Taxes To Become Easier in Romania

January 30, 2018 Taxation in Romania

taxes in romaniaBUCHAREST – Romanian taxpayers will soon see a tax reprieve, as the new government promises to make paying taxes easier.

Romania’s new government is introducing a range of tax changes aimed at boosting economic growth and vastly cutting the administration and red tape associated with meeting tax requirements.

The new government will reduce the rate of VAT on most sales from 19 percent to 18 percent, while the rate applied to the sale of small personal dwellings will now fall under the scope of the already reduced rate of 5 percent.

Further, many taxes paid by individuals will be merged or cut, meaning that personal taxpayers can expect to pay a maximum of 10 different taxes per year.

Simultaneously, the number of different taxes paid by businesses will be reduced to a maximum of 50.

The number of forms and systems needed to pay taxes will be reduced, with small businesses needing to file only 5 separate forms to meet their tax requirements.

It has also been announced that from January 2019, doctors in Romania will see their applicable rate of income tax slashed to 0 percent.