The non-resident natural person who owes taxes, fees and contributions in Romania and who does not have a personal numerical code (CNP), registers for tax purposes by receiving a tax identification number assigned by the tax authority (NIF).
Examples of situations that require obtaining a NIF:
1. Non-resident natural persons who obtain income from salaries in Romania
All non-resident natural persons employed with an employment contract in Romania must register for tax purposes by obtaining a NIF and a CNP from the General Inspectorate for Immigration. The fiscal body replaces the NIF with the CNP in the fiscal records after the CNP is issued.
2. Non-resident natural persons who have the capacity of founder, partner, shareholder or administrator of a commercial company in Romania
For non-resident natural persons who have the capacity of founder, partner, shareholder or administrator within the companies for which registration is requested in the trade register, or as the case may be for the transfer of the social parts or shares, respectively for the appointment of new legal representatives or the co-optation of new associates or shareholders, on the occasion of the increase in share capital, the Offices of the Trade Registry request the assignment of the NIF to the Ministry of Finance directly or through the National Office of the Trade Registry.
3. Non-resident natural persons opening a bank account in Romania
For non-resident natural persons who request the opening of a bank account or the rental of a safe deposit box, the credit institutions send the request for the assignment of the NIF to the central fiscal body.
4. Non-resident individuals who owe local taxes and fees (e.g. when purchasing a property) in Romania
The local fiscal authority submits the request for NIF assignment for non-resident natural persons who owe local taxes and fees and who have not fulfilled their tax registration obligation.
The NIF is obtained by submitting form 030 “Fiscal registration declaration/Declaration of mentions/Deletion declaration for natural persons who do not have a personal numerical code”, to which the supporting documents of the information contained in the declaration are attached.
Form 030 is submitted directly or through:
– authorized person / fiscal representative / fiscal curator at the fiscal body in whose territorial area the fiscal residence of the authorized person or fiscal curator is located;
– non-resident individuals earning income subject to source taxation with final withheld tax (e.g. salaries, dividends, royalties);
Justifying documents:
- copy of valid passport (European Union citizens attach a copy of valid passport or national identity document);
- copy of the identity card;
- power of attorney in the original or its legalized copy;
- act of appointing a tax representative and the decision approving the quality of tax representative;
- document showing the reason for requesting the NIF;
- any other documents required by the fiscal body depending on the particularities of each tax registration requests.
Documents in a foreign language will get translated to Romanian by officially certified translators. The tax office will hang on to the Romanian translations and certified documents, and give back the original papers.
Form 030: Understanding the Fiscal Registration Declaration
Non-residents in Romania must submit Form 030 within 30 days of earning their first income or when a relevant event occurs. This is because the form is crucial for tax compliance in Romania.
Timely Submission and Updates
The Romanian tax authorities need you to submit Form 030 on time. Moreover, should you need to modify previously submitted details, ensure you refile Form 030 within 15 days of any alterations.
Consequences of Late or Non-Submission
The Romanian government takes the timely submission of Form 030 seriously. If you fail to submit the form by the legal deadline, you commit a contravention. The authorities may fine you between 500 to 1,000 lei for this oversight. It’s essential to prioritize this submission to avoid unnecessary penalties.
Impact on Your Tax File
Starting from January 29, 2023, the tax folks have a new policy. If you don’t handle your tax stuff like registering, submitting declarations, or keeping your info up to date, they’ll take note of it in your tax file. This might mess with your standing with the tax office and lead to more scrutiny down the line.
Importance of Compliance
Submitting Form 030 on time not only shows your commitment to following Romanian tax laws but also helps you build a positive relationship with the tax authorities. Additionally, this ensures they have accurate information about your fiscal status. Consequently, it helps you avoid fines, thereby maintaining a clean tax record for your future financial activities in Romania.
Remember, as a non-resident natural person, you play an active role in managing your tax obligations. Stay informed about deadlines, keep your information current, and prioritize the timely submission of Form 030 to maintain good standing with the Romanian tax authorities.
For more information, please e-mail at : frjacobs@telenet.be
E-invoicing and NIF in Romania