Everything you need to control your taxes
We offer comprehensive assistance in obtaining tax residency certificates for Romania, tailored especially for expatriates. Our services are designed to navigate the complexities of Romanian tax law with ease.
A crucial aspect of complying with Romanian local tax laws is obtaining a tax residency certificate, which is essential for correctly applying the double taxation avoidance agreements that Romania has with other countries.
The certificate is key to benefiting from tax treaties, ensuring you’re taxed fairly.
Our experts provide step-by-step guidance through the entire process, from initial consultation to liaising with Romanian tax authorities, ensuring a smooth and hassle-free experience.
initiate the assessment of your particular case, tax residency status and applicable procedure.
Collect all relevant tax documentation and information, and prepare the necessary application file.
Submission of the tax residency certificate application file to tax authorities and diligent follow-up.
Our team guides and assists through the mandatory procedures, ensuring full compliance. All with minimal involvement from your side: usually, less than a 1 hour time investment.
Contact us today to start your journey toward tax compliance and peace of mind in Romania. Get in contact filling the contact form, and one of our tax experts will be happy to assist.
Understanding the Romanian tax residency rules and procedures is pivotal for both individuals and businesses operating within the country. These rules determine tax liabilities and obligations based on one’s residency status, which is crucial for tax planning and compliance. The Romanian fiscal framework, guided by the Tax Code, outlines specific criteria and procedures to ascertain tax residency for individuals and legal entities.
For individuals, the determination of tax residency in Romania generally depends on several conditions. Primarily, an individual is considered a Romanian tax resident if they spend more than 183 days within a 12-month period in the country.
However, the assessment doesn’t stop there. Other conditions, such as having a domicile in Romania, center of vital interests, or performing activities as an employee of Romania abroad, can also establish tax residency.
Once deemed a tax resident, an individual is subject to Romanian tax on worldwide income, not just on the income earned within Romania. This comprehensive approach ensures that tax residents contribute their fair share of taxes, regardless of where their income originates.
A Romanian tax residency certificate is an official document issued by the Romanian tax authorities confirming a person’s tax residency status in Romania. It is typically required to avoid double taxation, benefit from tax treaties, or comply with international reporting obligations. You may need it for correctly applying double tax avoidance for certain types of personal income such as: dividends, interest, rental income, capital gains, or other types.
Eligibility is determined based on several factors, such as the length of stay in Romania, permanent residence, and primary family and economic ties. If you have spent more than 183 days in Romania in a calendar year or maintain a permanent home here, you may qualify as a Romanian tax resident. As tax resident, you are eligible to obtain such a certificate from the Romanian authorities, for a specific tax year.
The document typically required for any foreign individual is the assessment notification issued by the authorities following the fulfilment of the tax residency assessment obligation. In addition, the application file generally must include: identification (passport and/or national ID), copy of Romanian residency permit or similar document, and/or any additional information demonstrating your ties to Romania, such as employment contract or property ownership documents.
The processing time can vary depending on the complexity of the case and the workload of the local tax office. On average, it takes between 10 to 20 workdays after submitting the application file. Generally, the applications submitted online are processed much faster than those submitted in hard copy.
Yes, but depending on your presence period, the certificate may not be valid for the entire year. It could be limited to the period of presence in Romania. Also, your eligibility will depend on factors like the duration of your stay in Romania during that year, or where your primary family and economic interests were located. Our experts can help you assess your situation and guide you through the process.
Tax residency certificates are issued by the authorities for a specific tax year and you have to apply for a new one annually. So, if your circumstances remain unchanged, you can apply each tax year for a certificate. It’s important to check with us regarding any changes in your personal circumstances. This ensures ongoing compliance with the Romanian applicable procedure.
Yes, if your application is denied, we can assist in identifying the reasons for the rejection and help you collect the necessary documentation or evidence to apply for reassessment. Our team has extensive experience working on such situations, and we can ensure your case is resolved efficiently.
The purpose of such certificate is not for attesting any affiliation to the social security system. It cannot be used to certify that someone pays social contributions in a certain country. For such purpose, there are other types of documents/certificates that can be obtained from social security authorities, such as the A1 social coverage certificate.
The tax residence certificate is a document for which the application must be submitted individually. It cannot certify residency for multiple persons. Therefore, the application to the tax authority for such document must be done for each person individually.
Founded in 2008 as TAX IQ, our company has gained extensive expertise over the years, allowing us to effectively utilize our experience to benefit our clients’ best interests. Over time, we have succeeded to build a solid reputation as trusted tax advisor for the entire community of Romanian expats.