How do you redirect 20% of your profit tax?
You can financially support the ASSIST Humanitarian Foundation, according to the Fiscal Code and Law no. 32/1994, as amended. In order to do this, it is necessary to fill in a sponsorship contract and transfer the financial resources to the foundation's account by 31 December 2023.
- If you represent a company liable for corporation tax, the amount is deducted from your profit tax, up to the lower of 0.75% of turnover or 20% of annual profit tax.
- If you are a micro-enterprise, the amount is deducted from the profit tax due in the fourth quarter, up to a maximum of 20%. This possibility is also valid for the other fiscal quarters.
If you did not make any deductible sponsorships in 2022 or the amount sponsored did not reach the maximum limit allowed by law (20% of the profit tax, but not more than 0.75% of the turnover, or maximum 20% of the profit tax for micro-enterprises), you have the option to submit Declaration 177 to ANAF by 27 December 2023. With this declaration, you can request for the difference between the amount sponsored and the maximum limit to be directed to the ASSIST Humanitarian Foundation. The process involves signing a sponsorship contract, entering the exact amount in the accounting calculations as well as completing and submitting Declaration 177 to ANAF. After verification, ANAF will transfer the money to the foundation within 45 days.
The next step is to submit to ANAF Declaration 107, which provides information about the beneficiaries of sponsorships, patronage and private scholarships. This must be done by 25 March of the following year for companies with profit tax and by 25 January of the following year for micro-enterprises with profit tax.