Should I start as an ÎI, an SRL or an independent entrepreneur?

It depends on your activity, expected income and hiring plans. An independent entrepreneur cannot hire staff and may only provide services listed in the Tax Code, an ÎI owner is liable with personal assets, and an SRL limits liability.

When do I have to register for VAT?

Registration is mandatory once taxable supplies exceed 1,700,000 lei over 12 consecutive months, the threshold in force since 2026. You can register earlier if most of your clients are VAT-registered businesses.

What does hiring my first employee cost?

On top of the gross salary, the employer pays 24% CNAS. Income tax of 12% and the 9% CNAM contribution are withheld from the salary, and the 2026 minimum wage is 6,300 lei.

Start-up and Sole Proprietor Accounting

Q: How does the 15% tax regime introduced in 2026 work?

For independent entrepreneurs providing services listed in the Tax Code, the single tax is 15% of annual income up to 1,200,000 lei and 35% on the part above it. It covers income tax and CNAS and CNAM contributions.

Accounting for startups and sole proprietors: early decisions

Accounting for startups and sole proprietors starts before your first invoice. Your legal form, tax regime and the way you get paid decide how much tax you pay and which reports you file. A choice made in a hurry is hard to undo later.

ÎI, SRL or independent entrepreneur

In 2026, a small business has three main options:

	SRL (limited company)	ÎI (sole proprietorship)	Independent entrepreneur
Liability	limited	personal assets	personal
Main tax	12% of profit	12% of taxable income	15% of income up to 1,200,000 lei, 35% above
Employees	yes	yes	no
Bookkeeping	full	yes	none
Activities	any lawful activity	any lawful activity	only services listed in the Tax Code

If you plan to bring in partners or investors, an SRL is usually the practical choice, since it allows several shareholders and a clear split of shares.

The new regime from 2026

Since 1 January 2026, people who provide services on their own in the fields listed in the Tax Code can work as independent entrepreneurs. The single tax is 15% of annual income up to 1,200,000 lei and 35% on the part above that. It includes income tax, CNAS and CNAM contributions. Hiring staff is not allowed under this regime, so it does not fit if you plan to grow a team.

Further changes to the tax regimes for individual entrepreneurs are under discussion for 2027. That is why we check the rules in force at the moment you register your business.

Your first hires

Hiring your first employee brings monthly obligations:

a written employment contract signed before the employee starts work;
a minimum wage of 6,300 lei in 2026;
12% income tax and the 9% CNAM contribution withheld from pay, with a personal exemption of 2,475 lei a month if annual income does not exceed 360,000 lei;
24% CNAS paid by the employer on top of gross salary;
a monthly IPC21 report filed with the SFS.

The VAT threshold

From 2026, VAT registration becomes mandatory when taxable supplies exceed 1,700,000 lei over 12 consecutive months. We track the threshold every month, so you do not find out too late.

How the Momentum Consult team helps

compare legal forms and tax regimes using your numbers;
register your company with the ASP;
set up your first documents: contracts, invoices, e-Factura, cash register;
run payroll for your first employees and file the reports;
track the VAT threshold and legislative changes.

Services that fit at the start

At the very start, use our company registration service, where we choose the legal form together. Before your first hire, work out the real cost of a salary with the salary calculator. Monthly packages for small businesses are on the pricing page.

Book a free consultation. Tell us what you plan to do and how much you expect to earn, and we will show you which legal form and tax regime fit.

Accounting for start-ups and sole proprietorships