On August 1, 2025, the general VAT rate in Romania will increase from 19% to 21%. This change will directly impact companies and beneficiaries involved in European-funded projects, as stated by Dragoș Pîslaru, the Minister of Investments and European Projects. The ministry is currently preparing guidance to address these changes.
Pîslaru noted that businesses are expressing concerns regarding this VAT increase, emphasizing its direct implications. The ministry has developed instructions to be sent to each management authority overseeing the various projects. With 16 different programs in place, Pîslaru aims to ensure a unified approach rather than allowing each authority to handle the situation independently, which could lead to inconsistencies.
The goal of the ministry’s guidance is to simplify and clarify the rules for all stakeholders involved, making it easier for companies to navigate the new VAT landscape while executing their projects. Pîslaru’s statements highlight the urgency of adapting to these changes and the need for coordinated policy responses among all management authorities.
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