A Moldovan SRL is taxed under Codul Fiscal al RM (Law 1163/1997) at 12% standard corporate income tax, with two preferential regimes available: 7% of turnover for residents of Moldova IT Park under Law 77/2016, and 0% on reinvested profits for SMEs with turnover up to 100M MDL and at mostemployees, in force through 2026. Distributed profits carry a 6% dividend withholding tax. Personal income tax is a 12% flat rate, and VAT is 20% standard or 8% reduced, with the registration threshold rising to 1.5M MDL from Januaryand 1.7M MDL from March 2026. This guide sets out the accounting rules, audit obligations, and the practical levers for keeping the effective rate low within the law.
Why Moldova for business {#why-moldova}
- EU-associated and improving each year. EU candidate since 2022; accession negotiations opened June 2024 and screening completed in September 2025. The DCFTA is in force, and SEPA membership has been operational since 6 October 2025, which removed most of the friction on euro payments to and from Moldovan accounts.
- Border with Romania, gateway to Ukraine. The country sits on the eastern edge of the EU single market, with road and rail logistics into both directions.
- Practical regulation and digital filings. SRLs are registered through ASP (Agenția Servicii Publice). Tax filings, VAT returns, and statutory financials go through SFS portals. Reduced bureaucracy is a real selling point compared with several neighbours.
- Sectoral incentives. MITP for IT-heavy revenue, FEZs for industrial export, the 0% reinvested-profits regime for capital-intensive SMEs, and the 4% turnover regime for non-VAT micros.
Accounting standards {#accounting-standards}
- IFRS is required for public-interest entities and for large companies that exceed statutory size thresholds.
- National Accounting Standards (NAS) apply to small and medium-sized firms. NAS is closer to a simplified version of IFRS and is generally less burdensome to maintain.
- Electronic filing is the default. Annual financial statements are submitted through SFS portals; the government has progressively cut paper filings to almost zero.
Annual reporting and audit {#reporting}
Annual financial statements
Every SRL prepares and files:
- A balance sheet
- A profit and loss statement
- A cash flow statement
- A statement of changes in equity
- Explanatory notes
These are filed once a year. Larger entities may also have interim management reporting obligations depending on bank covenants or shareholder agreements, but those are not statutory.
Statutory audit
Statutory audit applies to public-interest entities and to companies that meet two of three thresholds (assets, turnover, employees) defined in the Law on Accounting and Financial Reporting. Most foreign-owned SRLs in their first years of operation fall below the audit threshold and only need standard accountant-prepared financials.
Main tax regimes {#taxation}
Corporate income tax (CIT)
- 12% standard rate on taxable profit, applied at year end on the difference between taxable income and deductible expenses.
- 0% on reinvested profits for qualifying SMEs with turnover up to MDL 100M and up to 249 employees, in force through 2026. CIT of 12% and a 6% dividend withholding apply only on amounts actually distributed; combined effective rate on a distribution is around 17.28%. Excluded sectors include trade (NACE G), financial services and insurance (NACE K), FEZ residents, and IT Park residents.
- MITP 7% turnover tax for IT Park residents; this single tax replaces CIT, employee personal income tax, social security and medical contributions, and several local taxes. VAT is separate and applies normally. There is a per-employee minimum payable of roughly MDL 5,220 per month for 2026, calculated as 30% of the forecast average monthly salary in the economy. The MITP regime is guaranteed by the state through 2035.
- FEZ regimes offer reduced effective CIT rates and customs benefits, with terms varying by zone (Bălți, Tvardița, Otaci-Business, Ungheni-Business, Taraclia, Valcăneț, and Giurgiulești international port).
Personal income tax
A flat 12% rate on individual income, including salaries.
VAT
- Standard 20%; reduced 8% on selected goods such as medical products and books (the reduced list expanded in January 2026).
- Registration threshold: MDL 1.5M from January 2026, rising to MDL 1.7M from March 2026.
- Exports are zero-rated with input VAT recovery, which makes Moldova attractive for B2B service exporters.
Simplified SRL regime
4% of turnover (not profit) for non-VAT-registered SRLs with turnover under MDL 1.5M in the prior twelve months. This is the lightest accounting load of any regime and works well for early-stage founders or low-overhead service ventures.
Sectoral incentives {#incentives}
IT and technology
The 7% MITP single tax covers most major obligations on payroll and profit, which is why the regime is the default for software houses, BPO operations, gaming studios, and fintech-adjacent teams. To qualify, at least 70% of revenue must come from the IT activities listed in Law 77/2016. See the Moldova IT Park regime in depth for the full breakdown of how it interacts with VAT and payroll.
Free Economic Zones
FEZs offer reduced corporate tax, customs and VAT exemptions on inputs used in export production, and simplified import procedures. The economics work for industrial assembly, light manufacturing, and labour-intensive export operations.
Small enterprises
Small companies under the VAT threshold can stay on the 4% turnover regime and run a much lighter accounting setup. This pairs well with the early years of a low-overhead consultancy or trading entity.
Regulators {#regulators}
- SFS (Serviciul Fiscal de Stat): tax administration: registration, returns, audits, enforcement.
- BNM (Banca Națională a Moldovei): central bank and prudential supervisor of commercial banks. Authoritative source for SEPA participant lists and banking-sector statistics.
- CNPF (Comisia Națională a Pieței Financiare): supervisor for insurance, capital markets, microfinance, and leasing.
- SPCSB: AML supervisor under Law 308/2017, which is aligned with the EU 4th and 5th AML directives.
- Ministry of Finance: fiscal policy, the annual budget law, and changes to the Tax Code.
Practical tax planning {#tax-saving-tips}
- Pick the right regime up front. MITP suits IT-heavy revenue with payroll. The 0% reinvestment regime suits capital-intensive SME growth where founders are happy to keep profits inside the company. The 4% regime suits early micros below the VAT threshold. FEZ suits export manufacturing.
- Match VAT registration to volumes. Voluntary VAT registration can make sense for B2B exporters who want input VAT recovery, even when turnover is below the threshold.
- Document reinvestment carefully. If you rely on the 0% scheme, keep clear records of how retained capital is deployed in the business; tax authorities can ask for evidence.
- Review the legal structure annually. Eligibility for MITP, FEZ status, or the 0% scheme can change as the company grows; revisit the choice at year end.
- Stay current on incentives. Parliament has extended the 0% scheme each year and adjusted the VAT threshold and reduced rate list. Sectoral relief (agriculture, education, green energy) appears regularly in the annual fiscal package.
Conclusion {#conclusion}
Moldova combines a low headline rate, a working set of sectoral incentives, and an accounting framework that is no heavier than the rest of the region. For founders setting up a first foreign company or restructuring an existing operation onto the eastern edge of the single market, the financial benefits are real and often underused.
For a deeper read, see the smart corporate tax strategies guide or the step-by-step formation guide. Incorpore handles company formation, accounting, and ongoing tax compliance for foreign-owned Moldovan SRLs. The exact regime and structure are discussed on the discovery call before any documents are drafted.
Related calculator: reinvested profits visualiser. Slide your numbers and see the answer move.