SDC

Back in 2016 we have announced that there will be transition to the new fiscal cash register system in Russia by mid-2017. Nowadays Russia is entering the second year of this project with large numbers. The online cash register system includes:

• 2.400.000 fiscal cash registers,
• 1.000.000 taxpayers, and
• 120 million issued fiscal receipts per day.

These numbers will continue to increase. Fiscalization process is not completed. There are still several stages that will include new taxpayers who have not been included so far. The tax authority reports very good results of the fiscalization process which includes:

• revenue per cash register is doubled,
• number of involved taxpayers and cash registers has doubled, and
• overall budget revenue has increased.

One year ago Czech Republic introduced a modern online fiscal system (EET). The first two groups of taxpayers have been introduced (fiscalized) according to the original MOF plan. Third group was on hold as some members of the Parliament collected enough votes to stop implementation, challenging Government for invading privacy of taxpayers. The case was taken to the high court and after proceedings, some minor changes to the technical specification, implementation continues.

Fiji: Plastic bag levy

Leading ecologists have been alerting for years the large presence of plastic waste in nature, especially in seas and oceans. Plastic waste, which is non-degradable in addition to disturbing the image of our environment, seriously threatens living beings on our planet.  The primary method for reducing plastic waste is in the recycling of plastics if possible. The second aspect of the fight against plastics is based on activities related to the reduction of its use.

Plastic bags make up a significant percentage of discarded plastics, in stores, plastic bags are used in huge amounts, especially because they are free. Many countries for a long time directly charge for plastic bags and the latest surveys in Europe show that the results of this measure are positive.

Fiji, as a small Pacific country endangered by plastic waste, has made a major step forward with its approach. A fixed tax on plastic bags in the amount of 20 Fiji cents per bag was introduced to the existing environmental tax law (Act No 20 Environmental Levy – 2015) in 2017 (Annex 29).

The money that this tax collects is aimed at just ecological fighting against plastic. Citizens and visitors of Fiji Islands every time paying this tax are reminiscent of the fact that the consumption of plastic bags should be rational. On the other hand, if they already must ask for the bag they are aware that they pay a special tax that will be used for ecological purposes.

The long-announced modernization of the fiscal cash register system in Poland will begin this year. It will include all existing “first generation” fiscal cash registers. Since there are many taxpayers, the replacement will be organized in stages and will last for few years. The final list and user specification has not been completed yet, it is certain that there will be new amendments even after the fiscalization begins. According to some comments due to the incompleteness of the law, there is a danger that same user has to replace the cash register twice. The main novelties on which the modernization is based are: e-receipts, online data transfer to the tax administration server, archiving of receipt data in digital form and unification of the protocol between cash register and the payment terminal.  

Will Romania once again postpone the implementation of the Fiscal law annex (Ordinance 91/2014)? This week, National Council of Small and Medium Enterprises in Romania (CNIPMMR) filed a request to postpone the implementation foreseen for the period Jun-August 2018.

The request states that the proposed solution in the annex has been technologically overcome. They also say that the tax administration has not renewed its resources for a long time and that ANAF IT center should be modernized before the fiscal reform. It is emphasized that it is necessary to digitize all of Romania, including rural areas. Previous attempts have been canceled due to inappropriate infrastructure. It is better, they say, to postpone the process for a year or two and thus introduce a modern solution.

Croatia has entered year five of fiscalization. Former Minister of Finance Mr. Slavko Linic, who was a great advocate of the fiscalization process in Croatia, confirmed on TV news last month that fiscalization was one of the most successful projects of the history of Croatian tax administration. Despite the strong resistance from certain groups of taxpayers, the project succeeded. This fiscalization, now known as the “Croatian model”, originally adopted from Latin experience of e-invoicing (NFC-e), has served the tax administrations of Slovenia and the Czech Republic to develop their fiscalization processes.

Austrian Cash Register Security Regulation (RKSV) is currently in its second phase of implementation (phase one – 2016 obligation to have cash register, record transactions and issue receipts, phase two – 2017, the cash register must additionally be equipped with a technical security device).

Michael Engelbert, public manager in Austrian Ministry of Finance declared this month: ”Introduction of RKSV, started with outrages opposition, but after year and half merchants have settled, although they still say its a bad idea. We estimate that 85 percent of merchants already have a cash register and data security solution. Income is rising, currently very strong. Is it caused by economic growth or by reduction of the gray economy, it cannot be precisely determined. “

Financial police goes to routine checks examining if sellers are issuing genuine receipts. When inspector detects a violation of the law, he/she will report it to the financial administration and it will initiate the tax audit.

The Constitutional Court of the Czech Republic has reviewed the requirement on the constitutionality of the law on Electronic record of sales („zákon o EET”). The final decision of the court is that the law as a tool for regulating sales control is overall good. On the other hand, it has been concluded that there are some flaws in the law concerning the privacy of citizens and that attention must be paid to the content of the invoice that is a public document.