This order approves the annual reporting system on December 31, 2009 for entities which have opted for a financial year other than calendar year.
These entities have the following duties:
to prepare and submit annual reports to the territorial units of the Ministry of Finance on December 31, 2009;
to notify in writing the territorial unit of the Ministry of Finance about the particular financial year;
to calculate and declare tax obligations under the relevant laws.
The notice in writing to the territorial unit of the Ministry of Finance about the particular financial year shall be made at least 30 calendar days before the beginning of the financial year chosen.
Entities that before the effective date of this order have already opted for a different financial year to calendar year are required to notify in writing the territorial unit of the Ministry of Finance about the particular financial year, within maximum 30 days from publication this Order in the Official journal, ie no later than May 12, 2010.
Unless the foreign legal entity or foreign parent company changes its reporting date or legal reorganization operations take place, the date chosen for the preparation of annual financial statements can not be changed from one financial year to another.
Annual reports delivered on December 31 2009 shall be prepared separately from the annual financial statements for the year ending on the date chosen. These reports are submitted to the Financial Administration within 150 days after closing the financial year together with a copy of unique registration code, and a copy of the balance of the synthetic accounts and accompanied by proof of delivery at the Trade Register Office for annual financial statements to be published. Entities that have not approved the annual financial statements within 150 days from the end of calendar year 2009 are exempted from submission of evidence.
Important! For these entities there is a separate reporting program to be used for generating financial statements.
Entities that have had no activity since their foundation until December 31, 2009 do not prepare annual reports on December 31, 2009, and will submit a statement on oath to that effect within 30 days from the date this Order is published.
Also, there are clear specifications in this Order about account reevaluation and recording of foreign currency items.
Thus, the exchange rate used shall be the exchange rate on transaction. In order to ensure uniform accounting treatment, the exchange rate from the date of transaction means the exchange rate announced by the NBR on the last banking day prior operation, available at time of transaction (receipts, payments, issuance of documents).
For the last day of each month, there shall be performed accounting for foreign currency transactions and monthly assessment at NBR (National Bank of Romania), using:
exchange rate announced by the NBR on the last banking day prior operation, to account for transactions made on the last day of the month
exchange rate announced by the NBR on the last banking day of the month in question, to evaluate assets and liabilities in foreign currency, cash and other available funds in cash value, such as foreign currency bonds, letters of credit and deposits in foreign currency existing at the end of the month.
For example, a company which sells export goods worth 10,000 euros on March 31, 2010, reveals the accounting income from selling goods in the amount of 10,000 euros x 4.1600 RON / EUR (exchange rate, communicated by NBR on March 30, 2010, the last banking day prior to the the sale of 31 March 2010), representing 41 600 lei. Unsettled receivable at the end of March 2010, amounting to 10,000 euros, is valued in the accounting rate of 4.1900 RON / EUR (exchange rate, announced by the NBR on March 31, 2010, the last banking day of the month involved), representing 41,900 lei. Thus, in evaluating receivable on March 31, 2010 resulted positive difference in the amount of 300 lei, accounting as income from exchange rate differences. We mention that in this example, information about rate exchange is taken by way of example.
These provisions also apply to receivables and liabilities in lei, whose settlement is based on a currency rate. In this case, registered differences in accounting are identified in other financial income or financial expenses, respectively.
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