Romanian Government Proposes New Criminal Offense for Cross-Border VAT Fraud

The Romanian government proposed a draft bill to amend Law No. 241/2005 on preventing and combating tax fraud. This draft bill seeks to implement Article 3 paragraph (2), letter (d) of Directive (EU) 2017/1371 to combat fraud against the financial interests of the European Union using criminal law. In particular, the draft bill introduces a new criminal offense for cross-border VAT fraud, which will carry a prison sentence of 7 to 15 years and the prohibition of certain rights. The draft bil…