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Moving to Romania - Need Tax Advice

Discussion in 'Business & Tax Advice' started by TrailBlazer, Jan 16, 2015.

  1. TrailBlazer

    TrailBlazer Junior Member

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    I currently live and am a citizen of the USA where I grew up. However, I was born in Romania and moved to the US when I was 3. I now plan on moving back and living in Romanian where I will have duel citizenship with the USA.

    For work I am a sole proprietor, affiliate marketing for CPAs. I get paid direct deposit into my US bank account.
    Once I'm in Romania, how would I file for taxes since i'm still earning my revenue in the US but living in another country?

    Would I be double taxed and also have to file for taxes to the Romanian government?

    Does anyone have experience with anything similar to this or can point me to some resources where I can do more research on the subject?
     
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  2. THUNDERELVI

    THUNDERELVI Elite Member

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    I don't think you need to pay double tax. Your assets are in US, you are not working or opening a business in Romania, you just live there. But, I would love some advice from anyone as well who is a lawyer or smth and has more information than us.
     
  3. mexela

    mexela Registered Member

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    "Would I be double taxed and also have to file for taxes to the Romanian government?"
    no, you don't USA has tax treaties with all the UE countries
     
  4. raikkonen777

    raikkonen777 Junior Member

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    Or you can move to Moldova and don't worry about anything
     
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  5. TrailBlazer

    TrailBlazer Junior Member

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    I'm gonna visit Moldova. Why do you say not worry about anything?
     
  6. TrailBlazer

    TrailBlazer Junior Member

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    So I can basically just file my taxes or have an accountant file my taxes for me every year from there exactly the same as if I were living in the US?
     
  7. Brad100

    Brad100 Supreme Member

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    well, why not call a lawyer or someone to be completely sure?
     
  8. BigTroll

    BigTroll Jr. VIP Jr. VIP

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    Moldova= Putin (no offence guys)
    I'm from roumania, you can PM me or ask for my phone number, I can help you with accomodation :)
    ON-Topic: Close your USA account and open an account to a roumanian bank (ING bank is the best for IM'ers). It takes 10minutes to open an account and 2-3 days to get your Credit Card.
    You dont have to pay taxes here from IM. 0% tax incomes.

    I'm also doing CPA marketing for 5 years, I had no problem with the bank or the taxes.
     
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    Last edited: Jan 16, 2015
  9. TrailBlazer

    TrailBlazer Junior Member

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    I know Moldova is a different country, that's why I said i'm moving to Romania, and plan on visiting Moldova once i'm there. I'm moving to Timisoara, what city are you in? I'm down for meeting up and having a beer once i'm there.
     
  10. radu1990

    radu1990 Newbie

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    I m a noob in IM and living in Romania.I think if you pat taxes in US,there would be no problem..i think that the people from bere who practice IM don't declare sh*t and if they do,they don't declare the whole ammount of money..if you want you can PM me and talk about it.

    Cheers!
     
  11. BigTroll

    BigTroll Jr. VIP Jr. VIP

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    As you said, u're noob :p
    read my post pls

    I've made +$100k from CPA on the last 2 years
     
    Last edited: Jan 16, 2015
  12. BigTroll

    BigTroll Jr. VIP Jr. VIP

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    Nice :) I'm from Ploiesti (near Bucharest)
    PloieÅŸti - TimiÅŸoara:526 Km
    And yes, I'm waiting your beer :p
     
  13. TrailBlazer

    TrailBlazer Junior Member

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    I might do that, I might close my US bank account or just have all my payments made to a Romania account since I am allowed to open one up as a citizen. How are you not paying any income tax on the money you're earning from IM?

    Before I do that though I have to find out if the US will still try to get taxes out of me if i'm a US citizen living in another country earning money from the US sent to that country, I believe they still will demand a cut but have to research this further.
     
  14. raikkonen777

    raikkonen777 Junior Member

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    you can declare shit, and if you get cought, you pay a little bribe ad you're good
    by the way, 2 years ago there was zero % tax for IT workers (in Moldova), now i'm not sure if it's the same
    Moldova is not in the EU, here you can almost do everything if you have some money, you pay to police and you're fine, same thing was is RO before they joined EU, now it's not that easy
     
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  15. RosuC

    RosuC Regular Member

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    Except the "trolling" threads above I'll try to bring some clarifications regarding the Romanian Laws.
    Once you start to act as a sole owner/proprietary on Romanian sole you will have to pay the taxes as all the Romanian Citizens. The taxes are like this:
    - tax per income that is going form 16% up to 75% depends on the declared activity
    - tax per property that is going from 2% up to 10% depends on the type of property (car, apartment or house).
    These are the legal taxes that you may face if you declare your activities in Romania. If you don't and you will receive the funds into your bank account from US then you just have to create a regular bank account in Romania and do the transfer there after you paid your taxes in US (if are convenient).
    As a Romanian Citizen you have the right to have up to 2.500 Euro income each month without declaring them. Above this amount is about you if you want to declare or not but if the Tax Authority is searching your incomes and are finding that you have more than this amount (2.500 Euro) they may just block the account and request the fee penalties. Last time when I had this problem was when I've transferred money from my OffShore account to a Romanian one and I have to pay the fees because they consider it as Profit obtained on Romanian Soil.
    About other questions regarding the Romanian Laws and life I can help you without any problem, I'm living in Spain but I still have some of my businesses in Romania and I need to face each month the Tax Department issues :)
     
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  16. TrailBlazer

    TrailBlazer Junior Member

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    Thanks RosuC,

    I didn't know about the 2,500 monthly Euro I don't have to declare. Would I be able to let that just build in my account, not spend it each month and let it pile up to 10k or more Euro and still not have to pay tax on it?
     
  17. Capo Dei Capi

    Capo Dei Capi BANNED BANNED

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    When did it go up to 75%? Last I heard it was just a flat 16% income tax.

    According to KPMG, and CFE its still 16% flat.
    http://www.cfe-eutax.org/taxation/personal-income-tax/romania
    http://www.kpmg.com/global/en/issuesandinsights/articlespublications/taxation-international-executives/romania/pages/income-tax.aspx
     
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  18. mrleppy

    mrleppy Regular Member

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    this and that
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    i am here dont you see me
    My advice on Moving to Romania:

    Don't!!!!!!!!! :buttkick:
     
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  19. THUNDERELVI

    THUNDERELVI Elite Member

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    Or if you have friends or family open 4 accounts under different names and transfer 10k euros every month with no taxes ;)
     
  20. BigTroll

    BigTroll Jr. VIP Jr. VIP

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    LOLLL dude, you're totally wrong!
    16% tax incomes if you have a COMPANY (with documents that you sign in Finance).

    For service providers (like him and me), we have 0 taxes.service Providers doesn't pay taxes!!!
    I live on Roumania and I withdrawed +100k from my paypal, u can't came to me with these bullshits.

    If u say u have business on roumania, I bet you own some companies, and yes, on this case you must pay taxes. The OP is publisher, he provide services, so 0% taxes for him.
    I also own a real business (estate agency), there I pay 16%.
     
    Last edited: Jan 16, 2015