New Fiscal Code in Romania from 2016

The New Fiscal Code has been published in the Official Journal of Romania (no. 688 / 10 September 2015), starting 1 January 2016, the law will replace the existing Fiscal Code.

Hereby the most important changes in the New Fiscal Code:

Starting 1 January 2016, the standard VAT rate will be reduced from 24% to 20% and the following taxes will be eliminated:

  • Non-harmonised excise duties (on coffee and on certain luxury products).
  • The tax on crude oil from domestic production.
  • The hotel tax (city tax).

Starting 1 January 2017, the standard VAT rate will be further reduced to 19%,the tax on dividends will be reduced from 16% to 5%, and the following taxes will be eliminated:

  • The tax on constructions.
  • The “super-excise” on motor fuels.

For more information;

http://www.kpmg.com/RO/en/IssuesAndInsights/ArticlesPublications/Newsflashes/Tax/Direct-Tax-Newsflash/Documents/TNF-329-EN-RO.pdf