Moldova: Amendments to corporate income tax, VAT, and transfer pricing rules

Law No. 214 (published on August 12, 2024) introduced amendments to certain provisions of the Moldovan Fiscal Code with effect from January 1, 2025, including:

• The list of income sources exempt from corporate income tax was extended to include:
  • Income earned by resident individuals in the form of capital gains or interest income from state securities and/or from bonds issued by local public administration authorities
  • Income earned from the sale of electricity by residents who produce renewable energy
  • Income obtained by operators of thermal energy systems and/or units following the free receipt of lines and electrical stations, natural gas installations, and thermal networks and/or thermal energy installations
  • Rights granted by stock option plans
• Changes were made to the requirements related to the issuance of electronic invoices (e-invoices) for value added tax (VAT) purposes and to excise duties on tobacco products.
• The transfer pricing rules were amended to exclude advances, licenses, and contributions from the definition of a “transaction,” and to introduce provisions relating to advance pricing agreements (APAs).

Read an August 2024 report prepared by the KPMG member firm in Moldova