Romanian Fiscal Watchdog Sets New Rules For Income Statement

"Given the amendments brought to fiscal legislation, individuals who obtained, in the fiscal year 2007, income from the transfer of ownership rights to bonds, are no longer obligated to state this income in January 2008 so they are no longer obligated to submit, with the fiscal authority, the «Statement on the income due to profit from the transfer of bonds, other than shares in open end investment funds and shares in companies », form 226," according to a press release issued by ANAF.

According to the legislation, income obtained from the transfer of bonds, other  than shares in companies and securities for closed end companies, is taxed with 1%. The tax represents payment in advance in the account of the yearly due tax.

The tax is calculated and managed by intermediaries, namely management companies for shares redeemed in open end investment funds or other income sources, on each transaction.

The tax calculated is collected at the source and directed towards the state budget, before the 25th of the month following the one in which the tax was collected.

For transactions unfolded in fiscal year 2007, the taxpayer is obligated to submit the statement on income obtained, form 200, based on which, ANAF calculates the due annual income tax.

Depending on how long the bonds were held, more then 365 days or less than this number of days, the annual income tax is set through the application of 1%, and respectively 16% levels on the net income.

The deadline for statement 200 submission is May 15, 2008, according to the press release.