Jelle R. Bakker
Jelle R. Bakker
Partner International Tax at Bentacera, Kreston Global

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Kreston tax expert and regional tax director in the Kreston Global Tax Group, Jelle Bakker has accomplished many contributions in the area of international taxation over the past 35 years, including 10 years as Senior Tax Counsel with Global Network Bank.

Romania tax exemptions on profits reinvested

February 22, 2023

Investors will be pleased by recent Romanian tax exemptions on profits invested. Recently, the Minister of Finance Order 4636/2022 was published in the Official Gazette regarding the assets used in the production and processing activity and the assets representing refurbishment for which the reinvested profit tax exemption is applied, according to article 22 of Law no. 227/ 2015 regarding the Fiscal Code.

According to Ordinance no. 16/2022, the tax exemption of the profit invested is granted also for the assets used in the production and processing activity, the assets representing refurbishment, starting with 1 January 2023. Thus, starting from this date, the profit invested in technological equipment, assets used in the production and processing activity, assets representing refurbishment, electronic computers and peripheral equipment, machines and household, control and invoicing devices, in computer programs, as well as for the right to use computer programs, produced and/or purchased, including on the basis of financial leasing contracts, and put into operation, used for the purpose of carrying out the economic activity, is exempt from tax.

If you would like to speak to one of our experts about the tax exemptions you may qualify for in Romania, please contact us here.