Romania: New tax measures in response to COVID-19
3/31/2020
On Monday, 30 March 2020, a new Emergency Ordinance (no. 33/2020) was published with a view to helping businesses come through this difficult period successfully. Of the measures taken, the following have an impact on taxes:
- Corporate income tax payers who pay the tax on profits due for the first quarter of 2020 by the standard deadline, i.e. 25 April 2020, will benefit from a reduction in their profits tax, as follows:
- 5% for large taxpayers,
- 10% for medium-sized taxpayers, and
- 15% for other taxpayers;
- The above also applies to corporate income tax payers who have established a different fiscal year than the calendar year and who pay the tax on profits due for the quarter by a due date during the period 25 April to 25 June 2020;
- Taxpayers who fall under Law no. 170/2016 regarding specific tax for certain activities will also benefit from the above reduction;
- Microenterprises who pay the income tax due for the first quarter of 2020 by the standard deadline, i.e. 25 April 2020, will benefit from a 10% reduction in their income tax;
- VAT payers who import medicines, protective equipment, other medical devices or medical equipment and supplies that can be used to prevent, limit, treat and combat COVID-19 will be exempted from payment of VAT in customs. The exemption applies for the entire period of state of emergency and for 30 days following it.
