Romania: Various tax reform measures effective August 1, 2025
Most of the measures are effective beginning August 1, 2025.
The government issued various tax reform measures—published in the Official Journal of Romania no. 699, dated July 25, 2025, Law no. 141/2025—including:
- Increase in dividend tax rate to 16% (from 10%)
- Increase in specific tax rate on the turnover of credit institutions to 4% (from 2%)
- Increase in value added tax (VAT) rate to 21%, and reduced VAT rate to 11%
- Changes to excise duty rates
Most of the measures are effective August 1, 2025, except for the dividend tax rate increase, which is effective January 1, 2026.
Read a July 2025 report prepared by the KPMG member firm in Romania