The authorities have implemented certain tax measures in order to help the taxpayers get through the problems caused by the COVID-19 pandemic
26 May 2020
I. The authorities have implemented certain tax measures in order to help the taxpayers get through the problems caused by the COVID-19 pandemic
On May 14, 2020, the authorities have published Emergency Ordinance no. 69/2020 for the amendment and completion of Law no. 227/2015 regarding the Tax code and for the institution of certain tax measures (“GEO 69/2020” or “the Ordinance”) in the Official Gazette no. 393/14.05.2020.
Amongst the most relevant aspects, GEO 69/2020 implements the following measures:
- Granting tax benefits for annual income tax, social insurance contribution and health insurance contribution due by individuals;
- Extending the deadline for submitting the Unique Form on income tax and social contributions due by individuals, the deadline for submitting Form 230, as well as the deadline for payment of the income tax and mandatory social contributions due by individuals until June 30, 2020 (inclusively);
- Introduction of certain tax facilities for the stimulus packages/bonuses granted by employers during the state of emergency period to employees whose activity implies direct contact with citizens and who are subjected to a risk of infection with SARS-CoV-2;
- Granting tax benefits regarding the annual building tax and the monthly building tax;
- Annulment of certain ancillary liabilities.
Furthermore, on May 15th, the Law no. 54/2020 for the approval of the Government Emergency Ordinance no. 33/2020 in regards to certain fiscal measures and the amendment of certain normative acts was published in the Official Gazette no. 396/ 15.05.2020.
II. The authorities have extended certain measures for social protection, have issued norms for the regulation of the right to stay in Romania for foreign individuals, starting with May 15, 2020, in the context of the epidemiological situation determined by the spread of the SARS-CoV-2 coronavirus.
On May 14, 2020, the authorities have published in the Official Gazette no. 394/14.05.2020 a normative act, which among other aspects regulates certain measures for social protection.
Afterwards, on May 19, 2020, the authorities have published in the Official Gazette no. 416/19.05.2020 multiple normative acts with effects in the field of social protection. The references to these legislative acts can be found at the end of this bulletin.
Amongst the most relevant aspects, regulated by these legislative acts, we mention the following:
- Amendments brought to Law no. 19/2020 regarding the awarding of free days to parents for the supervision of children in the situation of temporary closure of educational units (“Law 19/2020”)
- Amendments brought to the awarding of the rights granted by the Government’s Emergency Ordinance no. 111/2010 regarding the parental leave and child rearing indemnity (“GEO 111/2010”) in the context generated by the SARS-CoV-2 coronavirus;
- Extending the period during which the technical unemployment indemnity is granted for employees whose employment contract was suspended at the initiative of the employer during the state of emergency, as a result of the SARS-CoV-2 coronavirus spread, as well as for other professionals and athletes;
- A measure allowing employers the possibility to grant meal tickets to employees whose employment agreements have been suspended at the initiative of their employer in the event of temporary interruption in activity;
Separately from the previously mentioned measures, the authorities have regulated, through OUG 70/2020 the right to stay in Romania for foreign individuals based on entry visas.
III. The authorities have instituted new measures for the prevention and control of infections, applicable during the state of alert
On May 18, 2020, the authorities have published Government Decision no. 394/2020 regarding the declaration of state of alert and the measures applicable throughout its duration for the prevention and the combating of the effects of the COVID-19 pandemic („GD 394/2020”). One of the effects of the publication of GD 394/2020 is that a previous Decision of the National Council for Emergency Situations stops being applicable. Additionally, certain provisions of this normative act, which was applicable between May 15 and May 18, 2020 are included in GD 394/2020.
Amongst the most important measures for the prevention and control of infections, implemented by GD 394/2020 and applicable for the duration of the alert state, we mention the following measures that generate effects for the persons who wish to enter Romania:
- An entry interdiction on the territory of Romania, through the state borders entry points, for foreign citizens and stateless individuals, with the exception of certain categories of persons (e.g., family members of Romanian citizens or of European union citizens with their residence in Romania, individuals who are in possession of long term visas/ residency permits, etc.) expressly mentioned by GD 394/2020;
- The measure of suspending flights and road transports for persons towards Romania and from Romania for certain countries (e.g., France, Germany, Spain, Italy, USA, etc.), with the exception of the cases expressly mentioned by GD 394/2020.