Law no. 52/2026 on the amendment of certain provisions of the Fiscal Procedure Code approves Government Ordinance no. 11/2025 (adopted on 24 July 2025) amending and supplementing Law no. 207/2015 on the Fiscal Procedure Code and entered into force on 20 April 2026.
The ordinance amends certain provisions of the Fiscal Procedure Code regarding advance pricing agreements as well as the mutual agreement procedure for resolving international tax disputes.
These amendments aim to contribute to the resolution of international tax disputes, to protect taxpayers’ rights, and to facilitate Romania’s accession to the OECD.
1. Advance Pricing Agreement (APA)
It is introduced the possibility that the advance pricing agreement (APA), which must be concluded by Romanian companies carrying out international transactions with related parties, may be extended retroactively also for fiscal periods prior to the submission of the application, for a period of up to 5 fiscal years, through the “roll-back APA” mechanism.
The legislative amendment will allow companies requesting an advance pricing agreement to apply it also for previous years (up to 5 years), not only for the future, if the transactions are similar. Under the current Romanian legislation, this agreement applies only to future transactions, which may lead to tax disputes and double taxation.
The implementation of roll-back APA agreements would reduce tax disputes and the workload of tax authorities.
The advance pricing agreement (APA) is issued by the tax authority to establish in advance transfer pricing for future transactions between related parties, for a fixed period..
2. Amendments regarding the mutual agreement procedure in the tax field
By amending Article 282 regarding the mutual agreement procedure, a better application of international conventions and treaties for the avoidance of double taxation is ensured, reducing the risk of tax disputes and double taxation for Romanian taxpayers carrying out economic activities in international relations.
Some provisions of Article 282 regarding the mutual agreement procedure:
– In Romania, the competent authority for carrying out the mutual agreement procedure is A.N.A.F.
– The following expressions have the following meanings:
a) disputed issue – the fact that gives rise to disputes following the interpretation and application of conventions or agreements for the avoidance/elimination of double taxation to which Romania is a party;
b) affected person – any natural or legal person with tax residence in Romania or in a state with which Romania has concluded a convention or agreement for the avoidance/elimination of double taxation, and whose taxation is directly affected by a disputed issue.
– Based on the provisions of the convention or agreement for the avoidance/elimination of double taxation concluded by Romania with another state, when an affected person considers that the measures taken by one or both contracting states have resulted or will result in taxation not in accordance with the provisions of that convention or agreement, regardless of domestic remedies, that person may submit their case regarding a disputed issue to the competent authority of either contracting state, if the relevant convention or agreement provides for this possibility. Where the provisions of the convention or agreement for the avoidance/elimination of double taxation concluded by Romania with another state do not provide for the possibility of addressing the competent authority of either contracting state, the affected person resident in Romania may request ANAF, regardless of domestic remedies, to initiate the mutual agreement procedure when they consider that the measures taken by one or both contracting states have resulted or will result in taxation that is not in accordance with the provisions of the convention or agreement.
– Where the provisions of the convention or agreement for the avoidance/elimination of double taxation concluded by Romania with another state do not provide for the possibility of addressing the competent authority of either contracting state, and ANAF considers that the request of the affected person cannot be admitted because it does not contain the necessary information and documents or was not submitted within the deadline, ANAF shall notify the competent authority of the state with which Romania has concluded a convention or agreement for the avoidance/elimination of double taxation of this fact or shall implement a bilateral consultation process allowing the competent authority of the other state to present its views on the subject matter of the mutual agreement procedure. The case regarding the disputed issue must be submitted by the affected person within three years or within the period provided for in the convention or agreement for the avoidance/elimination of double taxation (but not less than three years), calculated from the date of communication of the tax administrative act or any other notification resulting in taxation that is not in accordance with the provisions of the convention or agreement for the avoidance/elimination of double taxation concluded by Romania with another state.
– ANAF takes steps with the competent authority of the other state if ANAF cannot resolve the case unilaterally, and participates in negotiations with the other competent authority in order to avoid/eliminate double taxation that is contrary to the convention or agreement. In carrying out the negotiation activity, the team responsible for handling the mutual agreement procedure proposes to the management of the institution a mandate regarding the negotiation options that may be accepted by Romania in the negotiation process with the other competent authority. The negotiation mandate may be revised or updated during the course of bilateral meetings, in which, together with the other competent authority, the substantive aspects of the case are examined in detail, taking into account the relevant facts and circumstances of the case.
– In the case of mutual agreement procedures in the field of transfer pricing, the mandate regarding negotiation options is drafted by taking into account all transfer pricing methods mentioned in Law no. 227/2015 on the Fiscal Code.
– Where ANAF has reached an agreement with the competent authority of the other contracting state regarding the manner of resolving the submitted case, after obtaining the consent of the affected person, ANAF issues the resolution decision by order of the ANAF President, which is immediately communicated to that person. Through the resolution decision, including through it, the administrative acts that led to the initiation of the mutual agreement procedure may be modified or annulled.
– In the absence of any ongoing administrative or judicial appeal concerning the administrative acts that triggered the mutual agreement procedure, ANAF approves, by order of the ANAF President, the decision for the resolution of the mutual agreement procedure, provided that the affected person waives the right to pursue any other administrative or judicial remedy concerning the administrative acts that formed the basis for initiating the mutual agreement procedure.
– Where other remedies are ongoing regarding the administrative acts that triggered the mutual agreement procedure, the decision for the resolution of the mutual agreement procedure, approved by order of the ANAF President, becomes binding and enforceable only after the affected person provides ANAF with evidence that steps have been taken to close those remedies in accordance with the outcome of the negotiation. Such evidence must be submitted within no more than 60 days from the date on which the respective decision was communicated to the affected person.
– The implementation of the negotiation outcome is carried out by order of the ANAF President, independently of any national provisions relating to limitation periods or of the tax authority’s findings arising from other tax administrative acts that formed the basis of the disputed issue.
– Where ANAF and the competent authority of the other contracting state have not reached an agreement on the manner of resolving the submitted case, ANAF shall notify the affected person of this fact, indicating the factual and legal reasons for which no agreement was reached.
– If no agreement can be reached regarding the manner of resolving the submitted case within the prescribed deadline, at the request of the affected person, ANAF is obliged to initiate arbitration procedures, subject to the agreement of the other state.
– ANAF conducts the arbitration procedure and implements the outcome of the arbitration procedure by means of a resolution decision, without the need for the consent of the affected person.
– When a convention or agreement for the avoidance/elimination of double taxation concluded by Romania with another state does not provide for a corresponding adjustment of the tax base in the case where a profit adjustment has been made in that other state in respect of an enterprise, the Romanian competent authority shall endeavour to resolve cases where such an adjustment has been made in the other state through the mutual agreement procedure. ANAF shall also carry out the mutual agreement procedure where the competent authority of the state with which Romania has concluded a convention or agreement for the avoidance/elimination of double taxation requests it to do so.
– The manner in which the mutual agreement procedure is carried out is approved by order of the ANAF President.