Andrei Zhizdan
Thus, the problem that experts identify in practice concerns freelancers who enter into contracts with non-resident clients but receive income through intermediary platforms such as PayPal, UpWork, Toptal, Payoneer, etc.
This includes freelancers who provide services in the field of information technology – consulting companies or developing applications and programs for them, as well as design, ranging from web design to residential design. This category also includes entrepreneurs who provide services in architecture, photography, translation, etc.
Budget losses
The principle of operation of these platforms is the initial receipt of funds to an intermediary account opened within the platform, and then their withdrawal to a bank account opened by the freelancer in a financial institution in Moldova and registered with the State Tax Service.
It is on the basis of information about these accounts that the calculations of the single tax on independent entrepreneurs are made in Moldova.
“This raises the following problem: for example, a freelancer received $1000 from a client on his PayPal account, of which $100 was paid for the purchase of equipment on Amazon,” says Andrei Jizdan, director of an auditing and legal company Jizdan & Partners. – The payment was made directly from the PayPal account. Accordingly, only $900 was transferred to the account in Moldova, which was subject to a single tax on independent entrepreneurs by the State Tax Service. Thus, the $100 that was not transferred to the accounts in Moldova will remain “invisible” to the STS, and the budget will lose from this”.
It will be difficult to adjust the taxation base
On the other hand, freelancers themselves are in for some surprises during the calculations, which may cost them additional expenses.
“Behind the simplicity of taxation (the amount of income on a special account in the bank and / or on punched checks in the cash equipment MEV) lies a trap – explains Doctor of Science, auditor Svetlana Slobodeanu. – If on this account, for example, will get amounts that are not income from independent activities (loans, credits, gifts, etc.), the tax authority will automatically apply to them the single tax rate and charge it. And if the freelancer made a mistake in the amount of the check and took out, for example, 100 000 lei instead of 10 000 lei, the legislation does not provide clear provisions on the procedure of appealing and correcting the taxation base of income from independent activity. In such a case, the mistake will cost him money”.
The experts ask another question: how does the civil liability of a freelancer, including the provisions of the Law on Consumer Rights Protection, stand out in relations with individual customers?
“Obviously, what is meant is that some kind of civil act (for example, a contract and/or an act of completed work) must be drawn up between the customer and the recipient of the service,” explains Svetlana Slobodeanu. – Then the statement that freelancers do not need accounting is incorrect.
