Page 6 - KPMG Tax in Romania

Romanian tax and social security implication 2015/2016 (2)

Romanian social Romania observes EC Regulation 883/2004 regarding the coordination of social security system:
security
implications and  if A1 certificate of coverage is obtained from the Netherland authorities then no Romanian social security
filing contributions are due,
requirements
 if A1 certificate of coverage is not obtained from the Netherland authorities, then Romanian social security
contributions are due.

Standard social contributions Employee Employer

Health insurance 5,5% 5,2%
15,8%
Social security insurance* 10,5% 0,5%
0,85%
Unemployment insurance 0,5%
0,15%-0,85%
Medical leave indemnity** -

Accidents at work and professional -
diseases insurance***

*Capped to 5 times average gross wage (i.e. RON 2.415 valid for 2015)
** Capped to 12 times the minimum gross wage (i.e. RON 1050 as of July 2015)
*** This contribution varies between 0.15%-0.85% depending on the employer’s area of activity

Filing requirements

 Labor notification if the individual is assigned in Romania (obligation of the foreign employer)
 Residence questionnaire upon arrival/departure in Romania
 Tax authority notification of start of assignment with a Romanian Company (Romanian Company obligation)
 Monthly tax returns for remuneration received under assignment
 Yearly tax returns for personal income obtained (e.g. dividends, interest etc.)

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