Companies incorporated in Romania are trying to find legal ways to minimize the amount of due taxes. Certain provisions of the new fiscal code can be used for this purpose, provided that the company managers interpret its provisions in such a way that will help them. Our team of Romanian accountants is aware of the newest fiscal changes and can help you with complete tax minimization services for your business.
Companies can pay a lower income tax
if they choose a certain fiscal depreciation period. There are two depreciation methods
available in the country: fiscal depreciation established by law used when calculating the income tax of the company or an accounting depreciation used when calculating the net profit of the company. The experts at our Bucharest accounting firm
can help you with fiscal depreciation.
Companies that activate in certain business fields can also use an accelerated depreciation for certain equipment: for example industrial equipment owned by the company. The new fiscal code introduces additional categories of goods that allow the company to benefit from reinvested profit. Among these new goods are computers and software purchased by the company. In order to benefit from this tax incentive, the corporation must keep the item for at least have the duration of its economic use. The value of the tax incentive is up to 16% of the value of the purchased good.
Holiday and gift vouchers
Certain holiday gifts, like those offered to employees or business partners on Easter, Christmas or March 8th (Woman's Day in Romania) can be deductible expenses. The employees do not have to pay taxes on these types of gifts if their value is below 150 lei. Holiday vouchers and Gift vouchers are subject to a profits tax but are not subject to social security contributions.
The maximum number of holiday vouchers an employee can receive during one fiscal year must be the equivalent of 6 minimum wages. The value of the gift vouchers must be included in the company's annual income and expenditure budget.