Tax inspections, company having as its business ”Forest exploitation”

S.C. X S.R.L. has as its object of activity ”Forest exploitation”, CAEN code 0220.

Verified period:

  • 01.2017 – 01.07.2023 VAT;
  • 01.2017 – 31.12.2017 corporate income tax;
  • 01.2018 – 30.09.2023 tax on income of micro-enterprises;
  • 01.2017 – 30.09.2023 other income tax.

The main results of the tax inspection authorities  were:

For the period from January 2023 to September 2023, the company X S.R.L. realized, according to the accounting records, a taxable profit in the total amount of x lei, with related corporate income tax in the amount of x lei, which tax, however, was not entered in the returns submitted to the tax authority.

Also, the audited company recorded advances in the total amount of RON x in the debit of the account 419 “Accounts receivable from customers”, in correspondence with the credit of the account 5121 “Accounts with banks in lei”, without these advances being recorded in the company’s taxable income, with the consequence that the tax authority calculated the additional corporate income tax in the amount of RON x.

 

For the period from January to December 2018, according to the trial balance closed on 31.12.2018, the company X S.R.L. recorded in its bookkeeping the tax on microenterprise income due in the total amount of x lei, but did not declare to the tax authority the obligation to pay it through the code 100 declarations.

The performed verification revealed discrepancies between the data entered in the journals for sales and journals for purchases and those entered in the VAT statements, as well as discrepancies between the data entered in the VAT statements and the trial balances for the period January 2017 – September 2023, resulting in a VAT difference totaling x lei.

Company X S.R.L. held, as at 30.09.2023, goods in the total amount of x lei, recorded in account 371 “Goods”, for which it did not submit inventory lists and neither write-off reports, showing the causes of depreciation, which is why the tax inspection authorities  found that VAT adjustment in the total amount of x lei is required.

Company X S.R.L. has recorded in account 542 “Treasury advances” a balance in the amount of x lei, representing advances not yet paid until 30.09.2023, for which no documents were submitted to justify their use for the benefit of the company’s activity. Thus, the control authorities  found that, by using this amount for the personal benefit of the director/shareholder/salaried employees of X S.R.L., the company was obliged to record and declare a tax on income from other sources in the total amount of x lei.

In conclusion, additional tax liabilities totaling x lei were established, of which:

  • corporate income tax: x lei;
  • tax on income of micro-enterprises: x lei;
  • tax on income from other sources: x lei.

Source: ANAF