News provided by COLUN TAX Consulting.
Tax news from April 30th to May 8th.
LEGISLATIVE DOCUMENTS
April 30, 2024 – In the Official Gazette, Part I, no. 409/30.04.2024, Emergency Ordinance of the Government no. 43/2024 was published, for amending and supplementing certain legislative acts, effective from April 30, 2024.
Amendments regarding RO e-Transport:
The obligation to declare data regarding the international transportation of goods in the RO e-Transport System is introduced for other categories of users. RO e-Transport does not apply to the transportation of goods by postal service providers in postal parcels, as defined by the provisions of art. 2 para. 16 of Emergency Government Ordinance no. 13/2013 regarding postal services. The complementary sanction of confiscating the value of undeclared goods in the RO e-Transport system (both in the case of goods transportation with high fiscal risk and in the case of international goods transportation) is no longer applicable if, following subsequent checks after the completion of the road transportation of goods, the authorities find that, for the period covered by the operations, economic operators (declarants) have carried out accounting records and possess supporting documents in this regard.
Amendments to the Fiscal Code: Excises and other special taxes
From June 1, 2024, products containing nicotine, which do not contain tobacco and are intended for oral consumption, presented in the form of powder or particles or in any combination of the respective forms, packaged in sachets, with the tariff classification NC 2404 91 90, will be included in the scope of non-harmonized excise duties. Economic operators who produce, import, or acquire such products intra-community in Romania must comply with the obligations regarding non-harmonized excises. For these products in stock on June 1, 2024, the triggering event and the exigibility of non-harmonized excises occur on the date of their sale on the domestic market.
Special tax on high-value immovable and movable property:
The local fiscal authority is obliged to send a notification to individual taxpayers who own/co-own residential buildings located in Romania whose taxable value exceeds 2,500,000 lei. The notification will include elements such as the amount of the taxable value determined for the property tax and will be sent by May 30 of the year for which the special tax on high-value immovable and movable property is due. The special tax on immovable property is calculated, declared, and paid by September 30 inclusive of the year for which it is due (previously the deadline was April 30).
April 30, 2024 – In the Official Gazette, Part I, no. 410/30.04.2024, Government Decision no. 451/2024 was published, for amending and supplementing the Methodological Norms for the application of the Fiscal Code, approved by Government Decision no. 1/2016, effective from April 30, 2024.
VAT:
Provisions regarding the deduction of VAT by a taxable person for invoices issued in the name of its employees have been repealed, considering the provisions of art. 299 of the Fiscal Code, according to which, in order to exercise the right to deduct the tax, the taxable person must hold an invoice issued in accordance with the provisions of art. 319, respectively, the invoice must contain the name and address of the beneficiary of the goods or services, as well as the VAT registration code or fiscal identification code of the beneficiary. The previous provisions in the norms allowing the deduction of VAT based on invoices issued in the name of employees under certain conditions could not be maintained in the context of the new legal framework regarding the obligation to transmit electronic invoices through the RO e-Invoice system.
DECISIONS OF THE COURT OF JUSTICE OF THE EUROPEAN UNION IN VAT MATTERS
May 8, 2024 – Case 241/23 P. sp. z o.o vs Director of the Fiscal Administration Chamber of Warsaw, Poland
"Request for a preliminary ruling – Common system of value added tax (VAT) – Directive 2006/112/EC – Article 73 – Supplies of goods and provision of services – In-kind contribution with immovable property – Tax base – Consideration – Shares – Nominal value – Value of issues"
Article 73 of Directive 2006/112/EC of the Council of 28 November 2006 on the common system of value added tax, as amended by the Act concerning the conditions of accession of the Republic of Croatia and the adaptations to the Treaty on European Union, to the Treaty on the Functioning of the European Union, and to the Treaty establishing the European Atomic Energy Community.
Must be interpreted as meaning that the tax base of an in-kind contribution of immovable property made by a first company to the capital of a second company in exchange for shares of the latter must be determined based on the nominal value of the shares mentioned when the respective companies have agreed that the consideration for the contribution to capital will consist of this issue value.
