Romania 2024 rise in sugary foods, cinema and cultural VAT rates

Government to scrap most 5% reduced rate, moving most supplies to the standard 19% rate from 1 January 2024

The Romanian parliament has published a Bill reclassifying restaurant, catering and cultural (theatre; cinema) services from the reduced rate of 9% to the standard VAT rate of 19%. This comes less than one year after it moved the rate from 5% to 9%.

This latest hike would put the VAT rate well ahead of the EU average of around 9% to 10% for the following. It will raise the following supplies from 9% to 19% standard rate:

  • sugary non-alcoholic drinks
  • sugary foods
  • passenger transport for tourist purposes
  • sports facilities entrance fees

It will increase the following supplies from 5% to 9% reduced rates:

  • social buildings
  • smaller dwellings
  • amusement park, cinemas, and cultural event admissions

Jan 2023: Switch to 9% reduced VAT rate on hotels and catering services

From 1 January 2023, a range of taxable supplies are recategorised between VAT rates. This includes overnight hotel accommodation and similar which move from 5% to 9% rates. The same for catering services, which includes restaurants, cafes and hospitality services.

The changes were gazetted in Official Gazette no. 716/15 July 2022.