Key facts
| Item | Rule (2026) |
|---|---|
| Micro-enterprise tax | 1% of revenue |
| Ceiling | €100,000 turnover (was €250,000; the 3% tier abolished) |
| Staffing condition | At least one employee |
| Excluded activities | Banking, insurance, capital markets, gambling, oil & gas |
| Above the ceiling | 16% profit tax from that quarter |
| Dividend tax | 16% (raised from 10% for 2026) |
The arithmetic
Turnover taxes reward margin. Take a one-person consultancy billing €100,000 with €40,000 of costs: the micro tax is €1,000, where the standard 16% on €60,000 of profit would be €9,600. Add the 16% dividend tax on what is left and the owner keeps about €49,600 of the €60,000 - a total burden near 17.5%. The same business under Lithuania’s small-company regime (7% + 15%) nets about €47,400; under Germany’s standard system, closer to €31,000.[1]
The flip side: the 1% is due whether or not there is profit. A low-margin or loss-making business pays it on every invoice, which is why the regime suits services and hurts trading businesses with thin markups.
The regime’s European siblings
- Italy - forfettario: a flat-rate scheme up to €85,000 of revenue, taxed at 15% (5% for the first five years) on a deemed-cost base, VAT-exempt.
- Latvia - micro-enterprise tax: 25% of turnover for businesses under €40,000 with up to 5 employees, replacing income tax and social contributions.
- Hungary - KIVA: an optional 10% small-business tax replacing corporate tax and the 13% social contribution.[3][4]
The catch
The employee requirement is a real cost - Romanian employment carries a 35% employee-side social burden, so the “free” regime starts with a salary bill. The €100,000 ceiling is hard: cross it and the company switches to 16% profit tax in the same quarter. Dividends now cost 16%, and a health contribution can apply on top above income thresholds. For a foreigner, the usual boundary applies: the regime belongs to a genuinely Romanian-run company, and running it from abroad puts tax residency in play.[1][2]
Foire aux questions
Who qualifies for Romania’s 1% micro-enterprise tax?
A Romanian company with turnover up to €100,000, at least one employee, and an activity outside the excluded sectors (banking, insurance, capital markets, gambling, oil & gas). Above the ceiling it pays 16% profit tax from that quarter.
What changed for 2026?
The ceiling dropped from €250,000 to €100,000, the 3% rate tier was abolished, sector-based rate restrictions were removed, and the dividend tax rose from 10% to 16%.
Is 1% of turnover always cheaper than profit tax?
No - it beats the 16% profit tax whenever the profit margin exceeds about 6.25% of turnover. Below that, and in loss years, the turnover tax costs more.
Les résultats transfrontaliers dépendent de la résidence fiscale, des règles relatives aux sociétés étrangères contrôlées et de la substance économique réelle ; une structure sur papier ne suffit pas. Voir l'avertissement ci-dessous.
Sources
Références numérotées citées tout au long de cet article. Les lois renvoient aux textes consolidés figurant dans le journal officiel.