On 10 November, Government Emergency Ordinance no. 98/2023 was published, amending Law 296/2023, by returning to the previous cash payment ceilings, with the following 2 exceptions:

⮚ The cashier ceiling becomes RON 50,000. Law 296/2023 refers to each cash desk owned by the economic operator. Of course, an economic operator can decide individually, depending on the specifics of its activity, how many cash dispensers it uses.

There is an exception to this ceiling, for a period of 3 working days, when making payments of a salary nature and other personnel rights. Also, if other payments are made to individuals, it is allowed to exceed this ceiling for a period of a maximum of 3 working days from the due date for payment of these obligations. If an economic operator receives in cash amounts exceeding this ceiling, he must deposit these amounts in bank accounts within a maximum of 2 working days.

⮚ Payments from advances for settlement are limited to RON 1,000 per person per day. As an exception, this ceiling may be exceeded only with amounts related to the payment of salaries and other staff entitlements, as well as other transactions with individuals, for a period of 3 working days from the date set for their payment.

Conditions under which cash receipts and payments may be made

⮚ Cash receipts from legal entities, authorized and individual natural persons, sole proprietorships, family businesses, self-employed persons, associations, and other entities with or without legal personality, up to a daily limit of RON 5,000 from one person, and a total daily limit of maximum RON 10,000. Payments to these persons are mentioned within a daily ceiling of RON 5,000/person, but not more than a total ceiling of RON 10,000/day.

⮚ Collections and receipts made by/to cash and carry shops, from the same persons mentioned above up to a daily ceiling of RON 10,000/person.

⮚ Payments and receipts from individuals within a daily ceiling of RON 10,000 to/from an individual.

⮚ Receipts and payments between natural persons (population) and the categories mentioned above, representing the value of supplies or purchases of goods or provision of services, dividends, assignments of claims or other rights, and receipts or repayments of loans or other financing, are made within the daily ceiling of RON 10,000 to/from one person.

Refunds for goods returned by customers or services not provided follow the same rules as mentioned above.

It is prohibited:
⮚ Fragmentation
✓ Cash receipts for invoices with a value greater than RON 5,000 (RON 10,000 in the case of cash & carry shops). Similarly, cash payments for invoices with a value greater than RON 5,000 (RON 10,000 in the case of cash & carry shops).

✓ Transactions involving assignment of receivables or other rights, receipt or repayment of loans or other financing, dividends.

✓ Deliveries of goods or the provision of a service with a value greater than the daily limit.

✓ Receipts and payments from/to a person, for cash receipts/payments with a value greater than the RON 10,000/day/person ceiling.

✓ Cash receipt and payment transactions between individuals up to a daily ceiling of RON 50,000/person/day.

⮚ Loans given by individuals who are partners/shareholders/directors/other creditors to legal entities may only be made through the financial system, cash loans being prohibited.

Sanctions:
The sanction for failure to comply with the cash collection/payment ceilings or exceeding the cashier cash ceiling is a fine of 25% of the amount exceeding the mentioned ceilings, but not less than RON 500.

Validity
All provisions on financial discipline of cash payments/cash receipts and cashier balance apply from 11 November 2023.

For more details and advice on this important subject, don’t hesitate to get in touch with us:

Mihaela Rosu, Partner BPO & Tax TGS Romania m.rosu@tgs-romania.com
Cristian Faica, Senior Tax Manager TGS Romania c.faica@tgs-romania.com