Accounting in Romania is governed by the Accounting Law.
Rules on accounting
All companies in Romania must keep their own accounting records.
By law, companies are obliged to use double-entry accounting and draw up annual financial statements.
The Ministry of Public Finance is the public institution responsible for drawing up and issuing standards and regulations in the field of accounting.
In accordance with the Codul Fiscal (Fiscal Code), all invoices must include the following information:
- sequential number that helps identify the invoice;
- invoice issue date;
- date on which the goods were delivered/services were provided;
- name, address and VAT registration number or, if applicable, tax identification number of the person issuing the invoice;
- name of the supplier/provider who is not resident in Romania and has appointed a statutory representative, as well as the name, address and VAT registration number of the statutory representative;
- name, address and VAT registration number or tax identification number of the recipient of the goods or services;
- name of the recipient who is not resident in Romania and has appointed a tax representative, as well as the name, address and VAT registration number of the tax representative;
- name and quantity of the goods supplied, name of the services provided;
- taxation basis for the goods and services or, if applicable, any advances invoiced for each tax rate, exemption or non-taxable operation, unit price excluding charges, as well as any price discounts;
- the tax rate applied and the amount of tax collected, or comments regarding exemptions or reverse taxation procedures;
The compulsory accounting ledgers are the following:
- Journal ledger which is used to record all economic and financial operations in chronological order;
- Inventory ledger which is used to record all assets and liabilities, grouped according to their nature;
- General ledger in which the movement and existence of all assets and liabilities at a given time are recorded monthly and systematically, by regrouping the accounts.
Details about how to draw up and use financial-accounting documents can be found here:
Financial-accounting documents are kept at the company headquarters.
The storage period for accounting ledgers and documents is 10 years from the end of the financial year during which they were drawn up. Payrolls must be kept for 50 years.
If business is discontinued, accounting documents will be archived or submitted to the state archives.
Important bodies in the field of accounting: