High Court of Cassation and Justice has decided that the existence of contracts is a condition for recognition of deductibility services, but not sufficient, since, according to Art. 21 para. (4) m) of Fiscal Procedure Code and on rules of application, the taxpayer must demonstrate cumulatively that the services were actually provided and were directly linked to the company, the revenue of obtaining by it. In this case, the High Court held that the respondent-applicant has not demonstrated with proper evidence that the services which were the subject of contracts had actually been delivered, meaning that no appropriate work statements, minutes of reception, studies feasibility and the like to make credible claims regarding the reality of the provided services. The High Court also stated that although a rigid approach to this problem would seem excessive, however, can not be accepted either point of view of the taxpayer that the submitted documents containing: list of trademarks used in Romania, newspaper articles, graphs influence various parameters on activity, information extracted from the Internet, quality control chart can show the reality of service delivery. (Decision no. 974 of February 26, 2014 delivered on appeal by the Department of Administrative and Fiscal Courts of High Court of Cassation and Justice annulment decision taxation).
:: The Source: JURIDICE.ro
