Starting from January 2020 the VAT exemption for intercommunity sales will be regulated by EU Directive 2018/1910 amending Directive 2006/112 (VAT Directive) and by Implementing Regulation 2018/1912

The new conditions are:

  1. The goods are supplied to another taxable person, or to a non-taxable legal person acting as such in a Member State other than that in which dispatch or transport of the goods begins; the taxable person or non-taxable legal person for whom the supply is made is identified for VAT purposes in a Member State other than that in which the dispatch or transport of the goods begins and has indicated this VAT identification number to the supplier.
  2. The supplier has complied with the obligation to submit a recapitulative statement and the recapitulative statement submitted by him sets out the correct information concerning this supply, unless the supplier can duly justify his shortcoming to the satisfaction of the competent authorities.
  3. The transportation is proven as following :
  4. The vendor indicates that the goods have been dispatched or transported by him or by a third party on his behalf

OR

The acquirer issues a written statement stating that the goods have been dispatched or transported by the acquirer, or by a third party on behalf of the acquirer, and identifying the Member State of destination of the goods; that written statement shall state: the date of issue; the name and address of the acquirer; the quantity and nature of the goods; the date and place of the arrival of the goods; in the case of the supply of means of transport, the identification number of the means of transport; and the identification of the individual accepting the goods on behalf of the acquirer. The statement is issued no later than the 10th of the month following the transfer of goods.

 

AND

 

  1. At least two items of non-contradictory evidence referred to in category 1 below that were issued by two different parties that are independent of each other, of the vendor and of the acquirer, or any single item referred to in category one together with any single item of non-contradictory evidence referred to in category 2 confirming the dispatch or transport which were issued by two different parties that are independent of each other, of the vendor and of the acquirer.

 

Category 1:

  • A signed CMR
  • A bill of lading
  • an airfreight invoice or an invoice from the carrier of the goods

 

Category 2:

  • an insurance policy with regard to the dispatch or transport of the goods, or bank documents proving payment for the dispatch or transport of the goods
  • official documents issued by a public authority, such as a notary, confirming the arrival of the goods in the Member State of destination
  • a receipt issued by a warehouse keeper in the Member State of destination, confirming the storage of the goods in that Member State.

 

The new provisions may seem burdensome for intra-Community operators, who have to adapt to the new requirements. On the other hand, the new conditions do not differ essentially from the current requirements provided by the Romanian legislation, and their clarifications and universal application are, rather, for the benefit of the operators.

The application of the 1910 Directive will most likely be carried out by June 30, 2022, when the definitive VAT system is expected to enter into force, which will mean the effective payment of VAT for intra-Community supplies of goods, in the sense that the supplier will invoice the goods with the VAT quota from the beneficiary’s state and will pay the VAT to this state through a single counter in their own state.

 

 

Submits a recapitulative statement and the recapitulative statement submitted by him sets out the correct information concerning this supply AND Is a taxable person, or to a non-taxable legal person acting as such in a Member State other than that in which dispatch or transport of the goods begins
Is identified for VAT purposes in a Member State other than that in which the dispatch or transport of the goods begins and has indicated this VAT identification number to the supplier

 

PROOF OF TRANSPORT

The vendor indicates that the goods have been dispatched or transported by him or by a third party on his behalf

 

OR The acquirer issues a written statement stating that the goods have been dispatched or transported by the acquirer, or by a third party on behalf of the acquirer, and identifying the Member State of destination of the goods – before the 10th of the following month

 

 

                                                                                                                                          AND

At least two items of non-contradictory evidence referred to in left column below that were issued by two different parties that are independent of each other, of the vendor and of the acquirer, or any single item referred to in left column together with any single item of non-contradictory evidence referred to in the right column confirming the dispatch or transport which were issued by two different parties that are independent of each other, of the vendor and of the acquirer

Signed CMR  

 

an insurance policy with regard to the dispatch or transport of the goods, or bank documents proving payment for the dispatch or transport of the goods

 

Bill of landing official documents issued by a public authority, such as a notary, confirming the arrival of the goods in the Member State of destination

 

an airfreight invoice or an invoice from the carrier of the goods

 

a receipt issued by a warehouse keeper in the Member State of destination, confirming the storage of the goods in that Member State