Current salary tax rules remain; 2027 changes dropped
The change to the payroll taxation system will not be implemented in 2027. The Ministry of Finance announced this on Friday, June 26.
In a Facebook post, the institution announced that the decision was made "following consultations and proposals received on the draft fiscal policy."
The draft proposal for consultation aimed to reduce the personal income tax rate from 12% to 7% for annual incomes of up to 1 million lei. If an individual's income exceeded this threshold, the tax rate would increase to 15%.
To simplify income tax calculations, the proposal suggested replacing personal exemptions and those for dependents with direct payments of 500 lei per employee and 200 lei per dependent child.
Additionally, the draft proposed lowering the mandatory health insurance premium rate from 9% to 7%.
Furthermore, the responsibility for paying state social insurance contributions, currently set at 21%, would shift from employers to employees. Employers would be required to adjust gross salaries to account for this change, ensuring employees are not adversely affected.
