Fiscal digitization in Romania takes a big step forward starting January 1st, 2024, with the introduction of mandatory electronic invoicing for all Business to Business (B2B) transactions. According to the Ministry of Finance and the National Tax Administration Agency – the promoters of the e-Invoice project – the purpose of this reform is to prevent and combat tax evasion through a better monitoring of the VAT collection rate.
Here’s how this electronic invoicing system works, what you need to know to comply with the new legal provisions starting with 2024, and how Cegedim RX solutions can help you in this process.
The RO e-Invoice system: what is it and who does it concern?
The electronic invoice and the RO e-Invoice system are regulated by law no. 139/2022 and emergency order no. 41/2022. Mandatory starting July 1st, 2022, the e-Invoice initially targeted the following types of transactions:
- Business to Government (B2G) – for all public purchases made between the Romanian state and private companies
- Business to Business (B2B) – for transactions with products presenting a high risk of tax evasion (according to Order 12/2022)
- Those resulting in invoices issued on the basis of holiday vouchers
Starting January 1st, 2024, this system becomes mandatory for all B2B transactions. Practically, from this date, all economic agents who carry out their activity on the territory of Romania and carry out transactions with other economic agents in a B2B relationship must be able to issue and receive invoices in electronic format.
In the future, the RO e-Invoice system will be extended to Business to Consumer (B2C) relationships as well, mandatorily starting from January 1st, 2025. Emergency order no. 69/2024 published in the Official Gazette of June 21st, 2024 already introduces this possibility for B2C transactions from July 1st, 2024, optionally.
E-Invoice 2024: how it works and what are its advantages?
Starting from January 1st, 2024, all companies in Romania that deliver goods or provide services on the territory of the country are obliged to use the national invoicing system “RO e-Factura” for the issuance and transmission of invoices in an exclusively electronic format in transactions between them. To enable electronic processing, the invoice must thus be issued, sent and received in XML format.
Failure to comply with this new legislative measure involves various applicable sanctions starting from:
- June 1st, 2024: fine between 1,000 – 10,000 lei for non-compliance with the deadline of 5 working days between issuing and sending invoices through the e-Invoice system (deadline extended from April 1st, 2024)
- July 1st, 2024: fine between 1,000 – 10,000 lei for non-compliance with the deadline of 5 calendar days between issuing and sending invoices through the e-Invoice system
From July 1st, 2024, if the invoices are not uploaded at all in the RO e-Invoice system, the fine will be 15% of the invoice value. Also, starting from the same date, the recipients of an invoice issued and not reported in the national invoicing system are also sanctioned with a fine equal to 15% of the total value of the invoice.
Specifically, the RO e-Invoice implementation is facilitated by the Virtual Private Space (SPV) – the free national platform that can be permanently accessed on the ANAF website. To be able to issue or receive electronic invoices, any economic operator must first register on this platform and obtain their own credentials to access the SPV platform.
An electronic invoicing system like “RO e-Factura” presents multiple benefits, such as the transparent development of contracts between economic agents and the efficiency of the entire invoicing process. This implies the following advantages:
- Reduction of invoice transmission time
- Data validation and receiving confirmation when invoices are sent
- Traceability of information related to distributors/suppliers and payments
- Reducing the costs generated by the traditional invoicing process (delivery, archiving, consumables etc.)
- Positive impact on the environment
RO e-Invoice and Cegedim RX applications
Cegedim RX software solutions for pharmacies, medical offices and clinics, pharmaceutical warehouses and retail facilitate the entire transition process to electronic invoice in 2024 by:
- Connection to the ANAF software system for the automatic transmission of electronic invoices
- Advanced functionalities and configurations for managing financial-accounting activities
- Software development and consultancy to meet the specific needs of our customers targeted by RO e-Invoice and the new tax provisions
One of the main advantages of using our solutions in the RO e-Invoice context is represented by the fact that invoices sent by distributors/suppliers can be automatically downloaded from the SPV portal using the Pharmec FarmacieTM, Pharmec Cabinet TM and BitExplorer TM applications directly.
This saves valuable time by avoiding logging into the SPV portal in advance to download electronic invoices and uploading them later into the software app. Automatically downloaded invoices enter the proforma import flow already existing in the application.
