The value added tax according to Romanian national legislation and Directive 112/2016 generally provides that the obligation of settlement and payment is due in the country where the domicile of the beneficiary of the service is located (if economic operator). However, the exception is several and specific cases including services referring to real estate.

In fact, in the present case, the tax is territorially relevant in the country where the asset is located. This involves careful evaluations in the case of construction contracts etc. The reported article goes far beyond classic services and provides for the extension of the obligation to services that traditionally were not covered.

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