What Taxes Do Companies Pay in Moldova in 2025

Planning to do business in Moldova or already have a registered company? Then it’s crucial to understand what taxes you'll need to pay. As of 2025, Moldova’s tax system remains one of the most competitive in Eastern Europe, especially for IT companies and small businesses.

This article provides a detailed overview of the taxes paid by legal entities — from the classic corporate income tax to simplified regimes, VAT, social contributions, and sector-specific fees. You’ll learn how to accurately calculate your tax burden, what tax incentives are available, and how to avoid penalties.

This information is valuable for both aspiring entrepreneurs and those looking to optimize an existing business from a tax perspective.

General Principles of Corporate Taxation in Moldova

In 2025, the corporate taxation system in Moldova is governed by the provisions of the Fiscal Code. Legal entities that are tax residents of the Republic of Moldova must pay taxes on income earned both domestically and abroad. Non-residents are taxed only on income earned within Moldova.

Who is considered a tax resident?

A company is considered a tax resident of Moldova if it:

• is registered in Moldova; or
• is managed and controlled from within Moldova.

Taxable base

The following are subject to taxation:

• profit (income minus expenses),
• certain types of turnover (for special regimes, e.g., IT Park),
• VAT and excise turnover (where applicable).

Main types of business taxes:

• Corporate Income Tax (CIT) — 12 %
• VAT — 20 % (or 8 % for selected goods/services)
• Social and health contributions
• Local taxes and fees (where applicable)
• Dividend tax — 6 %
• Excise duties, environmental charges, licenses (for specific sectors)

Filing deadlines:

• Annual corporate income tax declaration — by March 25 of the following year.
• VAT — monthly by the 25th.
• Advance profit tax payments — quarterly.

Corporate Tax (CIT — Corporate Income Tax)

Rate and key features in 2025

The base corporate income tax (CIT) rate in Moldova for legal entities in 2025 is 12 % of taxable profit. This is one of the most stable rates in the region, making Moldova attractive for business.

Taxable profit is calculated as the difference between all company revenues and tax-deductible expenses.

Who pays corporate tax:

• All resident companies (LLC, JSC, SRL, etc.)
• Branches of foreign companies (on income earned in Moldova)
• Certain individual entrepreneurs under the general taxation regime

Deductible expenses include:

Included:

• expenses directly related to core business activities;
• depreciation of assets;
• travel and representation costs (within legal limits);
• advertising, marketing, and consulting services;
• loan interest (subject to thin capitalization rules).

Not included:

• fines, penalties, and sanctions;
• expenses without proper documentation;
• representation expenses exceeding the established limits.

Exceptions and reduced rates:

• Agricultural businesses — 7 %
• Companies registered in IT Park — pay a single tax of 7 % on turnover, replacing CIT and other obligations (more details in the dedicated section)

Reporting and payment:

• Advance payments — quarterly (April 25, July 25, October 25)
• Annual declaration (Form VEN12) — by March 25 of the following year
• Tax payment — due together with the declaration

Simplified and Special Tax Regimes for Small Businesses

Moldova offers several alternative tax regimes that allow small businesses, freelancers, and IT companies to simplify calculations and reduce tax burden. As of 2025, three key regimes are available:

1. Single Tax (7%) for IT Park Residents

Companies registered in the Moldova Innovation Technology Park (MITP) pay a single tax of 7% on turnover (excluding VAT), which replaces several taxes:

• corporate income tax;
• employee income tax;
• social and medical contributions (partially);
• local taxes and duties;
• dividend tax.

Eligibility conditions:

• registered in the virtual IT Park (no office lease required);
• engaged in approved IT activities (software development, web services, SaaS, etc.);
• at least 70% of revenue must come from eligible activities.

Advantages:

• Simple calculation — 7% of gross revenue;
• Minimal administrative oversight;
• High transparency and tax predictability.

2. 4% Turnover Tax (for SMEs)

Companies with annual turnover not exceeding 1.2 million MDL can apply a simplified regime — 4% of gross revenue (not profit!).

Conditions:

• No hired employees;
• Turnover ≤ 1.2 million MDL;
• Simplified income accounting;
• Expense deductions are not allowed.

Note: If the threshold is exceeded — automatic transition to the general regime from the next quarter.

3. Self-employed / Freelancers (without formal registration)

Individuals providing services (including online) can register as self-employed via e-Casier Fiscal and pay a single tax of 12% on net income.

The annual turnover limit for self-employed individuals is up to 360,000 MDL.

Comparison Table of Tax Regimes:

Value Added Tax (VAT) in Moldova

Value Added Tax (TVA / VAT) is a key indirect tax in Moldova. In 2025, it is applied in line with the Tax Code and European reporting standards.

Main VAT Rates in 2025:

Mandatory Registration Threshold:

• Companies must register for VAT if their turnover over the past 12 months exceeds 1.2 million MDL.
• Voluntary registration is possible for smaller turnovers — especially in B2B operations.

Who Must Pay VAT:

• Resident companies offering VAT-taxable goods/services
• Importers
• Non-residents providing electronic services (including SaaS)

VAT for Cross-Border Services:

• Reverse charge mechanism applies when receiving services from foreign providers.
• The buyer — a VAT payer in Moldova — must self-assess and pay VAT for these services.

Declaration and Reporting:

• VAT returns must be filed monthly by the 25th of the month following the reporting period.
• It is crucial to keep electronic invoice records through the e-Factura system (mandatory for most businesses since 2024).

VAT Exemptions:

Certain operations are VAT-exempt, such as:

• residential property rentals;
• state-funded education;
• exports — taxed at a 0% rate.

Dividend and Capital Gains Tax

As of 2025, Moldova applies a separate tax on investment income, including dividends and capital gains. These taxes affect both resident and non-resident legal entities receiving income in Moldova.

Dividend Tax

Rate:

• 6 % — standard withholding tax rate at the source of payment.
• Applies to all dividends paid to legal and natural persons, both resident and non-resident.

Specifics:

• Resident companies must withhold and transfer the tax to the budget when distributing dividends.
• For non-residents, the tax may be reduced under Double Tax Treaties (DTT) if a residency certificate is provided.
• When dividends are paid between two resident companies, the tax still applies — no exemptions.

Capital Gains

Definition:

Income earned from the sale of assets (e.g., real estate, shares, equity stakes) when the sale price exceeds the acquisition price.

Taxation:

• For legal entities, capital gains are included in taxable profit and taxed at the standard 12 % CIT rate.
• For individuals — typically, a 6 % tax on the difference between purchase and sale price, provided it’s not a systematic activity.

Exemptions:

• In some cases, sale of equity may be tax-exempt — if specific conditions are met (e.g., held for more than 3 years).

Reporting and Payment:

• Dividend tax is withheld at the time of payment and must be remitted to the budget by the 25th of the following month.
• Capital gains are reported in the annual corporate income tax return (VEN12).

Social and Insurance Contributions (Employer and Employee)

In Moldova, in addition to direct taxes, employers must pay social security and health insurance contributions for their employees. These obligations are governed by the Tax Code and pension legislation.

2025 Contribution Rates (applicable rates):

💡 Total payroll burden — up to 39 % (including employer and employee contributions).

Minimum Contribution Base

• Minimum salary for contribution purposes — 5,000 MDL per month (as of 2025, subject to indexation).
• Even if a lower amount is paid, contributions are due on at least the minimum wage (exceptions apply for part-time work).

Payment and Reporting:

• Contributions must be paid monthly by the 25th.
• Reporting is done via the SIA "e-CNAM"/"e-CNAS" platform.
• All amounts are recorded in the employee's individual pension account.

Notes for Special Regimes:

• Companies under the IT Park regime pay a 7 % flat tax, which includes symbolic contributions:

  • part of it goes to CNAS and CNAM;
  • the government covers the remaining amounts to ensure full social coverage for employees.

Other Taxes and Duties for Companies in Moldova

In addition to corporate income tax, VAT, and social contributions, companies in Moldova may be required to pay several other taxes and mandatory charges. These depend on the industry, type of business, location, and the nature of a company’s assets.

1. Property Tax (Real Estate)

Who pays:

• All owners of commercial real estate: offices, warehouses, production facilities, etc.

Rate:

• Set by local authorities (district or municipal councils), typically ranging from 0.3% to 1.5% of the assessed value.

Payment procedure:

• Due by June 30 of the current year (can be paid in two installments);
• In some cases, an automatic notification is sent by the tax authority.

2. Local Fees and Taxes

Depend on the specific municipality and may include:

• trade fees (for retail businesses);
• advertising placement fees;
• licensing charges;
• fees for use of street infrastructure;
• tourist tax (if applicable);
• parking fees, environmental charges, etc.

💡 These are governed by local regulations and often published on mayoral websites.

3. Licenses and Patents

Some activities require licensing (e.g., alcohol, transport, security services, construction). Licenses are issued:

• at the national level — by regulatory agencies;
• or locally — by the municipalities.

Fees and validity depend on the industry.

4. Environmental Fees and Excises

Environmental fees:

• Apply to companies producing/importing packaging, plastics, batteries, electronic equipment.
• Calculated based on fixed rates per product unit.

Excise duties:

• Apply to specific goods: alcohol, tobacco, petroleum products, vehicles.
• Paid by manufacturers and importers.

5. Border Crossing Fees (for logistics/import companies)

• May include customs fees, phytosanitary control fees, document processing charges.
• Relevant for companies involved in foreign trade (import/export).

Tax Incentives and Stimulating Regimes

As of 2025, Moldova applies special tax incentives and benefits aimed at supporting specific sectors, foreign investors, and participants in priority programs (such as the IT Park). These mechanisms allow companies to significantly reduce their tax burden and improve business profitability.

1. IT Park Regime (Moldova Innovation Technology Park)

• Flat tax rate of 7 % on turnover (covers CIT, social contributions, medical insurance, VAT, local taxes, and others).
• Applies only to companies registered as IT Park residents.
• The program is valid at least until 2035 (under Law 77/2016).

Additional benefits:

• Simplified reporting;
• No physical office required;
• Possibility to hire remote and foreign professionals;
• Flexible tax calculation (simplified formula).

2. Investment incentives

Companies making significant capital investments can benefit from:

• up to 3 years exemption from profit tax (according to the Investment Support Law);
• VAT deferral for imported equipment not produced in Moldova;
• incentives for the import of technological equipment.

Such incentives are granted individually upon application through the Invest Moldova Agency.

3. Regional preferences

• Certain economic zones (industrial parks, free economic zones) offer:

  • lower tax rates;
  • import duty exemptions;
  • favorable land and property leasing terms;
  • support through infrastructure projects.

4. Benefits for small businesses

Companies with annual turnover up to 1.2 million MDL and no employees may apply a simplified tax — 4 % of turnover, which significantly reduces administrative costs.

5. VAT benefits

• Application of 0 % VAT rate on export services and goods;
• Possibility of VAT refund for construction and investment;
• VAT exemption on specific goods (medicines, children’s products, essential food items).

Comparative Analysis: Standard Regime, Simplified Tax and IT Park

Selecting the right tax regime is one of the key factors for business efficiency in Moldova. In 2025, companies can choose between several taxation systems based on business scale, industry, and expense structure.

Comparison Table:

Example Calculations:

Example 1: Company with 1,000,000 MDL turnover and 300,000 MDL profit

• Standard Regime:
  300,000 × 12% = 36,000 MDL tax
• Simplified 4%:
  1,000,000 × 4% = 40,000 MDL tax (not beneficial if profit is high)
• IT Park 7% (if in IT sector):
  1,000,000 × 7% = 70,000 MDL, includes all taxes and contributions

Conclusions:

• Standard regime is advantageous with high expenses and moderate profit.
• Simplified is ideal for microbusinesses without staff and low costs.
• IT Park regime is best for IT companies, especially those working with export clients.

💡 It is recommended to calculate effective tax burden based on your company’s cost structure.

Tax Reporting, Deadlines, and Penalties

Electronic submission systems:

• MPASS/e-Casier Fiscal – taxpayer dashboard.
• e-Factura – mandatory for all VAT payers since 2024.
• e-Declarație – electronic filing for all declarations.
• SIA “Contul Curent” – debt monitoring and notifications.

Fines and penalties for delays:

Important:

• Penalties may accumulate automatically.
• Since 2023, electronic notifications are actively used — ignoring them is risky.
• Outstanding debts may block access to public procurement and licensing.

Tax Planning and Optimization Tips

Competent tax planning enables businesses in Moldova not only to minimize fiscal risks but also to save substantial amounts. In 2025, given tighter enforcement and reporting digitalization, it’s crucial to act within the law while using every lawful optimization opportunity.

1. Choosing the optimal tax regime

• Small businesses with minimal expenses — choose the simplified regime (4%).
• IT companies — it’s advantageous to join the IT Park and pay 7% of turnover instead of all taxes.
• Manufacturing and trading companies — may stay on the general regime when expense ratios are high.

💡 Before selecting a regime — calculate not only the tax, but the total burden: contributions, filings, and limitations.

2. Recording all allowable expenses

• Under the general regime, make full use of deductible expenses:

  • rent, payroll, advertising, transport, consulting, software;
  • depreciation of fixed assets;
  • interest on loans (subject to limits).

• Note: all expenses must be documented and have a sound business purpose.

3. Using tax incentives

• Investing in equipment? — check eligibility for VAT deferral or customs duty exemptions.
• Exporting goods/services? — apply the 0% VAT rate.
• Developing software? — join the IT Park for tax preferences.

4. Automation and digitalization

• Enable e-Factura, e-Declarație, e-CNAS — these are mandatory and help avoid fines while reducing manual work.
• Use cloud accounting tools to monitor your tax burden in real time.

5. Consulting tax professionals

• Don’t rely solely on internet interpretations — consult an accountant or tax advisor regularly.
• Conduct tax audits 1–2 times a year, especially when changing regimes, restructuring, or preparing for investments.

Conclusion

Moldova’s tax system in 2025 remains flexible and relatively transparent, offering businesses multiple optimization options — from classical taxation to special regimes for IT and small enterprises.

The choice of the right tax scheme directly affects business efficiency, so it is essential to consider not only tax rates but also reporting requirements, allowable deductions, and industry specifics.

Companies are advised to regularly review their tax strategy, use digital reporting tools, and consult with professional accountants or lawyers. This helps not only to avoid fines but also to allocate more resources towards growth.

If you want to simplify accounting, reduce your tax burden, and focus on business growth — contact Intelcont specialists. We will help you choose the optimal tax regime, prepare reports, and ensure full compliance with legislation.