Back to COVID-19 bussiness support
3.1. Extension for local taxes deadline
Extension of the payment deadline for local taxes on buildings, land and vehicles from 31 March to 30 June 2020 (n.b. the bonuses awarded by the authorities remain in place).
Source: Government Emergency Ordinance no. 29/2020 regarding various financial and fiscal measures, published in the Official Gazette no. 230 on 21 March 2020.
Last update: 04 May 2020
3.2. Payment of VAT at customs on sanitary equipment
Taxpayers performing imports of sanitary goods (including (i) denatured ethanol used in the production of disinfectants and imported by importers in possession of end-used authorisations; and (ii) machines used in the manufacture of protective masks) related to Covid-19 during the state of emergency,
as well as for a period of 30 days after it is declared over, will not pay VAT at customs.
The tax will be included in the VAT return as both input and output VAT.
Separately, holders of fiscal warehouses authorised to produce alcoholic beverages are now allowed to denature ethanol. This is valid for a period ending 15 days after the end of the state of emergency and provided certain conditions are met (e.g. submission of an application to the customs authority).
Source: Emergency Ordinance no. 33/2020 regarding various fiscal measures and modification of various normative acts, published in the Official Gazette no. 260 on March 30 2020.
Last update: 04 May 2020
3.3. Until 14 August 2020, local councils may choose to offer the following incentives with respect to buildings used for economic activities that have been either totally or partially interrupted during the state of emergency:
- a reduction of up to 50% in the amount of annual tax due for non-residential buildings owned by individuals or companies
- exemption from payment of monthly building fees for concessionaires, tenants and holders of the right of administration or use of a public or private property of the state or the administrative territorial unit.
In order to benefit from these incentives, taxpayers have until 15 September 2020 to submit the relevant application, an affidavit and, where applicable, a copy of their state of emergency certificate.
Source: Emergency Ordinance no. 69/2020 on the amendment and supplementation of Law no. 227/2015 on the Fiscal Code, as well as on the establishment of various fiscal measures, as published in the Official Gazette, Part I, no. 393, on 14 May 2020
3.4. During the period 14 May 2020 to 31 August 2020, payment of the fee and rent for the occupation of public areas with billboards will be due only for billboards used to display commercial advertising in an amount commensurate with the period for which the billboards were effectively occupied.
Until 14 August 2020, local councils may decide to grant exemptions from the payment of these liabilities for users who either totally or partially interrupted their economic activity.
In order to benefit from this exemption, taxpayers have until 15 September 2020 to submit the relevant application, an affidavit, a copy of their state of emergency certificate (where applicable) and various other supporting documents.
Source: Emergency Ordinance no. 69/2020 on the amendment and supplementation of Law no. 227/2015 on the Fiscal Code, as well as on the establishment of various fiscal measures, as published in the Official Gazette, Part I, no. 393, on 14 May 2020
Last update: 20 May 2020
