my BUSINESS IN ROMANIA™

This case study outlines the legal necessity and strategic value of internal auditing for multinational subsidiaries operating in Romania. It explains that companies meeting specific financial thresholds are legally required to maintain an internal audit function under Law 162/2017, with non-compliance risking significant fines and reputational damage. The episode highlights how proper auditing se...

Understanding the concept of Permanent Establishment, or Permanent Headquarters, or Permanent Office (= ro . Sediu Permanent ) and its implications for foreign businesses is crucial for tax compliance and operational efficiency in Romania.

One of the most debated subjects when shareholders start having arguments is the right of access to company documents. There are times when communication problems between the shareholders of a company turn into disagreements, then escalate into conflict. Reasoning doesn’t help anymore, egos get over-inflated, and the conflict becomes disruptive for the company as a whole. Everything gets amplified...

The trial balance - or, for short, the “balance” - represents the mirror of my company’s activity. All the operations that I run reach the accounting document called the trial balance. Sooner or later I will need to understand it in detail so that I can better coordinate my business - therefore I can already start by forming an overall impression on the types of information that the balance may of...

With the entry into force of the Order of the Ministry of Labor and Social Protection No. 1140 / 2020, starting with July 25, 2020, the beneficiaries have the obligation to keep records of day laborers in the Electronic Register of Day Workers. Video: https://www.youtube.com/watch?v=Fy-S2GtsDO4 Source: https://www.inspectiamuncii.ro/registrul-electronic-de-evidenta-a-zilierilor

The Ministry of Economy, Energy and Business Environment offers, on request, Emergency Status Certificates to the businesses affected by the COVID-19 pandemic. The request for an Emergency Status Certificate is done on http://prevenire.gov.ro/ and needs to be signed with the electronic signature of the legal representative of the business - or a delegate, holder of an electronic signature. The Eme...

Welcome back, here’s a summary of the measures adopted by the Romanian Government through Emergency Orders during the economic crisis caused by the coronavirus disease COVID-19. The latest is about technical unemployment, an important facility for companies during the suspension of the labour contracts. There are two categories: companies whose activity was temporarily suspended by the Government...

Regaining the VAT code takes longer than getting it in the first place, because the tax inspectors are more alert to potential irregularities, even if the initial loss of the VAT code has just been the result of a missed deadline. Therefore, the best thing to do is to keep good hold of the VAT code once obtained: I must not lose it 😊 If, however, I manage to lose it, getting it back is not imposs...

This type of VAT code is for companies from outside Romania - which sell in Romania, via e-commerce/distance sales, above the threshold of EUR 25_000 (RON 118_000) https://www.piroi.eu/my-business-in-romania/start/tax-details/getting-the-vat-code/the-vat-code-for-e-commerce-distance-sales

my Business in Romania is not registered as a VAT-payer, however I need to do a one-off transaction with a company from the EU. Normally I would need to register my Business in Romania as VAT payer - but here's an alternative: the special VAT code for intra-EU transactions. After getting this special VAT code, I will pay VAT 19% in Romania on the intra-EU transaction, however I will not be registe...

⚠️ I have to register my Business in Romania for a VAT number in 10 days after it passes the revenue threshold of RON 300_000. Obtaining the VAT code for my Business in Romania is done in 2 stages. The first is optional if I already have a Romanian Tax ID as an individual: 1. As a foreigner, I must register myself with the Romanian Tax Agency as an individual person; 2. I apply for the VAT code fo...

Getting a VAT code at the start of the company - or anytime below the revenue threshold of 300 000 lei - is called in Romanian “înregistrarea în scopuri de TVA prin opțiune” (=en. Registering for VAT as an option) More details: https://www.piroi.eu/my-business-in-romania/start/tax-details/getting-the-vat-code/below-the-revenue-threshold-of-ron-300000

All Romanian companies must file the Beneficial Owner Form to the Trade Registry. The penalty for non-compliance is from RON 5 000 to RON 10 000. The Government Emergency Ordinance 191 of 30.10.2020 has just extended the deadline to 3 months after the end of the Alert Status. https://www.piroi.eu/my-business-in-romania/start/reporting-details/beneficial-owner-form

All taxpayers which have expenses significantly greater than the income declared in the Single Tax Statement (= ro . Declarația Unică ) will be subject to an analysis from the tax inspectors, to identify if the taxpayer has income which she has not declared. A tax inspection can also be launched. Let's see how it goes

Closing my Business in Romania doesn’t need to be a hassle. On the contrary, it can be a very good occasion for a fresh start. As long as it’s properly prepared. Let’s see how it’s done https://www.piroi.eu/my-business-in-romania/close/how-to-close

The online platform Virtual Private Space (= ro . Spațiul Privat Virtual) of the Tax Agency ANAF is now offering a new function: the possibility to download for free the Fiscal Record Certificate (= ro. Certificatul de Cazier Fiscal) https://pfinternet.anaf.ro

The National Bank of Romania has just published its annual Foreign Direct Investment Report , where I can see the main countries which invest in Romania and the key sectors they invest in. The numbers are presented in correlation with additional information from the World Bank Ease of Doing Business Index and from the rating agencies. Alright, let’s begin! www.mybusinessinromania.com

The Group Expert Consulting team has performed a statistical analysis on the most frequent problems the companies have when they forget about the Tax Agency and the Trade Registry .  Apparently simple things, such as an expired rent contract or the expiry of the administrator’s mandate in the founding act at the Trade Registry , may have bad consequences on my Business in Romania. Because the...

There are a couple of ways in which I can optimise tax when I, as a High Net Worth Individual, or my business, own real estate in Romania. Revaluing is one of them. Let’s see how it’s done Details on https://www.piroi.eu/grow-my-business-in-romania/optimise-taxes/real-estate/methods

An expense is tax deductible only if it is in relation with the business activity, is properly documented - and is recorded within the deadline. The full set of documents which I need to present my accountant include, from case to case, bank statements, invoices, service reception notes (=ro. proces-verbal), as well as cash receipts, fuel receipts and additional travel documents. Let’s look at it...

Plenty of interesting news this episode, from tax exemptions to tax inspections: new legislation on sponsorship, new tax facilities if my Romanian company has a debt to the state budget, as well as info about when the state will block my business bank accounts if I don’t pay the debt. More details on www.piroi.eu/tax-news

The highlight of today’s tax news report is the Tax Residency Guide from the Romanian Tax Agency. It is useful for non-Romanian tax residents who arrive in Romania - and for Romanian tax residents who leave Romania. We also speak about a new function on our platform www.piroi.eu which is tailored to an international audience: the Romanian tax calendar. Let’s begin

With only two weeks left to submit the Consolidated Tax Statement (= ro . "Declaratia Unica"), today we’re speaking about one of its key components: the social insurance tax on dividends. We’re structuring the discussion in who needs to do what