Romania: Tax amnesty law regarding the reclassification of daily allowances as salary


Law 72/2022 on the enforcement of a tax amnesty for tax liabilities, including interest and penalties for late payment, imposed by the tax authorities following the reclassification of daily allowances as salary, was published in the Official Gazette on 31 March based on a bill submitted in September 2021. You can find the link to our news alert here.

The tax amnesty applies to all tax liabilities from 1 July 2015 until now imposed by the tax authorities following the reclassification. The main companies affected by this reclassification are those in the construction and international transport sectors and temporary work agencies.

The tax amnesty targets both assessed and unpaid tax liabilities as well as tax debts already paid by companies. In the latter case, companies will be able to apply for a refund.

The tax amnesty will be applied automatically by the tax authorities without the need for companies to make a special request to benefit from it, as decisions will be issued to cancel the tax debts and these will be officially served to qualifying taxpayers.

The Law also provides clarifications on the tax treatment of daily allowances with a view to avoiding future reclassification:

  • Primarily, the new tax regulations make explicit reference to the delegation allowance, the secondment allowance, amounts paid under mobility employment clauses and the transnational secondment allowance.
  • A new deductibility threshold (at the level of the company) and non-taxable threshold (at the level of the employee) of 3 base salaries for external daily allowances is implemented. 
  • The tax authorities will be able to reclassify the daily allowances only based on the findings of the Labour Inspectorate.