This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
In Romania, electronic invoicing is an integral part of the national tax system, which has been further digitalized in recent years to combat tax fraud and optimize VAT administration. Electronic invoices (e-invoices) in Romania must meet certain legal requirements regulated by national and European regulations.
Here are the key legal foundations for electronic invoicing in Romania:
- Tax Code (Codul Fiscal)
The Romanian Tax Code (Codul Fiscal) forms the legal foundation for issuing and recognizing invoices in Romania, including electronic invoices. It provides clear provisions on invoicing requirements in general, including for electronic forms.
- Article 319 of the Tax Code regulates VAT and specifies that invoices must meet certain requirements to be recognized for tax purposes. This includes electronic invoices, which, under certain conditions, have the same validity as paper invoices.
- Article 319, paragraph 15 of the Tax Code states that electronic invoices must comply with tax regulations, including ensuring the authenticity and integrity of the content.
- Regulations on Electronic Invoicing: Government Decision 1.226/2021
A major step in the development of electronic invoicing in Romania was taken with Government Decision 1.226/2021, which implements EU Directive 2014/55/EU on electronic invoicing in the public sector.
- Starting in 2022, electronic invoicing became mandatory for the B2G (Business-to-Government) sector. Companies doing business with public authorities must submit their invoices electronically.
- The e-Factura standard was introduced to create and submit electronic invoices in line with the European Peppol system (Pan-European Public Procurement OnLine).
- e-Factura System
The e-Factura system is the central platform of the Romanian tax authority, ANAF (Agenția Națională de Administrare Fiscală), through which all electronic invoices sent to public authorities are processed and validated.
- e-Factura is responsible for receiving invoices from companies to state institutions and for validating and archiving invoices.
- Companies working with the public administration in Romania (B2G) are required to submit their invoices via the e-Factura system.
- The system is also designed to enable proper archiving and real-time verification of invoices.
- EU Directive 2014/55/EU
Romania has fully implemented the European Directive 2014/55/EU on electronic invoicing in the public sector, which mandates the use of electronic invoicing for public contracts.
- Peppol Standard: Romania uses the Peppol standard for exchanging electronic invoices in the public sector. Peppol ensures that electronic invoicing is standardized at the European level, allowing the secure and efficient transfer of invoices between businesses and public entities.
- Archiving and Integrity of Electronic Invoices
In Romania, electronic invoices must maintain the integrity and authenticity of the content. Archiving obligations are also determined by the Romanian Tax Code and other legal provisions.
- Article 319 of the Tax Code specifies that invoices (including electronic invoices) must be archived for at least 10 years.
- Electronic invoices must be archived in a way that prevents any alteration and ensures they are accessible for tax audits at any time.
- Electronic Signatures and Security Requirements
The authenticity and integrity of electronic invoices in Romania are ensured through the use of electronic signatures and other security mechanisms:
- Electronic signatures are required to confirm the identity of the issuer and ensure that the invoice has not been altered after issuance.
- There are specific requirements for the qualification and verification of electronic signatures in accordance with the EU eIDAS Regulation (Electronic Identification and Trust Services), which has also been implemented in Romania.
- Penalties for Non-Compliance with Regulations
Businesses that violate the electronic invoicing regulations, especially regarding the submission of invoices via the e-Factura system and archiving obligations, may be fined by the Romanian tax authority, ANAF.
- Possible penalties can be imposed for failing to submit invoices or for violating archiving requirements.
- Businesses working with the public administration in Romania must ensure that their invoices are submitted in the correct format and within the legal deadlines.
- Future Developments
Romania plans to further expand the electronic invoicing system in the coming years to improve tax collection and combat tax fraud. It is possible that in the future, it will also become mandatory for private companies (B2B) to issue and submit electronic invoices, which would further increase transparency and efficiency in the tax system.
Summary of Legal Foundations for Electronic Invoicing in Romania:
- Tax Code (Codul Fiscal): Electronic invoices are recognized for tax purposes if they meet the requirements for authenticity and integrity.
- Government Decision 1.226/2021: Introduction of the mandatory electronic invoicing for the B2G sector (Business-to-Government).
- e-Factura System: Central platform for the submission, validation, and archiving of electronic invoices.
- EU Directive 2014/55/EU: Implementation of EU requirements for electronic invoicing in the public sector using the Peppol standard.
- Archiving Requirements: Electronic invoices must be archived for at least 10 years.
- Electronic Signatures: To ensure the authenticity and integrity of invoices.
- Penalties for Non-Compliance: Fines for violations of the electronic invoicing requirements.
Conclusion:
In Romania, electronic invoicing is mandatory, especially in the public sector (B2G), where companies working with public authorities must submit their invoices via the e-Factura system. The system is based on the Peppol standard and ensures that invoices are standardized and securely transmitted. The archiving and authentication of electronic invoices are also strictly regulated. The implementation of electronic invoicing helps combat tax fraud and increases the efficiency of the tax system.
Create, send and receive electronic invoices – test now for free!
