I need to use the services of a tax representative

The scope of a Romanian tax representative is to handle my employees' payroll in Romania when I have a business outside Romania and don't want to start a business in Romania

This is also the main difference between a tax representative and a microenterprise: with a microentreprise there are fewer limits, whereas the tax representative only exists for one specific scope, that of handling the employees' payroll

In order for me to appoint a Romanian tax representative I will need the following documents:

• • Copy of my ID

  • Copy of the Certificate of Incorporation of my business outside Romania

  • Trade Registry Statement from the country of incorporation of my business outside Romania, not older than 30 days, in original

  • Mandate Agreement, in original

Then the tax representative takes over and registers the setup:

• • after the tax representative receives all the documents above from me, (s)he then has the Certificate of Incorporation and the Trade Registry Statement translated in Romanian & notarised

  • afterwards, the tax representative files all documents with the tax agency, together with Tax Form 010

  • the tax agency issues a Romanian unique tax ID with a limited purpose: that of paying taxes in Romania for my employees. The official referencing will be "[my business outside Romania], having the Romanian unique tax ID nr. xyz, through [tax representative]"

  • If I will later want to do a different type of business in Romania, I will need to get authorised separately for that line of business as well

How it works:

Bank account

• • the tax representative opens a bank account for me in Romania, on which I retain full rights

    • for practicality, I can empower the tax representative on the account, on a double-signature system:

      • the tax representative fills in the details needed for each payment order

      • I just login and approve them

Employment contracts

• • the tax representative prepares the draft labour contract

  • after I reach an agreement with the candidate, the tax representative signs the labour contract on my behalf, according to my instructions. The contract will read "[my business outside Romania], having the Romanian unique tax ID nr. xyz, through [tax representative], hereby employs Mr / Ms…” // Maria's team can advise on the wording of the employment contract

Taxes

• • the tax representative tells me in advance the taxes which I need to pay each month for the employee

  • each month, based on the salary calculations, I send to my account from Romania a single payment, for efficiency

  • the tax representative redirects the money:

    • to the employee

    • to the state

  • the tax representative files the monthly tax reports to the tax agency