• Tax Flash no. 51
Article:

Tax Flash no. 51

02 April 2021

In the Official Gazette no. 315 of March 29th, 2021, GEO 19/2021 was published regarding some fiscal measures, as well as for the amendment of some normative acts in the fiscal field. We present below the most important aspects:

  • Specific tax

In the context of maintaining the restrictions generated by the Covid-19 pandemic, the taxpayers who fall under the incidence of Law no. 170/2016 regarding the specific tax of some activities will be exempted from the payment of the specific tax for 2021, for a period of 90 days calculated starting with April 1, 2021. We mention that the suspension of the tax payment was in force also for the first quarter of 2021.

  • The facilities related to early education are suspended

The fiscal facilities regarding the deduction from the due corporate income tax (or from the due income tax, from the due VAT or from the due excise duties) of the amounts representing expenses with the early education of the employees' children are suspended between 01.04.2021 - 31.12.2021.

Also, starting with the income of April, the provisions related to the exemption from income tax and social contributions of the amounts representing payments made by the employer for the early education of the employees' children are suspended.

During the suspension of the fiscal facilities for the early education of the employees' children (i.e. 01.04.2021 - 31.12.2021), the expenses for the proper functioning of the nurseries and kindergartens managed by the taxpayers are considered social expenses with limited deductibility (5% of the value of staff salary expenses).

  • VAT

Regarding VAT, the main changes concerned the following aspects:

  • Are not included in the VAT return the amounts representing cumulated payable VAT with which the fiscal body registered to the list of creditors.
  • It is clarified that the intra-community operations carried out by taxable persons from Romania with taxable persons from the United Kingdom of Great Britain and Northern Ireland should not be included in the recapitulative statement, except the intra-community operations involving transports of goods to / from Northern Ireland.
  • The deadline for VAT refund with subsequent control is extended until January 31, 2022. The previous deadline was March 31, 2021.
  • Extension of the restructuring of fiscal obligations (GO no. 6/2019)

The deadline for submitting the notification on the intention to restructure the budgetary obligations is extended until 30 September 2021 and the request for restructuring until 31 January 2022.

Clarifications are also provided for debtors who submit the notification on the intention to restructure budgetary obligations until the date of entry into force of GEO 19/2021 (29.03.2021), but do not submit the request for restructuring until June 30, 2021, and for those who submit the notification after the date of entry into force of GEO 19/2021, but do not submit the request for restructuring within 6 months from the date of submission of the notification (if the period of 6 months expires after January 31, 2022, the application must be submitted by on this date).

  • Cancellation of late payment fees (GEO no. 69/2020)

The deadline for submitting the request for cancellation of the late payments fees related to the outstanding main budgetary obligations on 31 March 2020 has been extended until 31 January 2022 (previously the deadline was 31 March 2021).

It is possible to cancel the ancillary obligations related to the main budgetary obligations with maturities prior to March 31, 2020 individualized in taxation decisions issued as a result of a tax inspection ongoing on the date of entry into force of this Ordinance (March 29, 2021) or started after the date of entry into force of this Ordinance, but not later than January 31, 2022, regardless of the time when the tax inspection is completed. In this case, the request for cancellation of the accessories is submitted until January 31, 2022 inclusive, respectively within 90 days from the communication of the taxation decision if the deadline of 90 days is fulfilled after January 31, 2022 inclusive.

Clarifications are also provided regarding the cancellation of the ancillary obligations in the case of debtors who benefit from payment rescheduling, as well as those who on 31 January 2022 inclusive will have outstanding claims for which the tax authorities reject all or part of the repayment.

  • Rescheduling procedure of payments of budgetary obligations in simplified form (GEO 181/2020)

Is extended the deadline for submitting the application for the simplified rescheduling procedure provided by GEO no. 181/2020, until September 30, 2021.