Taxation of international executives.
Are there social security/social insurance taxes in your country? If so, what are the rates for employers and employees?
The Moldovan legislation on social security is unclear in respect of the salary income recived from non-Moldovan employers. As such, we consider that no social security contributions are due for the salary income received from abroad.
For the salary paid directly by a Moldovan employer, social security contributions are due as detailed in the table below.
|Type of insurance||Paid by employer||Paid by employee||Total|
1 The Social Security systems covers benefits such as pension, unemployment, maternity, disability and sickness indemnities.
Are there any gift, wealth, estate, and/or inheritance taxes in your country?
Currently there are no gift, or inheritance taxes in Moldova.
A wealth tax is imposed on buildings with more than 120 square meters of usable area and which are worth more than MDL 1.5 million held by individuals. A tax of 0.8% from the buildingțs value is due by 25 December of the current year.
Are there real estate taxes in your country?
Real estate taxes depend on the location of the property and on the type of property as follows:
The taxable basis is represented by the estimated value of the real estate, which is established by the local cadastral offices.
Are there sales and/or value-added taxes in your country?
The value-added tax is applied at a standard rate of 20%. However, the VAT may be assessed at a lower rate of 8% for certain specifically mentioned products, such as panification, certain drugs, meat and sugar beet sugar.
Are there unemployment taxes in your country?
Are there additional taxes in your country that may be relevant to the general assignee? For example, customs tax, excise tax, stamp tax, and so on.
Local taxes for dog possession, parking place and sanitation may be imposed depending on the residence of the assignee and his personal circumstances.
There is no tax imposed as provincial health premium.
There is no employer health tax, other than the mandatory contributions for employees.
Is there a requirement to declare/report offshore assets (e.g., foreign financial accounts, securities) to the country’s fiscal or banking authorities?
Reporting must be made only if income is obtained from the offshore assets.