Fiscal Optimization Through the Acquisition of Intra Group Services

Abstract

This empirical study addresses the fiscal optimization of the profit tax by purchasing intragroup services for planning, respectively preparing the financial statements and adjusting the income and profit tax, with an impact on the deduction of value added tax. The study focuses on the economic relations regarding the procurement of services between a Romanian company and a cross-border one in affiliation relations. The study concludes that by applying fiscal policies and interpreting the legislation in the field of tax-accounting, certain transactions between related parties lead to fiscal optimization of taxes and fees, which have a negative impact on the consolidated state budget and the Romanian economy.

Keywords

• fiscal result
• taxation
• accounting
• taxes
• consolidated budget