Theme: Executive Meeting from 30.05.2010

Emergency Ordinance to combat the tax evasion

“It is clear that while we cut the incomes of state employees and retirees, we shall not let the tax evasion flourish”, PM Emil Boc has stated.
The Executive will closely monitor the new regulations aiming at the combating the tax evasion, the Head of the Executive has given assurances. “We consider the measures taken as being among the toughest, and here, we speak about the institution of a strict control at the entry in the country of the products with high risk of tax evasion”, Minister of Public Finance, Mr. Sebastian Vladescu has stated in turn.
Minister Sebastian Vladescu has mentioned the introduction of the inverted tax for products specified in the normative act text, namely: cereals, vegetables, fruit, meat and meat products, sugar, raw sugar, etc..
The measures adopted stipulate the introduction of the Intra-Community Operators Registry, aiming to remove as much as possible of the evasion from the intra-community VAT area.
Regarding the tax warehouse, the production warehouses are kept and storage warehouses disappear, except those of producers, which will be limited in case of authorized manufacturers of cigarettes and refineries.
Through the measures taken, the Executive aims at limiting the evasion by transfer and insolvency.
In this respect, we introduced the compulsoriness to ask the sanction of fiscal body in case of transfer, so that firms with debts cannot be transferred until the Fiscal Authority is informed of this intention and approve the transfer. In case of insolvency, there is introduced the shared responsibility of the administrator.
According to Minister of Finance, other legislative changes aimed at passage of smuggling acts that were hitherto regarded as law violation in the sphere of crime. There are also provided measures with respect to duty – free activity. Duty-free shops will continue to exist but they will pay anticipated excise duty, VAT, which they will recover once they provide proof that the goods have left the customs territory of Romania.