- Posted by: Plaut Consulting România
- Category: SAP tips&tricks
When using SAP in Romania, tax is a sensitive issue. The main tax related topics cover:
VAT and the related declarations: 390, 394, 300. Some companies can not implement the SAP country version, therefore they need to create the VAT reports manually or in excel with extensive manual work. Checking the business partners whether they are valid VAT payers is also a big manual work as there is no currently available automatic check solution. Deferred VAT adds to the manual checks, as some partners may apply deferred VAT, so another manual check would be needed.
For payments to foreign companies sometimes we withhold tax for interest, royalties, commisions and dividends. The withholding foreign partners tax return contains special columns with the date and number of the legal document that is base for the tax line, as well as details of the foreign partner and paid document
land, buildings, vehicles, publicity pannels, etc. SAP asset accounting may help generate reports supporting your tax declaration. Buildings and land need usually to be revalued.
Tax deductible and not tax deductible fixed assets – special cases in asset accounting generate non tax deducible depreciation and other not tax deductible P&L accounts bookings. Such examples include non-deductible depreciation for fixed assets revaluations, expensive cars non-tax-deductible depreciation, asset shut-down etc. This is why in Romania it is nice to have a tax deductible depreciation area, to avoid extensive excel calculations outside SAP. Another example is tax deductibility to company cars expenses
Other kinds of withholding tax, to local partners (e.g. payroll, self-employed partners, etc)
When declaring taxes, we use the official National Bank exchange rate
Plaut Romania SRL may help you with above topics. We have friendly in-house developed tax reporting programs and tools to mass check whether a partner is registered for VAT or for deferred VAT, with the condition that you agree with the web addresses that provide such validation. For the official National Bank exchange rate we have an in-house program that ensures the automatic update from the BNR site for a set of currencies of your choice, daily .