Aranjamentele de Cash Pooling – care este remunerația justă și cine este beneficiarul efecv?
Cash Pooling mechanism – what is the arm’s length interest charge, and who is the beneficial owner?

Summary/Abstract: Although the Cash Pooling mechanism has been implemented in recent years by many enterprises with an extensive corporate structure as a method of managing financial resources within capital groups, cash pooling services are not specifically regulated under Romanian law and there are no rules expressly restricting cash pooling services in Romania. Hence, as well as having advantages, the Cash Pooling method still raises legal and tax uncertainties, and groups should pay special attention to several provisions in law which might directly or indirectly have a significant tax impact on Cash Pooling activities. These risks are associated with transfer pricing issues, interest costs that cannot be deducted, double taxation and ultimately penalties that may outweigh the benefits in the event of the tax authorities assessing additional obligations. The recent propensity of the tax authorities to question the beneficial owner status of a relevant entity has generated a serious withholding tax risk.

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