START UP NATION program

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Eligible beneficiaries:

Microenterprises and SMEs established by individuals after January 1, 2020 which cumulatively meet, on the date of submission of the financing project, the following eligibility criteria:

They are considered autonomous, linked, partner or sole proprietorships

They have fully private share capital

They have the CAEN code for which they are requesting financing eligible under the Program and it is authorized until the time of payment of the last reimbursement/payment request.

They are registered at the Trade Registry Office, have their registered office/workplace and carry out their activity on the territory of Romania.

Create at least one full-time job for an indefinite period after the entry into force of the financing agreement and maintain the job occupied for at least 2 years after the completion of the project implementation

They have no debts to the state budget; Applicants who have debts in installments are not eligible

They did not exceed the de minimis ceiling of 200,000.00 Euro during three consecutive financial years for a single enterprise

It is not in a state of dissolution, judicial reorganization, liquidation, forced execution, operational closure, insolvency, bankruptcy or temporary suspension of activity.

Persons who hold the status of associates/shareholders or administrator in several companies, I CAN'T only applies to one company

Companies whose shareholders/associates owned companies for which they signed a financing agreement in previous sessions of the Start-Nation program and have disposed of more than 49% of the shares or shares are not eligible for the program, regardless of whether the company received AFN or not.

Types of financial aid:

For applicants who undertake the creation and maintenance one job through the program: maximum 100,000 lei/beneficiary, an amount that can represent a maximum of 95% of the value of eligible expenses (including VAT for non-paying companies) related to the project

For applicants who undertake the creation and maintenance of two jobs through the program: maximum 200,000 lei/beneficiary, an amount that may represent maximum 95% from the amount of eligible expenses (including VAT for non-paying companies) related to the project

The following categories have a higher chance of winning:

Companies that provide 15%, own contribution

Fields of activity such as manufacturing and creative industries are favored in scoring

The share of technologies introduced in the business plan is scored

Environmental protection investments are highlighted

Companies that have at least one associate who has taken qualification courses in entrepreneurship and digital skills are favored.

Entrepreneurs who exploit patents or various scientific research are favored.

Funding is provided in one of the following 3 ways:

After the investments are made

Bank loan based on approved project

Settlement with the Supplier (the supplier agrees to deliver the equipment/tooling and after putting it into operation to receive the money from the state)

Eligible expenses

Technological equipment, except for mechanical, electrical, electronic gambling games, billiard tables, musical machines. The category of eligible technological equipment also includes tangible assets from the category of fixed assets for playgrounds, sports halls, fitness, drones, x-body and strength, equipment, respectively specific systems for the purpose of obtaining energy savings, systems that use renewable energy sources to make the activities for which financing was requested more efficient, as well as 100% electric cars. Means of transport or subassemblies for these means of transport are not assimilated to technological equipment, except for 100% electric cars

Acquisition of workspaces, production spaces and spaces for services and commerce. The value of the asset to be acquired under the program will be based on an evaluation by an ANEVAR expert evaluator, with the exception of mobile workspaces/production/services/commerce.

Means of transport: cars, buses, minibuses, bicycles, mopeds, motorcycles, karts, UTVs, ATVs, caravans with or without a motor, lifts, loaders, trailers and semi-trailers, platforms, isothermal and refrigerated containers, floating docks, passenger sea boats, pleasure boats, aircraft, utility vehicles and special purpose vehicles, with the exception of all vehicles with the symbol G. 100% electric cars will be assimilated to equipment. Road freight transport vehicles on behalf of third parties or against payment, requested by companies that carry out road freight transport, are not financed.

Purchase of furniture, office equipment and systems for protecting human and material values;

Salaries, utilities (electricity, water consumption, gas, sanitation, telephone and internet subscription), accounting services and expenses related to rent for work spaces, production spaces or spaces for services and commerce;

For applicants who undertake to create and maintain a single job through the program, the value of these expenses (salaries, utilities, accounting services and rent) represents a lump sum of maximum 5,000 lei of the value of the approved eligible expenses.

For applicants who undertake to create and maintain two jobs through the program, the value of these expenses (salaries, utilities, accounting services and rent) represents a lump sum of maximum 10,000 lei of the value of the approved eligible expenses.

Digital package (digitization voucher) containing at least a website presenting the activity or an online store, domain registration expenses without hosting, for economic operators who do not own another website and which must be functional on the date of submission of the application for the release of de minimis aid and throughout the monitoring period, expenses for promoting the website/online store, a software necessary for carrying out the activity and an electronic signature. Optionally and additionally, the digital package may also contain IT equipment, computer technology such as PC, consisting of: central unit, server, monitor, printer/copier/multifunction, including portable systems, licenses necessary for carrying out the activity, smart phones, tablets. The digital package (digitization voucher) represents the mandatory expense within the program and is in an eligible amount of maximum 25,000 lei.

Intangible assets related to patents, franchises, eco-labeling

Courses for the development of entrepreneurial skills held in Romania or in another European Union member country – for the associate/shareholder/employees of the applicant company, in an eligible amount of maximum 1000 lei/person

Non-deductible value added tax (VAT) for non-VAT paying applicants according to the Fiscal Code

Consulting for the preparation of documentation in order to obtain financing under this program and/or for the implementation of the project, in an eligible amount of maximum 8,000 lei, billable in the last reimbursement/payment request

Two mandatory information plates worth a maximum of 500 lei

Financial expenses related to loans/guarantees obtained for loans contracted by beneficiaries in order to carry out business plans accepted under the program, for applicants using credit for project implementation

Other important provisions:

All suppliers of goods and/or services eligible under the program must be authorized to provide/trade them.

Acquired assets, fixed assets or inventory items, must be new. No financial aid is granted for assets purchased under leasing, second-hand

All equipment purchased through the project will have to insured against all risks

The final guide can be downloaded HERE

Funded activities: See HERE

Scoring grid

Cancellation of Accessories and Principal Debts through GEO 107/2024

Cancellation of Accessories and Principal Debts through GEO 107/2024: What Taxpayers Need to Know

Recently, the Romanian Government adopted Emergency Ordinance no. 107/2024, a regulatory act aimed at cancelling ancillary and, under certain conditions, main debts for certain categories of taxpayers. The measure comes as a support for individuals and legal entities affected by financial difficulties and aims to facilitate tax compliance and reduce arrears to the state budget.

What does GEO 107/2024 provide?

GEO 107/2024 offers a unique opportunity for taxpayers to cancel their accessory debts (interest and late fees) and, in some cases, even outstanding principal debts.

Cancellation of accessories related to outstanding main budgetary obligations on August 31, 2024.
Cancellation of a percentage (25% or 50%) of the main budgetary obligations outstanding on August 31, 2024

Who can benefit from GEO 107/2024?

The ordinance is addressed to both individuals and legal entities that have outstanding debts to the state budget. Through this measure, the tax authorities want to reduce the level of indebtedness and support voluntary compliance of taxpayers.

Main categories of beneficiaries:

Individuals who have accumulated debts from taxes or contributions owed;
Legal entities, including SMEs, that have outstanding debts to the state budget;
Other entities that may demonstrate financial difficulties or have payment arrears.

The main provisions include:

The accessories related to the main budgetary obligations outstanding on August 31, 2024 inclusive are canceled if several conditions are cumulatively met.

Debtors, individuals, who register outstanding main budgetary obligations on August 31, 2024 inclusive in an amount of less than 5,000 lei inclusive, may benefit from: a) cancellation of a percentage of 50% of the main budgetary obligations, outstanding on August 31, 2024 inclusive, in the event that they are settled in a percentage of 50% by the date of submission of the cancellation request, but no later than November 25, 2024; b) cancellation of interests, penalties and all accessories related to the main budgetary obligations, outstanding on August 31, 2024 inclusive, if the condition in letter a) is met.

Debtors, individuals, who register outstanding main budgetary obligations on August 31, 2024 inclusive in an amount greater than 5,000 lei, may benefit from: a) cancellation of a percentage of 25% of the main budgetary obligations, outstanding on August 31, 2024 inclusive, in the event that they are settled in a percentage of 75% by the date of submission of the cancellation request, but no later than November 25, 2024; b) cancellation of interests, penalties and all accessories related to the main budgetary obligations, outstanding on August 31, 2024 inclusive, if the condition in letter a) is met.

Taxpayers paying profit tax, as well as taxpayers paying microenterprise income tax, benefit from a 3% bonus on the annual profit tax and microenterprise income tax, for the fiscal year 2024.

How is the measure applied and what are the necessary steps?

To benefit from the cancellation of accessories and/or main debts, taxpayers must follow a series of steps, including filing an application with the competent tax authority, paying the main debts (where applicable) and complying with the deadlines imposed by the ordinance. It is essential that taxpayers are informed of the deadlines and consult a tax advisor to ensure compliance.

Material prepared by the Regional Directorate of Public Finance Ploiești – AJFP Dâmbovița

Impact on taxpayers and the economy

Through this measure, the government is trying to reduce the financial pressure on taxpayers and increase the level of voluntary compliance, thus contributing to the reduction of tax arrears. In the long term, it is anticipated that this measure will improve the financial stability of taxpayers and facilitate receipts to the state budget.

Interested taxpayers are advised to consult GEO 107/2024 and contact a tax expert to understand exactly what steps they need to follow to benefit from the cancellations provided for in this ordinance.