The construction tax, also known as the “pillar tax,” has been reintroduced starting in 2025 through Government Emergency Ordinance No. 156/2024. With the declaration and payment deadlines approaching, we present a summary of the key aspects that corporate taxpayers should be aware of.
It is important to note that Form 100 was updated on May 19, 2025, to allow the declaration of the construction tax:
According to Art. 498 para. (1) of the Fiscal Code (Law No. 227/2015), the annual construction tax is calculated as follows:
- A rate of 0.25% applies to the value of constructions under administration/concession/free use/lease contracts concluded for public or private property of the state or local authorities;
- A rate of 0.5% applies to the net book value of other constructions.
OUG No. 21/2025 provides that if existing contracts before April 4, 2025 do not state the construction value, the owners must determine and communicate the value by May 15, 2025. New contracts signed after this date must include the value.
Constructions exempt from building tax under Art. 456 of the Fiscal Code are also exempt from the construction tax.
Net value = accounting value of the construction (from the debit balance) minus cumulative depreciation.
If the value of constructions changes during the year, the tax is not recalculated for that year; changes apply to the following year.
Entities ceasing to exist must recalculate the tax proportionally to their period of activity. Newly established entities owe the tax from the year of establishment, based on their situation on the 30th day after registration.
Deadlines:
- Declaration (Form 100): by May 25; for 2025, the deadline is May 26;
- Payment: in two equal installments – by June 30 and October 31;
- For entities with non-calendar fiscal years: declaration by month 5, payment by months 6 and 10;
- Upon dissolution: declare and pay by dissolution date; if after May 25 – file rectifying declaration;
- New entities: declare and pay by January 25 of the following year.
📌 10% Discount: Entities declaring and paying the full annual tax by May 25 (or by the 5th month of a modified fiscal year) benefit from a 10% reduction.