Last reviewed 09 Mar 2023
Standard VAT rate: 19%
Reduced rate: 9%, e.g. for:
■ pharmaceuticals for human and veterinarian use
■ prostheses and orthopaedic products
■ bread and related bakery products, as well as raw materials for the production of bread
■ food and beverages (with the exception of alcohol) for human and animal consumption
■ water used for consumption and for agricultural irrigation
■ agricultural products and services, such as fertilizers and pesticides, seeds and other agricultural products for seeding and planting, as well as certain agricultural services
■ accommodation within the hotel sector or sectors with a similar function
■ restaurant and food delivery services (with the exception of alcohol).
Reduced rate: 5% for:
■ supplies of residential properties to individuals (under certain conditions)
■ books, newspapers, periodicals etc.
■ admission to cinemas, museums, historical monuments, trade fairs and exhibitions
■ supply of fire wood
■ supplies of heat made during the cold season to the population and other categories of consumer (i.e. public and private hospitals, non-governmental organisations and suppliers of social services)
■ delivery and installation of photovoltaic panels to individuals or public entities
■ eco food.
Supply of goods and withdrawal for private use (self supply) are taxable.
Principally the place where the item is located at the time when the right to dispose of it is transferred (static supply).
In the case of dispatch/transportation by the supplier or purchaser: the place where dispatch/ transportation begins (moving supply).
In the case of transportation by ship, airplane, railroad within the EU: the place of dispatch.
If installation / assembly of the goods by the sup- plier is required: the place where the installation is performed (supply of goods with installation).
Import from third countries: if supplier is liable for import VAT, in importing country
Supply of services and use of services for private use (self-supply) are taxable.
A differentiation is made between services rendered
For the purpose of determining the place of the supply of services:
| B2B | B2C |
| Place of recipient (The place where the recipient of services has established his business) | Place of supplier (The place where the supplier of services has established his business) |
| B2B | B2C | |
| Supplies of services by intermediaries | Place of recipient (Basic rule) | Place of the underlying transaction |
| Property services | Place of the property | Place of the property |
| Cultural, artistic, scientific, educational, sports, entertainment or similar services, like services in connection with fairs and exhibitions including services of the respective organizers | Place of recipient (Basic rule) | Where the services are physically carried out |
| Other services concerning the right of admission and related other services for events like fairs and exhibitions | Place of the event | Where the services are physically carried out |
| Passenger transport | Distances covered | Distances covered |
| Transportation of goods (without intra-community portion) | Place of recipient (basic rule) | Distances covered |
| Intra-community goods transportation | Place of recipient (basic rule) | Place of departure of the transport |
| Ancillary transport services | Place of recipient (basic rule) | Where the services are physically carried out |
| B2B | B2C | |
| Appraisal and processing of movable tangible objects | Place of recipient (basic rule) | Where the services are physically carried out |
| Restaurant and catering services | Where the services are physically carried out | Where the services are physically carried out |
| Restaurant and catering services in connection with intra-community passenger transport | Place of departure | Place of departure |
| Renting of means of conveyance for up to 30 days | Where the means of transport is actually put at the disposal of the customer | Where the means of transport is actually put at the disposal of the customer |
| Renting of means of conveyance for over 30 days | Place of recipient (basic rule) | Where non-taxable person is established
Special regulations for hiring boats |
| “Listed services” to third country customers | Place of recipient (basic rule) | Where non-taxable person is established |
| “Listed services” to customers in the EU | Place of recipient (basic rule) | Where the non-taxable person is established |
Currently taxable persons from an EU member state or third country – who provide electronically supplied services, telecom, radio and TV services to consumers within the EU – can, subject to certain conditions, make use of simplifications within the MOSS system. The taxable person will thereby only be registered for VAT purposes in the member state where the headquarters of the economic activity and/or the permanent establishment are located.
Starting July 2021, the One-Stop-Shop ("OSS") VAT schemes have been implemented. This enlarged OSS covers three special schemes: the non-Union scheme, the Union scheme and the import scheme.
The OSS schemes are available to taxable persons established in the EU and outside the EU. Taxable persons who are established in the EU can use the Union scheme and the import scheme, whereas taxable persons who are not established in the EU can possibly use all three schemes, i.e. the non-Union, the Union and the import scheme.
For: (i) acquisitions of services by Romanian taxable persons from providers not established in Romania; (ii) acquisitions of goods by Romanian taxable persons from non-Romanian suppliers, under certain conditions.
As special regulations, for the following transactions between Romanian entities: supply of waste, wood, cereals, greenhouse gas emissions certificates, green certificates, electricity supplied to taxable energy traders, buildings and land taxable by law or by option, mobile phones, laptops, PC tablets and other similar components.
For cereals, energy, green certificates, mobile phones, laptops, PC tablets and other similar components the reverse charge mechanism is applicable until 31 December 2026.
Both supplier and recipient should be VAT registered.
In case of services acquired by Romanian taxable persons from non-Romanian entities, the providers, should not have in Romania a place of business or a fix establishment involved in the provision of the services.
Invoice without VAT, indication of the reverse charge, VAT registration numbers of the supplier and the recipient.
The recipient evidences the VAT as both input and output VAT, without the recipient effectively paying the VAT to the supplier.
The reverse charge mechanism is applicable in case of supplies of mobile phones, devices with integrated circuits, such as microprocessors and central processing units and gaming consoles, PCs and laptops only if the value of the goods included in an invoice, VAT exclusive, is higher than RON 22,500.
■ services rendered by banks, insurance companies and pension funds
■ postal services
■ medical, welfare, and teaching services
■ leasing of property (the landlord can opt for tax liability)
■ supply of used buildings and land not zoned for building (the seller can opt for tax liability).
Taxable persons have the right to deduct VAT related to purchases provided that (i) the acquisitions are made for the purpose of carrying out VAT taxable operations or other operations allowing the deduction of input VAT, such as exports or intra-community supplies and that (ii) the taxable persons possess invoices issued in accordance with the legal requirements.
Generally, no deduction of input VAT may be claimed with respect to supplies which are exempt without deduction right or are not used for the purpose of taxable / exempt with credit operations. Only 50% VAT may be deducted on acquisitions related to cars not used exclusively for business purposes (e.g. vehicles other than the ones used for emergency services, sale agents, transport of persons, taxis etc.).
Input VAT corrections occur in cases such as:
■ the deduction is higher or lower than the one that the taxable person had the right to operate
■ there are changes to the elements taken into account for the determination of the deductible amount, made after the submission of the tax statement.
Input VAT corrections occur for capital goods over a period of 5 years, while for land and buildings the period is extended to 20 years.
Renting of immovable property is VAT exempt without credit; the lessor can opt to charge VAT.
The sale of old real estate property and land not zoned for building is VAT exempt without credit (seller may opt to charge VAT); the sale of new buildings and land zoned for building is subject to VAT. Buildings are considered to be new if sold in the year of commissioning or by 31 December of the following year. However, the sale of buildings and land between taxable persons registered for VAT purposes in Romania is subject to reverse charge.
Taxable persons without domicile or permanent establishment in Romania.
Registration required under the following terms:
The deadline for VAT refund application is 30 September of the following year.
If no sales are made in Romania, electronic application at the competent tax office in the EU member state (originating country) of the taxable person.
If no sales are made in Romania, refund must be requested by 30 September of the following year.
This is done by submitting a request to the Romanian tax authorities. The non-EU established taxable person will appoint a fiscal representative in Romania for VAT reimbursement, provided the input VAT amount exceeds EUR 50.
Lorem ipsum dolor sit amet, consetetur sadipscing elitr, sed diam nonumy eirmod tempor invidunt
Show locations
Opening Hours:
Mo-Th: 08:00 – 17:00
Fr: 08:00 – 14:00
Opening Hours:
Mo-Th: 08:00 – 17:00
Fr: 08:00 – 14:00
Opening Hours:
Mo-Th: 08:00 – 17:00
Fr: 08:00 – 14:00
