Romania’s Law No. 141, effective August 1, 2025, repealed VAT exemptions for NGOs, setting an October 31, 2025, deadline for filing reimbursement requests. The law significantly increased the standard VAT rate from 19% to 21% and the reduced rate from 5% to 11%, also reclassifying some supplies. NGOs receiving VAT refunds must strictly use the funds for non-profit purposes and must meet qualifying criteria or face repayment obligations. In addition to transitional rules for a 9% VAT rate on specific dwellings until mid-2026, the law also implemented higher dividend tax rates and introduced a new supplementary tax on banks.
Source: kpmg.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Romania"
- Romania Approves Prefilled VAT Return Under Order 2351/2025
- New ECJ VAT Case T-680/25 (Mercedes Benz) – No details known yet
- Romania Increases Reduced VAT Rate on Agricultural Products and Services to 11%
- Romania Delays E-Invoice Requirement for Farmers and Cultural Institutes Until June 2026
- Romania Launches SAF-T Pilot Program to Enhance VAT Compliance Through Digital Controls
