Newsletter 4/2019 – Reminder – Statement regarding the income derived from Romania by residents of other European Union states

Through this newsletter we remind you about the obligation to submit the Statement regarding the income derived from Romania by residents of other European Union states – Form 402.

This statement was introduced in Romania in 2016 and is an instrument in the automatic exchange of information between Romanian tax authorities and the tax authorities from other EU Member States.

Scope

The purpose of the statement is to collect information regarding the income derived from Romania by individuals which are not Romanian tax residents, but which are residents in other EU member states and which obtained from Romania the following types of income:

• Gross wages;
• Manager/director allowances, income from a mandate contract, income received by the members of the Board of Directors or by the Auditor’s Commission.
• Bonuses, commissions, professional fees, benefits in kind, loyalty allowances, relocation allowances, insurance premiums or stock options.

Submission deadline

Form 402 should be submitted each year, until the last day of February for the previous year.

Who should submit the form

Form 402 should be submitted by the income payers, which compute, withhold and pay the tax for that income.

Information that must be provided

The statement will contain the identification data of the non-resident individual which is the income beneficiary. In addition to the usual information regarding the name, date of birth, address in the state of residence or ID number, the tax registration number (NIF) in the state of residence is also requested (mandatory to be obtained).

Additionally, the form requires information regarding the bank account in which the income was paid, for the payments made through bank transfer.

Disclaimer

The information in this newsletter is intended to give you an overview of legislative news; the newsletter does not contain a complete analysis of each topic. For more information about the subjects presented, please contact us. We do not accept any responsibility for decisions or omissions followed by the use of the content of this newsletter. All Boscolo&Partners newsletters are available at the following address: http://www.crowe.ro.