News regarding RO e-VAT System

published on 4 July 2024 | reading time approx. 2 minute

According to the Governmental Emergency Ordinance (GEO) 70/21.06.2024, amended by GEO 87/28.06.2024, the pre-filled RO e-VAT return will be implemented starting August 1, 2024, and will apply to transactions conducted starting with July 1, 2024 by taxable persons registered for VAT purposes in Romania.

What means RO e-VAT system?

RO e-VAT system is the IT system property of the Romanian state, part of the digitization projects implemented at the level of the National Agency of Fiscal Administration (ANAF) in order to reduce the VAT collection deficit.

What means pre-filled e-VAT return ?

The pre-filled RO e-VAT return is a document received from ANAF by the taxpayers through electronic means, which contains prefilled amounts based on the data and information regarding the operations declared and sent by the taxpayers in the IT systems of ANAF, respectively: RO e-Invoicing system, RO e-Transport system, RO e-Seal system, RO e-SAF-T system, RO e-Cash-machines system, Integrated IT system of Customs, other IT systems of the Finance Ministry.

NEW PROCEDURE FOR RO e-VAT

STEP 1: Taxable persons must prepare and submit the VAT return until 25th of the following month to the reported period, inclusively („reporting deadline”).

STEP 2: The pre-filled RO e-VAT return is received by the taxable persons through electronic means until 5th of the following month to the reporting deadline, inclusively.

STEP 3: If significant differences (at least 20% in percentage and an absolute value of at least 5,000 RON) are found between the pre-filled values in the rows of RO e-VAT return and those entered by the taxable person in the VAT return, ANAF notifies the taxable person through electronic means until the 5th of the following month to the reporting deadline, by sending a „Notice of RO e-VAT compliance”. The notification can be sent also for the non-significant differences, depending on the risk analysis performed by ANAF.

STEP 4: The taxable person must answer through electronic means to the „Notice of RO e-VAT compliance” within 20 days of receiving the notification, and provide explanations regarding the differences.

SANCTIONS

Failure to fulfill the obligations of the taxable person regarding the answering to the „Notice of RO e-VAT compliance” within the deadline is sanctioned with a fine ranging between 1,000 RON and 10,000 RON, depending on the taxpayer’s size.

The failure to provide or the partial provision of the information for clarifying the differences between the pre-filled RO e-VAT return and the VAT return is considered as a fiscal risk indicator concerning the accuracy of VAT declarations, potentially triggering fiscal inspections or anti-fraud controls.

GRACE PERIOD

The abovementioned obligation at Step 4, as well as the sanctions mentioned above, will apply starting 1st January 2025.

PRELIMINARY COMMENTS

As there are several missing aspects that need to be clarified in order to have a full functional RO e-VAT system, we estimate that the current provisions will be amended in the near future. We shall inform you you as soon as we receive any updates and outline the specific procedures to be implemented regarding our services in due course.

Contact

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Liviu Plescan

Head of Accounting, CPA, Auditor, Tax Consultant

Partner

+40 21 98 05

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