VAT Registration Threshold May Be Increased
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VAT payers want to raise the threshold

The legislature has amended the Tax Code to raise the threshold for registering as a VAT payer to 3.2 million lei, Logos Press reported.
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VAT payers want to raise the threshold

In response to the “Our Party” initiative, the Ministry of Finance expressed its readiness to only partially support the increase of the threshold to 1.7 million lei. The ministry stated its position in its response to the draft law.

In particular, it emphasizes that the increase in the threshold of registration as a VAT payer to 3.2 million lei contradicts the provisions of the European Directive on the single system of value-added tax. According to the document, the maximum limit cannot exceed 85,000 euros or the equivalent in the national currency.

The implementation of this measure in full would violate the European practice in the field of VAT taxation. The commitments assumed by Moldova in the process of preparation for accession to the European Union do not allow such deviations at the moment when the country harmonizes the norms of national legislation in the field of indirect taxation with the EU rules.

Therefore, the Ministry of Finance can only partially support the project by raising the VAT payer registration threshold to 1.7 million lei in order to fulfill its obligations.

As a reminder, as of January 1, 2026, the threshold for registration as a VAT payer in Moldova was increased from 1.2 million to 1.5 million lei. Until then, the limit had not been raised for several years, despite changing economic realities and urgent proposals of the business community.


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