Romania’s government postpones hard implementation of new e-VAT regulation
<p>Romania’s government adopted Thursday, June 27, an emergency ordinance that changes some of the provisions in the e-VAT regulation enacted on June 21 in the sense that some of the provisions related to e-VAT will be delayed until January 1, 2025, <a href="https://economedia.ro/ministrul-finantelor-anunta-ca-se-amana-cu-6-luni-termenele-din-ro-e-tva.html?mc_cid=d85abc3056&amp;mc_eid=cd1f92f96c" rel="noopener" target="_blank">Economedia.ro</a> reported.&nbsp;</p>

<p>The new e-VAT regulation is aimed at increasing VAT collection and reducing tax evasion, as Romania currently has the highest VAT gap in the EU.&nbsp;</p>

<p>However, the tight deadlines included in the initial regulation have sparked intense debate and complaints from professional associations of accountants related to the excessive volume of work involved and the deadlocks a mechanism insufficiently discussed in advance may generate.&nbsp;</p>

<p>Under the e-VAT mechanism as enforced under OUG 170/2024, the companies (subject to VAT) are compelled to explain the discrepancies between the list of VAT operations as collected by the authorities from secondary sources (primarily the e-Invoice system) and the VAT operations as declared by the companies themselves.</p>

<p>However, during the transitory period, companies will have longer deadlines to provide the VAT discrepancy notes.</p>

<p><em>iulian@romania-insider.com</em></p>

<p><em>(Photo source: <a href="https://www.dreamstime.com/" rel="noopener" target="_blank">Juan Moyano/Dreamstime.com</a>)</em></p>