20% OF THE CORPORATE/INCOME TAX
WHAT IT IS
An annual tax facility whereby companies/micro-enterprises can choose to direct 20% of their profit/income tax to a social cause at no cost (does not affect the company/micro-enterprise’s net profit/income).
HOW IT WORKS
Companies owe 16% corporation tax to the state annually. Under a simple sponsorship contract, companies can direct 20% of the corporate tax due to the state to the cause of vulnerable young people in Romania, provided that the amount of the sponsorship is less than 20% of the corporate tax due or 5‰ of the turnover (whichever is lower).
Micro-enterprises owe the State quarterly income tax (1% for those with 1-3 employees, 3% for those with no employees), 20% of the amount owed can be redirected to The Social Incubator to support the socio-professional integration of young people from vulnerable backgrounds, especially those in the foster system.
Sponsorship can be made in full (once a year for companies) or quarterly (for micro-enterprises) and is deducted from the income tax for the reference period.
CALCULATION MODEL
WHAT STEPS TO TAKE
- Download the draft sponsorship contract at the bottom of this page
- Fill in the downloaded contract with the company’s details (ours are already filled in) and the amount of the 20% of the profit/income tax, together with the accounting department
- Send the completed and scanned contract to us at office@asociatiasocialincubator.org
If you have any further questions regarding the sponsorship process, please do not hesitate to contact us and we will answer all your questions.
+40790599908 / office@asociatiasocialincubator.org