Set up a Limited Liability Company in Romania

The most common forms of companies in Romania are the Limited Liability Company, the Joint Stock Company and Branches.

The Limited Liability Company in Romania has:

• The share capital is divided into equal shares and, according to Law no. 31/1990, it cannot be less than 1 RON.
• A Limited Liability Company in Romania may have between 1 and 50 shareholders.
• The shareholders are liable in the limit of the contribution to the share capital.

Documents requested by the Trade Register for the company formation are:

• Proof of reservation of company name
• Articles of incorporation for the new Romanian company
• Excerpts issued by the Trade Register where the shareholders are incorporated- legal entities (if they are)
• The identity document of the shareholders natural persons (ID, Passport)
• Passport or ID of the future director of the Romanian company
• The document attesting the right of use over the space with destination of registered office ( e.g. lease agreement, property) and the ownership property documents
• standard application.

Taxation of LLC company in Romania 2023

The tax rates used for micro-company income tax are:

• 1% for micro-companies with one or more employees.
• 3% for micro-companies with no employees.

The standard corporate income tax rate is 16%. Taxpayers that are carrying on activities such as gambling and nightclubs are either subject to 5% rate of the revenue obtained from such activities or to 16% of the taxable profit, depending on which is higher.

Romanian micro company tax regime starting with the first fiscal year and will remain under this tax regime if it meets all of the following criteria:

• The maximum threshold of annual turnover is EUR 500.000.
• Income generated from consultancy and management activities is not more than 20% of the annual turnover;
• It does not carry out any banking, insurance and reassurance, capital markets, gambling or upstream oil & gas activities;
• The share capital must be held by entities other than the state or the local authorities.

Moreover, the Romanian company has to pay to the state the imposed social contributions (pensions, health, work contribution) and the income tax for each employee.

There are no citizenship or residency requirements in order to register a Limited Company in Romania.

Our team of Romanian Lawyers can assist you for the set up of a LLC in Romania and our team of Romanian accountants can take on the fiscal set up of your newly formatted company.

Contact us for more info in order to set up a Romanian Limited Liability Company.

Are you looking for ways to get EU citizenship legally? If so, you’re not alone.

Many people around the world dream of having an EU passport for the benefits it provides, such as visa-free travel to many countries, access to world-class education and healthcare, and the ability to live and work in any EU member state.

In this article, we’ll discuss five legal ways to obtain EU citizenship, including:

1. Citizenship by descent
2. Citizenship by marriage
3. Citizenship by investment
4. Citizenship by naturalization
5. Citizenship by adoption

We’ll explore the eligibility criteria for each option, the application process, and the benefits of obtaining EU citizenship through these channels.

1. Citizenship by Descent

If you have ancestors who were citizens of an EU country, you may be eligible to apply for citizenship by descent. This is one of the most straightforward ways to obtain EU citizenship, as you simply need to prove your lineage and fulfill any other eligibility requirements.
Each EU country has its own rules regarding citizenship by descent, but in general, you’ll need to provide documentation such as birth certificates, marriage certificates, and other evidence of your ancestry. You may also need to demonstrate a certain level of proficiency in the language of the country in question.
Citizenship by descent is a popular option for those with European roots, as it allows them to reconnect with their heritage and gain the benefits of EU citizenship.

2. Citizenship by Marriage

If you’re married to an EU citizen, you may be eligible to apply for citizenship by marriage. This option is available to both men and women, and the requirements vary depending on the country in which your spouse is a citizen.
In general, you’ll need to have been married for a certain period of time, typically two to five years, and demonstrate that you have a genuine relationship with your spouse. You’ll also need to meet any other eligibility criteria, such as language proficiency and residency requirements.
Citizenship by marriage can be a great option for those who are in a committed relationship with an EU citizen and want to make their life together more stable and secure.

3. Citizenship by Investment

Many EU countries offer citizenship by investment programs, which allow individuals to obtain citizenship in exchange for a substantial investment in the country’s economy.

These programs can be expensive, but they can also be an attractive option for those who have the financial means to make a significant investment.

The requirements for citizenship by investment vary depending on the country in question, but in general, you’ll need to invest a certain amount of money in real estate, government bonds, or other approved investments.

You may also need to meet residency requirements and demonstrate a clean criminal record.
Citizenship by investment can be a good option for those who are looking for a relatively fast and straightforward path to EU citizenship, as the investment requirements can often be met within a year or two.

4. Citizenship by Naturalization

Citizenship by naturalization is available to those who have lived in an EU country for a certain period of time and meet other eligibility criteria. The length of time required varies depending on the country, but in most cases, you’ll need to have lived in the country for at least five years.

To qualify for citizenship by naturalization, you’ll also need to meet other requirements such as language proficiency, knowledge of the country’s history and culture, and a clean criminal record.

You may also need to demonstrate that you have been financially self-sufficient during your time in the country.

Citizenship by naturalization can be a good option for those who have already been living in an EU country for an extended period and want to formalize their status as a citizen.

5. Citizenship by adoption

Citizenship by adoption in the European Union (EU) can vary depending on the specific country and its citizenship laws. Generally, adoption alone does not confer citizenship in most EU countries.

In most cases, an adopted child must meet certain criteria to become a citizen, such as residing in the country for a certain period of time or having at least one adoptive parent who is already a citizen.

Additionally, some EU countries may have specific requirements or restrictions for children adopted from certain countries.
It is important to note that citizenship laws can change over time, so it is best to check with the relevant authorities or seek legal advice for the most up-to-date information on citizenship by adoption in a specific EU country.

Our Romanian lawyers will offer details for this matter if you contact us.

Depending on your citizenship, the procedure for purchasing a new property in Romania can vary.

Fortunately, as long as the property serves as your secondary residence, EU and EEA individuals will have no trouble purchasing real estate in Romania.

You will need a Fiscal Identification Number to complete the process if you are an EU citizen without a Romanian Personal Identification Number.

If you have your residency permit, getting this number is simple. The contract will be void if you don’t begin the procedure of obtaining this Fiscal Identity Number before you begin the purchasing process.

The procedure will be a little more challenging for a non-EU citizen because a non-EU citizen can typically possess a building or other structure but not the land on which it is constructed.

To utilize the home and land, they will instead need a permit; nevertheless, if the building is demolished, they will lose all legal rights to the property.

In order to confirm the seller owns the property and to check the land survey records for a report from the land registration, you will also need to locate a Romanian licensed attorney.

Also, a real estate Romanian lawyer can do a due diligence report of the property in order to analyze the legal situation.

Our Romanian lawyers can offer the legal help with a real estate due-diligence (information on the characteristics of the property, owners, risks and legal restrictions)  and also to draft a sale or purchase contract or real estate purchase promissory agreement, while providing assistance and representation in the negotiation process for concluding such contracts.

Both the buyer and the seller will be present at the closing together with a local notary. The property will then officially be yours after the deed has been recorded in the Romanian Land Registry.

The costs for the purchase will also include transfer tax, notary fees, local taxes, and registration fees.

Contact us for further information.