Early education

Early education, defined by the Law on Pre-University Education as pre-school (3 months-3 years) and preschool (3-6 years), includes the small, middle and large groups, being essential for the early development of children. In this context, tax facilities will therefore apply to nurseries and kindergartens.

According to the amendments made in the ordinance OUG 115/2023, new tax facilities will be introduced in 2024 whereby employers can offer parents a tax deduction of up to 1500 lei per month per child to pay for daycare and kindergarten costs.

No income tax, social security or health contributions are due for the amount granted by the employer.

Employers subject to corporate income tax may include, within the limit of deductibility, social expenses incurred for early childhood education among expenses with limited deductibility.

It is important to mention that this benefit is not mandatory, it is only a facility that can be granted by the employer and is included in the monthly ceiling of maximum 33% of the basic salary corresponding to the job

This benefit can only be claimed by one parent. For this, the parent who works for more than one employer is obliged to submit a sworn declaration that he/she does not receive such payments from another employer.

Although the law does not clearly specify which are the essential supporting documents for the granting of these facilities, we consider that the following documents should not be missing:

  • Application;
  • Copy of the child’s birth certificate;
  • Certificate of enrollment or contract with the early education institution;
  • Proof of authorization to operate the institution;
  • Proof of actual payment of the amount to the early education institution;
  • Declaration on the other parent’s own responsibility that he/she has not applied for the reimbursement of the expenses related to Law 239/2020, for the child’s early education.