fiscal, prevention

Prevention law – updates for the beginning of 2018

We talked about the prevention law previously here, but in the meantime the things have changed a little bit.

The law has been approved in December 2017, but without stating the list of the contraventions to which it applies. The lawmakers transferred to the governors the task of making this list through a Government Decision.

Legally speaking, we consider this possibility of completing the law with a Government Decision as inappropriate, as the Government is not the lawmaker according to the Romanian Constitution, but it can only make laws for urgent and special situations. A Government Decision is an inferior normative act compared to a law, so it can’t add to a law. Moreover, a Government Decision may be modified a lot easier, so it will not be a surprise to see the contraventions list changing according to the will of ministry in charge at some point.

Yesterday the Government Decision with the list of contraventions was published in the Official Gazette. The Decision also shows the draft of the redressing plan that the authorities will apply to the legal entities.

The provisions of the Prevention Law will apply to situations covered by the legislation in areas such as: fiscal, accounting, labor, electronic commerce, construction works, public administration, copyright, tourism, health, insolvency, consumer’s protection.

As examples, the law applies for the following deeds:

  • failure to publish the collective labor contract;
  • failure to inform the employees or to initiate consultations with them, when the law states that is mandatory;
  • failure to fully and accurately inform the consumers of the essential characteristics of the products and services offered by economic operators;
  • failure to give to the consumers the fiscal receipt or to mention on them real information;
  • failure to submit within the legal term the fiscal declarations or to declare the taxes;
  • failure to obtain the unique control register within the legal term;
  • failure to mention in the invoices, tenders, orders, tariffs, prospectus and other commercial documents issued by a company the name, legal form, registered office, trade registry number and unique registration code;
  • failure to file at the Trade Register Office the decisions of the general meeting within 15 days, for stock companies;
  • failure to publish on the personal internet page the fact that the entity is under the insolvency procedure;
  • failure to accept payments with cards;
  • failure to notify the date of commencement of authorized construction works.

With regard to the redressing plan, it will be attached to the minutes of contravention and will state the deed, the redressing measures and the deadline for each of them.