23.5 VAT return (Art. 1562) Every person registered for VAT purposes shall provide the relevant Fiscal Authority with @ VAT return for every fiscal period by not later than the 25° day of the month folowing the relevant fiscal perio. The tax return shall contain: ‘© The amount of collected (output) tax for which chargeabilty of tax occurs during the fiscal period * The deductible (input) tax for which the right to deduct occurs during the fiscal period ‘+ The amount of output tax which was not recorded in the retum of the fiscal period when the chargeabilty occurred (correction of prior periods). ‘© The input tax which was not recorded in the return of the fiscal period when the chargeabity ‘occurred (conection of prior periods). © Onthe VAT return should be written also: ‘© The outstanding output VAT (for invoices issued but not cashes - when cash accounting scheme apply) * The outstanding input VAT (for invoices received (from supoliers applying cash accounting ‘scheme or by clients applying cash accounting scheme) but not paid) ‘The information written in one VAT retum may be corrected in a subsequent VAT retum (as corrections) 236 VAT special return (art 156°) The VAT special return is a declaration designed especially for persons not registered through normal registration for: * _ ICAs of taxable goods — for persons registered for VAT for ICA purposes, * _ICAs of new means of transport or excise products - no matter ifthe person should register for ICA, purposes or not ‘+ For acquisitions of services from suppliers not established and not registered in Romania ‘The VAT special retum has to be submitted by 25 ofthe month following month of chargeabilty of transaction, For the ICA of means of transport the VAT special retum has to be submitted before registration of the means of ‘transport but no later than 25 of the months following the chargeabilty moment Nole: Unless otherwise specified, al references inthis course notes material are from the Fiscal Code as at 30 ‘September 2012. 2887 Other declarations (art 156°) ‘Special declarations are to be submitted by entities which are not registered for VAT purposes: ition Special declaration required Deadlines registered companies, with | - total value of DG/SS to entities normal registered | Before 25" of below 65,000 Euro (@ EU | for VAT andthe amount of related tax February next year sion rate) + total value of DGISS to entities not normal registered for VAT and the amount of related tax registered entity with | - same as above plus Jess than 65,000 Euro (@ rate) excluding | - total value and related tax of acquisitions from from intemational | normal registered entities lf persons ~ total value of acquisitions from entities not Normal registered for VAT registered entities | - total income obtained from the sale of tickets for | Before 25" of ‘ntemational transport | the international transport of persons, having its | February next year departure from Romania Being simple import | Submit import declaration for VAT and excise to | By the chargeabilty isation custom offices ‘moment of a transfer of | Submit 2 declaration with the amounts resulted | By 25% of the month registered) from all resulted VAT adjustments following the transfer Geredistered during | Declaration with the amounts resulted from the | By 25" of the id not adjust the | VAT adjustment related to de-registration following month in their last VAT Declaration with tax to be paid (for each month in | By 25" of the which they collected tax) following month Declaration withthe tumover realised in the year | By 25 January next ‘sear have to switch | Declaration with the turnover realised By 25% of the month scheme following the fiscal Period in which the limit was exceeded ‘Specie, all references inthis course notes material are from the Fiscal Code as at 30 28923.8 Recapitulative statements (Art. 1564) Every taxable person registered for VAT purposes (with normal registration or for ICA purposes) shall submit the relevant Fiscal Authority, by no later than the 25° day of the following month, a summary statement regard the following intra-community transactions: = _Intra-Commurity deliveries of goods to taxable persons + __Intra-community supplies of services on 2 B2B relation ifthe transaction is not exempt in the cl state (or Romania) + Intra-communty acquisitions of goods ~ _Intra4communty acquisition of services on a B28 relation ifthe Romanian client has to colt the tax ‘The only intra-community transactions, on a B2B relation, which do not have to be included in the VAT ‘ecapitulatve statements are the supples/acqusions of services considered exceptions from both B2B and B2C. ‘ules for establishment of transaction place (Norms to art. 133 (4)).. The recapitulatve statements must be submitted for the curent month only if there are transactions to be reported with chargeabilty moment in the current month If the taxpayer fail to submit the recapitulative statement in due time, it will ‘support a fine of 1,000 - 5,000 Lei {f the submitted recapitulative statement has errors or is incomplete and this errors/missing information are not Tevised in the due time for submiting the recepituatve statement, or if ths erors are due to an independent ‘reason, the taxpayer will support a fine of 500 - 1,500 Lei. If the fine is paid in 48 hours it will be reduced with 50%. 23.9 The register of intra-community operators (art 1582) ‘The register of intra-community operators is enforced since 1% August 2011 ‘This register has to include all taxable persons and all non-taxable legal entities performing intra-community transactions ‘All above persons have to formally request their registration in the register of intra-community operators before ‘any intra-community transaction ‘The registration is formally approved / denied in 10 days, The registration may not be approved for entities which are not registered for VAT (normally or othenwise) orto entities who's administrators/shareholders are condemned persons The VAT code of entities which are not registered in the register of intra-community operators is not valid for intra-community transactions even if these entities are registered for VAT The registration is cancelled if ‘) The entity becomes inactive tax payer b) The entities which in the year following to registration did not perform any intra-community transaction Note: Unless otherwise specified, al references inthis course notes material ae ftom the Fiscal Code as at 0 Seplember 2012. 290©) The entities which are requesting to not be registered anymore 4d) The entties who's administrators/shareholders become condemned persons taxable persons which are not recorded in the register of intra-community operators have not a valid VAT ‘or intra-community transactions even if their VAT code is valid fo local transactions. to registers fined with 1,000 ~ 5,000 Lei VAT payment (Art. 157) 'S requited to pay the tax due to the Fiscal Authority, by the date this person is required to submit ‘f2tum or the VAT special retum (ie. quarterlylmonthly by 25° ofthe next month). the VAT should be paid at the custom offices when custom formalities ar fufled, except forthe who have certficate to postpone. Those person will collect the VAT due by the VAT return ‘Comection of errors (Art. 159) 1 invoices or other assimilated documents the invoice was not issued, itis cancelled and a new invoice would be issued instead the invoice was sent tothe beneficiary, there are 2 options: 2 new invoice should be issued with the information from the frst but with the values with minus and the corrected values 2. anew invoice is issued to cancel the wrong one and a second correct invoice wil be issued measures St=r9° mechanism applies when beneficiary of a DGISS should collect VAT (the supplier being invoice without VAT), ‘© imports of services or to intr-community acquisitions of goods/servces by taxable ing measures i allowing the application of reverse cherge mechanism when both partners of a normal registered for VAT purposes in Romania forthe following transactions: of recyclable wastes (Ferrous and non-ferrous materials) of special type recyclable wastes (metals, paper, fabri, plastic, glass) ‘of above materials after processing, ‘of wood and similar invoice, the beneficiary will have to collect the tax sm their VAT return as collected tax and also as deductible, ‘specified, all references inthis course notes material are from the Fiscal Code as at 30 291‘SUMMARY VAT (Title VI) WHAT Taxable transactions (art 126), sale (art 128) or supply (art 129) Inre-communiy oauston (an 1208) Impor (art 131) Exemptions (chapter IX) For intral sale and supply (at 141) For inta-commurity aoqusitons (at 142) (Other (at 143 and 144) WHO Taxable persons (chapter Il and art 150) Special exemption (micro-enterpises (art 152) WHERE Deemed in Romania (art 132 and 133) WHEN CHARGEABLE ‘tthe generating evert/payment90 days (chapter VI art 134 and 136) WHEN DEDUCTIBLE At chargeabilty moment or at payment date (at 145) BASE OF TAXATION Taxable value (chapter Vil) and regime of deduction (chapter X) RATE 24%h or 9% oF 5% (chapter Vl) DOCUMENTATION Registration Chapter Xil, art. 153, 153M Documents used A 155 Recording of transactions At 156 Declarations ‘At 1562 2286 Correction of errors At 159 PAYMENT At 157 Note: Unless otherwise specified, all references in this course notes material are fom the Fiscal Cade as at 30 September 2012 292No VAT is applicable for the transfer of business WAT applies to factoring and debt collection activities The invoicing deadine is up tothe 15® day ofthe month following that in which the supply was made VAT rules apply for construction work and forthe sale of real estate ‘canbe refunded for EU and non-EU businesses. 'spectied, al references inthis course notes material are from the Fiscal Code as at 30 293