Legislative News in November 2012

LEGISLATIVE NEWS IN NOVEMBER 2012

Important legal regulations for the business environment in Romania were published in the Official Gazette, Part I during the month of NOVEMBER 2012 such as:

I. Order no. 1519/2012 of 11.19.2012 Order approving the Guidelines on the application of VAT to the collection, published in the Official Gazette, Part I no. 792 of 26/11/2012.

The Act shall come into force on 1 January 2013.

Issues regulated by tax laws

To provide a comprehensive application required by taxpayers of the VAT collection system, this guide brings together the legal provisions of Law no. 571/2003 regarding the Fiscal Code, as amended and supplemented (the Tax code), of the Methodological Norms for applying Law no. 571/2003 regarding the Fiscal Code, approved by Government Decision no. 44/2004, as amended and supplemented (norms) of Government Ordinance no. 15/2012 amending and supplementing Law no. 571/2003 regarding the Fiscal Code, approved by Law no. 208/2012 (Government Ordinance no. 15/2012) and the orders of the President of the National Agency for Fiscal Administration (NAFA).

In 2013, the taxable person who has established its business in Romania according to art. 1251 par. (2) lit. a) of Law no. 571/2003 regarding the Fiscal Code, as amended and supplemented, whose turnover for the period 1 October 2011 to 30 September 2012 inclusive, determined according to the elements in art. 1342 par. (3). a) of Law no. 571/2003, as amended and supplemented, shall not exceed the ceiling of 2,250,000 lei applies the VAT collection system provided by art. 1342 par. (3) of Law no. 571/2003, as amended and supplemented, as of January 1, 2013.

In order to apply the above provisions apply to taxable person VAT collection system as of January 1, 2013 is required to submit to tax authorities, up to 25 October 2012 inclusive, a notification showing that turnover made between 1 October 2011-30 September 2012 including ceiling does not exceed £ 2,250,000. Provisions of Art. 1342 par. (3). b), para. (4) - (8), para. (10) and (11), and art. 1563 par. (12) of Law no. 571/2003, as amended and supplemented, shall apply accordingly by those persons. In case the taxpayer fails to submit notification referred to in the first sentence, it will be recorded in the office of the competent tax authorities Register taxable persons apply VAT collection system, provided by art. 1563 par. (13) of Law no. 571/2003, with subsequent amendments, until 1 January 2013 and will apply VAT collection system as of January 1, 2013.

II. Order no. 1768/2012 of 11.16.2012, approving the form and content of forms used for cancellation of VAT registration, for application of the exemption provided in art. 152 of the Fiscal Code, published in the Official Gazette, Part I no. 795 of 27/11/2012

The Act came into force on 27 November 2012.

According to the Order, approved of the form (096) "Statement on VAT deregistration, for application of the exemption provided in art. 152 of the tax code", code 14.13.01.10.12, provided in Appendix no. 1.

Instructions for completing the form mentioned above are provided in Appendix. 2 of the Order.

Tax authorities canceled the registration for VAT taxable persons who have registered for VAT from 1 January to 30 June 2012 and seeking out the obvious persons registered for VAT purposes according to art. II, paragraph (1) e) of Government Emergency Ordinance no. 24/2012, if those persons were registered for VAT as a result of exceeding the exemption threshold.