Romania Microenterprise 1% Tax in 2026: New €100,000 Threshold Explained
The microenterprise regime got simpler and stricter at the same time: one flat 1% rate replaces the old 1%/3% split, but the revenue ceiling to qualify was cut by more than half.
The short answer
Romania's microenterprise (SRL) regime from January 1, 2026
What changed on January 1, 2026
Three changes at once
Romania's fiscal package restructured the microenterprise regime rather than simply adjusting a number:
The 3% bracket (companies with €60,000–€250,000 revenue) is abolished. A single 1% rate now applies to every qualifying microenterprise, regardless of turnover size within the ceiling.
The revenue ceiling to qualify for microenterprise status at all dropped from €250,000 to €100,000 per year.
Activity-based restrictions (the old list of excluded NACE codes for certain consulting, legal, and other sectors) were removed — eligibility is now driven mainly by turnover and the employee rule, not by industry.
The mandatory full-time employee requirement was kept: a microenterprise still needs at least one employee working full-time (or the owner-administrator under specific conditions) to use the regime.
Microenterprise regime: 2025 vs 2026
| Feature | 2025 | 2026 |
|---|---|---|
| Turnover ceiling | €250,000 | €100,000 |
| Tax rate | 1% (under €60k) or 3% (€60k–€250k) | 1% flat, up to €100k |
| Activity restrictions | Certain NACE codes excluded | Abolished — open to nearly all activities |
| Employee requirement | At least 1 full-time employee | Unchanged — at least 1 full-time employee |
| Dividend tax (on distributed profit) | 10% | 16% |
Exceed €100,000 in revenue during the year and the company owes standard 16% corporate income tax starting from the quarter the threshold was crossed, calculated on profit rather than turnover from that point.
The employee rule and what happens if you outgrow it
Staying compliant
Two practical traps catch most microenterprise owners in their first year under the new rules:
The 1% tax is charged on gross revenue, not profit — a high-revenue, low-margin business (e.g. reselling, agency pass-through costs) can pay more tax under this regime than under 16% corporate tax on a thin margin.
Because the ceiling is now €100,000 rather than €250,000, a company that grows even modestly can exceed it mid-year. Revenue is tracked cumulatively from January 1, and once you cross €100,000 you switch to standard 16% CIT for the remainder of the year and beyond.
The full-time employee requirement (or an equivalent administrator arrangement) must be maintained continuously — a gap, even briefly, can disqualify the company from the 1% rate for that fiscal year.
1% on turnover is not always cheaper
FAQ
What is the new turnover threshold for Romania's microenterprise regime in 2026?
€100,000 per year, down from €250,000 in 2025. Companies that exceed this during the year switch to standard 16% corporate income tax from the quarter in which the threshold is crossed.
Was the 3% microenterprise rate really abolished?
Yes. From January 1, 2026, the old two-tier system (1% for companies under €60,000 revenue, 3% for €60,000–€250,000) was replaced with a single flat 1% rate that applies to all qualifying microenterprises up to the new €100,000 ceiling.
Do I still need an employee to qualify for Romania's 1% micro-company tax?
Yes, the mandatory full-time employee requirement was kept in the 2026 reform. Most sole-founder SRLs satisfy this by hiring one full-time employee or, in some structures, having the owner-administrator fill the role under specific conditions — check current rules with a local accountant.
How much tax do I pay when I take dividends out of a Romanian microenterprise?
Dividend tax was raised to 16% from January 1, 2026 (up from 10% in 2025), on top of the 1% turnover tax already paid at the company level. Factor both layers in when comparing the total tax burden to other jurisdictions.
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