The owners of IT demand the government not to increase the taxation, at a time when the IT industry is adjusted after the full and steep elimination of the fiscal facilities, at the end of last year.
The employers in IT ask the government not to increase taxation. Photo archive
The Patronal Association of Software and Services Industry (ANIS) draws attention to the need for a predictable, development and investment oriented, arguing that,, “In the context of one High budget pressures, Sustainable solutions come from digitalization, administrative efficiency, effective collection of existing taxes and stimulation of private initiative, not from additional tax increases ”.
In a statement sent to the press, the patronage says that Romania needs a strategic approach, in an international environment marked by uncertainties and that a possible increase in internal tax burden would only double the effects of external shocks and vulnerability that can contribute to stability and development.
“Development must become the main direction of public policies. The Romanian economy needs opening, digitization and confidence. Litaxing policies are actually additional pressures on taxpayers who already support the state budget, feed the inflationary spiral and brake the growth potential. For citizens, over -taxation of companies means costs and lower purchasing power. Also, additional, already excessive work taxation is proven to have the effect of slowing economic growth, and so at a low level“, President Anis, Edward Crețescu, said in the statement.
According to the anis industry study, launched in October 2024, the IT&C industry is one of the best performing components of the national economy:
• has generated in 2023 almost 8% of GDP and a commercial surplus of over EUR 20 billion;
• the total impact (directly, indirect and induced) in GDP reaches 14.16%, the equivalent of over EUR 45 billion;
• is the second largest contributor to the public budget, with a total sectorial contribution with 33% above the national average;
• has the highest social contributions per employee in the economy: over 55,000 lei/year/employee at the level of 2023;
• It is the only economic sector with an hourly productivity of work above the average of the European Union.
Increasing taxation would lead to labor migration
Patronted Patrontles draw attention to the fact that “A potential increase in taxation at a time when the IT industry adjusts after the full and steep elimination of fiscal facilities, at the end of last year, is a deep counterproductive measure ”.
According to the association, Romania risks sabotaging one of the functional and future economic engines, given that the increase of taxes would generate negative effects in the chain, such as:
• reducing the attractiveness for foreign direct investments, at a time when other countries in the region adopt digitization support policies;
• Migration of the highly qualified labor to more competitive markets or the conversion of the current workforce to freelancing or external contracts;
• the vulnerability of the start-ups and the companies in the growth phase, as they do not have resources to absorb tax shocks;
• Decreasing the contribution of the sector to long -term budgetary revenues, as an effect of contracting the activity and reducing profit margins.
Self -sabotage?
According to the association, the continuation of policies in this direction, “With new tax burdens, it represents a self -sabotage, and a braking of the economic activity and the functioning industries ”.
“We need a new contract between the state and the economic environment, based on the responsible spending of public money and reducing the waste, combating tax evasion, increasing the absorption of European funds, tax predictability and supported support for sectors that innovate and create added value.
The solution is not in additional taxation. It is in digitization, efficiency and partnership ”, it is mentioned in the quoted document.
The measures proposed by Anis
In this regard, Anis proposes a set of priority measures:
• accelerating the implementation of major digital transformation projects financed by PNRR and, on medium-long term, ensuring the sustainability of these investments through a financial tire dedicated to the state budget;
• encouraging the adoption of technology in the public and private environment, through incentives that facilitate the integration of digital solutions in the essential sectors and the economy as a whole;
• adopting an integrated package of public policies to support the accelerated innovation and adoption of new technologies;
• Investments in the development of digital skills – from digital literacy to specialized training – to ensure the labor force to the needs of the future.
“Romania already has tools for financing development – starting with non -reimbursable European funds. With a still modest absorption and major delays in implementing digitization and infrastructure projects, it is essential to accelerate the use of these resources. Increasing administrative capacity and prioritizing investments with real economic impact can bring substantial funds to the budget, taxpayers.
Romania does not allow it to lose the train of digital and economic competitiveness, and taxation is not a development strategy. We have an opportunity window – to choose measures that activate the initiative, attract investments and create value sustainably ”supports the patronage.
The Patronal Association of the Software and Services Industry (ANIS) is the representative association of the IT industry in Romania. Anis has over 150 member companies.
What fiscal facilities did ITI have
On December 30, 2024, the Government of Romania adopted GEO no. 156/2024, also known as “The train ordinance“, What provides for a series of important fiscal changes, including the total elimination of fiscal facilities for IT employees, construction, agriculture and food industry. Starting with the revenues for January 2025, the staff in these sectors is taxed as the other employees in Romania.
The previously granted benefits were completely canceled:
– tax exemption for gross salary up to 10,000 lei/month
– taxation by 10% only for the amount exceeding 10,000 lei gross
– reduced quota of CAS (pension) 20.25% for gross income up to 10,000 lei
– Standard CAS share 25% for the amount exceeding 10,000 lei
Therefore, the employees from IT, construction, agriculture and the food sector owe full salary taxes: income tax (10%), CAS (25%), CASS (10%). Also, it becomes mandatory the contribution to the Pillar II of pensions, 4.75% of the 25% CAS share, an option that was previously voluntary.
For example, a programmer paid with 13,000 gross lei in 2024, pays the state taxes totaling 4,281 lei and earns a net salary of 8,719 lei. With the same gross income from January 2025, taxes apply as follows:
Gross salary 2025: 13,000 lei
CAS 25%: 3,250 lei
CASS 10%: 1,300 lei
10%income tax: 845 lei
About 2.25% (paid by the employer): 293 lei
Net salary from February 2025: 7,605 lei (less with 1,114 lei compared to 2024)
