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The Ministry of Finance published on Wednesday new draft amendments to the Tax Code, with the main additions regarding new deadlines for specific taxation and changes in the income tax system of micro-enterprises.
Thus, the Ministry of Finance proposes the repeal of tax specific to some activities from January 1, 2022, as against this August mentioned in the first draft.
"On January 1, 2023, the provisions of Law 170/2016 on specific tax on certain activities, published in the Official Journal of Romania, Part I, no. 812 of October 14, 2016, with subsequent additions should be repealed," according to the substantiation note that accompanies the new bill.
The taxes in question is due by Romanian legal entities that carry out activities corresponding to the CAEN codes: 5510 - "Hotels and other similar accommodation facilities;" 5520 - "Accommodation facilities for holidays and short periods;" 5530 - "Caravan parks, campsites and camps;" 5590 -"Other accommodation services;" 5610 -" Restaurants;" 5621 -" Event catering;" 5629 -" Other catering services not mentioned elsewhere;" 5630 -"Bars and other beverage serving activities."
According to the document, in the case of gambling income, the method of calculating the income tax by applying a tax scale with income brackets on each gross income, with tax rates between 10% and 40% should stay in place. At the same time, the proposed tax scale also includes amending the income brackets. In the case of revenues derived from gambling in casinos, poker clubs, slot machines and lotteries, the tax-free ceiling should be increased to 600 lei for each gross income received by the taxpayer.
According to the document, the changes in the income tax system of micro-enterprises promoted by the draft ordinance are: optional application of the income tax system of micro-enterprises by reducing the income ceiling of the previous year from 1,000,000 euros to 500,000 euros; for fiscal year 2023, the revenues taken into account for establishing the limit of the equivalent in lei 500,000 euros, as well as the other elements of the taxable base, are those registered according to the accounting regulations applicable on December 31, 2022.
Also, establishing the condition that the micro-enterprise has at least one employee, in which case it is necessary to eliminate the 3% tax rate; the condition regarding the hiring of one employee is considered met only if the suspension period is less than 30 days because under the Labour Code the suspension of an individual employment contract has the effect of suspending the performance of work by the employee and the payment of a salary by the employer.
"In order to discourage the practice of repeated suspension of employment in a fiscal year, it is proposed to limit to a single case of suspension and for a period of no longer than 30 days for the condition regarding the hiring of one employee to be considered met. "
Other amendments regard the establishment of a condition for shareholding by the same shareholder/associate in at most three micro-enterprises in the case of associated shareholders holding more than 25% of the value/number of shares or voting rights; capping at 20% the revenue derived from consulting and management; exclusion from the scope of application of the income tax of micro-enterprises of legal persons carrying out activities in the field of banking, insurance and reinsurance, the capital market, including intermediation activities in these fields, gambling, as well as of Romanian legal entities that carry out exploration, development, exploitation of oil and natural gas deposits.
It should also be repealed the possibility of the option to apply the profit tax when conditions related to the value of the share capital and the number of employees are met; maintaining the tax rate of 1%; making technical correlations for the integration of the new conditions for compliance with the fiscal rules in force.
The document also provides for the establishment of deductions from the income tax of micro-enterprises of the amounts representing sponsorships to support non-profit entities, religious denominations, expenses on UNICEF dues and other international organisation dues, as well as acquisitions of electronic tax cash registers put into operation; changing the deadline for submitting the information forms regarding the beneficiaries of goods / services / sponsorships, correlated with the deadline for submitting the tax declaration for the fourth quarter as regulated under Government Emergency Ordinance 153/2020; clarifying the tax value on which the tax cuts regulated under Government Emergency Ordinance 153 / 2020 apply.
AGERPRES.
