The major taxpayers are obliged from January 1, 2022, to report digitally the fiscal and accounting information to ANAF. However, they received a grace period of 6 months, the reporting obligation will come into force starting with July a.c. Major taxpayers will be followed by medium-sized taxpayers in 2023, and small taxpayers in 2025.
The new reporting system is made through a standard tax audit file called SAF-T or the 406 return. It involves the completion of over 390 tax and accounting items in an unfamiliar and complex format, and companies are faced with a difficult situation, given the large volume of data, but also the lack of specialized staff.
SAF-T reporting is a European standard, and through its integration, Romania will align itself with the European community.
“Digitization and automatization are becoming a pressing need for companies to adapt to new market demands. SAF-T reporting could increase the level of tax collection. In fact, Romania has the lowest level of tax collection in the European Union, with the lowest revenues from direct and indirect taxes as a percentage of GDP, namely 27% compared to a European average of over 40%. Even Bulgaria has overtaken us in this regard. Like any change, the transition will not be easy for anyone. The standard audit file involves a large amount of information that must not only be entered, but also very well verified, and without an automated solution, as NextUp can offer, economic operators risk being penalized”, says Roxana Epure, managing partner NextUp, the developer of the first artificial intelligence ERP, one of the largest software manufacturers for entrepreneurs and accountants, created with modern technologies and updated to date according to legislative and fiscal changes.
In case of non-submission of the 406 declaration within the legal terms, the companies will be fined up to 5000 lei, and in case of erroneous or incomplete submission of the declaration, the fine will be up to 1500 lei.
The best option for major taxpayers to be able to align with the new requirements is to digitize and more specifically integrate specialized software that facilitates the entire reporting process.
Automating SAF-T reporting will make the entire transition easier and more efficient. SAF-T reporting with the help of software solutions will considerably shorten the time allocated to this process and, at the same time, will make the activity more efficient and easier. In addition, with the help of this software, the errors are removed, and the managers have permanent access to the real situation of the centralized data.
“Without specialized software, for big companies that have a large volume of data to be processed, it will be almost impossible for them to successfully submit the monthly SAF-T report to ANAF. In addition, there is a considerable risk of errors that can lead to fines from the authorities. There are few options for SAF-T solutions on the market, given that this is mandatory reporting for companies. Also, the economic operators that use management software that does not offer the possibility of SAF-T reporting are forced to change the respective software with a new ERP software that includes this solution”, Roxana Epure also declared.
SAF-T reporting is available in NextUp software from January 2022. Although it is a cumbersome reporting, which involves the introduction of a very large volume of financial-accounting data from companies, thanks to the automation developed by NextUp the work of completing the D406 is much simplified in the software Accounting and ERP of the company.
NextUp, the developer of the first ERP with artificial intelligence, is one of the largest producers of software for entrepreneurs and accountants, created through modern technologies and updated according to legislative-fiscal changes. Addressed to local businesses, NextUp software is mainly used in online retail, traditional retail, production, distribution and services, to automate repetitive time-consuming activities and optimize business processes and forecasts. NextUp has over 7,000 customers, with an average of 5 users per company.