Romania remains one of the European Union’s lower-tax jurisdictions for employment income, applying a generally flat 10% personal income tax rate to most ordinary income categories (PwC Worldwide Tax Summaries, 2026). At the same time, major tax reforms introduced during 2025 and effective throughout 2026 have significantly changed the taxation of dividends, capital gains, cryptocurrency gains, and VAT (PwC Worldwide Tax Summaries, 2026; Schoenherr, 2026).
For investors, expats, freelancers, remote workers, and digital nomads, Romania’s tax system has become more nuanced because investment income may now be taxed differently depending on the holding period, asset type, and whether transactions are executed through Romanian-resident intermediaries (PwC Worldwide Tax Summaries, 2026).
This guide explains the Romanian tax system using source-verified information available as of 15 June 2026.
Tax Overview — Key Numbers at a Glance
| Tax Type | Rate | Notes |
|---|---|---|
| Income Tax | 10% | Flat personal income tax system (PwC, 2026) |
| Capital Gains Tax | 3%, 6%, or 16% | Depends on intermediary and holding period (PwC, 2026) |
| Dividend Tax | 16% | Increased from 10% from 2026 (PwC, 2026) |
| Interest Income Tax | — | Requires direct confirmation from current legislation |
| VAT (Standard Rate) | 21% | Effective since 1 August 2025 (PwC; Schoenherr, 2026) |
| Reduced VAT Rate | 11% | Reduced-rate categories (PwC; Schoenherr, 2026) |
| Employee CAS | 25% | Pension contribution (PwC, 2026) |
| Employee CASS | 10% | Health contribution (PwC, 2026) |
| Employer CAM | 2.25% | Work insurance contribution (PwC, 2026) |
| Corporate Income Tax | 16% | Standard CIT rate (PwC, 2026) |
| Local Income Tax / Surtax | None | No local PIT identified (PwC, 2026) |
| Wealth Tax | No general wealth tax | Special high-value asset tax exists (PwC, 2026) |
| Tax Year | Calendar year | (ANAF / CECCAR, 2026) |
| Filing Deadline | 25 May 2026 | Standard D212 filing deadline (ANAF, 2026) |
| Tax Authority | ANAF | Agenția Națională de Administrare Fiscală |
Important: The taxation of interest income was not comprehensively covered in the verified source set used for this guide. Investors receiving significant interest income from bank deposits, bonds, or foreign savings products should consult the latest ANAF guidance or a qualified tax adviser before filing.
Tax Residency in Romania
Romanian tax residents are generally taxed on their worldwide income (PwC Worldwide Tax Summaries, 2026).
You may become a Romanian tax resident if:
- Romania is your permanent home;
- Romania is the centre of your vital interests;
- you spend more than 183 days in Romania during any consecutive 12-month period ending in the relevant calendar year;
- other Romanian residency criteria apply under the Fiscal Code.
(PwC; KPMG; HPLegal, 2026)
Residents are generally taxed on worldwide income, while non-residents are generally taxed only on Romanian-source income (PwC, 2026).
Romania maintains a broad network of double taxation treaties. Relief generally requires a valid tax residency certificate from the treaty country and appropriate documentation (PwC, 2026).
For expats moving to Romania, residency status is often more important than citizenship because it determines whether foreign salary, investment, and business income become taxable in Romania.
Income Tax in Romania
Romania applies a generally flat personal income tax rate of 10% rather than the progressive tax systems common across much of Western Europe (PwC Worldwide Tax Summaries, 2026).
Unlike countries such as Germany, France, or Belgium, Romania does not impose municipal income taxes, church taxes, or regional income surtaxes according to the verified source set (PwC, 2026).
Certain categories of income are taxed under separate rules, including:
- dividends;
- capital gains;
- cryptocurrency gains;
- certain property transactions.
(PwC, 2026)
Social Contributions
For employment income, the main contributions are:
- CAS, pension insurance: 25% of gross salary (PwC, 2026);
- CASS, health insurance: 10% of gross salary (PwC, 2026);
- CAM, employer work insurance contribution: 2.25% (PwC, 2026).
Additional employer social-insurance contributions of 4% or 8% may apply in specific difficult or special working conditions (PwC, 2026).
Example
An employee earning RON 10,000 gross salary would generally face:
- CAS: RON 2,500;
- CASS: RON 1,000;
- taxable base after employee contributions: RON 6,500;
- income tax at 10%: RON 650.
Actual take-home pay may differ depending on deductions and individual circumstances.
Calculate Your Net Salary
➡️ Use the Finorum Net Salary Calculator to estimate your take-home pay in Romania.
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Capital Gains Tax — How Romania Taxes Investment Income
Tax on Stocks and ETFs
Romania introduced one of the most unusual investment-tax reforms in Europe by creating different capital-gains tax rates depending on the intermediary used and the holding period (PwC Worldwide Tax Summaries, 2026).
Securities Sold Through Romanian-Resident Intermediaries
| Holding Period | Tax Rate |
|---|---|
| At least 365 days | 3% |
| Less than 365 days | 6% |
(PwC, 2026)
Securities Sold Outside the Romanian-Intermediary Regime
Gains from securities transactions not executed through Romanian-resident intermediaries are generally taxed at 16% (PwC, 2026).
Taxable Events
Tax generally arises when:
- shares are sold;
- ETF units are sold;
- securities are transferred and a taxable gain is realised;
- certain derivative transactions generate gains.
(PwC, 2026)
Holding Period Treatment
Romania does not currently provide a full holding-period exemption. Instead, investors benefit from reduced tax rates of 3% or 6% when qualifying transactions are executed through Romanian-resident intermediaries (PwC, 2026).
Losses
For transactions falling under the intermediary withholding regime, Romanian rules are generally less favourable than in many Western European countries because losses cannot be freely offset in the same way as under traditional self-assessment systems.
Investors should review the latest ANAF guidance when calculating taxable gains.
Accumulating vs Distributing ETFs
Romania does not currently operate a verified annual deemed-taxation regime for ETF investors. Based on the available 2026 sources, ETF taxation generally occurs when gains are realised through a sale or disposal rather than annually on unrealised gains (PwC; EY Romania, 2026).
Accumulating ETFs
Accumulating ETFs reinvest dividends internally instead of paying them to investors.
The current verified source set does not identify a separate annual tax charge on reinvested income. Taxation appears to arise primarily when ETF units are sold (PwC; EY Romania, 2026).
Distributing ETFs
Distributing ETFs pay dividends directly to investors.
Those distributions are generally taxed under Romania’s dividend-tax regime. Since 1 January 2026, the dividend tax rate has increased to 16% (PwC Worldwide Tax Summaries, 2026).
UCITS ETFs
No separate UCITS-specific tax regime was identified in the verified research set. As a result, UCITS ETFs generally appear to fall within Romania’s broader securities-tax framework.
ETF Reporting Requirements
Where tax is not fully settled through withholding, ETF gains and related investment income may need to be reported through Declarația Unică, Form 212 (ANAF / CECCAR, 2026).
Dividend Tax and Withholding
Romania increased the dividend tax rate from 10% to 16% for income derived from 1 January 2026 onwards (PwC Worldwide Tax Summaries, 2026).
Domestic Dividends
Dividends paid by Romanian companies to Romanian tax residents are generally subject to the 16% dividend-tax framework (PwC, 2026).
Foreign Dividends
Romanian tax residents are generally taxed on worldwide income. Therefore, foreign dividends may also be taxable in Romania, although double-taxation treaties may reduce double taxation through foreign-tax credits or treaty relief mechanisms (PwC, 2026).
Withholding Taxes
Romanian domestic withholding-tax rules generally apply a 16% dividend withholding rate. Non-resident investors may benefit from treaty reductions or EU Directive relief where applicable.
Calculate Capital Gains Tax Before You Sell
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How to Report Investment Income in Romania
Romania uses Declarația Unică, Form 212, as the primary tax return for reporting relevant non-salary income and social-contribution obligations (ANAF; CECCAR, 2026).
Step 1 — Collect Broker Statements
Gather annual statements from:
- banks;
- brokers;
- ETF providers;
- cryptocurrency exchanges;
- dividend-paying companies.
Step 2 — Calculate Investment Income
Calculate:
- capital gains;
- dividends;
- interest income;
- foreign investment income;
- cryptocurrency gains.
Use annual transaction records to support the calculations.
Step 3 — Complete Form 212
Relevant income not fully settled through withholding should generally be reported through Form 212 (ANAF, 2026).
Step 4 — Submit Your Return
Romania supports electronic filing through ANAF’s online systems and browser-based filing applications (ANAF / CECCAR, 2026).
Step 5 — Pay Taxes Due
The ordinary filing and payment deadline for the 2025 tax year is 25 May 2026 (ANAF, 2026).
Taxpayers who filed and paid by 15 April 2026 could qualify for a 3% bonus under the transitional rules, but 15 April is not the standard filing deadline.
Tax Treatment of Foreign Investments
Many Romanian investors use foreign brokers such as:
- Interactive Brokers;
- DEGIRO;
- Trading 212;
- eToro;
- Saxo Bank.
The current research does not identify a separate broker-registration requirement solely because a foreign broker is used.
Foreign Shares
Foreign shares generally fall under Romania’s broader securities-tax framework. The applicable tax rate may depend on whether the transaction falls within the Romanian intermediary regime or outside it (PwC, 2026).
Foreign ETFs
Foreign ETFs generally appear to follow the same securities-tax framework as domestic ETFs, although investors should review current ANAF guidance for complex cases.
Foreign Dividends
Foreign dividends may be taxable in Romania because Romanian tax residents are generally taxed on worldwide income (PwC, 2026).
Currency Conversion
Investors should maintain records showing:
- purchase price;
- sale price;
- exchange rates;
- dividend payments.
Accurate record-keeping is essential for calculating taxable gains.
Other Important Taxes in Romania
VAT, Value Added Tax
Romania’s standard VAT rate is 21%, while the reduced VAT rate is generally 11% (PwC; Schoenherr, 2026).
These rates have applied since the 2025 tax reform package that took effect from 1 August 2025.
Compared with many EU countries, Romania now sits close to the European average for VAT.
Property Taxes
Romania imposes local property taxes on buildings and land.
In addition, a special tax on certain high-value movable and immovable assets increased from 0.3% to 0.9% from 2026 (PwC, 2026).
The exact local property-tax calculation depends on the municipality and the characteristics of the property.
Inheritance and Gift Taxes
No broad inheritance-tax regime comparable to those found in countries such as France, Spain, or Belgium was identified in the verified source set.
However, certain inheritances, property transfers, notarial procedures, delayed succession procedures, and specific property transactions may trigger taxes or fees under Romanian law.
Individual circumstances should always be reviewed carefully.
Wealth Taxes
Romania does not levy a general net-wealth tax on individuals (PwC, 2026).
However, special taxation applies to certain high-value movable and immovable assets.
Local Taxes
No local income surtax, municipal income tax, church tax, or regional income tax was identified in the verified source set (PwC, 2026).
Tax Advantages and Tax-Efficient Accounts
Romania does not currently offer a widely used tax-sheltered investment account comparable to the UK’s ISA or Sweden’s ISK based on the verified source set.
However, one notable incentive exists.
Employees acquiring:
- shares;
- bonds;
- ETF participation certificates
may deduct up to EUR 400 annually for qualifying acquisitions made through Romanian-resident brokers, subject to the conditions set out in Romanian tax legislation (PwC Worldwide Tax Summaries, 2026).
This incentive is relatively modest but may still be useful for long-term investors.
Compare Taxes Across Europe
➡️ Compare taxes, salaries and investment taxation across all EU countries using the Finorum EU Tax Comparison Map.
[EU Tax Comparison Map]
Key Deadlines and Important Dates
- Tax year: Calendar year (ANAF, 2026).
- Filing deadline: 25 May 2026 (ANAF, 2026).
- Payment deadline: 25 May 2026 (ANAF, 2026).
- Early filing bonus deadline: 15 April 2026 (ANAF, 2026).
- Online filing available: Yes (ANAF, 2026).
- Broker annual statements: Usually available during Q1 following the tax year.
Common Tax Mistakes Investors Make
Common mistakes include:
1. Using the Old Dividend Tax Rate
Some investors continue to use the former 10% dividend tax rate instead of the current 16% rate.
2. Applying the Wrong Capital-Gains Rate
The applicable rate may be 3%, 6%, or 16%, depending on the intermediary and holding period.
3. Forgetting Foreign Dividends
Romanian tax residents are generally taxed on worldwide income, so foreign dividends may need to be reported.
4. Failing to Report Foreign Investment Income
Foreign investment income not fully settled through withholding may need to be reported through Form 212.
5. Confusing Filing Deadlines
The 15 April 2026 date applied to the early filing bonus, while the standard deadline was 25 May 2026.
6. Poor Record-Keeping
Incomplete records for ETF and foreign-share transactions can make accurate tax calculations difficult.
7. Incorrect Currency Conversion
Foreign transactions and income must be converted accurately for Romanian tax-reporting purposes.
Several of these issues became more common after Romania’s 2025–2026 tax reforms.
Is Romania Tax-Efficient for Investors?
Advantages
- Flat 10% personal income tax.
- No local income surtaxes.
- No general net-wealth tax.
- Potential 3% capital-gains tax rate through Romanian intermediaries after 365 days.
- Broad double-tax treaty network.
Disadvantages
- Dividend tax increased to 16%.
- Capital-gains taxation has become more complex.
- Some reporting obligations remain administrative burdens for foreign investors.
- Tax treatment varies depending on intermediary structure.
Suitable Investor Types
Romania may be attractive for:
- long-term ETF investors;
- employees and expats;
- entrepreneurs;
- growth-focused investors;
- investors using Romanian-resident brokers.
Dividend-focused investors may find neighbouring jurisdictions such as Bulgaria more attractive.
Related Resources
Tax Tools
- Capital Gains Tax Calculator
- ETF Tax Calculator
- Dividend Tax Calculator
- Net Salary Calculator
Investing Guides
- Investing in Romania
- Best Brokers in Romania
Country Guides
- Cost of Living in Romania
- Average Salary in Romania
Comparison Tools
- EU Tax Comparison Map
- Cost of Living Comparison Tool
- Net Salary Calculator
Disclaimer
This article is for general informational and educational purposes only and does not constitute tax, legal, accounting or investment advice. Tax rules may change and their application depends on individual circumstances. Always verify current requirements with the relevant tax authority or consult a qualified tax adviser before making financial or investment decisions.
Romania tax guide
Matias Buće has a formal background in administrative law and more than ten years of experience studying global markets, forex trading, and personal finance. His legal training shapes his approach to investing — with a focus on regulation, structure, and risk management. At Finorum, he writes about a broad range of financial topics, from European ETFs to practical personal finance strategies for everyday investors.
Sources & References
EU regulations & taxation
- European Commission / Taxation & Customs — foreign-tax credits or treaty relief mechanisms
- Legislatie.just.ro — different capital-gains tax rates depending on the intermediary used and the holding period
- dividend tax rate has increased to 16%
- generally flat 10% personal income tax rate
- Static.anaf.ro — broad network of double taxation treaties
- ordinary filing and payment deadline for the 2025 tax year is 25 May 2026
- special tax on certain high-value movable and immovable assets
- valid tax residency certificate
Additional educational resources
- Anaf.ro — Declarația Unică, Form 212
- Legislatie.just.ro — CAS, pension insurance: 25%
- standard VAT rate is 21%, while the reduced VAT rate is generally 11%
- Static.anaf.ro — CASS, health insurance: 10%
- electronic filing through ANAF’s online systems and browser-based filing applications
- spend more than 183 days in Romania