Tax changes 2025: What you need to know?

By leaps and bounds, the year 2025 has made its appearance, bringing with it a number of significant legislative changes in the tax area. These 2025 tax changes, introduced by Ordinance No. 156/2024, popularly known as the “Train Train Ordinance,” went into effect on January 1, 2025 and affect both the private and public sectors.
In order to give you a clear picture of them, we have structured the information by sector.
Tax Changes in the Private Sector

1. Dividend Tax

• Rate hike: The dividend tax increases to 10% effective January 1, 2025.

2. Micro Enterprise Regime

• Lower income cap:
  o €250,000 for the year 2025 (calculated on the income realized on 31.12.2024).
  o 100.000 euro from 2026 (calculated on the income realized on 31.12.2025).
• Removal of the consultancy/management income condition: it is no longer taken into account for calculating the ceilings.
• CAEN codes for the 3% micro tax: 6210, 6290, 5611, 5612, 5622 are introduced.
• Progressive tax rates:
  o Under €60,000: 1%.
  o Over 60.000 euro: 3%.

3. Elimination of Tax Facilities for IT, Construction and Agriculture

• Tax exemptions and reduced CAS contributions are abolished.
• Employees will see a drop in net salaries due to the application of the standard rates: 10% for tax and 25% for CAS.

4. Tax Exemption for 300 Lei

• The exemption for the amount of 300 lei is maintained, subject to the following conditions:
  o Gross employment gross salary: 4,050 lei (minimum gross salary in the economy).
  o Total gross income: Maximum 4,300 lei, excluding meal vouchers.

5. Minimum Wage in Agriculture and Food Industry

• The guaranteed minimum gross wage is set at 4,050 lei in a normal working month.

6. Reintroduction of the Special Construction Tax (“Pillar Tax”)

• Rate: 1% applied to the difference between the value of buildings in the patrimony on December 31 and the value of buildings for which building tax is payable.
• Deadlines:
  o Declaration: by May 25.
  o Payments: Two equal installments – June 30 and October 31.

6.1 LATER UPDATE – OUG 21 / APR. 2025

Following the amendments made by Emergency Ordinance no. 21/2025, the tax on special constructions (‘pole tax’) is applicable as from the tax year 2025, introducing two differentiated rates.

• 0.5% on the net value of buildings owned by taxpayers, for which no building tax is due under Title IX of the Tax Code.
• 0.25% for buildings under management, concession or rental contracts, belonging to the public/private domain of the state or of administrative-territorial units, for which no building tax is due.

Taxpayers who declare and pay their tax in full by 25 May 2025 benefit from a 10% rebate on the amount of tax due.

Newly-established taxpayers owe tax from the year of establishment, calculated pro rata from the 30th day of registration until the end of the tax year.

Those who cease trading during the year have to recalculate their tax in proportion to the period they have been in existence and may qualify for a bonus if they have paid in advance.

7. Tax Changes in the Public Sector

8. Wage caps

• Gross salaries of staff paid from public funds remain at the November 2024 level.
• The same rule applies to allowances for public office.

9. Benefits on hold

• Gift vouchers, meal vouchers and holiday vouchers are limited or suspended for 2025.

10. Lack of Wage Inflation Adjustments

• Salaries and allowances will not be adjusted for inflation or other economic indicators.

11. Caps on bonuses

• Bonuses and additional allowances remain capped at the November 2024 level.

12. Suspension of Employment

• Filling public sector vacancies remains suspended, except in key areas such as health, education and public safety.

These 2025 tax changes will have a significant impact on businesses and employees in a variety of industries. To successfully navigate these changes, our team of accounting experts is here to provide you with personalized advice. Feel free to contact us for more information!

How can we help you? Contact us today and make sure your business is ready for the challenges of 2025!