Emergency Ordinance no.84/2016 for the amendment of law no. 227/2015 regarding the fiscal code and law no. 207/2015 regarding the fiscal procedural code reiterates the obligation of non-residents, individuals and entities, who obtain income in Romania, to register with the Romanian Fiscal Authority. The purpose of which is to obtain a fiscal identification number (NIF), irrespective of reporting requirements applicable or otherwise for non-residents.
As a consequence, non-residents holding a bank or custodian account with local banks should register and then communicate their NIF to their bank.
Based on indications from the Romanian Fiscal Authority, penalties may be imposed for non-compliance but official information is unavailable at this moment.
Non-residents have the possibility to directly register, or via proxy. As the documentation related to the registration process is still unclear and the methodological norms to the Fiscal Procedure Code remain unpublished, our clients are recommended to contact a tax agent in the Romanian market in order to obtain the NIF.
The amendments to the tax code will enter into force from 1 January 2017.
Impact on investors: Non-residents are obligated to register with the Romanian Fiscal Authority in order to obtain a fiscal identification number (NIF) according to Emergency Ordinance no.84/2016.