Foreign nationals living in Romania for more than 183 days within a period of 12 consecutive months will be imposed a new fine by Romanian tax authorities as of 1 January 2018, if they do not undergo the mandatory tax residency assessment procedure.

A new fine was recently established by Romanian tax authorities, which will apply starting 1 January 2018 to all non-residents omitting to comply with the tax residency assessment obligation, which is applicable since 2012.

The tax residency assessment must be fulfilled by submitting certain information via a special questionnaire to the local tax office within a deadline of 30 days from the date of reaching a physical presence of 183 days on the Romanian territory, which must be counted within a period of 12 consecutive months. The presence does not have to be continuous, but sporadic periods of presence also count.

The new fine is between 50 – 100 LEI and can be applied by tax authorities once the 30 day filing deadline expires.

The same fine will be imposed to Romanian residents who leave the country for a period of more than 183 days within 12 consecutive months, as they have the same obligation towards the tax authorities.