VAT Cash Accounting System: Eligibility, Application, and Duration for Romanian Taxable Persons

• The VAT cash accounting system is optional and applies when payment is collected, not when invoiced.
• It is available to VAT-registered businesses in Romania with turnover not exceeding 4,500,000 lei in the previous year.
• Businesses can opt in if under the threshold, with the system starting from the next tax period after the option is submitted.
• New VAT registrants can opt in at registration or later in the year, with the system starting accordingly.
• Once chosen, the system must be used until year-end unless the threshold is exceeded, in which case it ends after the following tax period.

Source: teaha.ro

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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