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Financial statements for 2023 must be submitted by the end of May, including by micro-enterprises. There are new rules for accounting for some expenses31 January 2024

Financial statements for 2023 must be submitted by the end of May, including by micro-enterprises. There are new rules for accounting for some expenses

The Ministry of Finance has published the rules for submitting the annual financial statements for 2023, and they establish that most economic operators must submit their balance sheets within 150 days of the end of the financial year, so by the end of May. In a last-minute clarification, made on January 26 through a press release, the institution also clarified the deadline for submitting balance sheets for micro-enterprises, after an emergency ordinance with fiscal measures published in December had made it clear that for to keep their tax regime, micro-firms must submit their 2023 statements a few months earlier.

MF order no. 5394/2023, published on January 8, approves the deadlines and procedures for submitting the financial statements of the year 2023. In most of them, the reporting rules are similar to last year’s, the only unknown one concerning until very recently only the date of submitting the balance sheets for companies that apply the tax regime of micro-enterprises.

The situation arose due to GEO no. 115/2023, which established that in 2024 companies classified as micro-enterprises are required to submit their financial statements by the end of March in order to continue applying this tax regime. The provisions of the emergency ordinance were not drafted specifically enough, so it was understood from them that including the 2023 financial statements of micro-enterprises must be submitted earlier this year. In a clarification made on January 26, the Ministry of Finance published an information on the website explaining in black and white that the provision of GEO no. 115/2023 strictly covers the financial statements of the year 2022 or earlier, for the financial reports related to the year 2023, the traditional rules of transmission apply.

Thus, according to MF Order no. 5394/2023, for all entities – regardless of whether they apply the tax regime of profit tax payers or that of micro-enterprise incomes, the deadlines for submitting balance sheets for 2023 are the same as before: 150 days, calculated from the end of the financial year, so until May 29. Companies without economic activity submit a declaration of inactivity within 60 days from the end of the financial year (by February 29 at the latest), and those in liquidation have 90 days to submit their balance sheets, up to and including March 30.

For associations and foundations, the deadline is 120 days from the end of 2023 (until April 29).

The type of financial statements prepared and the documents to be submitted are influenced by the size criteria that the reporting entity meets at the balance sheet date. In principle, at least the abbreviated balance sheet – form 10, abbreviated profit and loss account – form 20, informative data – form 30, statement of fixed assets – form 40, and larger companies also add explanatory notes to the financial statements, Statement of cash flows as well as Statement of changes in equity.

Depending on the object of activity and the number of employees, it may also be necessary to attach other documents, such as: the non-financial statement for reporting entities with more than 500 employees.

New accounting regulations to consider for 2023 annual accounts

The accounting regulations used by Romanian companies have recently been modified by the Ministry of Finance, and the new accounting rules for some operations are already applicable, companies being obliged to take them into account when finalizing their financial statements for the year 2023, regardless of the date on which they are obliged to submit these reports and regardless of which accounting standard applies.

Among the most notable changes is the introduction of new accounts in the general chart of accounts, which obliges the separate accounting of management and consulting expenses, for which the new accounts 617 and 618 have been introduced. They will also have to be accounted for separately expenses related to intellectual property rights in the new accounting account 616.

Beyond these newly introduced distinct accounts, the chart of accounts was also completed with a series of new analytics: 1496 for losses from company reorganizations, 6121 – royalties expenses, 6122 – management premises expenses, 6123 – rent expenses.

Important changes have also been made to the functions of some already existing accounts. For example, account 149 now includes merger losses, and account 691 (corporate tax expense) adds specific details for tax groups, namely that the responsible legal entity debits account 691 for the total corporate tax expense owed by the tax group.


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Alina Andrei

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