(P) Tax Flash: Potential amendments to the Fiscal Procedure Code in Romania

Potential amendments to the Fiscal Procedure Code (Draft Ordinance regarding the amending of the Government Ordinance 92/2003 regarding the Fiscal Procedure Code published on the website of the Ministry of Public Finance (www.mfinante.ro)) The main amendments refer inter-alia to the following: Advanced tax ruling The deadline for the issuance of an advanced tax ruling is of 3 months (instead of 45 days as it is currently). The extension of the deadline for solving the requests of the taxpayers The extension of the 45 days deadline for solving the requests of the taxpayers cannot exceed 90 days. However, if a tax inspection is initiated in order to solve the request, the deadline is extended with the duration of the tax inspection, according to the law. The tax registration certificate The deadline for the issuance of the tax registration certificate is of 10 days (instead of 15 days as it is currently). The interruption and suspension of the prescription period of the right to establish tax liabilities The draft Ordinance provides for specific cases when the prescription period is interrupted/suspended. The estimation of the taxable base The draft Ordinance repeals the provision according to which the tax inspection bodies determine the taxable base and related tax liabilities by using the indirect methods for reconstructing the revenues and expenses in case it is found that the tax evidence of the taxpayer is incorrect, incomplete, fake, missing or in case it is not made available to the tax authorities. According to the draft Ordinance, in these cases, the tax authorities may determine the taxable base and related tax liabilities based on reasonable estimation or may use methods approved by ANAF in this respect. Deadline for presenting the taxpayer’s point of view The taxpayer has the right to present, in writing, a point of view regarding the findings of the tax inspection within 3 working days as of the date when the tax inspection ends (i.e. the date when the final discussion with the taxpayer is set or the date when the taxpayer notifies the tax authorities that it gives up on this right). The deadline for the issuance of the tax decision The tax decision is to be communicated within 30 working days as of the date when the tax inspection ends (instead of 7 days from the finalization of the tax inspection report as it is currently provided). The chargeability of the tax receivables of the debtors In case of refund request for excise duties/VAT, the chargeability of the receivables occurs at the date of submission of the refund request within the amount approved for refund (instead of the communication date of the decision regarding the solution, as it is currently provided).