Publication of GEO no. 128/2024 in the Official Gazette no. 1125: Amendments and completions of Law no. 227/2015 regarding the Fiscal Code and specific measures for digitalization

Through GEO 128/2024, the Government adopted, among others, a series of provisions regarding the mandatory pre-filling of the annual tax return (“DU”) for individuals. At the same time, the rules for completing and submitting the annual tax return, namely form 212, are also amended.

Pre-filling of the “DU”

Thus, starting with the income for the year 2025, the National Agency for Fiscal Administration (NAFA) will send taxpayers the annual tax return pre-filled with data regarding earned income, income tax due, the calculation base for social contributions, and the amount of contributions due. The procedure will be approved by an NAFA order by May 10, 2025. The first mandatory pre-filled return will be submitted by May 25, 2026.

Simplification of completing and submitting the “DU”

Also, for the income related to the year 2025, there will no longer be an obligation to submit the annual tax return for estimated income, for estimated social contributions, and for all situations where modifications or recalculations of initial estimates occur.

This ordinance brings changes to the submission deadlines, so the annual tax return will no longer be submitted at other deadlines during the year except for May 25, for certain situations such as:

• starting or ceasing an activity;
• obtaining new rental income;
• opting for the determination of annual net income in the real system;
• reducing the income norm in case of agricultural losses;
• income tax exemption for individuals with severe or pronounced disabilities.

Indicator for calculating social contribution thresholds

Additionally, the calendar reference regarding the gross minimum wage used for calculating the thresholds related to the obligation to pay social contributions is moved from May 25 of the year of income earning to January 1 of the year of income earning.

Exemption from the payment of health insurance contributions (CASS)

Regarding individuals who carry out independent activities and are at a loss or break-even, they are exempt from paying the health contribution, but they have the option to choose to pay it.

This provision applies starting with the income obtained from January 1, 2025.