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Moldova
We have a dedicated team of professionals ready to support all your business needs, so you can focus on driving growth and expanding your operations in Moldova.
Why Moldova?
Moldova, one of Eastern Europe’s emerging economies, is rapidly expanding across sectors such as information technology, manufacturing, agriculture, and renewable energy. Between 2015 and 2022, the country’s GDP per capita doubled, marking its transition into an upper-middle-income economy. Notably, the Information and Communication Technology (ICT) sector alone contributes over 10% to the national GDP. Recognized among the world’s top 25 wine exporters, Moldova achieved $140 million in wine exports in 2021. Its strategic geographical position, cost-effective labor force, and ongoing infrastructure modernization make it an increasingly attractive destination for foreign investment. Furthermore, Moldova is an active member of key international bodies including the United Nations, World Trade Organization (WTO), and the Council of Europe.
Advantages
Several advantages make Moldova a compelling location for business operations:
- Strategic LocationPositioned at the crossroads of Europe and Asia, Moldova offers seamless access to both EU and CIS markets. The Giurgiulești Port provides direct connections to international waterways, reinforcing the country’s role as a vital trade gateway.
- Ease of Doing BusinessMore than 65% of public business services are already digitalized, with full digitalization underway. The country offers efficient online company registration, a unified business portal, and visa-free or simplified entry for citizens of over 100 countries.
- Favourable Trade AgreementsMoldova has signed 47 free trade agreements—including with the EU, UK, Turkey, and CIS—granting access to a consumer base of over 880 million. The EU-Moldova Deep and Comprehensive Free Trade Area (DCFTA) provides preferential access to EU markets. Moldova is also a WTO member.
- Investment Incentives and Legal Guarantees Foreign investors benefit from tax incentives, customs relief, and access to specialized free economic zones. The law ensures equal treatment for local and foreign investors, with targeted state aid available in key industrial sectors.
Simple Tax Regime
- Corporate Income Tax (CIT)A standard CIT rate of 12% applies to the global income of resident companies. Small and medium enterprises reinvesting profits between 2023 and 2025 may benefit from a 0% tax rate. Special regimes apply to IT parks and free economic zones.
- Value Added Tax (VAT)The standard VAT rate is 20%. A reduced rate of 8% applies to specific goods and services, such as pharmaceuticals, natural gas, and the hospitality sector. Medical, educational, and financial services are VAT-exempt.
- Withholding Tax (WHT)A WHT of 6% applies to dividends paid to non-residents, while interest and royalties are taxed at 12%. Reduced rates or exemptions are available under applicable treaties or domestic provisions.
- Filing & Compliance
- CIT Returns: Due annually by 25 March
- VAT Returns: Filed monthly by the 25th
- WHT Returns: Submitted monthly by the 25th
- Tax Advantages Moldova features a business-friendly and streamlined tax regime. Notably, companies in the Moldova IT Park benefit from a single 7% turnover tax, simplifying compliance and reducing tax burden.
Moldova Companies
The principal business structures available for incorporation in Moldova include:
- Limited Liability Company (LLC) – Societate cu Răspundere Limitată (SRL)
The most widely used form, suitable for both individuals and legal entities, local and foreign. Requires a minimum share capital of MDL 1, which may include real estate, claims, or other assets. Liability is limited to the company’s assets, and shares are transferable. Permitted to carry out any legal business activity. - Joint Stock Company (JSC) – Societate pe Acțiuni (SA)Ideal for large-scale enterprises and foreign investment. Allows partial or full foreign ownership. Subject to rigorous transparency, reporting, and tax requirements. Requires a minimum capital of MDL 600,000 (approximately EUR 30,000), divided into negotiable shares. This structure is mandatory for certain regulated industries such as banking and insurance.
- Branch – Sucursala Functions as an operational extension of a foreign company without a distinct legal personality. The registration process is similar to that of locally incorporated entities.
Contact Us
Get in touch with the right people to get the right help in setting up your business in Moldova.
Contact us at:
enquiries@chandrawatpartners.com