📊 Tax

Romania Company Tax Guide for Foreign Owners (2026)

This guide gives foreign owners a clear overview of how a Romanian company is taxed. Tax rules change often, so treat the numbers below as a framework and always confirm the current figures.

Two ways a company is taxed

1. Micro-company regime — from 1 January 2026, eligible small companies are taxed at a single 1% on turnover (the former 3% tier was abolished). To qualify, annual turnover must be up to €100,000 (reduced from €250,000) and the company must have at least one full-time employee, among other conditions.
2. Standard profit tax — companies that don’t qualify (or exceed the ceiling) pay 16% on profit.

Important: the micro-company turnover ceiling and rates have changed several times recently (the threshold dropped to €100,000 for 2026). Confirm the current rules before you rely on them — we check eligibility for each client.

Dividend tax

Profits distributed to shareholders are subject to a separate dividend tax, increased to 16% for dividends distributed from 1 January 2026 (up from 10%). Transitional rules may apply to dividends based on 2025 interim statements.

VAT

The standard VAT rate is 21% (since August 2025), with a single reduced rate of 11%. A company must register for VAT once turnover exceeds RON 395,000, or it can register voluntarily. See our non-resident formation guide.

What this means for foreign founders

• Romania can be tax-efficient for small, service-based companies under the micro regime.
• Compliance is monthly, so ongoing accounting matters as much as the headline rate.
• The rules change, so build in a periodic review with your accountant.

Stay compliant without the headache

We keep your Romanian company compliant — filings, VAT and tax planning — in English. See accounting services in Romania.