STUDY OF THE IMPACT OF VAT CASH IN COLLECTION SYSTEM IN THE CASE OF A SMALL BUSINESS

Abstract

The measure regarding the introduction of VAT cash-in collection system, has generated heated debates in the economic environment, pros and cons opinions appeared. Today, after one year since the first application of this legislative measure it is important to analyze the impact of VAT-cash-in system on a small company. The study was conducted for a period of almost two years, from January 1, 2012 till November 30, 2013, for the SIMM'S COMPUTER CENTER SRL, a small IT business, applying the VAT-cash-in system. The study consisted in converting the transactions in VAT cash-in system and comparing with the same transactions, but in VAT normal tax system. The analysis was carried out for fiscal years 2012 and 2013. We considered it is important to follow if there are any differences between the maximum amount paid in the each fiscal year and in what the time of year the VAT paid amount increase