As we mentioned earlier, the micro companies in Romania are attractive, but the tax legislation there is not stable. And now they have tinkered with it again. Here are the main changes. This is in contrast to Bulgaria, where the tax system is exceptionally stable, and there has been a flat tax of 10% for 30 years, and nobody wants to change it.The micro company regime in Romania will change dramatically starting on Jan 1st, 2023: 
  1. The threshold will decrease from 1 million EUR to 500 k EUR
  2. Consulting companies are excluded - The total revenues from consulting and management services must NOT exceed 20% of the total. We have no clear definition of “consulting services.”
  3. Micro companies MUST have at least one employee (labour contract).
The dividends will be subject to 8% tax instead of 5%.