Accounting relief for Romanian banks
International Tax Review is part of the Delinian Group, Delinian Limited, 4 Bouverie Street, London, EC4Y 8AX, Registered in England & Wales, Company number 00954730
Copyright © Delinian Limited and its affiliated companies 2024

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Accounting relief for Romanian banks

gheorghe-ialomi-ianu-ministrul-finan-elor-publicesmall.jpg

The Romanian government provided some welcome tax accounting news for the banking sector at the end of 2011.

gheorghe-ialomi-ianu-ministrul-finan-elor-publicesmall.jpg

Though new fiscal rules for banks that use IFRS wereannounced on December 27 as part of wider changes to the tax system, they include a tax break for net amounts registered in early 2012 resulting from the establishment and release of provisions after the enforcement of IFRS, as long as these sums are kept in a bank’s reserve account, as well as the deductibility of IFRS provisions and additional provisions resulted from the enforcement of regulations by the National Bank of Romania (BNR), the central bank.

Gheorghe Ialomitianu, the Public Finance Minister, also announced that the government and the BNR had agreed that no tax liability would arise from the differences resulting from the application of the local accounting rules and IFRS for various income and expense items specific to the banking system.

“The central bank said that for reasons of prudence, it would be good to keep this difference in revenues in the accounting records...and as long as they represent funding sources for the banks, they should not be taxed,” Ialomitianu told the Actmedia news agency.

more across site & bottom lb ros

More from across our site

KPMG Netherlands’ former head of assurance also received a permanent bar and $150,000 fine; in other news, asset management firm BlackRock lost a $13.5bn UK tax appeal
The new, fully integrated office will also offer M&A, dispute resolution, IP and corporate tax services
The new guidance concerns a recent 1% excise tax on the repurchases of corporate stock for both US and certain foreign companies
Interpath has hired a managing partner from rival accounting firm BDO to lead the new operation
Survey results of over 28,000 in-house lawyers reveal that American in-house counsel place a higher value on the reputation of external advisers than their peers elsewhere
In an exclusive interview with ITR, Andrew Leigh also endorsed new legislation designed to prevent multinationals using complex corporate structures to reduce taxes
Nick Crama and Parwesh Bissumbhar, senior director and manager respectively at Alvarez & Marsal, outline practical advice for real estate managers to comply with DAC6 regulations
The finalists for the 13th annual awards revealed
Survey results of over 25,000 in-house lawyers show competitive pricing and transparency in billing practices can help firms win clients
The new tech partnership will assist clients worldwide with pillar two; in other news, UK accountancy firm MHA completes a regional merger
Gift this article