Sponsorship calculation method for companies paying minimum turnover tax under Law 296

According to Law 296/2023, taxpayers who carry out sponsorships and/or acts of patronage, according to the provisions of Law no. 32/1994 on sponsorship, as subsequently amended and supplemented, deduct the related amounts from the minimum tax due at the level of the minimum amount of the following:

a) the amount calculated by applying 0.75% to the turnover; for situations where the applicable accounting regulations do not define the turnover indicator, this limit shall be determined according to the rules;

b) the amount representing 20% of the corporation tax.

In the case of sponsorships made to non-profit legal entities, including religious establishments, the amounts relating thereto are deducted from the minimum tax due, within the limits set out above, only if the beneficiary of the sponsorship is entered, at the date of conclusion of the contract, in the Register of entities/units of worship for which tax deductions are granted.