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Romania Corporate Tax

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.

RomaniaMicroenterpriseSRLCorporate Tax2026
Updated: July 12, 2026
As of January 1, 2026, Romanian microenterprises pay a single flat 1% tax on turnover — the old 3% bracket for companies over €60,000 revenue has been abolished. The trade-off: the eligibility ceiling to use this regime at all was cut from €250,000 to €100,000 in annual revenue. Cross that new threshold and your company falls out of the microenterprise regime and into ordinary 16% corporate income tax from the quarter you exceed it. This guide covers exactly who still qualifies, the employee requirement that catches people off guard, and what dividend tax looks like once profit actually leaves the company.

The short answer

Romania's microenterprise (SRL) regime from January 1, 2026

1% flat, up to €100,000
Any Romanian micro company with annual revenue up to €100,000 now pays 1% tax on total turnover — not on profit. The old two-tier system (1% under €60,000, 3% between €60,000 and €250,000) is gone; everyone under the new ceiling pays the same 1%.
1% on turnover€100,000 ceiling1 employee required
The ceiling was cut by 60%. A company earning €150,000/year that qualified for the microenterprise regime in 2025 no longer qualifies in 2026 — it now falls into ordinary 16% corporate tax on profit, a materially different calculation.

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

Feature20252026
Turnover ceiling€250,000€100,000
Tax rate1% (under €60k) or 3% (€60k–€250k)1% flat, up to €100k
Activity restrictionsCertain NACE codes excludedAbolished — open to nearly all activities
Employee requirementAt least 1 full-time employeeUnchanged — 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

A microenterprise with €90,000 revenue and 10% margin (€9,000 profit) pays €900 in tax under the 1% regime — a 10% effective rate on actual profit, not 1%. Compare that to 16% CIT on the same €9,000 profit (€1,440) before deciding the microenterprise regime is automatically the better deal for your margin structure.

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.

Disclaimer

This guide is for general information only and is not tax or legal advice. Romanian fiscal rules change frequently — confirm current thresholds and rates with a licensed Romanian accountant before registering or restructuring a company.