The most important amendments are the following:
Employers bearing the costs of early education or of the functioning of early education units under their management for their employees' children may benefit from the deduction of those expenses from income tax up to RON 1,500 per child.
If the amount exceeds the income tax due, the difference will be deducted – in this order – from: the income tax withheld by the taxpayer for the employees, the value added tax due or the excise duty due.
Employers investing in dual university or pre-university education may deduct the expenses incurred in organising and performing this type of education when calculating income tax. The depreciation of fixed assets held and used by employers and of investments made for the organisation and performance of dual university or pre-university education will also be deductible when calculating income tax.
The amounts paid by employers for the early education of employees' children are not considered salary income and are not subject to income tax.
Law No. 239/2020 was published in the Official Gazette of Romania No. 1041 of 6 November 2020 and entered into force on 9 November 2020.