The IRS wants to change the grace period for SAF-T reporting (Declaration 406), according to the institution’s draft.

SAF-T grace period extension project – click to open

According to the cited source, given the complexity of this type of declaration, accordingly, there are possible technical obstacles that may interfere with the formation of this declaration, taking into account the fact that taxpayers use special accounting software that has different capabilities and that can be adapted more easily or more complexly to the new requirement, as well as different account plans regulated by different institutions (BNR, ASF), it is proposed to increase the grace period already granted by 6 months as follows:

• for taxpayers who are required to submit a monthly SAF-T file: 12 months for the first report, 11 months for the second, 10 months for the third and 9 months for the fourth, respectively. Also 8 months for the fifth, 7 months for the sixth, 6 months for the seventh, 5 months for the eighth, 4 months for the ninth, 3 months for the tenth, 2 months for the eleventh;

• for taxpayers who are required to submit SAF-T quarterly: 9 months for the first report, 6 months for the second report and 3 months for the third report, respectively.

The grace period is calculated from the last day of the reporting period for which it is granted, from the moment the corresponding tax payer becomes liable for remittance.

The conditions regarding the obligation to submit a standard file of fiscal control through information declaration D406 (to which the corresponding grace period is added) are as follows:

• for taxpayers classified as large taxpayers as of January 1, 2022, who were also in this category in 2021, the obligation to submit information declaration D406 begins on January 1, 2022, which is the reference date for large taxpayers;

• for taxpayers classified as of January 1, 2022 in the category of large taxpayers who did not belong to this category in 2021, the obligation to submit information declaration D406 begins on July 1, 2022, which is the reference date for new taxpayers of large taxpayers taxes;

• for taxpayers classified as average taxpayers as of December 31, 2021, the obligation to submit information declaration D406 arises from January 1, 2023, which is the calculation date for average taxpayers;

• for taxpayers who, as of December 31, 2021, are not classified as large taxpayers or medium taxpayers, collectively known as small taxpayers, and who retain this classification after January 1, 2022, the obligation to submit information return D406 begins on January 1, 2025, which is the reference date for small taxpayers;

• non-resident taxpayers registered for VAT purposes only in Romania are required to submit information return D406 starting from the reference date for small taxpayers (January 1, 2025);

• taxpayers who as of December 31, 2021 were classified as large taxpayers, and as of January 1, 2022 were classified as medium or small taxpayers, are required to submit information declaration D406 starting from the control date for medium taxpayers ( January 1, 2023), respectively, for small taxpayers (January 1, 2025), depending on the category to which they were assigned as of January 1, 2022;

• for newly registered taxpayers/registered after the control date for each category, the obligation to submit the information declaration D406 begins from the date of entry into force of the registration, the first submission of the information declaration D406 is made on the last day of the month following the period for which the report is drawn up, after the control date for the category to which they were registered/assigned.