The number of micro-enterprises that declared one or two employees in September 2023 is 2,478, according to information provided to HotNews.ro by the Ministry of Finance.
Of them, only 1,293 workers have the minimum wage in the economy. Please note that the Ministry’s data refer to September 2023.
As a reminder, the legislation has changed for micro-enterprises since January 1, 2024.
Thus, there are now two tax rates. The microthreshold remained unchanged — EUR 500,000, but new ones appeared depending on the type of tax paid.
Thus, there are the following tax rates:
- 1% for micro-enterprises that achieve revenues not exceeding EUR 60,000
- 3% for micro-enterprises that:
1. earns more than 60,000 euros; or
2. carry out main or auxiliary activities in different CAEN codes (see Law 296/2023, what are these codes and whether you fall under them).
The only microenterprise payer of income tax
If an entrepreneur has several micro-enterprises, he should know that only one will be able to pay income tax (which has also changed, more details below). The rest will be subject to income tax at the rate of 16%.
More specifically, according to GEO 115/2023 (Trenuleț Decree), associations/shareholders of a Romanian legal entity that own, directly or indirectly, more than 25% of the value/quantity of participation rights or voting rights, both in the analyzed Romanian legal entity, as well as other Romanian legal entities that meet the conditions of the microenterprise income tax system must create a single Romanian legal entity by March 31 of the following fiscal year inclusive.
Micro-enterprises are no longer able to deduct donations to NGOs from their income tax
Starting from 2024, micro-enterprises can no longer be sponsors to be able to deduct 20% of the tax.
As tax consultant Cornel Grama recently said, they can still do it, but without any tax benefits.
According to GEO (115/2023), the last financial year in which sponsorship/scholarship amounts remaining to be carried forward are deducted from the income tax of micro-enterprises is the financial year 2023.
There are other tax changes affecting micro-businesses. Thus, see also:In 2024, 32 tax changes will come into force: from PFP and micro-enterprises to large companies, minimum wage, VAT and excise taxes
Source: Hot News
Lori Barajas is an accomplished journalist, known for her insightful and thought-provoking writing on economy. She currently works as a writer at 247 news reel. With a passion for understanding the economy, Lori’s writing delves deep into the financial issues that matter most, providing readers with a unique perspective on current events.