The standard VAT rate in 2026
Thank you for reading this post, don't forget to subscribe!In 2026, Romania’s standard VAT rate is 21% and applies to most supplies of goods and services that do not qualify for a reduced rate or an exemption.
For companies, correctly determining the applicable VAT rate requires checking the nature of the transaction and the specific conditions set out in the Tax Code.
The reduced VAT rate of 11%
The 11% rate applies to certain categories of goods and services in areas such as food, healthcare, agriculture, utilities, culture and tourism.
Eligible transactions include supplies of medicines for human use, certain food and beverages, water supply and sewerage services, certain agricultural products and services, as well as thermal energy supplied to certain categories of beneficiaries.
The reduced rate also applies to books, textbooks, newspapers and magazines, admission to museums and other cultural sites, accommodation, and restaurant and catering services, subject to the exclusions provided by tax legislation.
However, certain products remain subject to the standard rate, including alcoholic beverages and certain non-alcoholic beverages or food products that exceed the legal threshold for added sugar.
The 9% VAT rate for new homes
The transitional 9% VAT regime for certain residential properties applies until September 30, 2026, provided that all conditions set out in the Tax Code are met.
The property must have a maximum usable floor area of 120 sq m, while its value, including the land, must not exceed RON 600,000 excluding VAT. The property must also be suitable for habitation at the time of delivery.
The transitional regime also includes conditions relating to previous purchases and advance-payment agreements. For certain preliminary sale agreements concluded in July 2025, a minimum 20% advance payment had to be made by July 31, 2025.
What companies should monitor
Correct application of VAT rates in 2026 is important for calculating both output and input VAT, issuing tax documents and reporting to ANAF.
Companies operating in sectors subject to reduced VAT rates should verify the exact classification of their products and services, as well as any applicable conditions or time limits. For real estate transactions, checking the transitional requirements is essential before applying the 9% rate.