Legislative information

1)    Corporate tax – applicable changes starting in 2026

Through Emergency Ordinance no. 8/2026, significant changes have been introduced in the area of corporate tax, effective from January 1, 2026.

1.      Introduction of the tax credit for research and development (R&D) activities – An optional tax credit is introduced for eligible research and development expenses, applicable as an alternative to the additional deduction of 50% provided by the Tax Code. The tax credit directly reduces the corporate tax due, and any unused difference is treated as non-taxable income.

2.      Extension of non-taxable income – The differences arising from the application of the tax credit for R&D are included, as well as the amounts representing the bonus granted for voluntary compliance.

3.      Reinvested profit and accelerated depreciation – For the year 2026, the simultaneous application of the exemption for reinvested profit and accelerated depreciation for certain categories of eligible assets is permitted.

4.      Increase of the threshold for fixed assets – The value threshold for classifying assets as depreciable fixed assets increases from 2,500 lei to 5,000 lei.

5.      Deadline for submitting the annual declaration – The deadline for submitting the annual corporate tax declaration is permanently set to June 25 for taxpayers with a calendar fiscal year.

6.      Additional deduction for listing on the stock exchange – A supplemental deduction of 50% is introduced for expenses related to the admission and maintenance of trading shares on a regulated market.

2) Micro-enterprises and VAT – changes applicable from 2026 Emergency Ordinance no. 8/2026 brings significant changes also in the area of micro-enterprise income tax and VAT

I. Micro-enterprise income tax

Starting from the year 2026:

– For the calculation of the threshold of 100,000 euros, the income from the transfer of fixed assets and land are no longer included, facilitating the maintenance of the micro-enterprise tax regime.

– Returning to the micro-enterprise regime becomes possible starting January 1 of a calendar year, provided legal conditions are met.

– The taxable base excludes the bonus granted for voluntary compliance.

– Conditions regarding the existence of an employee are adjusted for more flexible application.

II. VAT – the VAT cash accounting system

The threshold for applying the VAT cash accounting system is gradually increased:

– to 5,000,000 lei for the period March 1 – December 31, 2026;

– to 5,500,000 lei starting January 1, 2027.

Transitional provisions are provided for taxpayers who exceed the previous threshold in the first months of 2026, without being removed from the register of persons applying the VAT cash accounting system.

We recommend checking compliance with the threshold and reevaluating the opportunity of applying the VAT cash accounting system.

3) Income tax and salary benefits – expansion of deductions

New deductions for independent activities and salaries

Deductions of up to 400 euros/year/person are granted for:

– contributions to occupational pension funds and pan-European personal pension products (PEPP);

– amounts paid for the purchase of shares, bonds or ETFs through eligible intermediaries.

Extension of non-taxable salary income

Contributions to occupational pension funds paid by the employer are included in the category of non-taxable income, up to the ceiling of 400 euros/year/person and within the general ceiling of 33% of the basic salary applicable to fringe benefits.

These changes can be integrated into benefits policies and the structure of salary packages.

4) Bonus of 3% for voluntary compliance – year 2025

The bonus applies to corporate tax, micro-enterprise income tax, the minimum tax on turnover, and income tax owed by individuals.

The bonus applies to:

– corporate tax;

– micro-enterprise income tax;

– minimum tax on turnover;

– income tax owed by individuals.

In the case of individuals, the bonus is granted if, before April 15, 2026:

– the tax and social contributions (CAS and CASS) are paid in full;

– the unique declaration is submitted.