Romania's Latest E-Invoicing Rules: Additional Details and Fines Published

Romania has enacted Government Emergency Ordinances No. 115, which notably include changes regarding the implementation of the RO E-Factura system.

Timeline

The clarification concerning the scope of the requirements will take effect in January 2024, while the other changes will become applicable starting July 2024.

Impact

The key amendments under the new legislation are as follows:

• Businesses will be required to transmit their invoices through the RO E-Factura system within 5 calendar days from the invoice issuance date, effective from Phase 2 (July 1, 2024). Previously, there was no specified timeline for this requirement.
• Exemptions from the e-reporting and e-invoicing obligations are now more clearly defined. They encompass deliveries of goods and services to entities that are neither established nor VAT-registered in Romania, the issuance of simplified invoices, and deliveries of goods pursuant to art. 294 para. 1. a-b and para. 2.
• Resident businesses that fail to comply with the issuance and receipt of e-invoices via the RO E-Factura system will incur a penalty of 15% of the total invoice value. In addition, non-compliance with the 5-day transmission deadline as explained above will result in the following fines:
  - 5,000 lei to 10,000 lei (appx. 1k - 2k Euros), for Large taxpayers
  - 2,500 lei to 5,000 lei (appx. 500 - 1k Euros), for Medium taxpayers
  - 1,000 lei to 2,500 lei (appx. 200 - 500 Euros), for small taxpayers

While this amendment does not change the scope or implementation schedule of Romania's e-invoicing requirements, it does introduce additional fines for resident businesses for non-compliance starting July 2024. It's important to note that other fines, applicable to both resident and non-resident businesses, will still come into effect from April 2024.

Businesses must prepare their systems in accordance with these changes to avoid any potential penalties.