Fiscal subject related
Some of the main changes are:
- The VAT rate for foods with added sugar, whose total sugar content is at least 10g/100g product, will increase from 9% to 19%, except for cake and biscuits, which will remain at 9%.
- The VAT rate for the delivery of housing as part of social policy, including the land on which it is built, will increase from 5% to 9%, with some conditions and limitations.
- The VAT rate for the supply and installation of photovoltaic panels, solar thermal panels, heat pumps, and other high-efficiency, low-emission heating systems, as well as the delivery and installation of components for the repair and/or extension of these systems, will increase from 5% to 9% for both individuals and legal entities, with some requirements and declarations.
- The VAT rate for the services consisting of allowing access to sporting events, cinemas, cultural events, amusement parks, recreational parks, fairs, and exhibitions will increase from 5% to 9%, except for those that are exempted from tax.
- The VAT rate for the right to use sports facilities to practice sports and physical education will increase from 5% to 19%, except for those that are exempted from tax.
- The VAT rate for the transport of passengers by trains, historic steam-powered vehicles, cable transport installations, vehicles with animal traction, and boats for tourism or leisure purposes will increase from 5% to 19%.
- The VAT rate for the delivery of high-quality food, namely mountain, eco, and traditional products, authorized by the Ministry of Agriculture and Rural Development, will increase from 5% to 19%.
- The VAT exemption will apply only to the services of construction, rehabilitation, and modernization of hospital units provided to non-profit entities registered in the Public Register organized by ANAF if they are destined for hospital units owned and operated by the non-profit entity or those in the state public network.
- The VAT exemption will apply only to the supplies of medical equipment, devices, items, accessories, protective equipment, materials, and consumables for sanitary use, normally intended for use in health care or for use by disabled people, goods essential for compensating and overcoming disabilities, as well as adaptation, repair, rental, and leasing of such goods, made to non-profit entities registered in the Public Register organized by ANAF.
These changes will have an impact on the retail sector, as they will require the adjustment of prices because of the VAT changes.
Other news from Romania
What is considered a simplified invoice in Romania, and is it required to transmit them into the e-invoicing system?
The taxable person who has the obligation to issue invoices, as well as the taxable person who chooses to issue the invoice according to the law, may issue a simplified invoice in Romania when the value of the invoices, including VAT, is not more than 100 euros. Read more
Fines and sanctions are applicable for vending machines without an electronic cash register element from October 2024. in Romania
Companies in scope risk penalties beginning from October 1, 2024, if they fail to set up electronic cash registers in their food and beverage vending machines in Romania. If they don't comply, what penalties could they face is defined by the ANAF as the Romanian Tax Authorities. Read more
ANAF has published an official Guide concerning the implementation of DAC7 in Romania
ANAF has recently published the Guide to Directive 2011/16/EU on Administrative Cooperation in the Field of Taxation (DAC7) providing important insights into the legal framework surrounding tax transparency in Romania. This guide focuses on the obligations of digital platform operators in Romania, aligning with the DAC7 directive to enhance cross-border tax cooperation and reporting. It addresses requirements for platform operators to report income earned by sellers, including individuals and businesses, operating on their platforms and aims to ensure that all taxable activities within the European Union, including Romania, are reported accurately. Read more
EU to protect domestic e-commerce sellers with a cross-border tax reform
As online shopping continues to grow, the European Union is planning to implement new regulations to protect local e-commerce sellers. One significant change affects consumers who shop on international platforms like Temu or AliExpress. The EU has already taken some steps at the first sign of growing foreign e-commerce sellers, and since July 1, 2021, all goods entering the EU, regardless of their... Read more
New education was created: Educational videos for Romania
This series of instructional videos provide insight into the Romanian fiscalization system. Both legal and technical aspects of the fiscalization system in Romania are presented and divided into various topics. Read more
EU VAT Validation Tool
One way to validate VAT numbers in the EU is the VAT Information Exchange System (VIES), which is a crucial tool for businesses operating within the European Union. Owned by the European Commission, VIES is a search engine that retrieves data from national VAT databases to verify VAT numbers. Here’s a detailed look at how VIES works and its significance. How VIES Works When a search is made usi... Read more
Changes regarding e-Invoice in Romania and the future effect on B2C
The Government of Romania has adopted an Emergency Ordinance that brings changes and additions to the national electronic invoicing system in Romania (RO e-Invoice) while introducing other fiscal measures. The new legislation extends the use of the RO e-Invoicing system for transactions between businesses and final consumers (B2C) in terms of reporting them to this system, starting next year. The... Read more