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Corporate Income Tax in Romania, 16% Rate and Deadlines
The rate, the taxable base, losses, payment and the annual return, on the 2026 text of the Fiscal Code.
Short answer
Romanian companies pay corporate income tax (impozit pe profit) at 16% of taxable profit (art. 17 of the Fiscal Code, 2026 text). Taxable profit is accounting revenue minus accounting expenses, adjusted for non-taxable income, deductions and non-deductible expenses (art. 19(1)). The annual return, form 101, is due by 25 June of the following year for a calendar-year company (art. 42(1)).
This guide explains the tax and sells no tax service: returns are prepared by the client's own accountant or a tax consultant. Registering a company is a separate step, handled by our company registration service.
What is the corporate income tax rate in Romania?
The profit tax rate is 16% of taxable profit (art. 17 of the Fiscal Code), the rate in force in 2026. Every rule here is the 2026 text in the consolidation published by ANAF, the National Tax Administration Agency (Agenția Națională de Administrare Fiscală), updated to Law 170/2026. A consolidation is not a republication.
This is the tax on a company's profit. It is not personal income tax, and it is not the 1% micro-enterprise tax, set beside it in a table below. VAT, payroll and local taxes are in taxes in Romania. Dividends distributed from 1 January 2026 carry a separate 16% tax (Law 141/2025), covered in the dividend guide at the end.
Who pays profit tax in Romania?
Art. 13, 14 and 16 of the Fiscal Code settle who pays and for which period (2026 text).
- Romanian legal persons, and foreign ones through a Romanian permanent establishment (sediu permanent) (art. 13(1)(a)-(b)).
- A foreign company whose place of effective management (locul conducerii efective) is in Romania (art. 13(1)(c)).
- Romanian companies are taxed on profit from any source, in Romania and abroad (art. 14(a)).
- A company paying the micro-enterprise tax is outside profit tax while it stays one (art. 13(2)(h)).
- The taxable period of a new company starts on its trade-register registration (art. 16(3)(a)).
- Fiscal year: the calendar year, or an optional modified year (an fiscal modificat) (art. 16(1), 16(5)).
Treaty relief and the attribution of profit to a branch are not covered here. For a company already registered, see how to look up a Romanian company and its registration number. Who owns it is declared in a separate register: the beneficial owner register in Romania.
Is the Romanian corporate tax 1% or 16%?
You may meet a "1% corporate tax". That 1% is the micro-enterprise (microîntreprindere) tax (art. 51(1)), a turnover tax and an alternative regime. The corporate income tax rate is 16% (art. 17). The table sets the conditions side by side.
Profit tax and the micro-enterprise tax side by side, 2026 text (Fiscal Code, Titles II and III). Conditions only, no recommendation.
| Point | Profit tax | Micro-enterprise tax | Source |
|---|---|---|---|
| Rate | 16% of taxable profit (art. 17) | 1% of the micro base, a single rate from 1 January 2026 (art. 51(1)) | Fiscal Code art. 17, 51(1) |
| What is taxed | Taxable profit, built from accounting revenue and expenses (art. 19(1)) | A turnover tax, not the corporate income tax rate | Fiscal Code art. 19(1), 51 |
| Who is in | Romanian legal persons and the other payers listed above (art. 13(1)) | A Romanian legal person that meets the micro conditions together on 31 December of the previous fiscal year (art. 47(1)) | Fiscal Code art. 13(1), 47(1) |
| The ceiling and the move | A micro-enterprise whose revenue passes EUR 100,000 pays profit tax from the quarter in which it passed (art. 52(1)) | Revenue ceiling: the lei equivalent of EUR 100,000 (art. 47(1)(c)); a company paying this tax is outside profit tax while it is a micro-enterprise (art. 13(2)(h)) | Fiscal Code art. 52(1), 47(1)(c), 13(2)(h) |
| Losses | Losses recorded from 2024: carried forward 5 consecutive years, at most 70% of each year's profit (art. 31(1)); older losses follow art. 31(7) | A loss made under profit tax survives the micro period and resumes on the return to profit tax (art. 31(5)) | Fiscal Code art. 31(1), 31(5), 31(7) |
Which regime a company is in, and which suits it, is a tax-consultancy question for a CCF tax consultant (the CCF is the Chamber of Tax Consultants; Government Ordinance (OG) 71/2001 art. 3(1), 8(6)). This guide gives conditions, not a recommendation. The full regime is in the micro-enterprise tax guide.
How is taxable profit calculated in Romania?
The tax result is accounting revenue minus accounting expenses, minus non-taxable income and tax deductions, plus non-deductible expenses (art. 19(1)), computed quarterly or annually and cumulatively from the start of the fiscal year (art. 19(2)). It starts in the books; how invoices reach ANAF is a separate duty, see how a Romanian company sends invoices through RO e-Factura.
Three further rules. Expenses incurred for the economic activity are deductible in general (art. 25(1)). Transactions between related parties follow the market-value principle (art. 19(6)). A tangible asset is a depreciable fixed asset for tax if, together, it is held and used in production, supply of goods or services, for hire or for administration, its tax value on entry is at least 5,000 lei (the amount printed in the statute, updated yearly by Government decision) and its normal useful life is over one year (art. 28(2)).
From books to tax
Accounting revenue
Minus accounting expenses
Minus non-taxable income and tax deductions
Plus non-deductible expenses
Tax result
Art. 19(1) Fiscal Code
Rate of 16% on taxable profit
Art. 17 Fiscal Code
Which expenses are not deductible, or only partly deductible?
The general rule is deduction (art. 25(1)). The table lists the limits and the exclusions of the 2026 text, with the article of each.
Limited and non-deductible expenses, 2026 text (Fiscal Code consolidation and OG 6/2026).
| Item | Rule | Article | Source |
|---|---|---|---|
| Entertainment and gifts (cheltuieli de protocol), which include the VAT collected on gifts over 100 lei | Deductible up to 2% of accounting profit, to which the profit-tax expenses and the entertainment expenses are added | 25(3)(a) | Fiscal Code |
| Staff social expenses | Deductible up to 5% of the salary bill | 25(3)(b) | Fiscal Code |
| Cars up to 3,500 kg and 9 seats not used exclusively for the business | 50% of running costs deductible, with listed exceptions | 25(3)(l) | Fiscal Code |
| Office in an individual's own home, also used privately | 50% of running costs deductible | 25(3)(k) | Fiscal Code |
| Profit tax itself, and profit taxes paid abroad | Not deductible | 25(4)(a) | Fiscal Code |
| Late-payment interest, fines, confiscations and penalties owed to Romanian or foreign authorities | Not deductible, except those under contracts concluded with those authorities | 25(4)(b) | Fiscal Code |
| Expenses for the benefit of shareholders, other than market-price payments for goods or services they supply | Not deductible | 25(4)(d) | Fiscal Code |
| Expenses booked on a document issued by a taxpayer declared inactive | Not deductible, except purchases made in an enforced-execution procedure and purchases from taxable persons in bankruptcy proceedings | 25(4)(j) | Fiscal Code |
| Sponsorship | Not deducted from profit; credited against the tax, up to the lower of 0.75% of turnover and 20% of the profit tax due | 25(4)(i) | Fiscal Code |
| The 1% cap on intellectual property, management and consulting costs paid to non-resident affiliates (art. 251) | Repealed; the costs follow art. 25 from the first quarter of 2026 | Art. IV pt. 1 and Art. V OG 6/2026 | Fiscal Code, ANAF note |
Row 10 is a repeal (Art. IV pt. 1 OG 6/2026): costs paid to non-resident affiliates follow art. 25 from the first quarter of 2026 (art. V OG 6/2026). Row 8 turns on a supplier's status as an inactive taxpayer under the Fiscal Procedure Code, which this guide does not cover.
Are there exemptions and credits on profit?
Three provisions of the Fiscal Code sit around the taxable base, each with conditions.
Reinvested profit
Reinvested profit (profit reinvestit) in technological equipment and in production and processing assets can be exempt. The holding period is at least half the asset's economic life, but not more than 5 years (art. 22(1), 22(8)).
Dividends from an EU subsidiary
Dividends a Romanian parent receives from a subsidiary in another Member State are non-taxable if the parent has a Romanian company form listed in the article, pays profit tax without option or exemption (or a tax that substitutes it) and has held at least 10% of the subsidiary for an uninterrupted year at the date the dividend is recorded (art. 24(1)(a)).
The sponsorship credit
Sponsorship is not deducted from profit but credited against the tax, up to the lower of 0.75% of turnover and 20% of the profit tax due (art. 25(4)(i)).
Is your company not yet registered? A new company's taxable period starts on its trade-register registration (art. 16(3)(a)).
How long can a tax loss be carried forward?
The loss rules of art. 31, in the 2026 text, for a company that makes a tax loss.
Losses recorded from 2024
A tax loss recorded from 2024 is carried forward for 5 consecutive years and offsets at most 70% of each year's taxable profit. There is no carry-back (art. 31(1)).
Losses recorded before 2024
The part of an older loss still unrecovered at 31 December 2023 is recovered from 2024 within the same 70% cap, over what remains of its original 7-year window (art. 31(7)).
A micro period in between
A loss made under profit tax survives a period under the micro-enterprise tax. It applies again when the company returns to profit tax (art. 31(5)).
These are a company's own losses, which matters to anyone buying a ready-made company with a loss history. This guide states the statute and gives a buyer no advice.
Does the minimum turnover tax apply to a small SRL?
The minimum turnover tax (impozit minim pe cifra de afaceri, IMCA) applies to a company whose previous-year turnover exceeded EUR 50,000,000 (art. 181(1)). A small SRL (societate cu răspundere limitată, limited liability company) is outside it by that threshold. For fiscal year 2026 the rate inside the formula is 0.5%, the formula's base rate being 1% (art. 181(3) and (16)).
The article applies only until 31 December 2026 inclusive, or to the end of a modified fiscal year ending in 2027 (art. 181(17)). This guide states that text as the 2026 text and says nothing about later years.
When is profit tax paid: quarterly or annually?
The Code gives two payment systems. The table sets their mechanics side by side, in the 2026 text of art. 41.
Quarterly and annual payment systems, 2026 text (Fiscal Code, art. 41). The table describes mechanics and does not say which system fits.
| Point | Quarterly system | Annual system with advances | Source |
|---|---|---|---|
| Status | The default (art. 41(1)) | An option (art. 41(2)), not open to the taxpayers of art. 41(4) and (5) | Fiscal Code art. 41(1), 41(2) |
| Dates | Tax computed, declared and paid by the 25th of the month after quarters I to III (25 April, 25 July, 25 October), settled for the year by the annual return deadline (art. 41(1)) | Quarterly advances; the advance for quarter IV is declared and paid by 25 December (art. 41(8)) | Fiscal Code art. 41(1), 41(8) |
| Amount | Tax on the result computed cumulatively from the start of the fiscal year (art. 19(2)) | As a rule, each advance is a quarter of the previous year's profit tax, indexed by the consumer price index (art. 41(8)); the first-quarter advance is an exception (art. 41(101)) | Fiscal Code art. 19(2), 41(8) |
| Entering it | No step, it is the default | Notified to ANAF by 31 January of the fiscal year (within 30 days of the start of a modified fiscal year), and binding for at least 2 consecutive fiscal years (art. 41(3)) | Fiscal Code art. 41(3) |
| Who has no choice | Compulsory in the current year for companies that in the previous year were newly formed, other than by reorganisation (art. 41(6)(a)), made a tax loss or owed no annual profit tax (art. 41(6)(b), subject to art. 41(11)), were in temporary inactivity or declared no activity at the seat (art. 41(6)(c)) or paid the micro-enterprise tax (art. 41(6)(d)) | Not open to those companies | Fiscal Code art. 41(6) |
Which system a company uses is a decision for the company with its accountant and a CCF tax consultant. Separately, the first-quarter advance is computed by applying the rate to the accounting profit of the period (art. 41(101)).
Is form 101 due on 25 March or 25 June?
Form 101 (Declarația privind impozitul pe profit) is the annual profit tax return, due by 25 June of the following year for a calendar-year company (art. 42(1)). The statute applies that rule from the 2026 return, due by 25 June 2027 (art. 45(214)). For the 2025 return, a communiqué of ANAF's Cluj directorate of 18 June 2026 gave 25 June 2026 as the deadline.
A calendar-year company's profit-tax dates
Months from 1 January
- 31 JanuaryAnnual-system option notified to ANAFArt. 41(3) Fiscal Code
- 25 AprilQuarterly payment, quarter IArt. 41(1) Fiscal Code
- 25 JulyQuarterly payment, quarter IIArt. 41(1) Fiscal Code
- 25 OctoberQuarterly payment, quarter IIIArt. 41(1) Fiscal Code
- 25 DecemberAnnual-system advance for quarter IVArt. 41(8) Fiscal Code
- 25 June of the following yearForm 101, the annual profit tax returnArt. 42(1) Fiscal Code
A company with a modified fiscal year has other dates (art. 42(2)).
Form 101 at a glance, 2026 text (Fiscal Code and ANAF pages). 25 March is not in the table: it is the superseded date.
| Case | Deadline or rule | Basis | Source |
|---|---|---|---|
| Annual return for 2025 | 25 June 2026 | ANAF Cluj regional directorate communiqué of 18 June 2026 | ANAF Cluj communiqué |
| Annual return for 2026 and later years | For a calendar-year company, by 25 June of the following year; the 2026 return is due by 25 June 2027 | Art. 42(1), applied from the 2026 return by art. 45(214) | Fiscal Code art. 42(1), 45(214) |
| Modified fiscal year | By the 25th of the sixth month from the close of the modified year | Art. 42(2) | Fiscal Code art. 42(2) |
| Fiscal group | The responsible company files one consolidated return (form 101G) with each member's return | Art. 429(4) | Fiscal Code art. 429(4) |
| Current model | OPANAF 206/2025, valid for periods ending in 2024 or later | ANAF form page | ANAF form 101 page |
| How it is filed | Electronically, with ANAF's assistance software | ANAF forms page | ANAF forms page |
| How it is signed | With a qualified certificate | ANAF forms page | ANAF forms page |
One ANAF page still prints 25 March for form 101, under ANAF order OPANAF 206/2025. That is the superseded date, not the rule. 25 March survives in the profit-tax rules only for two modified-fiscal-year returns (art. 16(51)(a), 16(52)), not for the ordinary annual return of art. 42(1). A company being dissolved, with or without liquidation, follows the dates of art. 41(16) and (17) instead (art. 42(1)).
Who may compute and file the return, and who may advise?
Preparing a client's returns falls to an accountant or a tax consultant, an opinion on the regime is tax consultancy, and RomaniaRegist does neither.
The accountant
Keeping a client's books and, as part of the accounting contract, preparing and filing its returns, the quarterly declarations and form 101 included, is work for CECCAR members (the Body of Expert and Licensed Accountants) (OG 65/1994 art. 21(1), 43(1); Law 82/1991 art. 10(3)). A company's own accounting department may keep its books (Law 82/1991 art. 10(2)); outsourced accounting runs under a contract with a member (art. 10(3)). See the accounting requirements guide.
The tax consultant
A tax opinion, stand-alone assistance before ANAF and the papers for an appeal are tax consultancy, which only active members of the CCF register may carry on (OG 71/2001 art. 3(1)(a), (e), (f), 8(6)). Preparing tax returns is listed there too (art. 3(1)(b)); no text we read says how that fits with the accountants' contract work. A CECCAR accountant may also deal with ANAF on a client's returns inside an accounting contract. Choosing a regime, a payment system or a deduction is such an opinion; this guide gives none.
What RomaniaRegist does
RomaniaRegist files company registrations and later trade-register changes, for example to change the administrator of a Romanian company, and can point clients to a CECCAR accountant and a CCF tax consultant. It does not compute, file or advise on profit tax.
A regulated activity is a separate subject
Authorisation to provide a regulated service, such as crypto-asset services, is not a tax question; see the page on a crypto licence in Romania. This guide states no tax treatment of crypto-assets.
From our practice
At RomaniaRegist we file the registration. Questions about bookkeeping and returns go to the client's own CECCAR accountant, and questions about the regime go to a CCF tax consultant.
Official sources
- Fiscal Code, updated to Law 170/2026: Titles II and III, the rules on this page
- Law 141/2025: dividend tax at 16% from 1 January 2026
- Form 101 model: valid for periods ending in 2024 or later
- ANAF forms page: electronic filing and qualified certificate
- ANAF Cluj communiqué of 18 June 2026: 25 June 2026 for the 2025 return
- OG 71/2001: tax consultancy and the CCF register
- Law 82/1991: outsourced accounting under a CECCAR contract
- OG 65/1994: accounting work reserved to CECCAR members
Frequently asked questions
Can a Romanian company pay only 1% corporate tax?
Not as a corporate income tax rate. The 1% is the micro-enterprise tax, a turnover tax for a company that meets the micro conditions together on 31 December of the previous fiscal year, with a revenue ceiling of EUR 100,000 (art. 47, 51, 52). The corporate income tax rate is 16% of taxable profit (art. 17).
Does every Romanian company pay 16% profit tax, or can it pay the micro-enterprise tax instead?
Romanian legal persons pay profit tax (art. 13(1)(a)-(b)). A company that pays the micro-enterprise tax is outside it while it is a micro-enterprise, so the two regimes are alternatives (art. 13(2)(h)). Whether a company is a micro-enterprise turns on the Title III conditions; which regime suits it is a question for a CCF tax consultant.
When does a micro-enterprise have to switch to the 16% profit tax?
One trigger is revenue above EUR 100,000 in a fiscal year: profit tax is then owed from the quarter in which the ceiling was passed (art. 52(1)). Art. 52(2) to (4) and (7) list others, such as late annual financial statements. The micro conditions are tested together on 31 December of the previous fiscal year (art. 47(1)).
Is form 101 due on 25 March or 25 June?
25 June for a calendar-year company. Art. 42(1) sets 25 June of the following year and the statute applies it from the 2026 return (art. 45(214)); ANAF Cluj confirmed 25 June 2026 for the 2025 return. One ANAF page still prints 25 March, the superseded date. 25 March survives in the Code's profit-tax rules only in two modified-fiscal-year cases.
What is the corporate income tax rate in Romania in 2026?
The corporate income tax rate in 2026 is 16% of taxable profit (art. 17), in ANAF's consolidation of the Fiscal Code updated to Law 170/2026. This is the profit tax. The micro-enterprise tax is a different regime at 1%, and the dividend tax is a separate 16% from 1 January 2026 (Law 141/2025).
How is taxable profit calculated in Romania?
Accounting revenue minus accounting expenses, minus non-taxable income and tax deductions, plus non-deductible expenses (art. 19(1)). The result is computed quarterly or annually, cumulatively from the start of the fiscal year (art. 19(2)). Expenses incurred for the economic activity are deductible in general (art. 25(1)).
Which expenses are not deductible, or only partly deductible, for Romanian profit tax?
Entertainment and gifts are deductible up to 2% of adjusted accounting profit (art. 25(3)(a)), staff social expenses up to 5% of the salary bill (art. 25(3)(b)). Cars and a home office also used privately: 50% of running costs (art. 25(3)(l), (k)). Not deductible: profit tax, and fines and late-payment interest except under contracts with the authorities (art. 25(4)(a), (b)).
How long can a Romanian company carry forward a tax loss, and how much can it offset each year?
Losses recorded from 2024 are carried forward for 5 consecutive years and offset at most 70% of each year's taxable profit, with no carry-back (art. 31(1)). Losses unrecovered at 31 December 2023 follow the same 70% cap over what remains of their original 7-year window (art. 31(7)).
Does the minimum turnover tax apply to a small SRL?
No. It applies to a company whose previous-year turnover exceeded EUR 50,000,000 (art. 181(1)), at 0.5% in the formula for fiscal year 2026. The article applies only until 31 December 2026 inclusive (art. 181(17)); this guide states that text and says nothing about later years.
When is Romanian profit tax paid: quarterly or annually?
Quarterly by default, paid by the 25th of the month after quarters I to III (art. 41(1)). A company outside art. 41(4) to (6) may opt for the annual system (art. 41(2)); the option binds for at least 2 consecutive fiscal years and is notified by 31 January, or 30 days from a modified year's start (art. 41(3)).
Is the profit of a Romanian company taxed on foreign income too?
Yes, in principle: a Romanian company is taxed on taxable profit obtained from any source, in Romania and abroad (art. 14(a)). How a double-taxation treaty changes the result is not covered in this guide, and the guide states no treaty relief.
Does a foreign company with a branch in Romania pay Romanian profit tax?
A foreign legal person pays profit tax for the business it runs through a permanent establishment (sediu permanent) in Romania (art. 13(1)(a)-(b)). A foreign company whose place of effective management is in Romania is also a payer (art. 13(1)(c)). Whether a given branch is a permanent establishment, and how its profit is attributed, is not covered here.
Who may compute and file the profit tax return for a company?
A client's books, and its returns as part of the accounting contract, are work for CECCAR members; outsourced accounting needs a contract with a member (OG 65/1994 art. 21(1), 43(1); Law 82/1991 art. 10(3)). A tax opinion, stand-alone ANAF assistance and an appeal are tax consultancy, reserved to active CCF members (OG 71/2001 art. 3(1), 8(6)). RomaniaRegist does neither.