Romanian Cos With Overdue State Debts To Face Penalties Fueled By Delay Period – Draft

The draft, which amends Romania’s Fiscal Procedure Code, stipulates that companies will pay both an interest on late payment and a delay penalty, with the latter being calculated in ratio with the period falling from the payment due date. Currently, companies only pay a delay penalty of 0.1% of the owed sum per day.

The Romanian government proposes in its draft that companies pay an interest of 0.05% of the debt for each day of delay, twice lower than the interest charged currently, and that no penalty be paid for the first 30 days of delay.

Under the draft, penalties are to be set at 5% of the total owed sum if the debt is paid in the next 60 days, and will reach 15% of the total owed sum for failure to pay the debt within a 90-day deadline.

Delay penalties shall not eliminate the payment obligation of interests.