According to the joint order of January 8, 2021, signed by the Assistant Secretary of State and Fiscal Affairs (SEAAF), and by the Secretary of State for Social Security, tax foreclosure proceedings underway or to be initiated by the Tax and Customs Authority and Social Security will be suspended between January 1 and March 31, 2021.
In light of the international public health emergency, declared by the World Health Organization, the government has approved exceptional measures to ease compliance with tax obligations, both declarative and payment, as well as to support families and companies, to lessen the effects of the COVID-19 pandemic – among them, the suspension of tax foreclosure proceedings until June 30, 2020, first by Law no. 1-A/2020 of March 19, and then by Decree Law no. 10-F/2020 of March 26.
Considering that tax compliance is extremely important, especially to obtain benefits, and that it is necessary to approve new support measures related to tax and contribution obligations, and that there are legislative processes underway related to the automatic issue of payment plans in installments, as well as the suspension of tax enforcement proceedings, the suspension between January 1 and March 31, 2021 of tax enforcement proceedings underway or to be initiated by the AT and the Social Security was approved.
During this suspension, the AT will be prevented from issuing guarantees, namely liens, and from offsetting the debtor’s claims resulting from the refund, ex-officio review, claim or judicial challenge of any tax act in the debts charged by the tax authorities.
The exceptional situation is also grounds for the suspension of the limitation and prescription periods for all processes and procedures within the scope of tax foreclosures underway or initiated during the period.
For the same period, installment plans for Social Security debts outside the scope of the enforcement proceedings were suspended, notwithstanding the fact that they may continue to be punctually fulfilled.
03/03/2022