Everything you need to know about the intra-Community VAT code

1. What is the intra-Community VAT code

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The intra-Community VAT code is a code assigned to non-taxable legal entities (PFA, LLC or Sole Proprietorship) and allows them to carry out transactions with other taxable firms in the European Union.

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These companies will remain non-taxable in Romania, will continue to issue invoices without VAT and will not deduct VAT from their purchases. The intra-EU VAT code is only used for cooperation with EU companies.

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2. When intra-Community VAT code is required

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You need an intra-Community VAT code if:

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a. You provide or purchase services with companies in the intra-Community area

If you purchase services, your company is obliged to submit its own intra-Community VAT code which will be entered on the invoice, and you will declare and pay the 19% VAT later in Romania. If you supply services, your company is obliged to ask the customer for its intra-EU VAT code so that it can put it on the invoice (in turn, the customer will pay the VAT in the country of origin).

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b. You purchase products from EU suppliers and the value exceeds the €10,000 threshold

As in the case of services, you will enter the intra-Community VAT code on the invoice and declare and pay the VAT in Romania.

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c. You buy products from EU suppliers, but the value does NOT exceed the €10,000 threshold

If the country you bought from has a higher VAT rate than Romania's 19%, you can choose to claim the intra-community VAT code so that you pay a lower tax in our country.

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3. How to obtain the intra-Community VAT code

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In order to obtain the intra-Community VAT code you must submit the following documents to the ANAF office to which your company belongs:

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Declaration 091, completed and signed in duplicate

Copy of the company registration certificate (CUI)

Where appropriate, additional documents such as the latest balance sheet or a supporting memorandum

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The intra-Community VAT registration certificate together with the intra-Community VAT code is issued either on the spot or within a few working days. The documents must be submitted and collected by the company's administrator, and if he/she cannot be present in person, he/she may appoint another person to do so by means of a notarised power of attorney.

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4. Cancellation of the intra-Community VAT code

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The registration you made with ANAF expires in one calendar year. So if you don't want to extend it, you can opt to do so if you meet one condition: the value of your intra-Community purchases for the year in which you request cancellation does not exceed the €10,000 threshold.

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Your registration for intra-Community VAT purposes may be cancelled ex officio or on request by the tax authorities if:

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You are registered for VAT purposes, according to Article 316 of the Tax Code

You request cancellation under para. (5), (6) and (8) of Article 317 of the Tax Code

Your company's economic activity ceases

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