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December 26, 2024
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Digital Nomad Law Romania: Advantages and Requirements

According to Lobby Romania, foreigners coming to Romania for a more extended period of time and working remotely for a non-EU company will benefit from tax breaks following the adoption by Parliament of the bill to clarify the tax regime for digital nomads.

Specifically, digital nomads will be able to choose Romania as their destination without worrying about double taxation of income earned outside Romania. They will be exempt from paying income tax, social security, and health insurance contributions.

Romanian MP Diana Buzoianu states that Romania has the potential of becoming a destinated demanded by digital nomads, as the country has extraordinary tourism potential. However, in order to accomplish this, the state must provide a clear tax regime for digital nomads who would like to choose Romania as their destination country.  

Romania is a country with a lot of potential and benefits: the country’s fixed-line broadband package average monthly rates, at $8.15, which is a lot cheaper in comparison to other EU countries. Romania might be the ideal location for someone who is seeking affordable, dependable internet connectivity.

Digital nomad in Romania – what are the advantages?

With an average broadband internet speed of 188 mb/s, an internet cost of €7.5 and an affordable rent of around €323, Romania has long been considered one of the best places to work remotely in the Central and Eastern European region.

The language is also an important aspect when moving to a foreign country, as in Romania, English is spoken on a large scale, so there is no language barrier.

Restaurants, clubs, and pubs are affordable, so it is easy to eat a good meal and feel good with little money.

Also, Bucharest, the capital of Romania offers a multitude of amazing touristic attractions to visit.

What are the requirements to work as a digital nomad in Romania?

The long-stay visa is granted by the diplomatic missions and consular offices of Romania in the country where the digital nomads have their residence or domicile. The conditions they must meet to obtain the visa are:

  • have means of subsistence from the activity carried out, amounting to at least three times the average gross monthly earnings in Romania for each of the last 6 months preceding the submission of the visa application and for the entire period of the visa
  • carry out the activities from which they derive their income remotely using information and communication technology

In order to obtain a digital nomad visa, digital nomads who meet the above-mentioned conditions will have to present a number of documents:

  1. employment contract concluded with the company registered abroad / proof of at least 3 years of management of the company registered abroad – in original and accompanied by an authenticated translation into Romanian
  2. a document issued by the company with which the foreigner has concluded an employment contract/which the foreigner owns, presenting its identification and contact data (including the field of activity and, if applicable, the foreigner’s participation in the company, as well as data on its legal representatives) – in original and accompanied by an authenticated translation into Romanian
  3. letter of intent detailing the purpose of the trip to Romania and the activities the foreigner intends to carry out – in original and accompanied by an authenticated translation into Romanian
  4. apostilled or super-certified document issued by the specialized institution of the public administration of the place of tax residence, certifying that the foreigner employed/company owned by the foreigner has paid taxes, duties, and other compulsory contributions up to date and is not registered for tax evasion or tax fraud – in original and accompanied by an authenticated translation into Romanian
  5. reservation of a valid travel ticket or driving license, together with proof of itinerary, in the case of drivers
  6. proof of medical insurance for the entire duration of validity of the visa, valid on the territory of Romania and covering at least EUR 30 000
  7. proof of means of support amounting to at least three times the average gross monthly earnings in Romania
  8. proof of accommodation
  9. criminal record certificate or another document with the same legal value, apostilled or super-stamped, certifying that there are no records of criminal offenses – accompanied by an authenticated translation into Romanian
  10. other supporting documents that the competent Romanian authorities require in addition to the above.

Thus, digital nomads will henceforth be included in the category of foreigners eligible for a long-stay visa, on the essential condition that their gross monthly income is at least three times higher than the average income of Romanian nationals. This means that future digital nomads will have to earn around €3 300 per month from remote work in Romania to be eligible for a visa.

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