Romania micro company tax rules change announced today

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Something OP should take into consideration for sure.
 
I am thinking the deal is:

- Have a Romanian girlfriend.
- Ask her to be your special secretary
- She gives you back the salary money in cash at the end of the month

So in the end, you only pay the social security of the employee.
 
Yes this is what I thought when I moved here last year. But now they changed the rules and if I'm not mistaken I must employ myself to benefit from the 1% tax and pay like 2500€ a year minimum tax. This apart from the fixed tax seems to overcomplicate things if I want to move abroad somewhere else in the upcoming years.

For example, let's say I want to move to Portugal, I can't be the director of my Romanian company or afaik it will be considered a local company for tax purposes.
 
I think you can only employ a Romanian for that condition. You may only be able to employ yourself if you are romanian.
That is not correct, anyone who has a Romanian NIF or CNP is fine.

The 3% rate of the micro company with no employee is dumped already ?
No, starting January it's 1% with one employee to be eligible.
 
So 1% or 16% but no more 3% ? Hum what's the catch with the "20% consultancy rule" ? Can anyone explain what does it consist and why it's a bummer ? Only briefly heard of it. Cheers
Yes, it's 1 or 16 for corporate income tax and 8 for dividend from 2023 onwards.

The changes are essentially all in line with what the EU demands, so every other country offering a better deal (e.g. Bulgaria) will have to change that as well in the coming years.
 
Reactions: pucecacou
Mot me it is still a good a valid option for the company setup.
 
You're talking about 1% and 500K limit per year. It's great. But what about additionally VAT 19% rate which applies to all supplies of goods and services?
Or is it not applicable to micro-companies?
 
You're talking about 1% and 500K limit per year. It's great. But what about additionally VAT 19% rate which applies to all supplies of goods and services?
Or is it not applicable to micro-companies?
VAT will need to be charged to customers in the EU if you go above the limit for VAT registration, I believe it was EUR75k. If you do B2B or non EU it is irrelevant anyhow and if you do B2C simply add the prevailing VAT rate of the country of residence of your customer onto the invoice and done.
 
Reactions: AlexRon
Hello,! And Happy new year!!
About the micro regulation in Romania, please be inform that starting with 1January 2024 the max turnover will be 300k, !
Don't bet on the romanian taxation allways is changing during the game,! But you ha e solutions ,. Where are you come from???
 
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