VAT in Romania
If, as a foreign company, you intend to sell to or trade with Romania, you must address Romanian VAT requirements starting from the very first VAT-liable transaction. The standard rate is 21%, the reduced rate is 11%, and settlements are made in the local currency (RON, leu). As a general rule, a foreign company without a fixed place of business is liable for VAT with no minimum threshold, and companies based outside the EU are also required to appoint a fiscal representative. Below, we have summarized the current rates, thresholds, and requirements to help you get off to the right start.
VAT rates and thresholds in Romania
| Subject | Detail |
|---|---|
| Standard rate | 21% (raised from 19% as of 1 August 2025) |
| Reduced rates | 11% on items including food, medicine, books, newspapers, water, restaurant services, and hotels. Replaces the previous rates of 5% and 9%. A temporary rate of 9% applies to certain housing until July 31, 2026. |
| Zero rate (0%) | Exports to countries outside the EU and intra-Community supplies of goods with the right to deduct input tax. |
| Registration threshold | No threshold for foreign companies without a fixed place of business: VAT liability from the first transaction. Romanian companies: RON 395,000 (approx. EUR 79,000) in annual turnover. |
| Distance selling threshold (OSS) | €10,000 in total for cross-border B2C distance sales within the EU. Above this threshold, VAT is accounted for in the country of consumption, either via local registration or OSS. |
| VAT number format | RO followed by up to 10 digits (e.g., RO1234567890). |
| Reporting period | Monthly by default. Quarterly reporting is possible if turnover was below EUR 100,000 in the preceding year. Filing and payment are due no later than the 25th of the month following the period. |
| Fiscal representative | Mandatory for companies established outside the EU. EU companies can register directly. |
E-commerce and webshop: VAT OSS and warehousing in Romania
If you sell goods to Romanian consumers, your obligations depend on where the goods are located and the total volume of your EU distance sales. If your cross-border B2C sales across the EU exceed EUR 10,000, you must account for Romanian VAT on sales to consumers in Romania. You can do this collectively via One Stop Shop (OSS) without establishing a local registration in each country.
On the other hand, do you have inventory in Romania, for example via a fulfillment center or Amazon-lager, a local VAT liability arises, regardless of turnover. You must then register in Romania and account for VAT locally. We help you get a handle on both Danish e-commerce to the EU and the Romanian requirements, so that your setup matches the way you actually ship and store goods.
B2B and reverse charge
In transactions between VAT-registered businesses, the reverse charge mechanism is often applied, whereby the buyer accounts for the VAT in their own country. Romania also applies an extended reverse charge (domestic reverse charge) to a range of domestic supplies. This affects when you are required to charge Romanian VAT yourself and when the liability rests with the buyer. The rules require a specific assessment of the transaction type, and getting the classification right from the outset is crucial to avoid errors in the VAT return.
RO e-Invoice and SAF-T
Romania has introduced mandatory electronic invoicing via the state-run RO e-Factura system. B2B invoices must be submitted electronically, and from 1 January 2026, the scope is being expanded to include supplies to VAT-registered customers without a fixed place of business in Romania, subject to a five-working-day transmission deadline.
In addition, there is SAF-T (the electronic D406 file), which is mandatory for all VAT-registered businesses—including non-established businesses, which submit a simplified version. SAF-T follows your VAT period and is submitted monthly or quarterly. Both systems impose requirements on your data and processes, and this is where many foreign businesses require local assistance.
VAT refund in Romania
If your company has incurred expenses in Romania, you can often reclaim the VAT paid. This typically applies to expenses such as trade fairs, conferences, hotels, fuel, car rentals, motorway tolls, taxis, and advertising, as well as purchases of goods and services. A correct and timely application is crucial for recovering the funds, and we are ready to handle the process. VAT refund for you.
How TIMEVAT helps you in Romania
TIMEVAT is your specialist partner for international finance and exports. With many years of experience as a VAT representative, we are well-versed in registration requirements, reporting, and Romanian procedures—and we speak the language of the authorities. We act as your extended arm in dealings with the authorities and look after your business as if it were our own.
- Registration for Romanian VAT, including fiscal representation for non-EU companies.
- Filing and Compliance of VAT, EU sales lists, and ongoing reporting requirements such as RO e-Factura and SAF-T.
- VAT Refund of Romanian VAT on your business expenses.
Do you need to get a handle on VAT in Romania?
We guide you safely through registration, reporting, and reimbursement, so you can focus on your business.
Contact us todayFrequently asked questions about VAT in Romania
What is the VAT rate in Romania in 2026?
The standard VAT rate is 21%, following an increase from 19% effective August 1, 2025. There is a single reduced rate of 11%, covering items such as food, medicine, books, restaurant services, and hotel accommodation. Certain housing-related services are temporarily subject to a 9% rate until July 31, 2026.
Does my foreign company need to register for VAT in Romania?
Yes. As a general rule, a business without a fixed place of business in Romania is liable for VAT from the first VATable transaction, with no minimum threshold. This applies, for example, to maintaining stock in Romania, importing from countries outside the EU, and the local purchase and sale of goods.
Do I need a fiscal representative in Romania?
Companies established outside the EU must appoint a fiscal representative to report VAT in Romania. In principle, companies within the EU can register directly without a fiscal representative.
When should I use OSS instead of local registration?
If you sell goods to Romanian consumers and your total EU distance sales exceed EUR 10,000, you can settle VAT via the One Stop Shop without local registration. However, if you hold stock in Romania, you must register locally, regardless of your turnover.
How often do I need to file a VAT return in Romania?
As a general rule, VAT returns are filed monthly. Businesses with a turnover of less than EUR 100,000 in the preceding year may file quarterly. The return and payment must be submitted no later than the 25th of the month following the reporting period.
What is RO e-Factura, and does it apply to me?
RO e-Factura is Romania’s mandatory electronic invoicing system. B2B invoices must be submitted electronically, and from January 1, 2026, the requirements will also extend to supplies made to VAT-registered customers who do not have a fixed place of business in Romania. If you are VAT-registered in Romania, you must therefore comply with the requirements for e-Factura and SAF-T.
