Hereby to inform you that Law Decree No. 16/2022 for the amendment and completion of Law 227/2015, Tax Code, repeal of certain regulatory acts and other fiscal measures, has been approved and published in the Official Gazette 716/15.07.2022. This Decree introduces the most important changes to the Tax Code in recent years.
Below, we list only some of the most important changes, including the effective date:
Within 3 days from the date of publication of the Decree:
– The method of calculating the share of turnover actually achieved by the construction activity in the total turnover as well as the calculation of the share of turnover of activities specifically for the agriculture and food industry has been changed.
– Allowances received for the care of patients with cancer diseases become nontaxable.
Starting with August incomes: the ceiling on wage subsidies (decontributions) granted in the construction, agriculture and food industries is reduced from 30,000 lei per month to 10,000 lei per month. For the portion of monthly gross income exceeding 10,000 lei, the concessions do not apply.
As of August 1, 2022: – For gaming income paid on or after August 1, 2022, taxation is at source by applying a new bracket system.
As of January 1, 2023:
– Law 170/2016 on the specific tax for certain activities is repealed;
– Microenterprises: the following changes are made :
1. Exclusion of consulting and administration (management) companies from the microenterprise regime;
2. requirement to hire at least 1 employee for microenterprises;
3. Reducing the turnover threshold (non-VAT) to a maximum of 500,000 euros annually in order to apply the scheme;
4. Introduction of the limitation for a single shareholder to participate in a maximum of three microenterprise companies with a share of not less than 25 percent (exceeding the maximum number of shareholdings in microenterprise companies results in the obligation of all investee companies to join the ordinary regime with tax at 16 percent on taxable income);
5. Single quota for microenterprises of 1 percent.
As a result, if one of the new conditions as amended is not met, the microenterprise company becomes subject to ordinary tax and cost deductibility tax rules.
– Dividend Tax: Dividend tax increases from 5% to 8%.
The many changes will be the subject of analysis in the coming months, and we obviously recommend that the impact of the new regulations be assessed for 2023.
