{"id":343,"date":"2023-08-10T09:19:26","date_gmt":"2023-08-10T09:19:26","guid":{"rendered":"https:\/\/romanian-accountants.com\/?p=343"},"modified":"2023-08-10T09:19:27","modified_gmt":"2023-08-10T09:19:27","slug":"property-tax-in-romania","status":"publish","type":"post","link":"https:\/\/romanian-accountants.com\/property-tax-in-romania\/","title":{"rendered":"Property Tax in Romania"},"content":{"rendered":"\n<p>Any individual possessing a&nbsp;<strong>building located in Romania<\/strong>&nbsp;owes an&nbsp;<a href=\"https:\/\/romanian-accountants.com\/paying-taxes-in-romania\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>annual tax<\/strong><\/a>. This&nbsp;<strong>levy<\/strong>&nbsp;needs to be paid to the local budget of the corresponding region, city or municipality where the house is situated.<\/p>\n\n\n\n<p>Our&nbsp;<a href=\"https:\/\/romanian-accountants.com\/about-us\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>accounting firm in Romania&nbsp;<\/strong><\/a>can help you with proper information and guidance in order for you to pay the right&nbsp;<strong>taxes<\/strong>&nbsp;for your belongings.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_64 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #002e5b;color:#002e5b\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #002e5b;color:#002e5b\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/romanian-accountants.com\/property-tax-in-romania\/#annual-taxation-on-buildings\" title=\"Annual taxation on buildings\">Annual taxation on buildings<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/romanian-accountants.com\/property-tax-in-romania\/#annual-taxation-on-land\" title=\"Annual taxation on land\">Annual taxation on land<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/romanian-accountants.com\/property-tax-in-romania\/#how-is-the-taxable-value-of-buildings-in-romania-calculated\" title=\"How is the taxable value of buildings in Romania calculated?\">How is the taxable value of buildings in Romania calculated?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/romanian-accountants.com\/property-tax-in-romania\/#taxation-for-ownership-transfer-in-romania\" title=\"Taxation for ownership transfer in Romania\">Taxation for ownership transfer in Romania<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/romanian-accountants.com\/property-tax-in-romania\/#paying-extra-for-romanian-property-tax\" title=\"Paying extra for Romanian property tax\">Paying extra for Romanian property tax<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"annual-taxation-on-buildings\"><\/span><strong>Annual taxation on buildings<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>At the moment, the tax rates have maximum values, calculated on the price of the building, \u200b\u200bas follows:<\/p>\n\n\n\n<ul>\n<li>0.2% for residential buildings.<\/li>\n\n\n\n<li>1.3% for non-residential buildings.<\/li>\n<\/ul>\n\n\n\n<p>Startig with 2023,&nbsp;the tax on buildings will be separated only according to the type of the building, increasing the minimum rates, with no longer a maximum threshold, as follows:<\/p>\n\n\n\n<ul>\n<li>0.1% for residential buildings.<\/li>\n\n\n\n<li>0.5% for non-residential buildings.<\/li>\n<\/ul>\n\n\n\n<p>The tax is calculated based on the price of the property. Also, local authorities can apply higher tax rates, but without exceeding the maximum limit by more than 50%.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"annual-taxation-on-land\"><\/span><strong>Annual taxation on land<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Every individual that owns a&nbsp;<strong>land in Romania<\/strong>&nbsp;needs to pay an&nbsp;<strong>annual levy&nbsp;<\/strong>with specific exceptions. This&nbsp;<strong>tax<\/strong>&nbsp;is owed to the local budget of the region, city or municipality. If the&nbsp;<strong>land&nbsp;<\/strong>is&nbsp;located in Bucharest, the taxes are to be paid to the local budget of the municipality\u2019s sector.<\/p>\n\n\n\n<p>In Romania, the&nbsp;<strong>property tax<\/strong>&nbsp;is established taking into consideration the number of square meters, the score of the particular location of the land and its type per the decision of the Local Council. One should note that the Romanian property tax&nbsp;needs to be paid annually in 2 equal rates, first until the 31st of March and second until the 30th of September.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"how-is-the-taxable-value-of-buildings-in-romania-calculated\"><\/span><strong>How is the taxable value of buildings in Romania calculated?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>According to the current legislation, the taxable value of a building is determined differently depending on the type of owner and the building.<\/p>\n\n\n\n<p>More specifically, in the case of a residential building owned by a natural person, this value is calculated as follows:<\/p>\n\n\n\n<ul>\n<li>According to the area in which it is located.&nbsp;<\/li>\n\n\n\n<li>The type of construction.<\/li>\n\n\n\n<li>Particular factors provided for in the legislation.<\/li>\n<\/ul>\n\n\n\n<p>In the case of a legal person, regardless of the type of building, the value is determined like this:<\/p>\n\n\n\n<ul>\n<li>In accordance with the final estimate of the construction works.<\/li>\n\n\n\n<li>Purchase price or the value from the last evaluation report.<\/li>\n<\/ul>\n\n\n\n<p>It is important to note that starting with 2023, no matter the type of the owner or the category of the building, the taxable value of a property will be defined according to the data delimited in the market studies administered by the&nbsp;<a href=\"https:\/\/www.uniuneanotarilor.ro\/?p=15&amp;lang=en\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>National Union of Notaries Public in Romania<\/strong><\/a>, and the notary grids.<\/p>\n\n\n\n<p>An exception is the case where the values from these studies are lower than the existing ones, from the local authorities&#8217; record, respectively those regulated according to the legislation in force on December 31, 2022 for residential buildings, for which the tax for 2023 will be determinated taking into account the bigger value.<\/p>\n\n\n\n<p>For a better understanding of the&nbsp;<strong>Romanian property tax<\/strong>, please feel free to address to one of our&nbsp;<a href=\"https:\/\/romanian-accountants.com\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>accountants in Romania<\/strong><\/a>. We are updated with the legislation and we can explain more on this topic.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"taxation-for-ownership-transfer-in-romania\"><\/span><strong>Taxation for ownership transfer in Romania<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Presently, the tax owed by natural persons in Romania on the transfer of real estate property is set at 3% rate imposed on the taxable income. As such, the taxable income is calculated by deducting from the value of the transaction the non-taxable amount of 450,000 lei.<\/p>\n\n\n\n<p>There are also cases where there is no tax owed for the debate and conclusion of successions within 2 years from the date of the death and inheritance. However, if the completion of the succession process is beyond the term mentioned above, the successors owe a tax of 1% calculated on the value of the inherited estate.<\/p>\n\n\n\n<p>The tax on land is paid in 2022 for both extra-urban and intra-urban areas. The owners are the ones who have to pay the land tax in 2022. Here are other details on this topic:<\/p>\n\n\n\n<ul>\n<li>In the case of new acquisitions, the reference term for payment or<strong>&nbsp;Romanian property tax<\/strong>&nbsp;on land is 31 December 2022.&nbsp;<\/li>\n\n\n\n<li>The&nbsp;<a href=\"https:\/\/romanian-accountants.com\/taxes-in-romania\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>tax<\/strong><\/a>&nbsp;for land must be paid by the person who, by the end of 2021, was listed as the owner of that land, even if in the meantime the surface has been alienated.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"paying-extra-for-romanian-property-tax\"><\/span><strong>Paying extra for Romanian property tax<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>According to the changes brought by O.G. 16\/2022, local taxes can increase 2-3 times in large cities in Romania, if the minimum rate of 0.1% is maintained. It is also possible that this rate will reach 0.2% in other areas, according to the draft Ordinance 16\/2022, and more precisely in areas with high market prices, where the tax can reach a 10-fold increase compared to the current rates. If you would like to know more about the Romanian property tax and the legislation for 2023, please address your questions to one of our local specialists.<\/p>\n\n\n\n<p>Please feel free to&nbsp;<a href=\"https:\/\/romanian-accountants.com\/contact\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>contact&nbsp;<\/strong><\/a>our&nbsp;<strong>accounting specialists in Romania<\/strong>&nbsp;for extra information regarding the<strong>&nbsp;Romanian property tax<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Any individual possessing a&nbsp;building located in Romania&nbsp;owes an&nbsp;annual tax. This&nbsp;levy&nbsp;needs to be paid to the local budget of the corresponding region, city or municipality where the house is situated. Our&nbsp;accounting firm in Romania&nbsp;can help you with proper information and guidance in order for you to pay the right&nbsp;taxes&nbsp;for your belongings. Annual taxation on buildings At [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":187,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[19,9,248,255,259,257],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Romanian Property Tax - Contact Our Local Specialists<\/title>\n<meta name=\"description\" content=\"Our accounting specialists in Romania can offer proper information and guidance regarding property tax in the country.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/romanian-accountants.com\/property-tax-in-romania\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Romanian Property Tax - 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