Situation:
A company ABC SRL, paying VAT, receives web hosting services (web hosting) from a company from Great Britain, with a valid VAT code.
What are the declarative obligations of the Romanian company and in what row in the statement 300 is completed the operation in Great Britain?
Solution: The operation represents for the beneficiary from Romania an acquisition of electronic services for which the Romanian buyer owes VAT in Romania according to the provisions of art. 307 “The person obliged to pay the tax for the taxable operations in Romania” par. (2) of the Fiscal Code “The tax is due by any taxable person, including by the non-taxable legal person registered for VAT purposes according to art. 316 or 317, who is the beneficiary of the services that take place in Romania according to art. 278 par. (2) and which are provided by a taxable person who is not established on the territory of Romania or is not considered to be established for the respective services on the territory of Romania according to the provisions of Article 266 paragraph (2). “
In this situation, the provisions of the general taxation rule regulated by art. 278 paragraph (2) of the Fiscal Code are applicable, according to which the place of supply is considered to be the place where the beneficiary of the respective service is established. The amount of VAT due is determined by applying the 19% VAT rate on the tax base determined in lei by applying the exchange rate in force on the date of issuance of the invoice by the provider.
The economic operation performed represents an acquisition of electronic services as defined in point 28 of art. 266 the services provided electronically which include, in particular, the services provided in Annex II of Directive 112 and in art. 7 par. (1) of the Implementing Regulation (EU) no. Council Regulation (EC) No 282/2011 of 15 March 2011 laying down measures for the implementation of Directive 2006/112 / EC on the common system of value added tax, as subsequently amended and supplemented.
Unlike the same operations performed before 2021, the operation no longer represents for the beneficiary in Romania an intra-community acquisition of services that is reported by the recapitulative statement code 390 VIES with symbol S, but an acquisition of services provided by a taxable person with headquarters in a third country.
These services are taxable in Romania by applying the reverse charge regime by the accounting formula 4426 = 4427.
It is important to note that, in 2021, the same B2B (business to business) rule applied in 2020 applies, the place of provision being the place where the respective service is consumed.
The difference compared to 2020 consists in the fact that in 2021 the respective operations no longer fall into the category of intra-community acquisitions of services, reason for which the value of the respective services is no longer reported separately.
In this case, the value of the services received is reported only in lines 7 and 22 of the VAT return code 300, without being referred to lines 7.1 and 22.1, used only for reporting intra-community acquisitions of services.
These operations are no longer declared as informative by the recapitulative statement code 390 VIES with the symbol S, used only in the case of intra-community acquisitions of services.
We mention that starting with 2021, the taxable persons from Great Britain are no longer identified by the VAT code preceded by the GB prefix, but only by the fiscal registration code.
The GB prefix was used before 2021 only to identify in the VIES system the taxable persons registered for VAT purposes in the United Kingdom as a Member State that issued the VAT code according to the requirements of the European Union.
From 2021, UK taxpayers have been excluded from the VIES system, with the GB prefix removed. However, considering that the acquisition of the respective services represents a taxable operation in Romania according to the provisions of the Romanian Fiscal Code, its value must be reported by the informative declaration code 394 in cartridge F allocated to operations with unregistered taxable persons and who are not obliged to register for VAT in Romania, not established on the territory of the European Union.
Legal basis:
– Fiscal Code (approved by Law no. 227/2015, published in the Official Gazette no. 688 of 10.09.2015), with subsequent amendments and completions;
– Fiscal Procedure Code (approved by Law no. 207/2015, published in the Official Gazette no. 547 of 23.07.2015), with subsequent amendments and completions;
– Methodological Norms for the application of the Fiscal Code (approved by HG no. 1/2016).