State supports entrepreneurs in Moldova: new fiscal measures to stimulate economic sectors, eliminate legislative discrepancies

The zero percent income tax on undistributed profits will be implemented again in 2026. This facility will be valid, with certain exceptions, for companies with an annual turnover of up to 100 million lei and fewer than 249 employees. The government supports a draft law aimed at implementing measures that will facilitate economic activity and stimulate private investments.

Another measure - supporting families - is giving the right to deduct expenses for education and professional development, for individuals. The amendment provides for an increase in the cap to 20,000 lei, applied cumulatively for all types of education expenses, as well as the inclusion of expenses allocated for personal professional development, not just for children, as it was previously.

The initiative also allows for the deduction of expenses incurred by economic agents, producers of renewable electric energy, in cases where they transfer free of charge the connection installations, power lines, electrical stations, distribution points and/or transformers, through which the delivery of electric energy can be ensured to the system operator's property.

Another measure involves increasing the registration threshold as a value added tax (VAT) payer from 1.2 million lei to 1.5 million lei. This will reduce tax compliance costs for a significant number of small and medium-sized enterprises (SMEs) and stimulate economic growth by encouraging the expansion of SMEs' activities.

The draft law provides an additional measure for agricultural producers, with revised conditions for the reimbursement of accumulated VAT in the account. In this regard, farmers will be entitled to VAT reimbursement in the amount of the VAT reflected in the VAT return for the fiscal period of December 2024.

The draft is to be voted in parliament. Its provisions will come into force starting from January 1, 2026.