NEWSLETTER no.

14
13 December 2012 ROMANIA
Registration of the services agreements concluded with nonresidents
REFERENCES: ORDER NAFA NO. 1400/2012
It was published in the Romanian Official Gazette no. 695/10.10.2012 the Order of National Agency of Fiscal Administration no. 1400 on the registration procedure of the agreements/ documents concluded with non-resident legal entities/individuals. This Order revokes the Order 2310/2007 that regulated this procedure; this Order was subject of our Newsletter no. 18/19.12.2007.

The registration obligation

The agreements/documents concluded with non-resident legal entities/ individuals, that perform in Romania services such as construction works, assembly, monitoring activities, consultancy, technical assistance and any other services rendered in Romania that generate taxable revenues, shall be registered with the fiscal authorities. We remind you that in the previous Order 2310/2007 the registration obligation was only for the agreements related to those activities that could constitute a permanent establishment in Romania. By eliminating this remark the registration obligation extends to all services agreements concluded with non-resident suppliers regardless of the nature or duration of the service provided within the Romanian territory. In addition, it is stated that, in the absence of a written agreement, the supporting documents for the services performed (work situations, work reports, studies etc.) shall be registered. The agreements/documents concluded by Romanian beneficiaries with non-resident persons for activities rendered outside the Romanian territory are not required to be registered. The services beneficiaries, namely: Romanian legal entities, resident private individuals, permanent establishments of foreign legal entities are required to register the services agreements or the supporting documents.

WHICH DOCUMENTS ARE REQUIRED TO BE REGISTERED

WHO IS REQUIRED TO REGISTER THE DOCUMENTS

Boscolo & Partners Consulting SRL, Str. Popa Petre nr. 5, etaj.4, sector 2, Bucuresti Tel: +40 (0)31 228 5115 Fax: +40 (0)31 228 5120 www.boscoloromania.ro

THE REGISTRATION STATEMENT

The registration of the services agreements and of the supporting documents is made by the Romanian beneficiary by submitting the Registration statement with the competent fiscal authorities within 30 days from the agreement conclusion. The Registration statement shall not be accompanied by the supporting documents of the registered data. The changes occurred to the initially reported data shall be communicated within 30 days by submitting a revised statement. Failure to register the agreements/supporting documents in legal term will trigger a penalty between 1.000 and 5.000 RON.

PENALTIES

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Boscolo & Partners

Boscolo & Partners Consulting SRL, Str. Popa Petre, nr. 5, etaj.4, sector 2, Bucuresti Tel: +40 (0)31 228 5115 Fax: +40 (0)31 228 5120 www.boscoloromania.ro