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Romania delays VAT split payments 1 Mar 2018

  • VAT
  • 18 December 2017 | Richard Asquith

Romania delays VAT split payments 1 Mar 2018

Reports are emerging that Romania will delay the introduction of Split Payments until 1 March 2018. The plan had been to introduce the anti-VAT fraud measure on 1 January 2018.

Split Payments requires the customer on a B2B transaction to pay the VAT element of a transaction directly into a controlled VAT bank account of the vendor of the goods or services. This account may only be used by the vendor to settle their VAT liabilities, unless special permission is granted by the tax authorities for other purposes.

The proposal had already been watered down from including all companies to just those in financial difficulties and administration.

Poland is also planning to introduce Split Payments in 2018, but has delayed its introduction to 1 April 2018, too.

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VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.