REFERENCES: GO 23/2017;
In the Official Gazette no 706/31.08.2017 it was published the Government Ordinance no. 23 for establishing the system for the VAT split payment (VAT split).
You may find below the main provisions brought by the mentioned Ordinance.
Persons required to apply the VAT split payment system
Taxable persons registered for VAT purposes in Romania (including non-resident companies) are required to open and use at least one dedicated VAT account for the receipt and payment of the VAT, different from the current commercial account.
How it works
Any taxable person will perform the payments to its suppliers, as follows:
Similarly, the taxable person will collect the payments from its clients in the VAT account and current account.
Taxable persons not registered for VAT purposes, even if they do not own a VAT account, have the obligation to pay the VAT amount related to purchases in the supplier's VAT account.
Where may be opened the VAT accounts
The VAT accounts are opened:
The split VAT payment applies to all the taxable supplies of goods/services for which the place of supply is considered to be in Romania from a VAT perspective.
The transactions for which the beneficiary is liable to pay the tax (reverse charge) and the transactions subject to special regimes, which by default do not have VAT on the invoice, are exempted.
Payments received in the VAT account
The VAT account will be credited mainly with:
Payments performed from the VAT account
The VAT account will be charged mainly with:
ANAF approval is requested by submitting an application (form 310) and it should be obtained within 3 working days.
Limitations on the VAT account
The VAT account has the following additional restrictions:
Date of entry into force
The VAT split payment system will be optional in the period 1 October – 31 December 2017, following to become mandatory starting with 1 January 2018.
During the optional application, only the companies that join the system will apply the provisions of the mentioned GO regarding the rules for receiving and making payments.
Facilities for optional application
The taxpayers who will opt for application of the VAT split payment after 1 October 2017 will benefit from the following facilities:
The main sanctions are:
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