I. Exemptions from customs duties and VAT on imports in the context of COVID

In the Official Gazette no. 376 of 11 May 2020 Order 1.926/2020 for the implementation of Commission’s Decision (EU) 2020/491 of 3 April 2020 on exemption from import duties and VAT on imports granted for goods necessary to combat the effects of COVID-19 epidemic during 2020 was published.

Exemptions from customs duties and VAT will be granted under the following conditions:

• Only for the goods required to combat the effects of the COVID-19 epidemic during 2020, the list is provided in Annex no. 1 to the order;
• Charitable or philanthropic organizations authorized by National Agency for Fiscal Administration can benefit from the exemption;
• Applications for authorization will be submitted to the competent fiscal body using the model provided in the order. The resolution of the request will take place in 3 working days;
• Applicants must prove by means of the fiscal attestation certificate issued electronically that at the date of the application they have no outstanding tax obligations or other budgetary receivables as a result of enforceable titles;
• Applicants declare that they meet the conditions set out in Decision (EU) 2020/491 (inter-alia, granting teh godos free of charge to contaminated or at risk beneficiaries);
• The authorization is valid retroactively for imports made between 30 January 2020 – 31 July 2020, provided all conditions are met. Thus, if the said are met, it is possible to request a refund of VAT and customs duties paid starting with 31 January 2020 until the date of implementation of the Decision in the domestic legislation.

II. Type 2 emergency situation certificate for April 2020

In the Official Gazette no. 385 of 13 May 2020 Order 1.706/2020 on the granting of emergency certificates to economic operators whose activity is affected in the context of the pandemic was published.

Thus, the economic operators from the Romanian territory will be able, based on affidavit, to request a TYPE2 emergency certificate (yellow) in case the income or cash in-flow for April 2020 have decreased by at least 25% as compared to the average of figures for January and February 2020.

III. Press release of the Ministry of Public Finance on fiscal amnesty

On 8 May 2020, the Government approved the fiscal amnesty proposed by the Finance Ministry for interest, penalties and other accessories owed by the companies that will pay the principal debts by 15 December 2020. The measure aims to support the business environment affected by the COVID-19 crisis, but it will also have a positive effect on budget revenues.

There are 4 types of tax facilities, as follows:

• Measure 1 - Cancellation of interest, penalties and all ancillary expenditure on the principal budgetary obligations outstanding on 31 March 2020, including, for taxpayers who at that date have both ancillary budgetary obligations and main budgetary obligations in balance.
• Measure 2 - Cancellation of interest, penalties and any related accessories for principal budgetary obligations, as further declared by the debtor in the corrective statement, with a maturity prior to and including 31 March 2020.
• Measure 3 - The cancellation of interest, penalties and any ancillary charges relating to principal budgetary obligations with maturities before 31 March 2020, including whether on that date the taxpayer has only accessories in balance and the principal budgetary obligations have been extinguished.
• Measure 4 - The cancellation of interest, penalties and any related accessories to principal budgetary obligations with maturities before and including 31 March 2020, as set out in a tax decision issued as a result of the tax inspection or the verification of the personal tax position, which is in progress on the date of entry into force of the emergency order.

We will revert with more details when the normative act is published.