Law no.34 for the modification and completion of Law no.227/2015 on the Fiscal Code was published in the Official Gazette no.36 of 12 January 2023, with entry into force from 15 January 2023.
We would like to point out that the recently approved law regulates the tax regime applicable to the value of subscriptions for the use of sports facilities, in order to practice sports and physical education for maintenance, prophylactic or therapeutic purposes, within the limit of the equivalent in lei of the amount of 400 euro per year.
Thus, according to the new regulations, are deductible expenses limited to “the value of subscriptions for the use of sports facilities for the practice of sport and physical education for maintenance, prophylactic or therapeutic purposes offered by providers whose activities fall under CAEN codes 9311, 9312 or 9313, paid for the personal use of the taxpayer, regardless of whether the activity is carried out individually or in a form of association, as well as the value of subscriptions, offered by the same provider acting in his own name or as an intermediary, which include both medical services and the right to use sports facilities, for the practice of sport and physical education for maintenance, prophylactic or therapeutic purposes, paid for the personal use of the taxpayer, regardless of whether the activity is carried out individually or in a form of association, up to the equivalent in RON of 400 euro per person per year”.
Furthermore, income representing “the consideration for subscriptions for the use of sports facilities for the practice of sport and physical education for maintenance, prophylactic or therapeutic purposes offered by providers whose activities fall under CAEN codes 9311, 9312 or 9313, as well as the consideration for subscriptions, is not taxable, offered by the same provider acting in his own name or as an intermediary, which include both medical services and the right to use sports facilities, for the practice of sport and physical education for maintenance, prophylactic or therapeutic purposes, borne by the employer for his own employees, up to the equivalent in RON of 400 euro per person per year. “
This benefit will be introduced in paragraph 4^1 of Article 76 of the Tax Code, where some wage incomes for which income tax is not due are mentioned. At the same time, the benefit will be introduced in Article 142, where the amounts not included in the monthly CAS calculation base are mentioned, which means that, automatically, the amounts will be included neither in the CASS calculation base nor in the CAM calculation base.
It is important to note, however, that this benefit will be included in the list of those for which a total monthly limit of 33% of basic salary applies.
Therefore, from February 2023, if they pay for their employees sports memberships for maintenance, prevention or therapy, within the mentioned annual limit, employers will not pay income tax and social contributions for pensions (CAS), health (CASS) and labour (CAM).
In addition, in the case of self-employed individuals (real system), the value of sports subscriptions for maintenance, prevention or therapy (the same three CAEN codes are concerned) will be considered as a limited deductible expense, if the subscriptions are paid for the personal use of the taxpayer, but still within the limit of the RON equivalent of 400 euros per person per year. In the case of self-employed activities, individuals can apply for the benefit as from 15 January 2023.