Postimplementation Review

Do you need to adapt your IT system for VAT compliance?

Romania’s EU Accession has certainly brought significant opportunities, but also challenges for companies operating in Romania. One of the major consequences for Romanian businesses imposed by the new harmonised VAT system is that compliance requirements have increased and now oblige companies to adapt their IT software to reflect correctly the newly generated operations in their reporting documents.

PwC has a specialized Team…

Our Indirect Tax Department has a specialised team with considerable experience in tax reviews aimed at assessing the correctness of the VAT treatment applied to each type of operation performed by the company, the VAT position of the company and the observance of reporting requirements.

That will assist you…

During the project we will meet the company representatives responsible for handling the flow of information for the operations performed and their correct VAT treatment. We will meet with your representatives from your Finance / Accounting, Logistic, Purchasing, IT and Sales departments to gather information to help us assess the correctness of the documents completed.

Our purpose is to help companies fulfil the new VAT and statistic compliance challenges resulting from Romania’s EU Accession.

Carrying out the necessary steps…

• Assessing the VAT treatment of the operations performed by the Company;
• Identifying whether the mapping and VAT coding of the business transactions in the IT systems has been performed according to the new legal requirements;
• Reviewing the reporting documents (i.e. VAT returns, Recapitulative Statement for Intra-community acquisitions and supplies, Intrastat Statement) as submitted by your company in 2007;
• Proposing and discussing solutions for any reporting issues identified.

And reaching the following outcomes:

• The outcome of our assistance is provided in targeted and practical reports, covering:
• The transaction types discussed with your representatives;
• Brief remarks on the general VAT treatment applicable to the transaction types above (e.g. taxable with 19%, 9%, or exempt with / without credit) and the correctness of the reporting;
• Actions points for the period under review.