Changes in the issuance of securities – OUG 130

The Emergency Ordinance (OUG) no. 130/2021 regarding some fiscal-budgetary measures, the extension of some terms, as well as for the modification and completion of some normative acts was published in the Official Gazette no. 1202 of December 18, 2021.

Amendments / completions of Law no. 165/2018 regarding the granting of securities

A very important aspect regulated by OUG 130/2021 is that, starting with December 18, the securities are issued exclusively on electronic.

According to the legal provisions, the costs related to the issuance of securities are fully borne by the employers.

The employer who contracts with a issuing unit the service of issuing the securities pays both the nominal value of the securities distributed to the employees, as well as the cost of issuing the electronic support.

The nominal value of the securities granted to the employees cannot be diminished in any way.

The electronic support of the securities does not allow cash withdrawal or cash exchange operations.

We emphasize the fact that the securities can be used only on the Romanian territory, within the validity term and only for the purchase of the goods and services for which they were issued.

The electronic support can be fed exclusively with the nominal value of the securities granted to the employees, established according to the present law.

The employers, together with the legally constituted trade union organizations or, where a trade union is not formed, with the employees’ representatives, establish by mutual agreement the categories of securities to be granted to the employees, their frequency and their value, where applicable, and issuing unit.

The value of the securities cannot be transferred to the employees on electronic support if, on the date set for the transfer, the employers did not pay to the issuing unit, in full, the nominal value of the purchased securities, including the costs related to their issuance on electronic support.

1.   Meal tickets:

Meal tickets are vouchers given to employees monthly, as an individual food allowance, used only for the payment of meals or for the purchase of food.

               According to the regulations in force, meal vouchers can be used only in public catering units, grocery stores, canteens-restaurants, buffets or any other type of establishments that sell food products and have concluded contracts for the provision of services regulated by this law. with the units issuing meal vouchers and must allow, exclusively, the use of vouchers for the payment of the meal or for the purchase of food products, including for their online payment. The employee can use a monthly number of meal vouchers at most equal to the number of days worked.

               The employee has the obligation to return to the employer, at the end of each month, as well as at the termination of the individual employment contract, the value corresponding to the improper meal vouchers.

               Please note that each meal ticket is valid only if it has the following information written on the electronic support or stored in another way:

  1. the name and address of the issuer;
  2. the period of validity of the use of the meal ticket;
  3. the interdiction to be used for the purchase of cigarettes or alcoholic products;
  4. the name, surname and personal numerical code of the employee who is entitled to use the meal voucher.

              Important to note: Meal vouchers, nursery vouchers, cultural vouchers and, respectively, gift vouchers issued on paper according to Law no. 165/2018 on the granting of vouchers, with subsequent amendments and completions, until January 31, 2022 are and remain valid until the expiration of the validity date written on them.

              As of February 1, 2022, the authorizations to operate as issuing units of securities on paper lose their validity, and these units will remain responsible both to the units that accept securities and to the employers with whom they have concluded contracts, thus ensuring the observance of all the obligations deriving from the concluded contracts in the case of paper securities on the expiration date.

2.   Gift vouchers – old and new provisions:

According to Law no. 165/2018, gift vouchers are valuable tickets occasionally given to their employees for social expenses.

Old provisions – valid until 18.12.2021:

According to the old provisions, they are non-taxable income and do not include in the calculation of compulsory social contributions, gifts in cash and / or in kind, including gift vouchers, offered by employers, insofar as their value for each person, with each of the following opportunities does not exceed 150 lei:

  • gifts given to employees, as well as those offered to their minor children, on the occasion of Easter, Christmas and similar holidays of other religious denominations;
  • gifts given to employees on the occasion of March 8;
  • gifts given to employees for the benefit of their minor children on the occasion of

June 1.

The old tax regulations provided for the inclusion in the category of income from other sources of securities in the form of gift vouchers granted on the basis of nominal records to other categories of beneficiaries according to Article 15 paragraph (2) of Law no. 165/2018 on issuing securities, with subsequent amendments and completions, for marketing campaigns, market research, promotion in existing or new markets, for protocol, for advertising and publicity, other than those provided for in Article 76 (3) (h) and (4) (a) from the Fiscal Code. The nominal evidence must include, at least, information regarding the name, surname, personal numerical code / fiscal identification number of the beneficiary and the value of the vouchers granted to each beneficiary, monthly. The income tax is calculated by withholding tax at the time of granting the income by the income payers, by applying the 10% quota on the gross income, the tax being final.

Also, according to the old legal provisions, the nominal value of gift vouchers granted by employers / payers according to the law, in the case of individuals who earn income from salaries or assimilated to salaries is not included in the calculation of compulsory social contributions.

New provisions regarding giving gift vouchers:

According to OUG 130/2021, in the case of gifts in cash and / or in kind, including gift vouchers, offered by employers, employees on the occasion of Easter, Christmas and similar holidays of other religious denominations, employees on the occasion of March 8 and those offered to employees for the benefit of minor children on the occasion of June 1, the non-taxable limit is increased and which is not included in the calculation base of the compulsory social insurance contributions from the amount of 150 lei to the amount of 300 lei for each person and each event.

Thus, starting with January 1, 2021, employers can still grant vouchers only to their own employees.

It is eliminated from the category of income from other sources of value vouchers in the form of gift vouchers in correlation with the change of tax treatment applicable to gift vouchers granted to individuals by employers / payers, in order to eliminate the exemption from payment of mandatory social contributions and inclusion in the base of their calculation of the nominal value of the gift vouchers granted by employers / payers, according to the law, in the case of individuals who earn income from salaries or assimilated to salaries, in other situations than those granted on the occasion of Easter, June 1, Christmas and similar holidays of other religious denominations.

According to the explanatory memorandum accompanying the draft Emergency Ordinance (OUG), the measure aims to eliminate the situations found in practice by the fiscal control authorities, in the sense that these gift vouchers are purchased mostly for the purpose of granting employees to companies. distribution of goods, depending on the sales made by them by fulfilling certain objectives or performance indicators. Having as motivation the promotion of the products, the companies that grant gift vouchers establish a bonus system for the employees of the distribution companies, taking advantage of the provisions of article 15 paragraph (2) of Law no.165 / 2018 on granting vouchers, with subsequent amendments and completions and the provisions of Chapter X “Income from other sources” of the Fiscal Code, according to which gift vouchers granted to individuals other than a relationship generating income from salaries are income from other sources.

For these gift vouchers, the company that grants them, declares and pays only income tax from other sources, in which case CAS is not due, and CASS is due only if the annual ceiling of 12 gross minimum wages per country is exceeded.

Thus, in correlation with the revision of the provisions of Law no. 165/2018 on granting securities, with subsequent amendments and completions, it was established that the tax regime applicable to gift vouchers granted according to law, be the one regulated in Chapter III – Income from salaries and similar salaries in the Fiscal Code.

Legal basis:

Emergency Ordinance 130/2021 regarding some fiscal-budgetary measures, the extension of some terms, as well as for the modification and completion of some normative acts;

Law 165/2018 on the granting of securities, with subsequent amendments and completions.