A. This is achieved by directing, through the tax authority, to non-profit organizations a portion of up to 3.5% of the income tax due for certain incomes obtained in the previous fiscal year. This is achieved by filling out and submitting the required forms by May 25th of the year after the income was received.

The Single Declaration Form 212

By those who obtain:

• Income from independent activities taxed under the real system;
• Income from intellectual property rights for which income is determined under the real system;
• Income from the transfer of the use of goods for which income is determined under the real system;
• Income from agricultural, fishing, and forestry activities taxed under the real system;
• Gains from the transfer of securities, from any other transactions with derivative financial instruments, as well as from the transfer of financial gold;
• Foreign income of the same nature as that obtained from Romania for which the right to direct exists, after deducting the tax credit.

[art. 119 alin. (1), art. 123 alin. (3), art. 130 alin. (7) – (9) of the Fiscal Code];

Form 230

By those who obtain:

• Salaries and assimilated incomes;
• Pension income;
• Income from independent activities taxed at a standard rate;
• Income from agricultural activities taxed at a standard rate;
• Income from independent activities carried out under sports activity contracts, for which tax is withheld at source;
• Income from intellectual property rights, other than those for which income is determined under the real system (withholding at source/standard expense rates);
• Income from the transfer of the use of goods taxed at a standard rate.

[Art. 681 para. (7), Art. 72 para. (8), Art. 721, Art. 78 para. (6), Art. 82 para. (6), Art. 101 para. (12), Art. 1231 para. (3), Art. 123 para. (4) of the Fiscal Code]

There are two key aspects of tax donations to non-profit organizations in Romania:

1. Extended Donation Commitment: Individuals can choose to have their donation to a specific organization last for two years, instead of having to renew it annually.
2. Simplified Process for Organizations: Non-profit organizations can collect and centralize donation requests from individuals, making it more efficient for both donors and organizations

   B. Support for associations and foundations by companies paying corporation tax

This provision allows individuals to donate a portion of their taxes directly to a chosen non-profit organization on a recurring basis.

Here’s a breakdown of how it works:

• Automatic deductions: Individuals can arrange with their employer or income payer to have a portion of their income (up to 3.5%) automatically deducted and donated to a chosen charity.
• Flexible timeframe: This arrangement can last for a maximum of two consecutive years.
• Income types: This option is applicable to various income types, including salaries, intellectual property rights, and income from sports activities.