CbCR: New reporting obligation for multinationals in Romania

27. June 2017 | Reading Time: 2 Min

The ultimate parent entities or other reporting entities of multinational companies resident in Romania are to be obliged to submit a new country-by-country report. This requirement will apply only to multinationals with a consolidated turnover in excess of EUR 750 million.

Romania: New Country-by-Country-Reporting

This new reporting obligation comes as the result of amendments to the Fiscal Procedure Code introduced by Emergency Ordinance no. 42/2017. These amendments introduce the mandatory automatic exchange of information in the field of the taxation of multinational companies with turnovers in excess of the current fixed threshold.

Entities with a reporting obligation

The new the country-by-country report is to be submitted by every Romanian entity that is the ultimate parent of a multinational group. In addition, Romanian entities must submit such reports if one or more of the following is true:

  • The ultimate parent of the multinational group is not obliged to submit said report in its jurisdiction of tax residence
  • The jurisdiction of the ultimate parent has a current international agreement with Romania but is not subject to a qualifying competent authority with the power to impose submission of the country-by-country report
  • A systemic failure of the jurisdiction of tax residence of the ultimate parent has been identified by the Romanian competent authority

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Facts about the new CbCR in Romania


The report should cover the fiscal year starting 1 January 2016.

Deadline for submission

The report must be submitted within 12 months of the last day of the fiscal year of the multinational group.


The report should contain a list of various consolidated financial information (e.g. aggregate turnover) for each country where the group is active, as well as information regarding the amount of taxes paid, the number of employees, fixed assets, etc. This will be used to determine in which jurisdiction the profits are derived and therefore subject to tax.

The purpose of this reporting obligation

The Emergency Ordinance introducing this new obligation was implemented in order to adopt Council Directive 2016/881 of 25 May 2016. The purpose thereof is to prevent base erosion and profit shifting, as well as to make it easier to assess and identify transfer pricing risks arising from transactions with related companies within a multinational group.


If you have questions about the new Country-by-Country Reporting for multinational companies resident in Romania, contact our local expert for CbCR in Romania.