top driver to invest in ESG, while at the global level, brand/reputation tops the list of reasons, closely followed by client/customer expectations.

„The scarce labour and the emigration of our talent, have had a strong impact on leaders’ focus on people. The Romanian leaders wish to concentrate on all areas of ESG, but the question is how will they establish the main priorities. I think this is the best time for Romania to turn a challenge into an opportunity, eventually by proving the openness towards an effective collaboration to meet the targets. Catching up and closing the gap between this country and the rest of Europe will incumbent smart choices and determination to get the most important done.”, mentioned Dino Ebneter, Country Managing Partner, Mazars Romania.

Read more info HERE.

Corporate income tax and microenterprise tax discounts between 2% and 15%

Mazars would like to inform you of the legislative provisions included in the Emergency Ordinance no. 153/2020, which allows taxpayers to benefit from discounts between 2% and 15%, depending on the net asset position as reflected in the annual financial statements.

The discount is applicable to the annual corporate income tax/microenterprise tax due, subject to the fulfilment of the following conditions related to the net asset position:

The net assets are positive;
The adjusted net asset position increases on an annual basis with a minimum percentage.

Read more info HERE.

Latest tax alerts, by Mazars

Mazars’ professionals are constantly preparing materials to help you stay up to date with the latest legislative measures.

RO e-Transport system

Emergency Ordinance no. 41/2022 for the establishment of the National System RO e-Transport for monitoring road transport of goods having high fiscal risk was published in the Official Gazette no. 356 dated 11.04.2022.

The Ministry of Finance continues the fight against fraud and tax evasion by implementing the RO eTransport system which is, in fact, an extension of the Traffic Control system.

Main features of the RO e-Transport system:

Transports of goods having high fiscal risk are identified by a unique code generated by the RO e-Transport System, known as the UIT code.
The reporting obligation in the RO e-Transport system lies with:

the consignee mentioned in the customs import declaration, in case of imports;
the consignor mentioned in the customs export declaration, in case of exports;
the Romanian beneficiary, in case of intra-Community acquisitions of goods;
the supplier from Romania, in case of local or intra-Community deliveries of goods;
the warehouse keeper, in case of goods in transit on Romanian territory.

For obtaining the UIT code, the data related to the high fiscal risk goods are declared in the RO eTransport System with a maximum of 3 calendar days before the date of commencement of the transport.

Extension of the deadline for import duty exemption and VAT exoneration on imports of goods needed to overcome the effects of COVID-19

The Order of the Minister of Finance No. 340 implementing Commission Decision (EU) 2021/2.313 of 22 December 2021 on import duty exemption and VAT exoneration for goods needed to combat the effects of the COVID-19 epidemic during 2022 has been published in the Official Gazette No. 324 on 1 April 2022.

The main provisions:

The main categories of persons who can benefit from such exemptions and exonerations are charitable / philanthropic organisations authorised by the National Tax Administration Agency, subject to authorisation.
Criteria to be met by applicants:

To be a charitable/philanthropic organization;
Not to have outstanding tax liabilities administered by the National Tax Administration Agency at the date of application;
To declare that it meets the other conditions laid down in Decision 2021/2.313 for the application of the exemption.

The authorization shall be submitted in original to the Romanian Customs Authority, which will mention on the verso the number of the customs document, and will keep a copy accordingly.

Read more info HERE.

Fiscal amnesty & daily allowance reclassification. What is the impact on tax inspections and on the labor legislation in Romania?

The amnesty law, published at the end of March, came with a tax amnesty for the reclassifications operated by ANAF in the last 7 years, but also with new fiscal procedures regarding the daily allowances inspection.

Mazars’ experts can offer you more info regarding:

Granting daily allowances and compensations - the specific conditions and situations from the perspective of labor legislation and payroll;
General conditions regarding the tax treatment applicable to the daily allowance and compensations - what relevance do they have for cross-border structures?;
The approach to tax inspections and the impact of legislative changes in 2022. Procedural coordinates.

Read more info HERE.

This article is provided by our Finance Partner, MAZARS Romania

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