ROOperating in Romania
Payroll, accounting, employment, immigration, entity setup, and corporate compliance managed locally through a single international coordination model.
Request a country assessmentThe regulatory landscape
Romania applies a standard 16% corporate income tax rate, with a distinctive micro-company regime available to companies with annual revenue under €100,000 (reduced from €250,000 as of 2026) and at least one employee: qualifying companies pay just 1% of gross revenue instead of standard corporate tax. The minimum tax on turnover, applicable to large companies whose standard CIT liability falls below the turnover-based minimum, has been reduced to 0.5% for 2026, with the regime scheduled for repeal in 2027.
The structural feature employers should plan for is the social contribution split: the employer's direct contribution is comparatively light at around 2.25% of gross salary, while the employee bears approximately 45% of gross salary in combined pension, health and income tax withholding. Total employment cost modelling should account for this asymmetry rather than assuming a Western European-style employer-heavy contribution structure.
Official language
Romanian
Legal forms
SRL · SA
Corporate tax rate
16% standard · 1% of revenue for qualifying micro-companies (revenue under €100,000, at least 1 employee)
Currency
RON (Romanian leu)
Employer social security
~2.25% of gross salary (unemployment) — employee withholding ~45% combined (pension, health, income tax)
Dividend tax
16% (increased from 10%, effective dividends distributed from 1 January 2026)
Minimum share capital
SRL: RON 500 (~€100) — reinstated as of 2026 (previously RON 200)
Integrated services in Romania
Each service is delivered as part of an integrated service model, coordinated across functions under a single point of accountability. Clients engage one team, not a coordination layer between independent providers.
Accounting & Tax Compliance
Statutory accounts, VAT returns, and corporate tax filings aligned with Romanian accounting standards, including micro-company regime eligibility assessment and dividend tax compliance.
Explore Accounting & Tax CompliancePayroll & Workforce Management
Full-cycle Romanian payroll including pension and health insurance withholding, the employer unemployment contribution, and employment terms under Romanian labour law.
Explore Payroll & Workforce ManagementCompany Formation & Entity Setup
SRL and SA incorporation, Trade Registry filing, mandatory bank account setup within the statutory deadline, and post-formation compliance setup.
Explore Company Formation & Entity SetupWorkforce Mobility
Work permit applications for non-EU/EEA nationals, assignment and intra-corporate transferee procedures, and salary threshold compliance for internationally mobile employees.
Explore Workforce MobilityClient profiles in Romania
HR & Employment Advisory
Multinationals establishing or restructuring Romanian operations
Company Formation & Entity Setup
Companies entering Romania for the first time, requiring entity setup and initial compliance infrastructure
Workforce Mobility
Groups managing internationally mobile employees on work permit or assignment status
Payroll & Workforce Management
Companies already operating in Romania consolidating fragmented HR, payroll and accounting providers under a single governance layer
At the center of your HR operations
What clients say about our services in Romania
Our Romanian subsidiary had qualified for the micro-company regime for years, and the threshold change caught us mid-year. We had to model the shift to standard corporate tax quickly, and having a provider who already understood the new rules made the transition far less disruptive than it could have been.
Finance Director, Retail Group — Romanian OperationsInsights on Romania
Selected articles on regulatory developments and operational frameworks relevant to companies in Romania.
The revenue ceiling for the micro-company regime fell from EUR 250,000 to EUR 100,000. Which companies drop out, and what the move to standard corporate tax costs them.
Read articleDividend taxation, minimum share capital and several reporting duties were tightened together. A consolidated view of what changed for foreign-owned Romanian companies.
Read articleRomanian social contributions sit mainly on the employee side, with a small employer work insurance contribution on top. Why gross-to-net modelling has to start from the net figure.
Read articleFrequently asked questions
Questions raised most often by companies entering or operating in Romania.
What services does HTLC Network provide in Romania?
HTLC Network provides Payroll & Workforce Management, Accounting & Tax Compliance, HR & Employment Advisory, Company Formation & Entity Setup, and Workforce Mobility services in Romania through a coordinated international service model.
Why do international companies establish teams in Romania?
Romania has become a major location for technology, engineering, IT outsourcing, shared services and business support operations, on the strength of its skilled workforce and growing international business ecosystem.
Can I hire employees in Romania without opening a Romanian subsidiary?
Depending on the business structure it may be possible. Local payroll, tax, social insurance and employment compliance obligations must be assessed.
What payroll compliance requirements apply in Romania?
An employer is generally responsible for salary processing, income tax withholding, social security administration, employee registration and statutory reporting.
What changed with the micro-company regime in 2026?
The annual revenue threshold for the favourable 1% micro-company tax regime was reduced from €250,000 to €100,000, narrowing eligibility significantly. Companies must also have at least one employee and meet other conditions, including timely filing of annual financial statements, to qualify.
Why did the dividend tax increase so significantly?
As part of Romania's 2026 fiscal consolidation measures, the dividend tax rate doubled from 10% to 16% for distributions made on or after 1 January 2026, applying to both individual and corporate recipients. Dividends distributed based on 2025 interim financial statements retained the prior 10% rate under transitional provisions.
Why is Romania reinstating minimum capital requirements for SRLs?
As of 2026, newly incorporated SRLs must have at least RON 500 (approximately €100) in share capital, reversing a period during which Romania had no meaningful effective minimum. This is part of a broader tightening of company formation rules, alongside new bank account and ownership transfer requirements.
What happens if a company doesn't open a Romanian bank account?
Newly registered companies have 60 business days from incorporation to open a Romanian bank or treasury account. Failure to comply can result in fines and, as of 2026, can lead to the company being declared fiscally inactive — suspending its VAT code and expense deductibility until the situation is resolved.
Talk to a Romania expert
For companies structuring a market entry or consolidating an existing Romanian operation under a single governance model.