The deadline for requesting the cancellation of interest and penalties for late payments as well as for settling tax obligations to meet eligibility requirements, has been extended from November 25, 2024, to December 19, 2024.

Additionally, new conditions have been established for the cancellation of tax liabilities for both individuals and companies in insolvency or bankruptcy, simplifying tax procedures and establishing responsibilities related to joint and several liability.

In the case of individuals, the situation is clarified where, on August 31, 2024, the percentage of cancellation of tax obligations was 50%, but subsequently new obligations are established that change the percentage to 25%. In such cases, debtors must pay 75% of the new total amount of principal tax liabilities.

Government Emergency Ordinance no. 132/2024, was published in the Official Gazette no. 1169 of 22 November 2024

Order of the Minister of Finance no. 6.438/2024, which amends the previous provisions of OMF no. 5.521/2024, was published in the Official Gazette no. 1099 of November 4, 2024.

The RO e-Transport system, introduced to monitor the transport of goods in order to prevent tax evasion, has been adjusted through a series of new measures regarding penalties and reporting procedures.

• Penalty application

For the first sanction, the complementary fine consisting of the confiscation of the value of the undeclared goods is eliminated.

For a second offense within 12 months, a fine of 15% of the value of undeclared goods is imposed.

For the third contravention in the same category, the complementary sanction is applied in a percentage of 50% of the value of the undeclared goods.

In the event that an economic operator commits 4 or more contraventions, the complementary sanction becomes 100% of the value of the undeclared goods. As an exception, the complementary sanction of confiscation of the value of the goods does not apply in the case of verifications subsequent to the conclusion of the transport, when the goods have been recorded in the documents underlying the accounting records.

• Change of transport data after the expiry of the UIT code

Taxpayers have the possibility to correct the characteristics of registered consignments after the expiry of the ITU code by the 25th of the following month, reducing the risk of penalties for minor errors.

• Suspension of the real-time reporting obligation

Carriers will no longer be required to transmit vehicle positioning data in real time until March 31, 2025, providing additional time to adapt to the requirements of the system.

Emergency Ordinance no. 129/2024 on the amendment and completion of the Government Emergency Ordinance no. 41/2022, was published in the Official Gazette no. 1124 of November 11, 2024.

Significant measures have been introduced in the fiscal field, having an impact mainly on corporate tax, the tax regime of micro-enterprises.

The regulations on the calculation of the minimum tax have been clarified, such as: the determination of the total income for the calculation of the minimum tax, the deductibility of sponsorships and patronage acts, the consideration of the minimum tax as corporate income tax in order to apply the double taxation avoidance treaty.

Also, calculation examples were provided for taxpayers with the quarterly or annual tax system, as well as for those who apply tax consolidation.

Certain aspects have been clarified regarding the conditions necessary for a Romanian legal entity to apply the micro-enterprise income tax, such as:

• Aspects regarding the method of calculating indirect holdings in order to establish the fulfillment of the condition of owning more than 25% of a maximum micro-enterprise. Concrete examples of the calculation are brought.

• Clarifications are made regarding the entities that are taken into account when determining the turnover of related companies

• It is clarified that, in order to meet the condition relating to the timely submission of financial statements for the application of the microenterprise income tax system in fiscal year N, the deadline for submitting financial statements for year N-2 must be taken into account. During the year, however, if the financial statements for year N-1 are not submitted within the legal deadline, the company will apply the corporate income tax starting with the second quarter of year N.

Government Decision no. 1.393 of November 7, 2024, for amending and supplementing the Methodological Norms for the application of Law no. 227/2015 on the Fiscal Code, was published in the Official Gazette no. 1125 of November 11, 2024.

As of November 12, 2024, Romania has suspended the application of the Double Taxation Treaty with Belarus.

Order no. 2.412/2024 of the Minister of Foreign Affairs was published in the Official Gazette, Part I, no. 1.126

A new title has been created in the Fiscal Code, Title II1, to which most of the provisions of art. 182 - Additional tax for credit institutions and 183 - Additional tax for legal entities carrying out activities in the oil and natural gas sectors have been moved.

As of January 1, 2025, several important changes are made to the specific turnover tax for the oil and natural gas sectors, in the sense that it applies to all Romanian or foreign entities operating in these sectors (previously it applied only to legal entities that in the previous year had registered a turnover of more than EUR 50,000,000).

More details regarding the additional tax can be found in our information sent at the end of last year and which you can find here: Important legislative changes applied by Law no. 296/2023

Law no. 290/2024 was published in the Official Gazette no. 1163 of November 21, 2024, and will enter into force on January 1, 2025.