As of 1 January 2007, the Import Customs Tariff of Romania has been the Common Customs Tariff of the European Union. Applicable in all EU Member States, it ensures the proper functioning of the European internal market.

The Customs Tariff of Romania includes:

• the Combined Nomenclature;
• any other nomenclature based partially or fully on the Combined Nomenclature, or adding thereto any subdivisions, which is established under national legal rules governing specific fields with a view to applying tariff measures related to trade in goods;
• customs duties and charges having effect equivalent to that of customs duties applicable to goods contained in the Combined Nomenclature as well as levies established under the agricultural policy or special regulations applicable to certain goods resulting from the processing of agricultural products, where applicable;
• favourable tariff arrangements laid down in the agreements concluded by Romania with certain countries or groups of countries, which stipulate the application of a favourable tariff treatment;
• favourable tariff arrangements that may be granted unilaterally by Romania to certain countries or groups of countries;
• the tariff arrangements providing for a reduction or exemption for import rights in relation to certain goods;
• other tariff arrangements provided for in the Romanian legislation.

Pursuant to the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade (GATT) 1994, the customs value of imported goods is the transaction value, i.e. the price actually paid or payable for the goods when sold for export to the customs territory of the Community.

When the customs value cannot be based on the transaction price, it is determined by successively applying the following valuation rules up to that in accordance with which such value is ascertainable:

• the transaction value of identical goods sold for export to the Community and exported at or about the same time as the goods being valued;
• the transaction value of similar goods sold for export to the Community and exported at or about the same time as the goods being valued;
• the value based on the unit price corresponding to sales within the Community of imported goods, or identical or similar imported goods, in the greatest aggregate quantity to persons not related to the sellers;
• the computed value, equating to the sum of: the cost or value of materials and fabrication or other processing employed in producing the imported goods, the value of profit and general expenses equal to that usually reflected in sales of goods, the cost of transport and insurance of the imported goods as well as loading and handling charges associated with the transport of the imported goods up to the point of introduction of goods into the customs territory of the Community.

Anti-dumping and compensatory measures

1.Anti-dumping and compensatory measures are integrated in the TARIC database, as follows:

• the provisional anti-dumping duty – DUMP;
• the definitive anti-dumping duty – DUMP D;
• Provisional countervailing duty – COMP;
• Definitive countervailing duty – COMP D;

TARIC is a database intended to set out the statutory provisions (tariff or non-tariff measures) applicable to a certain product when imported, or exported, where applicable, within the customs territory of the EU.

2. List of tariff codes for products subject to the application of anti-dumping/countervailing duties

3. Anti-dumping and countervailing duties applied to the contiguous zone and the exclusive economic zone.

Company tax

Categories of taxpayers liable to pay the company tax:

• foreign legal entities carrying out a business activity through a permanent establishment or several permanent establishments in Romania;
• foreign legal entities whose place of effective management is in Romania;
• foreign legal entities generating income from transfer of real estate located in Romania or whose entitlements in respect of that real estate, including hiring out or assignment of the right of use of the goods pertaining to the real estate located in Romania;
• legal entities with their registered office in Romania, established in accordance with EU law;
• foreign legal entities resident in a third country carrying out their business activity in Romania through one or several arrangements treated as permanent establishments, for cases involving the existence of hybrid mismatches or tax residency mismatches;
• the tax-transparent entity, for cases involving the existence of reverse hybrid mismatches.

Scope of tax

Company tax is applied as follows:

• for Romanian and foreign legal entities whose place of effective management is in Romania and for legal entities with their registered office in Romania, established in accordance with EU law, on the taxable profit obtained from any source in Romania and abroad;
• for foreign legal entities carrying out a business activity through a permanent establishment or several permanent establishments in Romania, on the taxable profit pertaining to the permanent establishment, namely the taxable profit of the permanent establishment designated to fulfil tax obligations;
• for foreign legal entities generating income as listed in Article 12(h), on their taxable profit.

Tax rate

In Romania, a company tax rate of 16% is applied to the taxable profit.

Special scheme applicable to taxpayers carrying out business activities pertaining to night bars, night clubs, discotheques, casinos

For taxpayers carrying out activities related to night bars, night clubs, discotheques or casinos, including legal entities generating income under an association contract, for which the company tax rate due is below 5% of that income, must pay a tax rate of 5% charged on that recorded revenue.

Declaring and paying the company tax

The company tax can be declared and paid by taxpayers on a quarterly and annual basis.

Quarterly payment

The company tax is calculated, declared and paid on a quarterly basis by the twenty-fifth day inclusive of the first month following the end of the first, second and third quarters. Early quarterly payments are determined as a quarter of the company tax due for the previous year, which is updated with the consumer price rate estimated when drafting the initial budget of the year for which early payments are made.

Annual payment

Taxpayers can opt for calculating, declaring and paying the company tax on an annual basis and for making early quarterly payments. The deadline by which the annual tax must be paid is the deadline for submission of the company tax return, i.e. by 25 March inclusive of the following year.