Special Tax Regimes & Incentives – Romania

Digital nomads staying under 183 days in any 12-month period: exempt from Romanian income tax and social contributions on foreign-sourced income. Must remain tax resident elsewhere. Law 69/2023 provides legal framework. Must not work for Romanian companies or Romanian clients.

Minimum monthly income requirement: €3,700-3,950 (approximately RON 18,500). Must prove income for previous 6 months. Work for foreign company (3+ years) or own foreign business. Long-stay D visa required. Valid 12 months, renewable once. Health insurance mandatory (€30,000 coverage).

After 183 days: become tax resident. Must register with ANAF within 30 days. Pay 10% income tax on worldwide income. CAS 25% and CASS 10% apply. Previous tax exemption ends. Subject to standard Romanian tax regime.

Employees earning minimum gross wage (RON 4,050-4,325): exempt from income tax and social contributions on first RON 300/month (January-June 2026) or RON 200/month (July-December 2026). Conditions: basic salary equals minimum wage, total monthly income under RON 4,300.

Meal tickets (tichete de masa) are common benefit. Subject to income tax only, no social contributions. Tax deducted from net salary. Maximum value varies. Important part of compensation packages. Wide acceptance in restaurants and shops.

Employer-paid private pension and health insurance: tax-free up to €400 per year combined. Above limit: taxed as salary benefit. Includes income tax and social contributions. Popular benefit for retaining employees. Must meet specific conditions.

Previously: IT specialists exempt from income tax. Ended in 2025/2026. Now pay full 10% income tax plus 35% social contributions. Construction and agriculture exemptions also eliminated. Significant increase in tax burden for these sectors. Controversial policy change.

IT, construction, agriculture previously paid reduced CAS (21.25% instead of 25%). Full 25% CAS now mandatory from 2026. Pillar II pension contributions reinstated. Optional Pillar II available but must explicitly opt-in. End of preferential treatment.

Major 2026 change: microenterprise regime eligibility reduced from €250,000 to €100,000 annual turnover. Many companies forced to standard 16% corporate tax. Significant revenue impact for affected businesses. Simplified 1% rate still attractive for qualifying companies.