How vat / sales tax works in Romania
Romanian VAT defaults to 21% since August 2025 under Law 141/2025, with an 11% reduced rate on food, medicines, books, hotel stays, and passenger transport.
Traders file monthly or quarterly by turnover, issue structured e-invoices through RO e-Factura for B2B supplies, and run e-Transport reporting for goods movements.
Exports zero-rate, financial, health, and education supplies are largely exempt, and EU distance sellers route through OSS past the union threshold.
Tax rates at a glance
- Standard VAT
- 21%
- Reduced VAT
- 11%
- Food and stays
- 11%
- Exports
- 0%
- E-invoicing
- Mandatory B2B
- Filing rhythm
- Monthly / quarterly
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
E-commerce sellersManufacturersFreelancersExpatsHospitality operators
Watch out for
- The 2025 rise from 19% to 21% with reduced bands moving to 11% still hides in contracts, price lists, and ERP mappings that nobody updated.
- RO e-Factura makes B2B issuance validity infrastructure: non-transmitted invoices undermine buyer credits regardless of the underlying supply.
- Micro-enterprise regime interacts with VAT thresholds and rates, so small-business planning must model both tracks together.
- E-Transport reporting adds movement-level visibility for goods, which penalises informal logistics that invoicing reforms miss.
Frequently asked questions
What is the VAT rate in Romania?
Romania applies 21% standard VAT in 2026 after the August 2025 rise, with 11% for food, medicines, books, stays, and transport.
Is e-invoicing mandatory in Romania?
Yes for B2B supplies through RO e-Factura, with e-Transport reporting for goods movements. Monthly or quarterly filing reconciles transmitted data.
Do small Romanian businesses charge VAT?
Past the turnover threshold with micro-enterprise options interacting alongside. Below the line, exemption shelters supplies but blocks input recovery.