Microenterprises that wish to apply the microenterprise income tax regime must notify the Romanian tax authority (ANAF) no later than March 31st of the year in which the regime is to be applied.
Moreover, if during the previous year any of the conditions provided under Article 47 paragraph (1) letters d) and e) of the Fiscal Code were no longer met, the taxpayer must communicate the exit from the system by the same date – March 31st of the following year.
These conditions are:
- The share capital must be held by natural/legal persons other than the state or local authorities;
- The company must not be undergoing dissolution or liquidation, according to the Trade Register or court records.
How to notify ANAF
The notification of the change in the fiscal vector is done by completing and submitting Form 700, which can only be submitted online. The form is available at the following link:
👉 [Form 700 – ANAF]
Updated Conditions for Microenterprise Classification in 2025
According to Government Emergency Ordinance 156/2024, published in the Official Gazette no. 1334 of December 31st, 2024, the microenterprise regime was significantly modified starting in 2025. One of the most important changes is the reduction of the turnover ceiling from EUR 500,000 to EUR 250,000.
General conditions for the microenterprise regime (applicable from 2025):
- Revenue below EUR 250,000 equivalent in RON, calculated using the exchange rate on December 31st, 2024;
- Share capital must be held by entities other than the state/local authorities;
- The company must not be in dissolution/liquidation;
- At least one employee (with exceptions for newly established companies);
- Exclusive use of the regime – if shareholders own multiple companies, only one can apply the micro regime;
- Timely submission of annual financial statements, if required.
Important eliminations and updates:
- The condition regarding the share of consulting/management income (previously max. 80%) was removed;
- Updated CAEN codes for which the 3% tax rate applies:
- 6210 – Custom software development activities
- 6290 – Other IT service activities
- 5611, 5612, 5622 – Activities in the HoReCa sector
Turnover thresholds for the coming years:
- For 2025: EUR 250,000 ceiling
- From 2026: reduced ceiling of EUR 100,000
Revenue is assessed as of December 31st, 2024 (for the 2025 fiscal year), and December 31st, 2025 (for the 2026 fiscal year).
Additionally, when calculating the ceiling, the revenues of related enterprises are also taken into account, as defined under Article 4^4 of Law 346/2004. These are companies with control relationships (e.g. majority voting rights, dominant influence, or shared boards of directors).
Conclusion
Applying the microenterprise income tax regime in 2025 comes with major changes, including tighter thresholds and a stronger emphasis on transparency and tax compliance. Taxpayers must carefully review their situation and submit Form D700 by March 31st to avoid penalties or loss of fiscal benefits.