Amnesty For Penalties

In an unprecedented announcement for Eastern Europe, the Romanian Government has announced a tax amnesty for penalties in respect of all liabilities owing to the State at 31 December 1995. Ordinance 13 covers all penalties (owed for nonpayment within the legal due dates, of the taxes and contributions to special funds), except those on which the Courts have given final and irrevocable decisions. The amnesty applies to all legal persons (which includes state and private owned Romanian legal persons as well as branches of foreign legal persons), as well as to individuals.

In order to be covered by this penalty amnesty a statement of liabilities and the penalties calculated and not paid by 31 December 1995 must be submitted to the local tax office before 31 March 1996. Payment of the penalties will be delayed until 31 December 1997. If the tax liability is paid by 31 December 1996, the penalties will be forgiven completely. If the tax liability is paid by 31 December 1997, the