structural funds romania

Income tax for micro-enterprises starting January 1, 2024

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Fri, 31 May 2024 13:43:00 +0000

Through Law 296/2023, the Government made significant changes to this taxation regime, as follows:

If in 2023 there was only one tax rate, namely 1%, from 2024 there will be two tax rates, respectively:

∘ 1% for micro-enterprises that achieve revenues that do not exceed 60,000 euros inclusive and that do not carry out the activities mentioned below;

∘ 3% for micro-enterprises that:

▪ achieve incomes over 60,000 euros and up to 500,000 euros; or

▪ carries out main or secondary activities, corresponding to CAEN codes:

• 5821 – Computer game editing activities,

• 5829 – Editing activities of other software products,

• 6201 – Custom software creation activities (customer-oriented software),

• 6209 - Other information technology service activities, 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 – Food activities (catering) for events,

• 5629 – Other food services n.e.c.,

• 5630 – Bars and other activities serving drinks,

• 6910 – Legal activities – only for companies with legal personality that are not fiscally transparent entities, established by lawyers according to the law,

• 8621 – General medical assistance activities,

• 8622 – Specialized medical assistance activities, 8623 – Dental assistance activities,

• 8690 – Other activities related to human health.

∘ The fiscal limits in euros mentioned above are checked based on the cumulative recorded income since the beginning of the fiscal year. The exchange rate for determining the euro equivalent is the one valid at the end of the previous financial year.

∘ In order to meet the conditions regarding the level of income provided for in the Fiscal Code, art. 47 para. (1) lit. c) and f), in art. 51 para. (1), (41) and (42) and to art. 52 para. (1) the same elements that constitute the taxable base provided for in art. 53.

Other changes regarding this tax regime are the following:

∘ If, during the fiscal year, the revenues made by a micro-enterprise exceed the ceiling of 60,000 euros or the micro-enterprise starts to carry out one or more of the activities specified above, then, starting from the quarter in which such situations are recorded, applicable is the tax rate of 3%;

∘ If, during the fiscal year, a micro-enterprise no longer carries out one or more of the activities presented above and the revenues do not exceed the level of 60,000 euros, starting from the quarter in which such situations are recorded, the applicable tax rate is 1%;

∘ In the event that Romanian legal entities carrying out activities corresponding to the CAEN codes presented above also obtain income from other activities, apart from those corresponding to these CAEN codes, the 3% tax rate is also applied to the income from these other activities;

∘ Micro-enterprises that become profit tax payers as a result of not fulfilling the conditions provided for in art. 47 or as a result of the exercise of the option, communicates to the competent fiscal bodies the exit from the taxation system on the incomes of micro-enterprises, by March 31 of the following fiscal year inclusive.

Call me for company creation or tax issues or text me + 32 478 331 799

Romania's Top 10 Advantages for Investment

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Tue, 14 May 2024 14:37:00 +0000

With its advantageous position in Europe, Romania has emerged as a favored destination for investors looking to put their money into the country. This location allows for convenient entry into multiple markets, including the EU, CIS, and Middle East, making it an attractive option. Furthermore, Romania boasts a robust environment for potential investments, making it a promising choice for interested parties.

Ranked 55th globally on the Ease of Doing Business index, Romania boasts a favorable business climate. Moreover, it provides investment perks, including tax exemptions and financial aid, to entice "investitori in Romania". The nation's substantial investments in infrastructure further bolster its appeal as a prime logistical center, making it an advantageous destination for international investors seeking expansion and advancement in a secure and democratic environment.

Contact us and we will help you turn your aspirations into actuality. You may contact us via +32 478 331 799 and request for Freddy Jacobs. Alternatively, you can also connect with us on Linkedin.

A Brief Look at Investment Opportunities in Romania

The investment environment in Romania is impacted by a variety of crucial factors that contribute to its appeal to foreign investors. One significant element is the allowance for non-residents to purchase and sell apartments, although non-EU citizens are restricted to buying land through Romanian companies. This creates a relatively unrestricted real estate market with a consistent rise in residential property values. Moreover, Romania's advantageous position in Europe, membership in the EU, and close proximity to major markets like Central Asia and the Near East all add to its attractiveness. Additionally, the country presents numerous opportunities in sectors such as IT, automotive, and energy, with the support of a skilled and cost-effective workforce.

Possible Investment Areas and Prospects in Romania:

With its affordable costs and vast pool of skilled individuals specializing in IT and telecommunications, Romania has become a prominent center for IT innovation and digital solutions.

The country of Romania is in a favorable position for investing in renewable and traditional forms of energy, as it holds the top rank among EU countries for energy independence.

Real Estate: While there are restrictions on selling land to non-European Union citizens, the growing real estate market in Bucharest presents attractive investment opportunities.

Government Policies and Economic Indicators in Romania:

The Romanian government guarantees fair treatment for all investors, regardless of whether they are domestic or foreign, and without any bias towards their capital origins. This, combined with a manageable public debt and a promising rate of growth, solidifies Romania as a stable and appealing destination for potential investments.

The government's commitment to creating a conducive environment for investment is evident in its careful implementation of financial strategies and focus on digitization.

The skilled workforce and abundant natural resources in Romania make it a highly desirable location for foreign investment. This combination of factors strengthens its potential as an appealing destination for investment from abroad.

Benefits of Investing in Romania

Investing in Romania offers a multitude of benefits that not only foster the growth of the investor, but also promote the overall economic development of the nation. These advantages include:

1. Tax Incentives and Path to Citizenship: Small business owners can benefit from favorable tax rates and the chance to acquire Romanian citizenship within a period of four to eight years. By obtaining permanent residency permits, there is no requirement for yearly extensions, and relatives can also apply for long-term residency permits.

2. The Impact of Foreign Investments on Economic Development and Employment: In Romania, the role of foreign investments is crucial in promoting economic growth. As a result, this contributes to the generation of employment opportunities, ultimately reducing unemployment rates and stimulating the growth of local economies.

3. Technological Advancements and their Impact on the Market:

The use of cutting-edge technology and innovative techniques has increased productivity in the Romanian market.

The potential for Romanian companies to broaden their presence in international markets can lead to an increase in profits and a greater share of the market.

Improvements in infrastructure, such as transportation systems and utilities, play a crucial role in strengthening the efficiency and service delivery of the country.

4. The Environment of a Competitive Market:

The increase in foreign entities results in increased competition in the market, resulting in better quality products, lower prices, and improved services for consumers.

Employees in the area receive advanced training and knowledge by taking advantage of educational and training opportunities provided by international investors.

The attractiveness of Romania as an investment destination is strengthened by a variety of factors, which offer distinct benefits to global investors and also support the nation's social and economic advancement.

Challenges and Considerations for Investors in Romania

Investors should be aware of multiple challenges and factors that need to be taken into account when deciding to invest in Romania.

A few instances of these include:

The interdependence between the economy and government of Romania is evident, as the government holds a significant role in the economy through its ownership of state enterprises. This can greatly affect the dynamics of the market. In addition, the management instability within these enterprises since 2014 has posed challenges in efficient planning and investment.

Government regulations and bureaucracy are common challenges that investors often encounter. These include burdensome paperwork, an unpredictable legislative system, and corruption, all of which can impede business operations. Moreover, the continuous modifications to laws without consultation from the private sector only contribute to the lack of clarity and stability.

In Romania, businesses encounter obstacles related to both infrastructure and workforce. The insufficient infrastructure can lead to higher expenses and impede efficiency, while the shortage of labor, particularly in the northern and western parts of the country, poses challenges in terms of recruitment and retention. Moreover, environmental issues, including inadequate waste management practices and difficulties with air pollution and preservation of natural habitats, further complicate potential investment opportunities.

For individuals who are considering investment opportunities in Romania, it is essential to conduct thorough due diligence and acquire a thorough understanding of the local environment.

Steps for Investing in Romania

For foreign investors who are interested in setting up their business in Romania, it is essential to understand the steps required to establish a presence. The following is a simplified guide:

1. Obtaining a Residency Permit:

Non-permanent residents have the chance to acquire a one-year residence permit by investing in a Romanian company. This investment provides them with the opportunity to engage in long-term business endeavors.

2. Priorities for Investing in Romania:

The Immigration General Inspectorate has a proclivity towards prioritizing investments in the fields of real estate and technology, uncovering promising and profitable opportunities for global investors.

3. Prolongation of Residence Permit:

The Agency for Foreign Investments in Romania evaluates the impact of the investment in order to renew the residence permit and sustain the ongoing business activities.

Section 4: Exclusions

Citizens of the United States, Canada, Japan, and Switzerland are given special considerations when it comes to certain requirements such as minimum investment, job creation quotas, and proof of financial stability. This makes the process of entering the country smoother for these individuals.

5. Documentation:

Crucial documents include proof of company ownership or stock ownership, evidence of legal residence, documentation of financial security, verification of social health insurance, a medical report, and a receipt for the fee for the residence permit.

This comprehensive guide streamlines the process of investing in Romania and highlights the government's positive stance towards foreign investments, thereby creating numerous global business prospects.

Commonly Asked Questions

What Are the Factors that Make Romania a Worthwhile Investment?

The presence of a proficient workforce, ample natural resources, strategic geographical location for effective transportation, and its status as a prominent market in Central and Eastern Europe, all contribute to Romania being a convincing option for investment. This combination of factors has made Romania a progressively appealing destination for potential investors.

Who are the main foreign investors in Romania?

Romania has been a recipient of significant foreign investment, with Germany leading the way. Following closely behind is Austria with a 10.7% share, while France, Italy, the United States, and the Netherlands hold stakes of 9.7%, 7.8%, 6.7%, and 5.3%, respectively. These countries have recognized the opportunities and possibilities in Romania, prompting them to make substantial investments across various sectors of its economy.

What is the Most Profitable Industry in Romania?

Romania has gained recognition for its extremely lucrative IT and software sector. The main factor contributing to this achievement is the country's educational system, which places a high emphasis on technical skills. In fact, Romania holds the 6th position worldwide for the largest number of certified IT professionals per capita. The profitability of this industry serves as evidence of Romania's abundant technical talent and favorable business environment.

Aspects Examined by Investors in Assessing a Nation for Investment

Investors often analyze the economic and fiscal foundations of a country when considering it for potential investments. Key aspects that are regularly evaluated include the Gross Domestic Product (GDP), inflation rates, and the Consumer Price Index (CPI). These indicators provide valuable insights into the country's economic stability and credibility, aiding investors in making informed decisions.

Reach out to us to turn your aspirations into actuality - our team is here to support you. Reach out to Freddy Jacobs at +32 478 331 799, or connect with us on Linkedin.

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A Comprehensive Guide for e-Factura) in Romania via ANAF

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Fri, 05 Apr 2024 13:32:00 +0000

Do you feel prepared to dominate the world of electronic invoicing in Romania?

Stop your search now! We proudly present our "E-factura in Romania Crash Course" video, the perfect resource to prepare you for the compulsory e-invoicing revolution. This captivating video will feature my professional knowledge and offer a comprehensive, easy-to-follow tutorial on mastering the updated fiscal reporting procedures.

In this video, you will learn about the significance of e-factura and the requirement for real-time reporting in phase one. Additionally, I will guide you through the steps of acquiring the required certificates and enrolling in the SPV space. The video is filled with valuable insights and practical measures that will equip you to stay ahead in the industry.

A comprehensive manual for investing in e-Invoice in Romania

Don't pass up on this crucial manual! Enroll today on my YouTube channel to receive special entry to this transformative intensive course. Make a smart investment in your future accomplishments and unleash the possibilities of electronic invoicing in Romania. Prepare to leave your mark in this modern age of financial documentation. Come join us now! #e-factura #e-invoicing #investinRomania #investmentinRomania #investitii

To learn about e-Factura, click on the following link: https://youtu.be/gxzs6Jnnzkg

Nieuwe richtlijnen en boetes voor Roemeense B2B e-factureringsregeling voor 2024

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Thu, 29 Feb 2024 11:35:00 +0000

Het B2B e-factureringsregime in Roemenië ondergaat veranderingen met de implementatie van nieuwe regelgeving en sancties. De lancering zal in twee fasen plaatsvinden, gepland voor 2024. De onlangs uitgevaardigde noodverordening 115/2023 van de regering heeft verschillende wijzigingen ingevoerd, zoals vrijstellingen voor vereenvoudigde facturen, export, niet-ingezeten partijen en B2C-transacties. Bovendien is de termijn voor het opleggen van boetes verlengd tot juli 2024. Dit artikel geeft een diepgaande analyse van de e-factureringsregeling in Roemenië, met inbegrip van de opstartfasen, vereisten, boetes en de handleiding voor gebruikers die door het ministerie van Financiën is uitgebracht.

Stap 1: Snelle rapportage (januari 2024 - juni 2024) voor B2B e-facturering in Roemenië

Vanaf januari 2024 gaat de eerste fase van het Roemeense B2B e-factureringssysteem van start, waarbij de nadruk ligt op het snel rapporteren van binnenlandse leveringen. Binnen dit tijdsbestek moeten bedrijven hun facturen binnen vijf werkdagen na uitgifte in XML-formaat indienen, naast de standaard papieren factuur. Deze rapportage zal plaatsvinden op de Virtual Private Space (SPV) binnen het RO e-factuursysteem. Het is belangrijk om op te merken dat deze verplichting alleen geldt voor binnenlandse leveringen en dat er uitzonderingen zijn voor export en intracommunautaire leveringen.

Om een naadloze overgang te bevorderen, heeft de Roemeense regering besloten om tot 31 maart 2024 geen boetes op te leggen voor niet-naleving. Deze periode van clementie geeft bedrijven de kans om zich aan te passen aan het nieuwe rapportagesysteem en te zorgen voor naleving zonder de extra druk van onmiddellijke gevolgen. Niettemin is het noodzakelijk dat bedrijven zich op de hoogte stellen van de bijgewerkte regelgeving en zo snel mogelijk beginnen met het doorvoeren van de vereiste aanpassingen.

Stap 2: Vroegtijdige indiening van elektronische facturen (juli 2024) voor B2B e-facturering in Roemenië

De volledige implementatie van de tweede fase van het Roemeense B2B e-factureringsregime is gepland voor juli 2024. Als onderdeel van deze fase moeten bedrijven vooraf goedgekeurde elektronische facturen indienen via het eFactură platform. Papieren facturen zullen niet langer als geldig worden beschouwd voor de naleving van de belastingwetgeving. Om aan de regelgeving te voldoen, moeten facturen in het CIUS_RO formaat, dat is gebaseerd op UBL 2.1 of CIN formaat, naar het overheidsportaal worden gestuurd voor goedkeuring. De ingediende facturen ondergaan basisvalidatieprocedures om de nauwkeurigheid en juiste opmaak te garanderen.

Er moet worden opgemerkt dat de noodzaak voor overheidscontroles vooraf mogelijk wordt afgeschaft tegen januari 2026 om samen te vallen met de voorgestelde ViDA-vereiste (VAT Information Exchange System) om overheidscontroles vooraf volledig af te schaffen tegen 2028. Deze mogelijke wijziging sluit aan bij de wereldwijde beweging in de richting van onmiddellijke rapportering of voorlopige verkoopfacturen die aan de belastingautoriteiten worden voorgelegd voor documentatie en fundamentele verificatieprocessen.

Boetes en uitzonderingen**

Roemenië heeft gevolgen ingevoerd voor niet-naleving van het nieuwe B2B e-facturatiesysteem. Om bedrijven echter genoeg tijd te geven om zich aan te passen, is de termijn voor boetes verlengd tot juli 2024. Het is noodzakelijk dat bedrijven de mogelijke boetes voor niet-naleving begrijpen en proactief stappen ondernemen om aan de bijgewerkte regelgeving te voldoen.

In een poging om het e-facturatieproces te stroomlijnen en de lasten voor bedrijven te verminderen, zijn er verschillende vrijstellingen geïmplementeerd. Dit omvat vereenvoudigde facturen voor goederen en diensten, evenals voor export, niet-ingezeten tegenpartijen en B2C-transacties, die allemaal zijn vrijgesteld van de e-factureringsvereisten. Deze vrijstellingen werden ingevoerd met de bedoeling het algemene proces te vereenvoudigen.

Handleiding voor gebruikers

Het Roemeense Ministerie van Financiën heeft een gebruikersgids uitgebracht om bedrijven te helpen bij het begrijpen en uitvoeren van de nieuwe regelgeving voor e-facturatie. De gids bevat instructies over registratie, toegang tot het e-facturatiesysteem, het gebruik van de gratis factureringsapplicatie, het maken van XML-facturen, het downloaden van facturen, het converteren naar PDF, archivering, veelgestelde vragen en andere relevante details. Bedrijven wordt aangeraden deze gids te raadplegen voor een naadloze overgang naar het vernieuwde e-facturatiesysteem.

EU-autorisatie en wettelijke goedkeuring

Het B2B-regime voor e-facturering in Roemenië heeft groen licht gekregen van zowel het parlement als de president door de goedkeuring van de noodzakelijke wetgeving. Daarnaast heeft de Raad van de Europese Unie Roemenië gemachtigd om verplichte binnenlandse elektronische btw-facturering in te voeren vanaf 1 januari 2024. Deze machtiging was cruciaal omdat Roemenië hierdoor kon afwijken van specifieke artikelen van de btw-richtlijn van de EU die de implementatie van door de overheid verplichte e-facturering beperken. Roemenië heeft deze machtiging voor het eerst aangevraagd in 2022, met het oorspronkelijke plan om in juli van datzelfde jaar van start te gaan.

Daarnaast heeft de Europese Unie een voorstel gedaan om lidstaten vanaf januari 2023 geen toestemming meer te laten vragen als ze afwijken van de richtlijnen van de EU btw-richtlijn met betrekking tot e-facturering. Deze voorstellen maken deel uit van de initiatieven voor BTW in het digitale tijdperk met als doel een rechtvaardiger en effectiever belastingstelsel binnen de EU.

De evolutie van B2B e-facturatie in Roemenië

In een proactieve poging om frauduleuze activiteiten te voorkomen, heeft Roemenië maatregelen genomen om fraude in specifieke sectoren aan te pakken. Tegen juli 2022 heeft de belastingdienst van het land, ANAF (Agenției Naționale de Administrare Fiscală), het gebruik van B2B e-facturering verplicht gesteld in kwetsbare sectoren, waaronder groenten, fruit, wortels, eetbare knollen, andere eetbare planten, alcoholische dranken, minerale producten, nieuwbouw, kleding en schoeisel. Het hoofddoel van deze eerste implementatie was het bestrijden van belastingontduiking en het bevorderen van transparantie binnen deze sectoren.

Roemenië heeft onlangs een systeem ingevoerd dat e-transport heet en vergelijkbaar is met de e-Way Bill van Hongarije en India, naast e-facturatie. Dit systeem, ook bekend als het elektronisch goederenverkeerregister, verplicht bedrijven om hun risicovolle goederenbewegingen aan te geven via een door de ANAF ingediend XML-document. De uitrol van e-transport is gestart op 1 juli 2022.

E-facturering in Roemenië en de EU: Vooruitblik

Het B2B e-factureringssysteem in Roemenië is een cruciale stap om de belastingstelsels te moderniseren en belastingontwijking aan te pakken. Door de implementatie van elektronische facturen vooraf en de vaststelling van consequenties voor niet-naleving probeert Roemenië de belastingprocedures te vereenvoudigen en de verantwoordingsplicht te vergroten.

De EU onderneemt momenteel stappen om de regels voor digitale rapportage en doorlopende transactiecontroles tussen haar lidstaten te harmoniseren. Dit proces, dat in 2028 afgerond moet zijn, heeft als doel om een meer gestroomlijnd en consistent belastingstelsel in de hele EU te creëren.

Kortom, bedrijven die actief zijn in Roemenië moeten zich informeren over de onlangs geïmplementeerde regelgeving voor B2B e-facturatie en beginnen met de voorbereidingen. Door de fasen, criteria, gevolgen en vrijstellingen te begrijpen, kunnen bedrijven een naadloze overgang naar het vernieuwde systeem garanderen. Het raadplegen van de handleiding die door het Ministerie van Financiën is uitgegeven, is van onschatbare waarde tijdens deze overgangsperiode. Uiteindelijk laat de toewijding van Roemenië aan e-facturatie zien dat het de naleving van de belastingwetgeving wil verbeteren en een transparanter zakenlandschap wil creëren.

Contacteer frjacobs@telenet.be

Setting Up an LLC in ROMANIA for Foreign Citizens

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Wed, 31 Jan 2024 12:57:00 +0000

Are you a foreign citizen interested in starting a business in Romania, but the PFA legal structure does not suit your requirements? You may want to consider forming an LLC instead. Below are the necessary criteria for establishing an LLC as a non-resident.

Is it possible for non-natives to establish a business in Romania?

If you possess a strong concept and strategy, you are able to establish a company in Romania, regardless of your nationality. All you need to do is identify the suitable legal structure and adhere to the necessary procedure for establishment.

What are the reasons for starting a business in Romania?

Non-residents can enjoy various advantages, including a more favorable tax system in comparison to Western Europe, reduced wages for both virtual and physical assistants, and a minimal tax rate of 1% for micro-enterprises.

What are the benefits of selecting an LLC?

To elevate your business, opting for an LLC (limited liability company) could be the ideal choice. The following reasons support this statement: no specialized knowledge is necessary to form an SRL, individuals from both Romanian and foreign backgrounds (from EU and non-EU nations) are eligible to establish it, it permits the use of multiple CAEN codes, and the number of employees can be increased.

Requirements for forming an LLC as a non-citizen:

As stated in article 3 of GEO 44/2008, it is possible to establish an SRL in Romania even as a non-resident. The only conditions to be met are being at least 18 years old, having a clean record of complying with financial laws, and having a registered office.

Guide on setting up an LLC as a non-citizen:

The process is identical for both Romanian citizens and legal representatives. It is necessary to have a registered office in Romania and to apply for registration and authorization to operate. Additionally, CAEN codes must be selected and a company name must be chosen.

To avoid the bureaucratic hassle, you also have the option to reach out to us directly at frjacobs@telenet.be.

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Business Center in Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Mon, 11 Dec 2023 14:21:00 +0000

Why Romania's Business Center is the Perfect Hub for Entrepreneurs Seeking Flexibility

Our Business Center in Romania is a great option for entrepreneurs and businesses of all sizes. Offering flexible office solutions, easy access to important links such as banks, accountants, and state institutions, and nearly 20 years of experience, our Business Center is an ideal choice.

Benefits of Establishing Your Company in a Business Center include flexibility, cost reduction, and various room sizes that are more affordable than private offices. Additionally, you can access corporate services like meeting room rentals, reception services, and courier services without having to worry about additional costs like electricity, water, and security.

For foreign clients, our Business Center provides the fastest and simplest option for setting up Romanian companies at competitive fees. Our team of professional lawyers is dedicated to guiding you through the process and ensuring all legal requirements are met.

We also provide comprehensive management services, including company address rental, accounting, and legal support so you can focus on growing your business.

In conclusion, our Business Center in Romania offers flexible and efficient workspace solutions that allow you to concentrate on the success of your business.

contact : frjacobs@telenet.be

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Setting up a company in Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Thu, 20 Jul 2023 14:29:00 +0000

For company creation mail frjacobs@telenet.be

As a foreign investor interested in opening a company in Romania, it's essential to understand the process of setting up a new enterprise and the steps you need to follow. This comprehensive guide will provide you with the necessary information to establish your business in Romania successfully.

Overview of the advantages of setting up a company in Romania

The primary advantage of setting up a company in Romania is the relatively low administrative costs compared to other countries. Opening a business in Romania carries low costs, as you don't have to pay a lot for any official fees and taxes. Additionally, the process of company registration in Romania is simplified and can be completed in less than three months.

The process of setting up a company in Romania

Opening a company in Romania involves a three-step process:

Step 1. Obtaining the license

In this step, you'll complete the documentation for establishing a legal entity. You can obtain an official license once the following conditions are met:

You have an idea for the company

You have a project proposal

You have a business plan

You have the capital you will use to operate the company

You have a responsible management team

You have the appropriate office space

Step 2. Completing the registration

After obtaining the license, the next step is to register the company at the notary or the registrar. You will complete the following procedures to register a new company:

Submit the business information

Specify the type of company (limited liability or private)

Specify the activity of the company

Specify the name of the company

Specify the address of the company

Enter the data of the company management

List the partners of the company

Step 3. Keeping the company records

In the last step, you will perform the required company activities, including the formation of the company's management, the appointment of the company's main members, the creation of a company bank account, and the organization of an annual general meeting.

Requirements and steps for company registration in Romania

To register a company in Romania, you should meet the following requirements:

An idea for the company

A project proposal

A business plan

The capital you will use to operate the company

A responsible management team

The appropriate office space

To register a company, you must provide certain documentation to the notary or the registrar. You can find the address of the registrar on the registrar's website. You will also find the address of the notary on the notary's website. You can register a company in Romania using the following methods:

Company taxation in Romania

The Romanian tax administration determines the taxes to be paid by taxpayers. Taxes cover a range of issues, such as income tax, value-added tax, social security contributions, and so on. The income tax is a percentage of the profits gained by a company. It is calculated according to the type of company:

Corporation is taxed at 16%

Dividends are taxed at 8%

According to the tax administration, the company tax rate in Romania is very low. In fact, the tax rate is lower than the average income level in Romania. The low company tax offers corporations a low tax burden, allowing them to invest more money or create more jobs. Moreover, setting up a company in Romania provides the benefit of tax incentives and subsidies.

The timeline for creating a company in Romania

The registration process of a company in Romania is speedy. You can register a company in one day or one week. Registration can be completed in less than three months or up to six months. In Romania, there are no long-term obligations, allowing you to register a company in just a few days or months.

Sources of financing for company creation in Romania

When opening a company in Romania, you can receive funds from the following sources:

Banking sources: You can obtain a loan from a bank, credit union, or a foreign bank. You can also get a direct loan from a Romanian bank.

Insurance sources: You can obtain an insurance policy from an insurance company or acquire credit insurance.

Funds for investment: You can acquire investment funds from an investment company or obtain funds from family and friends.

Stock sources: You can purchase shares on the market

Tips for setting up a successful company in Romania

To set up a successful company in Romania, consider the following tips:

Find information about the company on the internet or in law books

Ensure your company complies with Romanian laws

Make sure your company is a good investment

In conclusion, setting up a company in Romania as a foreigner is a straightforward process with numerous advantages.

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Recruiting and hiring electricians in Romania: A Comprehensive Guide

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Wed, 07 Jun 2023 14:15:00 +0000

Romania's electricians are a valuable asset to businesses seeking skilled professionals in various industries. These experts design, assemble, install, and maintain electrical systems and machinery in commercial, industrial, and domestic environments. With a wide range of sectors and specialties, Romanian electricians are well-equipped to handle diverse electrical challenges. This article delves into the benefits of recruiting electricians in Romania, the various sectors, and the recruitment process.

For more info mail frjacobs@telenet.be

The Demand for Electricians in Romania

The demand for electricians in Romania is growing, as companies from various industries seek skilled professionals to fill diverse roles. From installation electricians to maintenance electricians and electrotechnical panel builders, there is no shortage of opportunities for those looking to advance their careers in the electrical field.

Why Electricians in Romania?

Romanian electricians are highly sought after for several reasons. They are well-trained, possessing the technical expertise and professionalism that employers value. With a low rate of resignations and high levels of dedication, Romanian electricians are known for their commitment to their jobs. This makes them an attractive choice for businesses in search of reliable, skilled employees.

The Expertise of Romanian Electricians: Key Skill Sets and Specialties

Romanian electricians possess a diverse range of skills, making them suitable for various industries and roles. Some of the key areas of expertise include:

Installation Electricians

These professionals are responsible for installing power systems, lighting, fire protection, security, and data-network systems in all types of buildings.

Maintenance Electricians

These electricians focus on checking systems to ensure they're working efficiently and safely. They also carry out regular maintenance tasks to prolong the life of electrical equipment.

Electrotechnical Panel Builders

These specialists create and install control panels to operate the electrical systems inside buildings, ensuring seamless integration and functionality.

Machine Repair and Rewind Electricians

These experts fix and maintain electrical motors and transformers, ensuring optimal performance and minimizing downtime.

Highway Systems Electricians

These professionals install and maintain street lighting and traffic management systems, contributing to safe and efficient transportation infrastructure.

Exploring the Various Sectors for Electrician Jobs in Romania

Romanian electricians can be found working across multiple industries, including:

Construction and Infrastructure
Manufacturing and Production
Energy and Utilities
Telecommunications and Networking
Logistics
Residential and Commercial Services

Within these industries, electricians connect wiring and lighting, troubleshoot problems, repair electrical components, and maintain automated machinery. They also install computer networks and technology, such as data, voice, and video wiring.

The Recruitment Process: How to Find the Right Electricians in Romania

To ensure a successful hiring process, companies should utilize a robust recruitment methodology that addresses common concerns, such as candidates lacking the hands-on technical skills required for their roles.

Contract, Contract-to-Hire, Direct Placement, and Managed Resources

When looking to hire electricians in Romania, companies have several options, including contract, contract-to-hire, direct placement, and managed resources basis. By tailoring the recruitment process to meet specific needs, businesses can quickly and effectively find top professionals who are ready to hit the ground running.

Recruitment Methodology

A well-developed recruitment methodology is crucial to overcome challenges in finding suitable candidates. This process should include:

Job Analysis: Conduct a thorough analysis of the job requirements to create a clear and detailed job description.
Sourcing: Use various channels, such as job boards, social media, and recruitment agencies, to reach a wide pool of potential candidates.
Screening: Implement a rigorous screening process to assess candidates' skills, qualifications, and experience.
Interviewing: Conduct structured interviews to evaluate candidates' technical and interpersonal skills, as well as their cultural fit within the organization.
Testing: Administer relevant technical tests and assessments to ensure that candidates possess the required hands-on skills.
Reference Checks: Perform reference checks to verify candidates' previous employment history and obtain feedback from former employers.
Offer and Negotiation: Present a competitive offer and negotiate terms to secure the best talent.
Onboarding: Provide a comprehensive onboarding process to help new hires integrate into the company and become productive team members.

Challenges and Solutions in Recruiting Romanian Electricians

While there are many advantages to recruiting electricians in Romania, the process can also present some challenges. Here are some common issues and potential solutions:

Language Barrier

Solution: Ensure that candidates possess the necessary language skills for their roles, and provide language training if needed.

Cultural Differences

Solution: Offer cross-cultural training and support to help new hires adapt to their new work environment and team.

The Benefits of Recruiting Electricians in Romania

In conclusion, recruiting electricians in Romania offers numerous benefits to both companies and job seekers. The country's skilled professionals, low resignation rates, and dedication to their roles make Romanian electricians an excellent choice for businesses seeking top talent. By utilizing a robust recruitment methodology and addressing potential challenges, companies can effectively tap into Romania's electrical talent and bolster their teams with skilled professionals.

Roll Call for Handy Electricians!

Keeping electricity running in large buildings is no easy task. If you need a good electrician, Romania is the perfect destination for finding qualified professionals. Whether you're searching for installation electricians, maintenance electricians, or electrotechnical panel builders, Romania has a wealth of talent to offer. Don't hesitate to contact us for assistance in finding the right electrician for your needs.

Final Thoughts

Romania's thriving electrical industry presents a wealth of opportunities for businesses and job seekers alike. With a diverse range of skill sets and specialties, Romanian electricians are well-equipped to handle the electrical challenges of various industries. By leveraging a robust recruitment methodology and addressing potential challenges, companies can successfully tap into Romania's electrical talent and enhance their teams with skilled professionals.

For more info mail frjacobs@telenet.be

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EMPLOYEE DISCIPLINARY RESEARCH (COMMISION) IN ROMANIA AND SANCTIONS IN ROMANIA

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Thu, 01 Jun 2023 13:34:00 +0000

Disciplinary misconduct is an act related to work, consisting of an action or inaction committed by the employee. This violated legal norms or internal regulations, the provisions of the individual employment contract, the applicable collective labor agreement, the orders and legal provisions of the hierarchical leaders.

The disciplinary sanctions applicable to employees are described in Article 248 of the Labor Code, namely:

1. Written warning (the only measure that can be applied without prior disciplinary investigation);

2. Relegation from office, with the award of the salary corresponding to the position in which the relegation was ordered, for a period not exceeding 60 days;

3. Reduction of the basic salary for a period of 1-3 months by 5-10%;

4. Reduction of the basic salary and / or, as the case may be, and of the management allowance for a period of 1-3 months by 5-10%;

5. Disciplinary termination of the individual employment contract.

The stages of the disciplinary research procedure are:

Preparation of the report on committing the disciplinary offense;
Preparation of the act of appointment of the disciplinary research commission (usually composed of 3 members)
Preparation of the employee's summons, specifying the object, date, time and place of the meeting;
Preparation of an explanatory note and listening to the employee;
Preparation of the minutes of completion of the preliminary disciplinary investigation;
Issuing a sanctioning decision by the employer, without being obliged to necessarily take into account the sanctioning proposal of the preliminary disciplinary investigation commission.

According to article 252 of the Labor Code, the provisions regarding the application of disciplinary sanctions are:

1. The employer shall order the application of the disciplinary sanction by a written decision, within 30 calendar days from the date of becoming aware of the disciplinary offense, but not later than 6 months from the date of the act.

2. Under the sanction of absolute nullity, the decision must include:

a. Description of the deed that constitutes a disciplinary violation;

b. Specifying the provisions from the staff statute, the internal regulation, the individual employment contract or the applicable collective labor contract that have been violated by the employee;

c. The reasons why the defenses made by the employee during the preliminary disciplinary investigation were removed or the reasons why, under the conditions set out in Article 251 (3), the investigation was not carried out;

d. The legal basis on which the disciplinary sanction is applied;

e. The term in which the sanction can be challenged;

f. The competent court to which the sanction can be challenged.

3. The sanctioning decision shall be communicated to the employee within 5 calendar days from the date of issue and shall take effect from the date of communication.

4. The communication shall be handed over personally to the employee, with a signature of receipt, or in case of refusal of receipt, by registered letter, at the domicile or residence communicated by him.

5. The sanctioning decision may be challenged by the employee before the competent courts within 30 calendar days from the date of communication.

Therefore, the disciplinary investigation comprises the following steps to be included in the rules of procedure:

1. Initiation of preliminary disciplinary investigation

2. Appointment of the preliminary disciplinary investigation commission

3. Convening the employee

4. Carrying out preliminary disciplinary research

5. Completion of the preliminary disciplinary investigation

At this stage, the disciplinary investigation commission will draw up an investigation report in which it will be specified if the act committed by the employee is classified as a disciplinary violation, as well as the sanctioning proposals.

The research report must also mention:

Description of the deed committed by the employee in connection with the work and which consists in an action or inaction committed with guilt by him and the reason why the deed was classified as a disciplinary offense;
Specifying the provisions of the internal regulation, the individual employment contract or the applicable collective labor contract that were violated by the employee, correlated, as the case may be, with the provisions of the work instructions, internal decisions, other specific documents violated / not respected by the employee;
The reasons for which the defenses formulated by the employee during the preliminary disciplinary investigation were removed or the reasons for which the investigation was not carried out;
The sanctioning proposal and the legal basis under which the disciplinary sanction is applied (the article in the internal regulation, corroborated with the article in Law 53/2003 republished in the Labor Code, based on which the disciplinary sanction is applied).

The concept of delisting the disciplinary sanction should also be mentioned. A disciplinary sanction not followed by another sanction for a period longer than 12 months shall be deemed to be canceled. This will be materialized in a written decision issued by the employer.

Therefore, if we have at least 12 months between one offense and another offense, we cannot discuss successive disciplinary offenses.

More info mail frjacobs@telenet.be

Recruiting Engineers in Romania: A Comprehensive Guide

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Wed, 31 May 2023 13:11:00 +0000

Romania is emerging as a hub for engineering talent, with an increasing number of companies looking to tap into the country's vast pool of skilled engineers and technicians. Whether you're a business seeking experienced professionals or an engineer in search of new opportunities, Romania may just be the perfect destination. This article explores the benefits of recruiting engineers in Romania, the various engineering sectors, and the recruitment process.

More info mail frjacobs@telenet.be

The Demand for Engineers in Romania

The demand for engineers in Romania is on the rise, as companies from various industries seek skilled professionals to fill a wide range of roles. From computer scientists to mechanical, construction, and energy engineers, there is no shortage of opportunities for those looking to further their careers in the engineering field.

Why Engineers in Romania?

Engineers from Romania are highly sought after for several reasons. They are well-trained, possessing the technical expertise and professionalism that employers value. With a low rate of resignations and high levels of dedication, Romanian engineers are known for their commitment to their jobs. This makes them an attractive choice for businesses in search of reliable, skilled employees.

Engineering Expertise in Romania: Key Skill Sets and Focus Areas

Romanian engineers possess a diverse range of skills, making them suitable for various industries and roles. Some of the key areas of expertise include:

Architecture and Engineering

Romanian engineers can provide valuable support for engineering, design, and construction projects related to buildings and other physical infrastructures.

Product Engineering and Design

In the manufacturing sector, Romanian engineers can contribute to the development of mechanical, electronic, and software systems.

Software and Hardware

Romanian engineers are adept at working with all phases of software and hardware development for physical-product-based computer systems.

Focus Areas in Romanian Engineering

The engineering talent in Romania spans across various industries, including:

Aerospace and Defense
Consumer and Industrial Products
Energy and Construction
Life Sciences
Retail and E-commerce
Transportation

The Recruitment Process: How to Find the Right Engineers in Romania

Contract, Contract-to-Hire, Direct Placement, and Managed Resources

When looking to hire engineers in Romania, companies have several options, including contract, contract-to-hire, direct placement, and managed resources basis. By tailoring the recruitment process to meet specific needs, businesses can quickly and effectively find top professionals who are ready to hit the ground running.

Recruitment Methodology

A well-developed recruitment methodology is crucial to overcome challenges in finding suitable candidates. This process should include:

Job Analysis: Conduct a thorough analysis of the job requirements to create a clear and detailed job description.
Sourcing: Use various channels, such as job boards, social media, and recruitment agencies, to reach a wide pool of potential candidates.
Screening: Implement a rigorous screening process to assess candidates' skills, qualifications, and experience.
Interviewing: Conduct structured interviews to evaluate candidates' technical and interpersonal skills, as well as their cultural fit within the organization.
Testing: Administer relevant technical tests and assessments to ensure that candidates possess the required hands-on skills.
Reference Checks: Perform reference checks to verify candidates' previous employment history and obtain feedback from former employers.
Offer and Negotiation: Present a competitive offer and negotiate terms to secure the best talent.
Onboarding: Provide a comprehensive onboarding process to help new hires integrate into the company and become productive team members.

Challenges and Solutions in Recruiting Romanian Engineers

While there are many advantages to recruiting engineers in Romania, the process can also present some challenges. Here are some common issues and potential solutions:

Language Barrier

Solution: Ensure that candidates possess the necessary language skills for their roles, and provide language training if needed.

Cultural Differences

Solution: Offer cross-cultural training and support to help new hires adapt to their new work environment and team.

The Benefits of Recruiting Engineers in Romania

In conclusion, recruiting engineers in Romania offers numerous benefits to both companies and job seekers. The country's skilled professionals, low resignation rates, and dedication to their roles make Romanian engineers an excellent choice for businesses seeking top talent. By utilizing a robust recruitment methodology and addressing potential challenges, companies can effectively tap into Romania's engineering talent and bolster their teams with skilled professionals.

More info mail frjacobs@telenet.be

Near shoring in construction design sector Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Tue, 16 May 2023 14:11:00 +0000

Near shoring in construction design sector Romania

“Nearshoring” is a phenomenon that many large companies are employing to get the best of both worlds in construction design. This model allows for greater collaboration between teams who may otherwise be geographically separated, while also providing cost-saving benefits. Romania has become a hotbed for nearshoring in the construction design sector, as it provides access to a highly educated workforce and excellent infrastructure. In this article, we will discuss why Romania is such an attractive option for nearshoring in the construction design sector and how companies can take advantage of its advantages.

Why to choose Romania

There are many reasons to choose Romania for near shoring in the construction design sector. Romania has a well-educated and experienced workforce, and its cost of living is significantly lower than other Western European countries. Additionally, Romania is home to a number of large multinational companies who have outsourced their construction design operations to Romanian firms. As a result, there is a wealth of experience and expertise in the country that can be leveraged by businesses looking to near shore their construction design operations. Finally, Romania is a stable and safe country with a pro-business environment, making it an ideal destination for businesses looking to expand their operations.

Benefits in the field of construction

There are many benefits to near shoring in the construction design sector in Romania. One of the biggest benefits is that there is a large pool of highly skilled and experienced professionals to choose from. This means that you can find the perfect team for your project, no matter what your budget or timeline may be.

Another benefit of near shoring in construction design in Romania is the cost. The wages for construction professionals are much lower in Romania than they are in other Western European countries. This can save you a significant amount of money on your project costs. Additionally, the cost of living in Romania is also very affordable, which can further reduce your overall expenses.

Finally, another big benefit of near shoring construction design work in Romania is the time zone difference. With Romania being just one hour ahead of Central European Time, it’s easy to stay in communication with your team and keep your project on track. There’s no need to worry about costly delays or disruptions due to time zone differences.

Design in Romania and build where you want

In recent years, Romania has become a hub for nearshore construction design. Thanks to its central location in Europe and its low cost of living, Romania is an attractive option for companies looking to outsourcet their construction design needs.

There are a number of reasons why Romania is such a good option for nearshore construction design. First, the country has a large pool of talented and qualified designers. Second, Romanian firms have experience working with international clients and understand the importance of meeting deadlines and budget constraints. Finally, many Romanian firms offer bilingual services, which can be a valuable asset for companies with limited English-language resources.

If you're considering nearshoring your construction design work, Romania is definitely worth considering. The country has a lot to offer in terms of talent, experience, and value.

More info mail frjacobs@telenet.be

Near shoring in IT to Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Tue, 16 May 2023 14:06:00 +0000

Near shoring in IT sector Romania

Near shoring is a popular trend in the IT sector, where businesses look to other countries in their region for cost savings and better services. Romania is one of the countries on the list of near shoring options, as its IT sector has seen immense growth over recent years. In this blog post, we'll explore why near shoring to Romania is an attractive option for many IT companies, as well as some of the challenges that come with it. We will also discuss how businesses can overcome these challenges and get the most out of near shoring in Romania.

What means near shoring?

Near shoring is the outsourcing of IT or other business processes to a company in a nearby country. The main advantages of near shoring are lower costs, proximity to the customer, and cultural similarity.

The main disadvantage of near shoring is that it can lead to increased competition for jobs in the home country. For example, if a company outsources its IT operations to Romania, there will be fewer IT jobs available in the company's home country.

Near shoring can also cause communication difficulties, as there may be language and cultural barriers between the two countries.

IT sector in Romania

The IT sector in Romania has been growing rapidly in recent years, becoming an increasingly attractive destination for near-shoring. This is due to a number of factors, including the country's skilled workforce, its competitive costs, and its good infrastructure.

As a result of this growth, the Romanian IT market is now worth an estimated €2.5 billion. The country has around 100,000 IT professionals, and this number is growing by around 10% each year. There are a number of large multinational companies with operations in Romania, including Microsoft, Amazon, IBM, Oracle, and HP.

The Romanian government has been supportive of the IT sector and has introduced a number of initiatives to encourage its development. These include tax incentives for companies investing in the sector, as well as funding for training and development programs.

The future looks bright for the Romanian IT sector. With continued support from the government and increasing interest from foreign investors, it is set to continue its strong growth in the years ahead.

Benefits of near shoring

There are many benefits to near shoring in IT sector Romania. One of the most significant benefits is the cost savings that can be achieved. Additionally, there are other advantages such as improved communication, better management, and increased efficiency.

Finally, Romania has a well-developed infrastructure, which makes it an ideal location for nearshoring. The country has a modern transportation and telecommunications network, meaning businesses can quickly and easily set up operations in Romania. This makes it easy for companies to move quickly and confidently when nearshoring in Romania.

More info mail frjacobs@telenet.be

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Taxation in Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Mon, 27 Mar 2023 08:08:00 +0000

Taxation of corporations in Romania

Source investment guide Deloitte 2023

Accounting and fiscal period

The accounting and fiscal year is considered to be the calendar year or the period during which the entity existed, if it was set up, or ceased to exist during that year. Certain categories of entities (i.e. Romanian branches of foreign companies, Romanian consolidated subsidiaries and subsidiaries of the subsidiaries of foreign companies, except for credit institutions) are allowed to set an accounting year other than the calendar year, if the financial year of the parent company is different from the calendar year. Further to the change of the financial year, companies may opt also for the change of the tax year in order to align with the accounting period.

Tax base

The taxable profit of a company is calculated as the difference between the revenues derived from any source and the expenses incurred in obtaining taxable revenues through- out the tax year, adjusted for fiscal purposes by deducting non-taxable revenues and adding nondeductible expenses. Other elements similar to revenues and expenses are also to be taken into account when calculating the taxable profit.

Non-taxable revenues

The most relevant non-taxable revenues stipulated by the Romanian Fiscal Code are, inter-alia:

• Revenues from dividends received by a Romanian company from another Romanian company • Revenues from dividends received by a Romanian company from a subsidiary situated in an EU member state, subject to certain conditions, i.e. the Romanian company is a profit taxpayer and has held at least 10% of the subsidiary's shares for a continuous period of at least two years by the date the dividends are paid.

• Unrealized favorable differences in the value of participation titles and long term bonds (e.g. effected according to the accounting rules, or in case of titles following the capitalization of reserves, benefits or share premiums).

• Revenues from reversal or cancellation of provisions / expenses that were previously non- deductible, recovery of expenses that were previously non-deductible and revenues from reversal or cancellation of interest and late-payment penalties that were previously non- deductible.

• Non-taxable income expressly provided for under agreements and memoranda.

Deductibility of expenses

From the deductibility standpoint, expenses fall into three categories: deductible expenses, limited deductibility expenses and non- deductible expenses.

Deductible expenses

As a rule, expenses are deductible only if incurred for business purposes. The following expenses are considered as being incurred for generating taxable income:

• Expenses incurred for marketing, market research, promotion on existing or new markets, participation in fairs and exhibitions, in business missions and publishing of own brochures; • Advertising expenses incurred in promoting the company, products or services, based on written contracts, as well as costs associated with the production of the materials necessary for broad-casting advertisements, including goods granted as samples, for product testing at selling units, as well as other goods and services granted in order to stimulate sales;

• Research and development expenses that do not meet the requirements to be recognised as intangible assets for accounting purposes;

• Expenses incurred for environmental protection and resource conservation;

• Expenses incurred for improvement of management, IT, the introduction, maintenance and development of quality management systems, and obtaining quality compliance confirmation;

• Bad debts expenses are fully deductible in any of the following cases: the bankruptcy procedure of the debtor was closed based on a court decision; the debtor is deceased and the receivable cannot be recovered from the heirs; the debtor is dissolved or liquidated; the debtor has major financial difficulties affecting its entire patrimony;

• Travel and accommodation expenses related to business trips in Romania or abroad by employees and directors, and also individuals treated as holding these positions (directors based on mandate and secondees whose costs are covered by the Romanian company); this also includes personnel's transport to and from the workplace;

• Expenses incurred from professional training and development of employees; • Expenses incurred in relation to work safety, prevention of work accidents and occupational diseases, the related insurance contributions and professional risk insurance premiums; • Expenses incurred from acquisition of packaging during their useful life.

• Fines, interest, penalties and other increased payments due under commercial contracts.

Limited deducibility expenses

The deductibility of certain expenses is limited as follows:

• Financial costs under certain rules aligned with the European provisions (see details below);

• Depreciation of assets under fiscal depreciation rules (see details below);

• Perishable goods capped as set by the relevant central administration bodies;

• Protocol expenses are deductible up to the limit of 2% of the difference between total taxable revenue and total expenses related to taxable revenue, except for protocol and profit tax expenses;

• Daily allowances for expenses from domestic and foreign travel by employees are deductible up to the level of 2.5 times the ceiling set for public institutions;

• Social expenses are deductible up to 5% of salary expenses. Among others they can include maternity allowances, expenses for nursery tickets, funeral benefits and allowances for serious or incurable diseases and prostheses, as well as expenses for the proper operation of certain activities or units under taxpayers' administration (i.e. kindergartens, nurseries, health services supplied for occupational diseases and work accidents prior to admission to health establishments, canteens, sports clubs, clubs, etc.); expenses incurred for benefits granted under a collective labor agreement, such as holiday tickets granted to employees.

• Taxes and contributions paid to non-government organizations and professional associations related to the taxpayer's activity are deductible up to the limit of EUR 4,000 per year.

• 50% of expenses from operation, maintenance and repair of vehicles not used solely for business purposes.

Non-deductible expenses

Expenses, which are specifically nondeductible, include, among others, the following:

• Domestic profit tax and profit tax paid in foreign countries;

• Expenses related to non-taxable revenues; Note that revenues from dividends have no corresponding expenses.

• Expenses related to withholding tax supported by Romanian taxpayers on behalf of nonresidents; • Interest, fines and penalties due to Romanian or foreign authorities;

• Sponsorship and patronage expenses and expenses for private scholarships. Taxpayers are granted a fiscal credit up to whichever is the lower of 0.5% of turnover and 20% of the profit tax due.

• Expenses incurred from insurance premiums un-related to company assets or business, save for those regarding goods which are bank collateral on loans used to conduct the activity for which the taxpayer is authorised or those used under rental or leasing contracts; • Bad debts expenses in excess of the deductible provision (see below); • Expenses recorded without proper "justifying" documents;

• Expenses in favour of shareholders, other than those related to goods or services provided by the shareholders at market value;

• Expenses incurred from fixed assets impairments (i.e. losses in value defined as provisory adjustments by the accounting regulations transposing European Accounting Directives).

Provisions and reserves

Amounts used for setting up or increasing reserves or provisions are deductible as follows:

• Setting up or increasing the legal reserve fund to a limit of 5% of the yearly accounting profit before tax (with adjustments) until it reaches 20% of the share capital. • Provisions for doubtful debts are deductible up to the limit of 30%, if the related receivables meet the following conditions simultaneously: – not collected for a period exceeding 270 days from the due date – not guaranteed by another person – -due by a person not affiliated with the tax- payer - included in the taxable income of the tax- payer.

• Bad debt provisions are fully tax deductible if all the following conditions are met: – the debtor is a company that entered into the bankruptcy process – another person does not guarantee receivables – the debtor is not a related party

• Specific provisions established by credit institutions, non-banking financial institutions and other similar entities.

• Technical reserves set up by insurance and reinsurance companies, in accordance with their regulatory legal framework except for the equalisation reserve.

• Risk provisions for transactions carried out on financial markets, in accordance with the rules issued by the National Commission Securities.

As a general rule, the reduction or cancellation of any provision or reserve deducted from the taxable profit, due to changing the destination of the provision or reserve, distribution towards shareholders in any form, liquidation, spin off, merger or any other reason, is included in the taxable revenues and taxed accordingly. The reconstruction of the legal reserve is also non-deductible.

Accounting and fiscal depreciation

The Fiscal Code makes an explicit distinction between accounting and fiscal depreciation. For fixed assets, fiscal depreciation is to be calculated based on the rules set out by the Fiscal Code and deducibility no longer depends on the level of depreciation recorded in the accounts.

• Expenses of all intangible assets recognized for accounting purposes, with the exception of start-up costs and goodwill will now be amortizable.

• The calculation of depreciation of fixed assets for tax purposes is based on the fiscal value, and may need to be adjusted for revaluations according to accounting rules.

• Fiscal depreciation should be calculated based on the asset's fiscal value and useful life for tax purposes, by applying one of the permitted depreciation methods:

A. straight-line method,

B. accelerated depreciation and

C. reducing balance method.

• Technical equipment, computers and peripherals can be depreciated by using any of the above depreciation methods. For any other fixed assets (except for buildings for which only the straightline method can be applied), only the straight line or digressive method can be used. From 2009, the accelerated depreciation method may also be applied to equipment used in research and development activities.

• If the fair value determined upon the revaluation of the fixed assets drops below the fiscal value (i.e. equal to acquisition cost, production cost, market value of the fixed assets acquired for free or contributed to the share capital, adjusted with accounting reevaluations) the non-depreciated fiscal value of fixed assets is computed based on the fiscal value.

• The same applies for re-evaluation of land should it result in a decrease in value to below the fiscal value. Thus, the new value recognized for fiscal purposes would be the fiscal value.

Deductibility of borrowing costs

Starting with January 1, 2018, the ATAD Directive has been transposed into the Romanian domestic legislation, as such the interest and FX expenses are subject to a different limitation rules. The exceeding borrowing costs (computed as the difference between borrowing expenses and revenues) are subject to the following deductibility limits:

• are deductible expenses within the threshold of EUR 1 million;

• if the exceeding borrowing costs exceed the above mentioned threshold, the companies could deduct a further amount of 30% of a tax adjusted EBITDA.

• If the tax adjusted EBITDA is zero or negative, the borrowing costs exceeding the 1,000,000 threshold are treated as non-deductible for corporate income tax purposes during the current tax period, but can be carried forward indefinitely. The new rules also apply to interest and foreign exchange losses carried forward from the past and accumulated as at 31 December 2017.

Transfer pricing

• Transactions between related parties should observe the arm's length principle. If transfer prices are not set at arm's length, the Romanian Tax Authorities have the right to adjust the taxpayer's revenues or expenses, to reflect the market value. When the taxpayer fails to submit the file or when an incomplete transfer-pricing file is submitted, the tax authorities have the right to estimate the transfer prices. The transfer prices will be adjusted/estimated by using the median of the market range.

• Traditional transfer pricing methods (comparable uncontrolled price, cost plus and resale price methods), as well as any other methods that are in line with the OECD Transfer Pricing Guidelines (i.e. transactional net margin and profit split methods) may be used for setting and justifying transfer prices.

• Domestic legislation expressly stipulates that when applying transfer-pricing rules, the Romanian tax authorities also consider the OECD Transfer Pricing Guidelines.

• Transfer pricing documentation

• The local transfer pricing legislation provides for specific TP documentation requirements based on the category of taxpayer (large or small and mediumsized), the annual value of inter-company transactions and the type of transaction, as follows:

• Large taxpayers, which carry out intercompany transactions with a total annual value higher than any of the following thresholds, have the obligation to prepare the TP file annually:

– EUR 200,000 for interest received/paid for financial services;

– EUR 250,000 for services received/ provided; – EUR 350,000 for acquisitions/sales of tangible and intangible goods.

• The deadline for the preparation of the transfer-pricing file is the legal deadline for the submission of the annual corporate income tax return, for each fiscal year. The deadline for submission of the transfer-pricing file is of maximum 10 days from the request date, and not earlier than 10 days from the expiration of the preparation deadline. The submission of the transfer-pricing file is made at the specific request of the tax authorities either during a fiscal inspection or outside such process.

• For small and medium-sized taxpayers as well as for the large taxpayers that do not fulfill the criteria mentioned above, which carry out inter-company transactions with a total annual value higher than any of the following thresholds:

– EUR 50,000 for interest received/paid for financial services;

– EUR 50,000 for services received/ provided;

– EUR 100,000 for acquisition/sale of tangible and intangible goods

• The transfer-pricing file will be prepared based on the specific request of the tax authorities, during a tax audit. The deadline for the presentation of the transfer pricing file is of 30 to 60 days and can be extended only once with a period of maximum 30 days, upon the written request of the taxpayer.

• the taxpayers performing intra-group transactions for which the materiality thresholds are lower than those described at points above have the obligation to document the compliance with the arm’s length principle during a fiscal inspection, according to general rules provided by the financial-accounting and fiscal legislation in force.

• the content of the transfer pricing documentation file is approved by order of the president of the National Agency for Tax Administration no. 442/2016. The Order is supplemented by the Transfer Pricing Guidelines issued by the OECD Transfer Pricing Guidelines and the Code of Conduct on transfer pricing documentation for associated enterprises in the European Union (EUTDP).

• Transfer pricing audit activity has significantly increased during the past years and requests for presenting the transfer pricing documentation file have started to become common practice. We are aware of cases where the Romanian tax authorities have adjusted the taxable result of a local taxpayer in accordance with the applicable regulations.

Advance Pricing Agreement

• Taxpayers engaged in transactions with related parties can request the issuance of an APA from the National Agency for Tax Administration. They also have the possibility to schedule a pre-filing meeting to discuss the feasibility of the APA.

• The request for an APA is filed together with the relevant documentation and payment evidence of the fee (ranging between EUR 10,000 and EUR 20,000). The required documentation is based on the EUTPD and suggests up-front the content of the APA.

• The term provided by the Fiscal Procedural Code for issuance of an APA is 12 months for unilateral APAs and 18 months for bilateral and multilateral APAs. The APA is issued for a period of up to five years. In exceptional cases, it may be issued for a longer period for longterm agreements. • APAs are applicable and binding on the tax authorities as long as there are no material changes in the critical assumptions. In this view, the beneficiaries are obliged to submit an annual report on the compliance with the terms and conditions of the agreement.

• If taxpayers do not agree with the content of the APA, they can notify the National Agency for Tax Administration within 30 days. In this case, the agreement does not produce any legal effects.

Advance Tax Ruling

• Companies may request an Advance Tax Ruling be issued by the National Agency for Fiscal Administration, subject to a fee of EUR 5000 for large taxpayers and EUR 3000 for other taxpayers.

• The taxpayer may propose the content of the Advance Tax Ruling in the request submitted. If the taxpayer does not agree with the Advance Tax Ruling, it may notify the issuing authority within 30 days; in this case, the tax ruling does not have legal effect.

• Advance Tax Rulings are applicable and mandatory against tax authorities only if the taxpayers have observed their terms and conditions.

Fiscal relief

• unilateral relief is provided by way of an ordinary credit for income taxes paid abroad which cannot exceed the profit tax calculated by applying the Romanian profit rate (i.e. 16%) to the taxable profits obtained abroad. The Romanian company should have available documentation attesting to the taxes being paid abroad.

• Underlying foreign corporate income tax is not creditable against Romanian income tax, except for corporate income tax calculated by foreign permanent establishments or branches.

Fiscal losses

• Companies are allowed to carry forward fiscal losses as declared in the yearly profit tax returns for a period of seven years based on a FIFO method.

• No related adjustment for inflation is allowed.

Dividends, interest, royalties paid to resident companies

• Dividend payments by a Romanian company to another Romanian company are subject to 5% dividend tax. • as of January 1, 2007, the provisions of the Parent-Subsidiary Directive are applicable.

• Consequently, the dividends received by a Romanian company from another EU resident (including Romanian) company are not taxed if the beneficiary has held at least 10% of the Romanian company's shares for a continuous period of at least 1 year by the date of dividends payment.

• Distributed dividends are exempt from taxation if they are invested in the same or in another Romanian company's share capital, to preserve and increase the number of employees and to develop the company's registered object of activity.

• Interest and royalty payments by Romanian companies to other Romanian companies are tax-able income in the hands of the beneficiary with ordinary corporate income tax.

Consolidation

• There is no tax consolidation or group taxation in Romania. Members of a group must file separate tax returns. Losses incurred by members of a group cannot be offset against profits made by other group members. There are currently discussions and it appears that tax consolidation for corporate income tax purposes will be available under certain conditions.

Capital Gains

• Capital gains obtained by Romanian resident companies are included in ordinary profit and taxed at 16%. Capital losses related to sale of shares are, in general, tax deductible.

• Mergers, spin-offs, transfers of assets and ex-changes of shares between two Romanian companies should not trigger capital gains tax.

• In the case of a relocation of the registered office of a European Company ('SE') and European Cooperative Society ('SCE') from Romania to another EU Member State, if certain conditions are met there is no tax on the difference between the market value of the transferred assets and liabilities and their fiscal value. There will also be no tax on such movements at the shareholder level and, thus, in the case of Romanian shareholders a tax basis step-up may be achieved.

• If a Romanian company has a permanent establishment in another Member State, and the Romanian company is dissolved because of a cross-border reorganization, the Romanian tax authorities will not have the right to tax the former permanent establishment.

Need help mail frjacobs@telenet.be

More articles at www.investmentinromania.com

Experience the Ultimate Workspace Flexibility in Buzau, Romania: Our Business Center Provides a Tailored Solution for Every Entrepreneur and Organization!

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Mon, 20 Mar 2023 08:52:00 +0000

Our Business Center Provides a Tailored Solution for Every Entrepreneur and Organization in Romania!

As an entrepreneur, finding the perfect workspace can be a challenge. Whether you're looking for a temporary office or a long-term solution, it's important to find a workspace that fits your needs. That's where business centers come in. Business centers are physical locations that provide temporary office solutions for all types of entrepreneurs and organizations. Our business center, located in Buzau, offers a tailored solution for every entrepreneur or organization.

Benefits of Establishing Your Company in a Business Center

Establishing your company in a business center has many advantages. One of the biggest advantages that business centers offer in Romania is flexibility. You can rent an office for as long as you need it, whether it's a few days or a few months. You can also choose the size of the office that fits your needs. This allows you to scale up or down as your business grows or changes.

Another advantage of a business center is the cost-effectiveness. Renting an office in a business center is often cheaper than renting a traditional office space. You don't have to worry about the overhead costs that come with owning or renting a traditional office, such as utilities, maintenance, and cleaning.

Flexibility in a Business Center

Flexibility is key when it comes to finding the perfect workspace. Our business center offers a range of office solutions to fit your needs. Whether you need a private office, a coworking space, or a virtual office, we have a solution that fits your needs.

Our private offices offer a quiet and professional environment for you to work. The offices come fully furnished and equipped with everything you need to get started. We also offer coworking spaces for those who prefer a more collaborative environment. Our coworking spaces are perfect for freelancers, startups, and small businesses.

If you don't need a physical office, we also offer virtual office solutions. Our virtual office plans include a business address, mail and package handling, and access to our meeting rooms and coworking spaces. This is a great option for those who want to establish a professional business presence without the overhead costs of a physical office.

Location Advantages of Our Business Center in Buzau, Romania

Our business center is located in a quiet area with quick access to all important links, including banks, accountants, and important state institutions. Buzau is a beautiful and historic city in the heart of Romania. It's a great location for businesses looking to establish a presence in Eastern Europe.

Our business center is just a short walk from the city center, where you'll find a variety of restaurants, cafes, and shops. The city is also home to several cultural attractions, including museums and historical landmarks.

Our Business Center's 20 Years of Experience and Tailored Solutions for Every Entrepreneur or Organization

Our business center has almost 20 years of experience in providing tailored solutions for entrepreneurs and organizations. We understand that every business is unique, which is why we offer a range of office solutions to fit your needs.

We pride ourselves on our excellent customer service. Our team is dedicated to ensuring that our clients have everything they need to succeed. From administrative support to IT services, we're here to help you every step of the way.

Temporary Office Solutions Provided by Our Business Center

Our business center offers a range of temporary office solutions to fit your needs. Whether you need a private office for a day or a week, we have a solution that fits your needs. Our temporary office solutions are perfect for businesses that need a flexible workspace without the long-term commitment.

We also offer meeting and conference rooms for rent. Our meeting rooms come fully equipped with everything you need for a successful meeting, including high-speed internet, projectors, and whiteboards.

Quick Access to Important Links in the Area

Our business center is located in a convenient location with quick access to all important links in the area. Whether you need to visit a bank, an accountant, or an important state institution, our location makes it easy to get there.

We understand the importance of having access to these links, which is why we chose our location carefully. We want our clients to have everything they need to succeed, and that includes access to important links in the area.

Cost-Effective Solutions for Your Business Needs

Renting an office in our business center is often cheaper than renting a traditional office space. You don't have to worry about the overhead costs that come with owning or renting a traditional office, such as utilities, maintenance, and cleaning.

We offer a range of office solutions to fit your budget. Whether you're a small business or a large corporation, we have a solution that fits your needs.

Conclusion

If you're looking for the ultimate workspace flexibility in Romania, look no further than our business center. With almost 20 years of experience, we offer tailored solutions for every entrepreneur or organization. From private offices to virtual offices, we have a solution that fits your needs. Contact us today to learn more about our office solutions and how we can help your business succeed.

More info: mail frjacobs@telenet.be

Why open a transport company in Romania?

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Tue, 28 Feb 2023 10:14:00 +0000

The current economic climate is highly favorable for the growth of the transport sector. Globalization, the emergence of new economies, and more recently the global pandemic, have increased the need for transport services across the whole economy. Companies such as restaurants, online stores, import-export businesses and large retailers rely on efficient goods transport and demand for this is now higher than ever. Because of this, opening a goods transport business in Romania can be a very profitable venture, as tax and insurance costs are comparatively low. This situation is likely to remain in place for the foreseeable future.

Documents

As in the case of any business opened in Romania, the first hop you have to pass is obtaining the necessary authorizations for the transport of goods and submitting the documentation related to the establishment of a company. The first thing you will have to do is submit an application for obtaining a transport license from the Romanian Road Authority. Of course, you will also have to submit the necessary documentation for the establishment of the actual company at the National Trade Registry Office and request the assignment of the VAT number to the local tax agency.

In order to simplify this process, we will take care of submitting all these documents, as well as obtaining the necessary approvals for carrying out the activity. After completing these procedures, your company will be able to carry out its activity normally.

Purchase of vehicles

The next step is, of course, the purchase of the trucks, trailers or vans with which you will transport the goods. In this phase, it is very important to carefully analyze your goals and those of the company and make the purchases according to the nature of the activity you are going to carry out.

We will help you with their registration and obtaining licenses when necessary.

Staff recruitment

A transport business's success relies heavily on the quality of its personnel. An experienced driver is a highly valuable asset, as they will drive with caution and anticipate potential issues, helping to prevent delays, accidents and, in some cases, repair any issues that arise on the route.

We will assist you in the staff selection process, so you will work with competent employees who will save you both time and money in the long term.

Contact us and we will help you create and develop your business in Romania.

more info frjacobs@telenet.be

Register a company in Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Sat, 04 Feb 2023 11:15:00 +0000

The best start for your new business with a complete package of services.

A limited company formation package offering compliance and privacy. We have created specialist packages for customers who want to set up a company and are based outside of Romania.

We include everything you need to form a Romanian limited company in this package:

Reservation of the company's name;
Drafting of the Articles of Association and statements of the shareholders and directors;
Submitting the share capital to a chosen bank;
Filling the necessary application and submitting it to the Local Trade Register in the presence of the deputy judge;
Undertaking the Certificate of Incorporation and the VAT number;
Our firm can provide you with a registered office;
Following the company formation Romania process, we will take all the necessary steps with Romanian authorities in order to obtain the mandatory legal documents or authorizations;
Bank account introduction for opening of an account with internet banking and debit card;
Assistance during the conclusion of contracts (e.g. accountant, Revisal services);

We will prepare all the necessary documents and complete all registration processes.

Reduced prices for office rents, salaries and accountant expenses combined with the low corporate taxes, and an important number of double taxation avoidance treaties, make Romania a perfect destination for starting or moving a business from abroad.

Mail frjacobs@telenet.be for more info

Off-shoring IT in Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Sat, 04 Feb 2023 11:14:00 +0000

Off-shoring in Romania is a hidden gem for technology outsourcing. The country's strategic location makes it one of the most featured countries among western European countries. Romania offers a substantial advantage, in quality and cost wise

What is Off-Shoring?

Off-shoring is the use of resources located outside the business location and managed from there. The advantages of off-shoring include cost savings, better quality, and reduced risk. However, the advantages are not free and there are also disadvantages of off-shoring.

Benefits of Off-Shoring

- Increase in Efficiency

- Off-shoring benefits organizations by increasing efficiency. The reason is that you have access to resources and expertise that you do not have in-house. - Better Quality

- Off-shoring offers the opportune opportunity to source services or products of superior quality at lower costs. You have the luxury of sourcing on-shore or offshore without compromising on the quality of service

- The use of off-shore resources results in a lower level of risk. With the use of offshore resources, you are able to avoid risks associated with in-house resources such as natural disasters, staff transfer, etc.

Disadvantages of Off-Shoring

- Another disadvantage of off-shoring is the availability of off-shore resources. When you send your operation offshore, it should be ensured that the offshore resources are sufficient to handle the workload. If this happens, you might end up incurring additional costs.

- Cultural Differences - Off-shore resources might differ from your culture and work ethics. Therefore, it becomes important to have a well-trained offshore team that can seamlessly work in the offshore environment.

- Interruption in Operations

- Even though you have access to high-quality resources, you cannot control external factors such as political instability, natural disasters, etc.

Conclusion

Off-shoring has become a popular alternative for organizations that want to lower costs and increase profits. However, it should be done only if it results in a higher quality and lower cost of products or services. Moreover, it is very important to find a reliable offshore services provider. For example, there are numerous companies that promise to offer low rates of offshore operations, but actually, they have no expertise to manage offshore operations. Off-shoring in Romania is a hidden gem for technology outsourcing. The country's strategic location makes it one of the most featured countries among western European countries. Romania offers a strong advantage, in quality and cost wise. Off-shoring in Romania is one of the best options for businesses that want to reduce costs and increase profits from their operations.

What can be our role

For clients we create the company and hire employees. We acts a local HR department once that the activities are up and running. We take care of all the paperwork and make sure that the company is compliant with Romanian rules and regulations.

We can host the company in one of our business centers at the start.

More info mail frjacobs@telenet.be

Our business center in Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Sat, 04 Feb 2023 11:13:00 +0000

A Business Center is a physical location that provides temporary office solutions for all types of entrepreneurs and organizations. Our business Center is located in a quiet area with quick access to all important links: banks, accountants or important state institutions. With almost 20 years of experience, we are the ideal solution for you.

ADVANTAGES OF ESTABLISHING YOUR COMPANY IN A BUSINESS CENTER?

One of the biggest advantages that Business Centers offer is flexibility. Establish your company in a Business Center means, above all, reducing expenses, when compared to a traditional lease. Obviously, the more convenient the location of a Business Center, the better it will be for the customer.

For younger companies or start-up entrepreneurs, and since the long terms of a leasing contract may represent a commitment that the structure may not support in the future, Business Centers are recommended for offering flexible terms and different room sizes, even with more affordable models, which have lower prices than a private office, but which also allow you to enjoy corporate services such as meeting room rental or reception and courier services. In contrast to renting an office by yourself, in a Business Center you will not have to worry about fees for electricity, water, security or other services; These are not, however, the only advantages.

With hundreds of companies established on behalf of our foreign clients, we offer the fastest and simplest option to set up Romanian companies at the lowest fees.

Moreover, such will be done by our professional lawyers, your presence in Romania is not required.

We will draft all the necessary documentation, in bilingual Romanian-English so that you understand everything. You will only need to sign such documents and soon your company will be up and running.

We also offer all-inclusive services for the management of the company, such as company address rental, accounting, legal services and many more.

More info mail frjacobs@telenet.be

Recruitment of engineers in romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Tue, 17 Jan 2023 10:31:00 +0000

Are you looking for experienced engineers and technicians or are you yourself looking for a new job as a specialist or management professional in Engineering? We can find for you....

The engineers are again in great search on the Romanian labor market. In addition to computer scientists, companies offer jobs for mechanical engineers, construction engineers or energy engineers.

Why engineers in Romania? Because they are well trained, true professionals, they have a low rate of resignations and extremely dedication.

We can quickly provide top professionals on a contract, contract-to-hire, direct placement and managed resources basis.

Our Engineering expertise includes the following skill sets and focus areas:

Architecture & Engineering: Engineering, design and construction project support for buildings and other physical infrastructure

Product Engineering & Design: Mechanical, electronics and software support engineering roles for manufacturing

Software & Hardware: Skill sets supporting all phases of software and hardware development for physical-product-based computer systems

Our recruitment methodology was developed in time to overcome the issue of clients finding that some people sent to them did not have the hands-on technical skills required to hit the ground running.

More info frjacobs@telenet.be

What is the procedure for opening a company in Romania?

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Mon, 26 Sep 2022 08:32:00 +0000

As an investor who wants to open a company in Romania, at first you should know the process of setting up a new enterprise and the steps you need to follow.

There are 6 steps that are mandatory to follow:

Get your reservation of company name – form found at Trade Registry, you need to fill in 3 names in order of your preferences and the process takes about an hour. The issued name reservation certificate is valid for 3 months.

After the name availability certificate is issued, the constitutive act is written, the authorized person of the company must file the documents at a bank where the social capital will be deposited (a minimum of 200 RON).

Register the company at the Trade Registry – the process takes about 3 days and it is free of charge, you only need to pay the taxes for the Official Monitor publishing. Here you must present your articles of incorporation, constitutive act, social capital deposit proof from the bank and an application form which you can find there.

Buying the unique registry for controls – provided by the law, it is mandatory to have a unique registry for controls from ANAF in 30 days from registering the company to Trade Registry.

Register for VAT purposes – if you want, this is not mandatory for a new company. There are no costs, and this is also done at ANAF.

Register employees’ contracts – if the case, this must be done online with the Territorial Labor Inspectorate (IML). The employer is obliged to keep track of all employees’ records internally, electronically and transmit them to IML.

more info mail frjacobs@telenet.be

5 reasons why you should consider doing business in Romania. Primary tabs View(active tab) Edit

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Mon, 26 Sep 2022 08:25:00 +0000

When looking for up-and-coming European Union (EU) countries that have started to catch the eye of investors over the last few years, you should take a close look at Romania. In recent years, the country has become a magnet for those attracted by the growing startup ecosystem, especially within large cities like Bucharest and Cluj-Napoca.

Below are 5 reasons why you should consider doing business in Romania.

Low taxes

The standard corporate income tax rate of 16% is one of the lowest in Europe, well below the EU27 average of 20.71%. In addition, Romania has singed various double taxation agreements through which protect companies and their profits from double taxation. This means that taxes will be paid only once, in the country where the profits are recorded.

At the same time, the Romania Fiscal Code includes a 16% corporate tax relief for profit reinvested in new technological equipment, as well as a personal income tax exemption for IT employees or those who carry out research & development and innovation projects.

Another fiscal incentive in Romania is related to the turnover tax rates used for micro-enterprises. A company (Romanian legal entity) is considered a micro-enterprise if its maximum turnover is up to EUR 1 million at the end of the previous year. According to the current rules, the turnover tax rates used for micro-enterprises are just:

1% for micro-enterprises with one or more employees
3% for micro-enterprises with no employees

In other words, if you own a start-up or a small to medium company, you should definitely come to Romania and benefit from one of the lowest taxation systems in Europe.

Budget-friendly country

Another advantage for doing business in Romania resides in its potential of highly skilled workforce at competitive prices (third lowest minimum wage in EU). This means that a company incorporated here will benefit from low-cost business operations.

In addition, companies that want to start or bring their business in countries like Romania have much to gain from its economic status. Reduced prices for office rents, salaries and accountant expenses combined with the low corporate taxes, and an important number of double taxation avoidance treaties, make Romania a perfect destination for starting or moving a business from abroad.

Affordable, high-quality professionals

Despite the reduced cost of workforce, Romania has a well-educated workforce with good knowledge of foreign languages. Around 80% of the schools in Romania teach English as a second language, making it the most studied foreign language in the country. Many Romanians also know German, French, Italian, Spanish or Hungarian.

new tacrates in romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Fri, 12 Aug 2022 10:08:00 +0000

O. G. no. 16/2022 amended the Fiscal Code, therefore I present below the main provisions of the normative act.

1. Dividend tax - the changes take effect on January 1, 2023

Starting from January 1, 2023, the tax rate for dividends distributed/paid between Romanian legal entities, as well as for those distributed/paid to non-residents, is increased from 5% to 8%.

2. Microenterprise income tax - changes come into effect on January 1, 2023

Microenterprise income tax becomes optional.

A Romanian company can opt for the application of the microenterprise income tax if it cumulatively meets the following conditions on December 31 of the previous year:

the revenues achieved did not exceed the equivalent in lei of 500,000 euros (modified condition - previously the ceiling was 1,000,000 euros);
the social capital is owned by persons other than the state and administrative-territorial units - according to the Fiscal Code (unmodified condition);
is not in dissolution, followed by liquidation, registered in the commercial register or in the courts, according to the law (unmodified condition);
achieved revenues, other than consulting and/or management, in a proportion of more than 80% of total revenues (newly introduced condition);
has at least one full-time employee active (newly introduced condition);
has associates/shareholders who hold more than 25% of the value/number of participation titles or voting rights in no more than three Romanian legal entities that qualify to apply the tax system on the income of micro-enterprises (newly introduced condition);

The tax rate on the income of micro-enterprises is 1% (the 3% rate is repealed).

In conclusion, if a micro-enterprise achieves revenues greater than 500,000 euros/ does not have full-time employees or the share of revenues from consulting and/or management in total revenues is over 20% inclusive, during a fiscal year, it owes tax on profit starting from the quarter in which these limits were exceeded, because it no longer meets the conditions of the microenterprise tax.

The profit tax rate is 16%.

3. Special provisions for part-time employment contracts - the changes enter into force on August 1, 2022

The social security contribution owed by natural persons who obtain income from wages or wages assimilated to wages, based on an individual full-time or part-time employment contract cannot be lower than the level of the social security contribution calculated by applying the CAS rate on the gross minimum basic salary per country in force in the month for which the social insurance contribution is due, corresponding to the number of working days in the month in which the contract was active.

It applies starting with the income related to the month of August 2022.

In conclusion, for part-time work contracts, taxes will be calculated and paid at the level of the minimum wage in the country, if they are below the level of these taxes.

more info mail frjacobs@telenet.be

Recruitment of IT profiles in Romania

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Tue, 07 Jun 2022 13:18:00 +0000

You have great recruitment plans and you want to move swiftly in a competitive market. You need to understand talent availability, compensation and how to be attractive. So you onboard the best talent in the shortest time possible.

We work closely with our clients to understand their needs and business, to ensure that not only the right skill set is found, but the right team and culture fit too. With this approach we have successfully delivered to a myriad of companies from startups looking to hire their first staff member through to high organizations working at scale.

In an ever-difficult market, we have ability to engage with and secure passive candidates is one of his greatest assets and is an essential skill for recruiting in the modern IT sector. Utilizing an extensive network of tech professionals combined with the latest industry tools and methods, we have a widespread pool of candidates to call upon and ensures the campaign is tailored to the individual needs of each vacancy and organization.

CTO / Managerial
Software Engineer / Developer / Analyst Programmer
Test Analyst
Product Owner / Product Manager
Scrum Master
Database Developer / DBA
DevOps / SysOps / Systems Administrator
IT Support / Networking Engineering / infrastructure Engineer
Security
Business Analyst
Project Manager / Programme Manager
Graduates
Blockchain
IoT
Niche / Legacy Technologies

If you are a company looking for a specialist IT professional, please get in touch with us.

mail frjacobs@telenet.be

Employment contract in Romania suspension, termination (resignation and dismissal)

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Tue, 24 May 2022 12:26:00 +0000

When the employment contract is suspended

The employment contract may be suspended by agreement of the parties or only by decision of one of the parties, in the following situations:

maternity or paternity leave;
parental leave;
sick or disabled childcare leave;
vocational training leave;
temporary incapacity for work;
quarantine, force majeure, strike;
fulfilling a paid management position in the union;
if the notices, attestations and authorizations for the respective job have expired (if they are not renewed within six months, the employment contract terminates);
if the employee has unjustified absences or is under disciplinary investigation;
if the employer temporarily interrupts the activity.

During the suspension of the individual employment contract, the employee no longer receives a salary.

When the employment contract ends

The employment contract may be terminated by resignation or dismissal. In both cases, it is mandatory to respect a notice period of at least 20 working days, depending on the job you had, before you finish your work.

If the contract ends during the probationary period, the notice period is no longer required, only a written notification.

Dismissal

Dismissal is the termination of the individual employment contract at the initiative of the employer and, according to Article 58 of the Labor Code, may be ordered for reasons related to the person of the employee or for reasons not related to him.

Dismissal for reasons related to the person of the employee

In this case, the reasons that may lead to dismissal are:

Serious deviation or repeated deviations from the rules of the workplace;
The physical or mental incapacity of the employee, who can no longer exercise his duties corresponding to the position held;
Pre-trial detention for more than 30 days;
The employee does not correspond professionally to the job.

Dismissal for repeated misconduct or in case the employee does not professionally correspond to the job can be ordered only following a disciplinary investigation or an evaluation of the employee. In other words, the employer must have a very clear justification for the decision to fire a person, he cannot fire you for no reason.

Dismissal for reasons not related to the employee's person

Dismissal for reasons not related to the person of the employee, defined in Article 65 of the Labor Code, is determined by the termination of the job held by the employee and is not related to his person. This occurs, for example, when a company restructures its business, abolishes certain positions, or goes bankrupt.

According to the Labor Code, the termination of employment must have a real and serious cause. In addition, in such a situation, the employee or employees (in the case of collective redundancies) receive compensation and active measures to combat unemployment.

This means that the employer can see if there is a vacancy similar to the one held by the dismissed employee within the company or can notify the territorial employment agency (details of this process can be found on ANOFM) in order to redistribute the employee.

Notice and Dismissal Decision

The purpose of the notice is to prepare the ground for both parties (the employer and the employee) regarding the dismissal, providing a place for negotiation and reorganization.

According to Article 62 of the Labor Code, the employer has the obligation to issue in writing the dismissal decision and, under the sanction of absolute nullity, it must be motivated in fact and in law. This means that if the employer does not follow these steps and does not explain to you the reasons that led to your dismissal, the court may order the dismissal to be annulled.

The dismissal decision is taken into account and takes effect from the date of its communication to the dismissed employee, an essential detail if you want to dispute it.

The minimum notice period is 20 working days (whether it is an executive or management position), but there is freedom to negotiate this period with the employer. Throughout the notice, the employee enjoys the same rights mentioned in the individual employment contract.

More info mail frjacobs@telenet.be

Company Formation Romania create a company in Romania from a distance

noreply@blogger.com (freddy jacobs - frjacobs@pandora.be) — Thu, 03 Feb 2022 11:57:00 +0000

No matter the fact that the investors in a Romanian company are residents or foreigners (or ventures), in both cases they are treated the same and benefit from the same opportunities of developing economic activities in Romanian.

All entities operate as independents and are separate by their shareholders/partners' legal units, having their own patrimony, possessions, appelation, administration, registered capital, headquarters and bank accounts.

In Romania, there are two types of companies: joint stock companies (S.A. - societate pe actiuni) and limited liability companies (SRL - societate cu raspundere limitata).

In the case of a SRL, the foreign company can have sole ownership and hold all shares, while in the case of a SA, there must be at least two shareholders (private persons or legal entities). Still, the most commonly used legal form is SRL. All businesses must be registered at ONRC (the National Trade Register Office - Romanian Chamber of Commerce and Industry) and the corporation starts to exists since the date of registration. ONRC is a public institution that keeps statistical information of economic activities. The process of company incorporation in Romania states that every business must have at least a shareholder for a SRL and two for a SA. Additionally, one person can't be unique associate in more than one company. Shareholders can be either companies or individuals and can all be non-Romanians.

A limited liability company is a business entity established by maximum 50 associates. The business relies upon the foundation documents. In order to establish a SRL Company in Romania clients must know from the start that the registered capital of a limited liability company cannot be less than 200 RON. The registered share capital of a limited liability company is usually split into social parts/shares with a registered value of minimum 10 RON each. If choosing to set up SRL in Romania individuals should be informed that the law forbids the shares of these corporations to be involved for loans or other banking operations.

Shares cannot be freely exchanged, making limited liability companies more or less like private companies in other countries.

For all persons interested to open SRL Romania it is important to know that Limited liability companies may be formed by only one individual as well.

The law stipulates that resolutions are made by mainstream ballot in the General Meeting of the Shareholders (each share represents one vote). Decisions regarding adjustments in the articles of association must be accepted by all shareholders unless these documents do not mention something else. Concerning the process to set up SRL in Romania, we shall mention that at least one Manager should be assigned in the articles of association contract; this is the same person who is also responsible for the management of the company.

If you want more information, contact us. mail frjacobs@telenet.be