Romania (RO)
Romania is the largest country in Southeastern Europe — a full Schengen EU member state blessed with the dramatic Carpathian mountains, medieval Saxon towns like Sibiu and Brasov, the legendary Transylvania region, a booming technology sector, and one of the lowest costs of living in the European Union.
2026 Annual Changes — Romania
Updated thresholds, benefits, and regulatory changes effective this year.
Romania 2026 is shaped by continued fiscal austerity (Pachet 2): dividend and capital gains tax doubled to 16%, micro-enterprise threshold cut to 100,000 EUR, minimum wage rises twice (January and July), and pensions frozen for the second consecutive year. VAT remains at 21%/11% following the August 2025 hike. Schengen full membership continues. Track the Romanian Monitorul Oficial for emergency ordinances (OUG) which can introduce changes with short notice.
Key Changes for 2026
| Category | 2026 Value | Previous | Effective Date |
|---|---|---|---|
| VAT — Standard Rate Standard VAT rate remains at 21% — no reversal in 2026 | 21% (standard) | 19% (until 31 July 2025); 21% from 1 August 2025 | 1 August 2025 — confirmed for 2026 |
| VAT — Reduced Rate Reduced VAT at 11% applies to food, books, medicines, hotels, and water. Transitional 9% rate on new residential properties expires 31 July 2026. | 11% (reduced); 9% transitional rate on new residential properties until 31 July 2026, then 21% | 9% (until 31 July 2025); 5% for social housing | 1 August 2025 — 9% housing window closes 31 July 2026 |
| Income Tax — Personal Personal income tax remains a 10% flat rate on employment and most income | 10% flat | 10% (unchanged since 2018) | Ongoing |
| Dividend and Capital Gains Tax Dividend and capital gains tax rates doubled effective 1 January 2026 | 16% on dividends distributed. 16% on capital gains from shares, financial instruments, crypto, and investment gold. | 10% (since January 2025); 5% pre-2023 | 1 January 2026 |
| Minimum Gross Wage — General Economy Two increases in 2026: January (unchanged from H2 2025) and July | 4,050 RON/month (1 Jan – 30 Jun 2026); 4,325 RON/month (1 Jul – 31 Dec 2026). Note: 300 RON/month exempt from tax and contributions H1 2026, reduced to 200 RON in H2. | 3,700 RON/month (2024); 4,050 RON from H2 2025 | 1 January 2026 (4,050); 1 July 2026 (4,325) |
| Minimum Gross Wage — Construction and Agriculture Sector minimum wages unchanged from 2025 | 4,582 RON/month (construction and food industry) | 4,582 RON/month (2025) | 1 January 2026 |
| Micro-Enterprise Tax Regime Annual turnover threshold further reduced to 100,000 EUR in 2026; 3% rate (for companies without employees) eliminated — all qualifying firms now pay 1% | 100,000 EUR turnover cap; 1% flat rate regardless of employees or sector. Companies above 100,000 EUR switch to 16% standard corporate tax (impozit pe profit). | 500,000 EUR (pre-2025); 250,000 EUR (2025); 1% with employees / 3% without | 1 January 2026 |
| Minimum Turnover Tax (IMCA) Minimum turnover tax rate reduced for fiscal year 2026 | 0.5% of turnover (applies to large companies when it exceeds standard CIT) | 1% in 2025 | 1 January 2026 |
| Pension — Reference Value (VPR) Pension reference value (valoarea punctului de referință) frozen for second consecutive year under austerity legislation | VPR: 81 RON/point (indexation suspended for 2025 and 2026). Average actual pension paid: ~2,782 RON/month (March 2026, reflecting accumulated contribution history). No increase in 2026. | 81 RON/point (2025, same — indexation suspended by OUG) | 1 January 2026 |
| Child Allowance (Alocație de stat pentru copii) State child allowance maintained at 2025 levels | 292 RON/month (ages 2–18); 719 RON/month (under 2 and children with disabilities) | 292 RON / 719 RON (2025) | 1 January 2026 |
| Employer Labour Insurance Contribution (CAM) Employer-paid labour insurance contribution rate unchanged | 2.25% of gross payroll | 2.25% (unchanged since 2018) | Ongoing |
| Pillar 2 Private Pension Contribution Employee portion redirected to Pillar 2 unchanged; IT/construction tax incentives that offset this are ended | 4.75% of gross salary redirected to Pillar 2 (rising to 5% in later years) | 4.75% (2025) | 1 January 2026 |
| Freelancer Health Contribution (CASS) CASS base cap increased from 60 to 72 gross minimum wages per year | 10% of declared income, capped at 72× monthly minimum wage base. At 4,050 RON/month: max annual base = 291,600 RON/year (~€58,600); max CASS = ~29,160 RON/year. | Cap was 60× minimum wages in 2025 | 1 January 2026 |
| IT Sector Income Tax Exemption IT sector 0% income tax exemption fully ended; standard 10% applies | Standard 10% income tax applies to all software workers | 0% for qualifying IT workers until end 2024 | 1 January 2025 — confirmed for 2026 |
| Digital Nomad Visa — Minimum Monthly Income Minimum income threshold is 3× average Romanian gross monthly salary — updated for 2026 | ~26,730 RON/month (3 × ~8,910 RON average gross salary, based on latest INS data). Approximately €5,400–€5,600/month at current exchange rates. Verify against latest INS average salary figure at time of application. | ~13,500 RON/month (2025, based on lower average salary) | 1 January 2026 |
| Rovinietă (Highway Vignette) Current prices restructured; new emission-based system from 1 July 2026 | Jan–Jun 2026 (passenger car, Category A): 1 day ~17.83 RON (~€3.50); 10 days ~30.57 RON (~€6); 30 days ~48.41 RON (~€9.50); 12 months ~254.79 RON (~€50). From 1 Jul 2026 (new emission-based system, Euro IV–V car): 1 day ~26 RON (~€5.20); 30 days ~55 RON (~€11); 12 months ~292 RON (~€58). Electric and Euro VI cars pay less; older Euro III vehicles pay more. | ~13 EUR / 30 days (2025) | Jan 2026 (current); 1 July 2026 (new emission-based system) |
| Inheritance Tax No inheritance tax on estates processed within 2 years of death | 0% inheritance tax; notary fee approximately 0.5–2% of estate value | 0% (unchanged) | Ongoing |
| Schengen Full Membership Romania full Schengen member including land borders since January 2025 — unchanged for 2026 | Full Schengen access; no land border controls with Hungary/Bulgaria | Air/sea only from March 2024; full land from January 2025 | 1 January 2025 — confirmed for 2026 |
| Paternity Leave Paternity leave entitlement unchanged for 2026 | 10 working days + 5 additional if father completes a childcare course; paid by employer | Same since 2022 reform | Ongoing |
| Bucharest Metro — Single Fare Two fare increases in 2026: Jan and May | Jan–Apr 2026: 5 RON/trip. From 1 May 2026: 7 RON/trip (+40% increase). Monthly pass: 140 RON (from May 2026). | 3 RON (pre-2026) | 1 January 2026 (5 RON); 1 May 2026 (7 RON) |
| eFactura — Mandatory e-Invoicing eFactura B2B mandatory for all VAT-registered businesses; B2C rollout continues | All B2B invoices must be submitted via ANAF eFactura portal within 5 working days. B2C expansion through 2026. | Phased rollout 2024–2025 | 1 July 2024 for B2B; B2C expansion ongoing 2026 |
| SGR — Deposit Return Scheme Continued full operation — no change to rates for 2026 | 0.50 RON deposit per bottle/can; returnable at any registered retailer | — | Ongoing from November 2023 |
| ITP (Vehicle Technical Inspection) ITP fee indexed modestly | ~120–180 RON for passenger car ITP | ~110–160 RON (2025) | 1 January 2026 |
| Declarația Unică Deadline Unified return for freelancer/self-employed income — deadline unchanged | 25 May 2026 (for 2025 income and 2026 estimates) | 25 May (unchanged) | 25 May 2026 |
| PAD — Mandatory Home Insurance Mandatory residential property insurance (Polița de Asigurare împotriva Dezastrelor) required for all dwellings | Required for all residences. Claims refused and fines apply without PAD. Annual premium approximately 20 EUR for apartment, 50 EUR for house (Type A/B). | — | Ongoing |
January Checklist
Actions to take each January when new rates take effect.
- 1
Check first January payslip for updated minimum wage (4,050 RON H1) and correct CAS (25%), CASS (10%), income tax (10%) deductions.
- 2
If you receive dividends: dividend tax is now 16% (doubled from 10%) — review dividend distribution timing and total tax cost.
- 3
If you own capital market investments or crypto: capital gains also taxed at 16% in 2026.
- 4
If self-employed (PFA/II): recalculate CASS on actual income; cap is now 72× minimum wage (~291,600 RON/year base).
- 5
If you operate a micro-enterprise: verify your 2025 turnover is below the new 100,000 EUR threshold. Above it means switching to 16% impozit pe profit regime.
- 6
Confirm your rovinieta is valid and renew — emission-based system starts 1 July 2026, so annual pass bought before July 2026 may lock in current tariffs.
- 7
Check vehicle ITP expiry date — driving with expired ITP is a police/RAR fine.
- 8
Check alocație de stat payments for children: 292 RON (ages 2–18) or 719 RON (under 2).
- 9
Review lease for annual CPI adjustment clause — many Romanian contracts index to rata inflației published by INS.
- 10
Verify PAD mandatory home insurance is active for your residence.
- 11
Book Declarația Unică for 25 May 2026 in your calendar.
- 12
Digital nomad visa applicants: income threshold is ~26,730 RON/month — verify current INS average salary before applying.
Where to Track Annual Changes
-
Agenția Națională de Administrare Fiscală (ANAF) — anaf.ro — tax rates, eFactura, Declarația Unică
-
Ministerul Finanțelor — mfinante.gov.ro — budget measures and fiscal code amendments
-
Guvernul României — gov.ro — emergency ordinances (OUG) and primary legislation
-
Monitorul Oficial — monitoruloficial.ro — official gazette: laws, OUGs, ministerial orders
-
CNPP (Casa Națională de Pensii Publice) — cnpp.ro — pension reference values, pension amounts
-
Banca Națională a României (BNR) — bnr.ro — reference rates, currency
-
Inspectoratul General pentru Imigrări (IGI) — igi.mai.gov.ro — visa and residence permits
-
CNADNR / CNAIR — cnadnr.ro — rovinieta tariffs (updated monthly for EUR equivalent)
-
EUR-Lex — eur-lex.europa.eu — EU-level regulation affecting Romania
Romania's fiscal framework changes frequently via emergency ordinance (OUG) with short implementation windows. The 2026 changes are the largest since 2018: dividend/capital gains tax doubled to 16%, micro-enterprise threshold cut by 75% over two years. For material financial decisions, verify with ANAF or a licensed consultant fiscal before acting. This page is refreshed annually in January and after significant Monitorul Oficial publications.
Annual Changes
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