Recurring group services: what supports the monthly invoice?

For recurring intragroup services, documentation needs to follow the activity from one period to the next. The contract sets the framework, while specific evidence should explain what was done, for whom and how the charge was calculated.

Connect the invoice to the period’s activity

Management, marketing and administrative support can produce different outputs from month to month. An identical description on every invoice does not, by itself, explain what the recipient received. Deliverables, reports, resolved requests and explanations from the people using the service can support the assessment.

In a hypothetical example, a central team manages campaigns for several companies. The local file can identify the projects involving that company, the outputs received and their connection to its activities. A group-wide report does not automatically establish that every company received the same service.

Article 6 of the Romanian Accounting Law connects accounting entries with supporting evidence of transactions. As an organisational practice, collect evidence as work progresses, identifying the responsible person and period, rather than conducting an extensive search at year-end.

Check performance and pricing separately

Evidence that a service was delivered and an explanation of the amount invoiced answer different questions. Where costs are allocated between companies, understand what is included in the calculation, who the recipients are and why the allocation criterion fits the activity.

Article 11 of the Romanian Fiscal Code is relevant to both economic content and the terms of related-party transactions. A mathematically correct calculation does not replace verification of the facts. Equally, a large document file does not, on its own, guarantee a particular tax treatment.

A periodic review may include questions about overlapping services, costs unrelated to the recipient or changes in the team performing the work. These are review points rather than automatic conclusions. Explanations should be connected to the contracts and actual activity.

A checklist when closing a period

• Confirm the services actually performed and the recipient of each.
• Link invoices to relevant examples of deliverables and communications.
• Check the cost base, allocation criterion and any changes.
• Compare the information with the contract and accounting records.
• Record differences and assign responsibility for clarification.
• Retain the history of checks and corrections made through lawful procedures.

A brief, repeated review can help the team notice changes before they accumulate. Set its frequency according to service volume and nature, without assuming the same process suits every company. Documentation should remain proportionate and easy to follow. The objective is a clear connection between the activity, the recipient and the charge, supported by records that can be retrieved.

For a focused discussion, prepare the contract and one complete example linking an invoice, its calculation and deliverables for the same period.

This article provides general information, not individual advice. Performance, transfer pricing and tax treatment require separate assessments based on the specific facts and applicable legislation.