In order to compile a 394 Declaration using SocrateCloud, you need to follow the steps:
1. Operate all the primary documents that belong to the declaration content during the reporting period:
Customer invoices;
Vendor invoices:
Vendor invoices from justifications - if you operate it using the Expense Report document.
2. Post it and verify the postings for all the documents described at point 1.
Use the UnPosted Documents window;
3. Run the Create Tax Declaration process
this can be found by following the path Performance Analysis -> Taxes -> Tax Declaration Report:
enter the period-specific data for which you are preparing the 394 Declaration (identical to the preparation of VAT Journals);
start the Create Tax Declaration process in order to process the data:
in the new window, select the Accounting Schema and check the Delete old/existing records checkbox;
press the Start button so that the system may take the invoice data . and prepare them for the VAT and 394 declarations.
4. Generate the D394 process/report:
this can be found by following the path Performance Analysis -> Financial Reporting -> Tax Declarations -> Tax Declaration 394 RO 2012.
fill in the period-specific data you wish to export for the D394:
if you check the Account Date checkbox, then only the information from the Tax Declaration that contains documents from the respective period will be included in the report;
otherwise, the system will include all the invoices from all the Tax Declarations whose documents are dated in the indicated period!!
fill in the Output Folder to indicate where the system should save the resulting xml file.
select the two specific VAT rates:
Cotă cereale/plante tehnice - livrări;
Cotă cereale/plante tehnice - achiziții.
press the Start button so that the system may take the data and process them into:
the pdf report for sums control. Note: this report is not to be used for electronic tax declarations; it is only for internal control purposes.
the xml file - this will be found in the indicated folder and be used, subsequently, for the electronic-format declaration.
5. Use the DUKIntegrator.jar application, supplied by the National Agency for Tax
Administration (see Appendix 2, point 5)
with this application, you can now validate the xml file generated at step 4.
should the validation process result in errors, then you need to correct these and rerun the process.
lack of organization identification data - fill this in for the issuing organization and user (Initial Setup -> Organization Rules -> Organization : Organization Info tab -> Organization Type field: Legal entity);
lack of Tax ID or incorrect Tax ID - verify and correct the Tax ID in the respective Business Partner window.
if the validation is completed successfully, you will have to issue the pds file used to submit the final declaration, according to the norms in Appendix 2, point 4;
this file will be saved in the same folder as the original xml file.
For the specific situations when you wish to exclude certain transactions from the declaration, you need to follow one of the methods:
Define distinct Business Partners, for whom you do not enter "RO" for their Tax ID - this way, no invoice corresponding to this business partner will be included in D394.
Define VAT rates without the Requires Tax Certificate checkbox - this way, no transaction containing this tax will be part of D394.
You can use the Excluded Account field - this way the invoices containing products which use this account as the expense account will be completely excluded. From the perspective of the Expense Report, only the line from the respective expense report will be excluded.
Extract from the Official Gazette:
In accordance with the Order No 3596 of 19.12.2011
Document issued by the National Agency for Fiscal Administration
Document published in the Official Gazette No 927 of December 28, 2011
Article 1
Taxable persons registered for VAT purposes in Romania are required to declare all deliveries of goods, provision of services and purchases of goods and services produced in the territory of Romania to / from other taxable persons registered for VAT purposes in Romania.
* The report only takes into account those business partners who have a value of the form "ROnnnnnnnnn" in the Tax ID field- available for customer and vendor invoices.
* The report will also consider those expense reports details which have a value of the form #CUI#FIRMA#NUMARDOC#DATADOC# in the Description field, and the value in the Tax ID field is of the form #ROnnnnnnnnn# - available for expense reports lines.
Article 4
The form referred to in article 2 is managed under the procedure provided in Appendix 4.
Article 5
Article 7
APPENDIX NO 1
APPENDIX NO 2
1. The form shall be completed and submitted by:
a) taxable persons who are registered for VAT purposes in Romania, according to article 153 of Law no. 571/2003 regarding the Fiscal Code, with the subsequent modifications and amendments, hereinafter referred to as 'the Tax Code, and who are obliged to pay tax according to art. 150 para. (1) and. (7) of the Tax Code for taxable transactions in Romania, according to article 126 para. (1), and taxable to the rate provided by the Law. The statement shall be submitted for any taxable transaction for which, pursuant to Title VI of the Tax Code, an invoice is issued, for advances as well, and for which the chargeability occurs during the reporting period.
The statement must contain all the invoices that were issued during the reporting period, including those labeled as "reverse taxation", for which the chargeability occurs during the reporting period.
The statement should not be submitted for the invoices issued through auto-invoicing.
b) taxable persons registered for VAT purposes in Romania, according to article 153 of the Tax Code, who carry out in Romania, the procurement of taxable goods or services with rate provided by law, from the taxable persons registered for VAT purposes in Romania. The statement must contain all the invoices that were received during the reporting period, including those labelled as "reverse taxation", and for which the chargeability occurs during the reporting period
The statement should not be submitted for the invoices issued through auto-invoicing.
2. The statement is to be submitted to the competent fiscal authority by the 25th of the month following the end of the stated reporting period for the receipt of the expense report (monthly, quarterly, etc.) and only if, during this period, operations were performed, such as those subject to the reporting obligation.
3. If, after submitting the statement, the taxpayer encounters gaps in the declared data or, if one or more invoices are issued during a reporting period, but are received by the beneficiary of the transaction after the date of the declaration, the taxpayer must submit a properly completed declaration that replaces the originally filed informativedeclaration.
*The report will always contain all the data (transactions) from the chosen reporting period.
4. The declaration shall be submitted electronically as a PDF file, the model being provided in Appendix 1, and shall subsequently be attached to the XML file described in Appendix 3.
a) Statement is to be filed by remote electronic means of remittance on the e-Romania portal. In order to submit the statement, the payer must have a qualified certificate for
b) The statement may be submitted in electronic format, electronically, together with Appendix 1, in paper format (only first page), signed and stamped according to the law. The electronic format statement, accompanied by the signed and stamped listed form, must be either submitted directly to the competent fiscal authority's registry, or posted with delivery confirmation.
5. The statement shall be completed / validated using assistance programs. These assistance programs are supplied to taxpayers for free by the subordinated tax units units, or can be downloaded from the website of the National Agency for Fiscal Administration at www.anaf.mfinante.gov.ro
Completing the Declaration
Section 1
The text box regarding the payer type and the reporting period must be completed with:
a) Tax Payer: the fiscal period declared for the submitting of VAT reimbursement (form 300), according to article 1561 from the Tax Code, and that is L- monthly, T-quarterly, S- every6 months, A- yearly;
* this can be obtained from the data interval from the report's running parameters; if you choose a single month =>L; 3 months => T; 6 months => S; 12 months => A.
b) Year: the year the declaration refers to; enter the year using 4 characters (e.g. 2012);
*this can be obtained from the data interval from the report's running parameters out of which you extract the year only.
c) Month - use Arabic numerals to enter the number corresponding to the reporting period (e.g. 01 for January, 03 for quarter, 06 for semester, 12 for year).
* this can be obtained from the data interval from the report's running parameters out of which you extract the month(s) only.
A. Identification data for the person registered for VAT:
1. Name: Last name and First name - enter, as the case requires, the name and forename of the person registered for VAT.
* the name of the organization selected in the report's running parameters.
2. Registration Code for VAT purposes - enter the registration code for VAT purposes (the fiscal identification key preceded by RO).
* this can be obtained from the Tax ID field from the Organization Info tab of the Organization window corresponding to the selected organization.
3.Fiscal Address - enter the fiscal address of the person registered for VAT.
* this can be obtained from the Address field from the Organization Info tab of the Organization window corresponding to the selected organization.
B. Identification data for the fiscal/legal representative or proxy
1. Name: Last name, first name - as the case requires, the name and forename of the taxable person appointed as fiscal/legal representative or proxy by the foreign taxable person.
* it does not exist (null)
2. Fiscal Identification Code/CNP - enter the fiscal identification code or the personal numeric code of the fiscal/legal representative or of the proxy.
* it does not exist (null)
3. Fiscal Address - enter the fiscal address of the fiscal representative.
* it does not exist (null)
C. Declaration summary. This text box contains:
1. The total number of the persons included in the declaration that are registered for VAT, irrespective of the number of operations.
* obtained by distinct summation for the business partners in the report.
2. The total amount of the taxable basis corresponding to the delivery of goods/provision of services and the total VAT amount corresponding to these.
* obtained by summing up the basis and VAT, separately, from the Customer Invoices, for the Business Partners that have "ROnnnnnnnnnn" entered in the Tax ID fields and only for the invoice lines whose VAT rate has been checked as Requires Tax Certificate. Exclude the lines with Is Reverse Tax tax rates. The rule used to determine the VAT rates that should be excluded is (see the image to the right):
- have Sales Tax in the SO/PO Type field (starting with version 13.05 the Sales Tax checkbox has been removed);
AND
- have the Is Reverse Tax checkbox selected;
AND
- have the Requires Tax Certificate checkbox selected.
3. The total amount of the taxable basis corresponding to the acquisition of goods/provision of services and the total VAT amount corresponding to these.
* obtained by summing up the basis and VAT, separately, from the Customer Invoices, for the Business Partners that have "ROnnnnnnnnnn" entered in the Tax ID fields and only for the invoice lines whose VAT rate has been checked as Requires Tax Certificate. Exclude the lines with compounded tax rates (i.e. the Is Reverse Tax checkbox is left empty).
* add the lines from the vendor invoices for the business partners who have the Tax Exempt checkbox selected (i.e. invoices created from reimbursements). Select these lines by following the rules:
- the description is of the form #TAXID#ORGANIZATION#DOCUMENTNUMBER#DOCUMENTDATE#,
- the TaxID is of the form #ROnnnnnnnnnn#,
- the product VAT rate is defined as Requires Tax Certificate,
- the VAT rate is NOT compounded.
4. The total amount of the taxable basis corresponding to the delivery of goods/provision of services with reverse tax
* obtained by summing up the basis from vendor invoices, only for those business partners with the Tax ID of the form "ROnnnnnnnnnn" and for those lines with a VAT rates the meet the conditions:
- have Sales Tax in the SO/PO Type field (starting with version 13.05 the Sales Tax checkbox has been removed);
AND
- have the Is Reverse Tax checkbox selected;
AND
- have the Requires Tax Certificate checkbox selected.
* the VAT amount is obtained through direct mathematical computation since it does not actually exist. The percentage involved in the computation is 24% (fixed). The VAT amount will be equal to Basis Amount * fixed rate.
* these include the transactions described in 4.1. below!!
4.1 In a separate text box, enter the total amount of the taxable basis/VAT corresponding to the delivery of cereals and technical crops with reverse tax (this amount is contained in the total amount of point 4.).
* obtained by summing up the basis from vendor invoices, only for those business partners with the Tax ID of the form "ROnnnnnnnnnn" and for those lines with a VAT rates the meet the conditions:
- their VAT rate is indicated in the Cotă cereale/plante tehnice - livrare field;
- it is assumed that for these products there is a specific rate defined in the system just for the selling operation.
*the VAT amount is obtained through direct mathematical computation since it does not actually exist. The percentage involved in the computation is 24% (fixed). The VAT amount will be equal to Basis Amount fixed rate (pay attention to the conversion into RON for invoices in a different currency).
5. The total amount of the taxable basis corresponding to the acquisition of goods/provision of services with reverse tax
* obtained by summing up the basis from vendor invoices, only for those business partners with the Tax ID of the form "ROnnnnnnnnnn" and for those lines with a VAT rates the meet the conditions:
- they are compounded;
AND
- have the Requires Tax Certificate checkbox selected (this should also be applied to the "children" rates).
*the VAT amount is obtained through direct mathematical computation since it does not actually exist. The percentage involved in the computation is 24% (fixed). The VAT amount will be equal to Basis Amount fixed rate (pay attention to the conversion into RON for invoices in a different currency).
* add the lines from the vendor invoices for the business partners who have the Tax Exempt checkbox selected (i.e. invoices created from reimbursements). Select these lines by following the rules:
- the description is of the form #TAXID#ORGANIZATION#DOCUMENTNUMBER#DOCUMENTDATE#,
- the TaxID is of the form #ROnnnnnnnnnn#,
- the product VAT rate is defined as Requires Tax Certificate,
- the VAT rate is compounded.
5.1 In a separate text box, enter the total amount of the taxable basis/VAT corresponding to the acquisition of cereals and technical crops with reverse tax (this amount is contained in the total amount of point 5.).
* obtained by summing up the basis from vendor invoices, only for those business partners with the Tax ID of the form "ROnnnnnnnnnn" and for those lines with a VAT rates the meet the conditions:
- their VAT rate is indicated in the Cotă cereale/plante tehnice - achiziție field;
- it is assumed that for these products there is a specific rate defined in the system just for the acquisition operation.
*the VAT amount is obtained through direct mathematical computation since it does not actually exist. The percentage involved in the computation is 24% (fixed). The VAT amount will be equal to Basis Amount fixed rate (pay attention to the conversion into RON for invoices in a different currency).
* add the lines from the vendor invoices for the business partners who have the Tax Exempt checkbox selected (i.e. invoices created from reimbursements). Select these lines by following the rules:
- the description is of the form #TAXID#ORGANIZATION#DOCUMENTNUMBER#DOCUMENTDATE#,
- the TaxID is of the form #ROnnnnnnnnnn#,
- the product VAT rate is defined as Requires Tax Certificate,
- the VAT rate is indicated in the Cotă cereale/plante tehnice - achiziție field.
Section 2
Fill in the summed up amount from the issued/received invoices, for each VAT Registration Code, of the transaction partners. Exclude the total amounts from the invoices corresponding to reverse tax transactions, which are filled in on the same form, separately from the other operations, for each partner.
* in other words, list, cumulated for each customer/vendor, the sums of the transactions carried out with said business partner in the reporting period, separated between simple transactions and reverse tax transactions, in the following order:
- simple delivery transactions for separate customers;
- simple acquisition transactions for separate vendors;
- reverse taxation delivery transactions for separate customers - including the reverse taxation transactions with cereals an technical crops;
- reverse taxation acquisition transactions for separate vendors - including the reverse taxation transactions with cereals an technical crops.
A. The list of goods delivery/services provision on national ground
1. The Name/Name and Forename of Beneficiary column - enter the name / surname and forename of the person registered for VAT that the invoice(s) were issued to, or the name / surname and forename of the fiscal representative, if the beneficiary of the goods delivery/services provision does not reside in Romania and they have designated a fiscal representative should the latter be the person required to pay the tax.
* obtained from the business partner name on the customer invoices.
2. The Beneficiary VAT Registration Code - enter the VAT Registration Code of the beneficiary of the goods delivery/services provision or of the their fiscal representative,
* obtained from the business partner Tax ID on the customer invoices.
3. The Total Taxable Basis column - enter the taxable basis, excluding the tax, corresponding to all the goods deliveries/services provisions, including the taxable basis corresponding to reversed invoices, in lei. If the Total Taxable Basis is negative, then the amount shall be written with the "-" sign.
* Total Transactions Basis per Customer (a separate line for transactions with same customers but with reverse tax - if there are any). The determination rule is given above at points 2 and 4.
4. The Total VAT column - enter the total amount of the collected VAT, including the tax corresponding to reversed invoices, in lei. If the collected tax is negative, then the amount shall be written with the "-" sign.
*Total VAT per customer (a separate line for transactions with same customers but with reverse tax - if there are any). The determination rule is given above at points 2 and 4.
B. The list of goods/services acquisition on national ground
1. The Name / Surname and Forename of Vendor/Service Provider column - enter the name / surname and forename of the person registered for VAT who has issued the invoice(s) or the name / surname and forename of the fiscal representative, if the provider of the goods delivery/services provision does not reside in Romania and they have designated a fiscal representative should the latter be the person required to pay the tax.
* obtained either from the business partner name on the vendor invoices, or from the Description of the form #TAXID#ORGANIZATION#DOCUMENTNUMBER#DOCUMENTDATE#: the #ORGANIZATION# segment from the lines of invoices generated from Reimbursements.
2. The Vendor/Service Provider VAT Registration Code column- enter the VAT registration key of the vendor/service provider, or of the their fiscal representative, if the provider of the goods delivery/services provision does not reside in Romania and they have designated a fiscal representative should the latter be the person required to pay the tax.
* obtained from the Tax ID field defined for the respective business partner on vendor invoices, or from the Description of the form #TAXID#ORGANIZATION#DOCUMENTNUMBER#DOCUMENTDATE#: the #TAXID# segment from the lines of invoices generated from Reimbursements.
3. The Total Taxable Basis column - enter the taxable basis, excluding the VAT, corresponding to all the goods and services acquisitions, including the taxable basis for reversed invoices, in lei. If the taxable basis is negative, then the amount shall be written with the "-" sign.
* total transactions basis per vendor (a separate line for reverse tax transactions for the same vendor - if there are any). The determination rule is given above at points 3 and 5.
4. The Total VAT column - enter the total amount of the collected VAT, including the tax corresponding to reversed invoices, in lei. If the collected tax is negative, then the amount shall be written with the "-" sign.
* Total VAT per vendor (a separate line for reverse tax transactions for the same vendor - if there are any). The determination rule is given above at points 3 and 5.
C. The list of operations performed on national ground (detailed for the reverse tax operations with cereals and technical crops)
1. The No column - enter the current number, once, for each vendor/beneficiary who has realised transactions with cereals/technical crops.
* start with 1 and use an increment of 1 for each business partner with whom you have had cereals/technical crops transactions.
* only for those invoice lines whose VAT rates are indicated among the report's running parameters:
- Cotă cereale/plante tehnice - livrări
- Cotă cereale/plante tehnice - achiziţii
* grouped at business partner (customer/vendor) level and detailed at Product NC code level.
2. The Tip V/C column - enter the type of the operation: V for cereals and technical crops delivery and C for cereals and technical crops acquisition.
* determined by the type of the transaction on the invoice (IsSoTrx), where:
- IsSoTrx=Y - then Tip V/C = V;
- IsSoTrx=N - then Tip V/C = C.
3. The Vendor/Beneficiary VAT Registration Code column - enter the VAT Registration Code for the vendor/beneficiary or for the fiscal representative, if the beneficiary/vendor of the goods delivery/services provision does not reside in Romania and they have designated a fiscal representative should the latter be the person required to pay the tax.
* obtained from the Tax ID field defined for the respective business partner on invoices, or from the Description of the form #TAXID#ORGANIZATION#DOCUMENTNUMBER#DOCUMENTDATE#: the #TAXID# segment from the lines of invoices generated from Reimbursements.
4. The Name / Surname and Forename of Vendor/Beneficiary column - enter the name / surname and forename of the person registered for VAT who has issued/received the invoice(s) or the name / surname and forename of the fiscal representative, if the provider/beneficiary of the goods delivery/services provision does not reside in Romania and they have designated a fiscal representative should the latter be the person required to pay the tax.
* obtained either from the business partner name on the invoices, or from the Description of the form #TAXID#ORGANIZATION#DOCUMENTNUMBER#DOCUMENTDATE#: the #TAXID# segment from the lines of invoices generated from Reimbursements.
5. The NC Product Name and Code column - enter the cereals and technical crops deliveries/acquisitions that appear in the combined terminology established by the Regulations (CEE) no 2.658/87 from the July 23, 1987 Council regarding the tariff and statistical nomenclature and the Common Customs Tariff, according to article 160, para (2), letter c) from the Tax Code, republished, with the subsequent modifications and amendments.
* obtained from the product definition,new field: NC Code - list-type field- with a window and definition table with 2 columns : CodNC, Denumire (the data from the table below can already be filled in with the upgrade script)
* Note: We can have multiple lines for a single current number if there are more product CodNC in the transactions with the respective business partner.
6. The Taxable Basis column - Coloana „Baza impozabilă“ -
* for deliveries: the basis is obtained from the Line Amount field from the Invoice (Customer) line, only for the business partners with a TaxID of the form "ROnnnnnnnnnn" and only for the invoice lines whose VAT rates follow the rules:
- VAT rates are indicated among the report's running parameters in the Cotă cereale/plante tehnice - livrări field;
- add them up by the current number on the lines with the business partner and transaction type.
- detail on the line with "product NC code and name.
* for acquisitions, the basis is obtained from the Line Amount field from the Invoice (Vendor) line, only for the business partners with a TaxID of the form "ROnnnnnnnnnn" and only for the invoice lines whose VAT rates follow the rules:
- VAT rates are indicated among the report's running parameters in the Cotă cereale/plante tehnice - achiziții field;
- add them up by the current number on the lines with the business partner and transaction type.
- detail on the line with "product NC code and name.
7. The VAT column - enter the VAT total amount corresponding to the reverse tax deliveries/acquisitions, detailed on the taxable basis for cereals and technical crops, for each product NC code and name, including the VAT corresponding to reversed invoices, in lei. If the collected tax is negative, then the amount shall be written with the "-" sign.
* the VAT amount is obtained through direct mathematical computation since it does not actually exist. The percentage involved in the computation is 24% (fixed). The VAT amount will be equal to Basis Amount fixed rate (pay attention to the conversion into RON for invoices in a different currency).
- add them up by the current number on the lines with the business partner and transaction type.
- detail on the line with "product NC code and name.
* the VAT amount is obtained through direct mathematical computation since it does not actually exist. The percentage involved in the computation is 24% (fixed). The VAT amount will be equal to Basis Amount fixed rate (pay attention to the conversion into RON for invoices in a different currency).
- add them up by the current number on the lines with the business partner and transaction type.
- detail on the line with "product NC code and name.
APPENDIX No 3 - The conditions that must be met by the xml file for the electronic submission of the 394 form "Information statement concerning deliveries/supplies and acquisitions made on national territory", MFP code 14.13.01.02/f.