Starting July 15, 2018, the Romanian law allows, optionally, the quarterly distribution of dividends for the current, not just annually as previously stated.
Changes in the distribution of dividends quarterly were stipulated by Law no. 163/2018 for amending and completing the Accounting Law no. 82/1991, amending and completing the Companies Law no. 31/1990, as well as the amendment of the Law no. 1/2005 regarding the organization and functioning of the co-operation.
The quarterly distribution of dividends will be made within the net quarterly profit margin, plus any retained earnings and withdrawn amounts of reserves available for that purpose. From the amount allowed for distribution, all losses carried forward from previous years (if any) and amounts deposited in reserves will be deducted.
And in 2019, the companies that will distribute profit as dividends have the obligation to retain and transfer to the budget a dividend tax of 5%, just like last year.
Individuals who receive dividends may also have some specific tax obligations in certain situations.
This is the case with the 10% social security contribution (CASS) due by the person who has earned dividends over the 24,960 lei (12 months * 2,080 lei minimum salary in economy). This person has to complete and submit the Unique Declaration.
The rule is: if an individual earns aggregate revenue from one or more sources (including dividends) of at least 24,960 lei, then this individual has to pay CASS.