Romania VAT cash accounting rules change

The Romanian tax office has issued new guidance notes on the application requirements for enterprising using the cash accounting mechanism.

Companies applying for the mechanism must complete form 097.  There have been a number of deadlines set for application, based on the turnover of the company.  Companies must meet these deadlines if they are to secure accession by 2013.

Cash accounting for VAT enables companies to simplify their reporting and minimise the cash-flow impact of full VAT accruals-based reporting.