VAT in Moldova: when to register and how it works, in brief

VAT scares many entrepreneurs, but its logic is simple: you collect tax from customers, deduct what you paid to suppliers, and hand the difference to the state. Let's take it step by step.

When you become a VAT payer

You must register when you exceed the legal threshold for supplies over 12 consecutive months. You can also choose voluntary registration earlier — sometimes it's advantageous if you work a lot with VAT-paying firms.

The main rates

• 20% — the standard rate, for most goods and services.
• 8% — a reduced rate for certain categories (for example some food products, medicines, gas).
• 0% — for exports and assimilated supplies.

VAT payable vs. VAT refundable

If the VAT collected from customers is greater than the deductible VAT, you have VAT payable. If it's the other way around (common for exporters or large investments), you may have VAT refundable. A refund is possible, but it requires correct documentation and patience.

The mistakes that cost

• Invoices without all mandatory elements — deduction rejected.
• Late registration after exceeding the threshold — penalties.
• Reconciliation left to the last day — errors and corrected declarations.

What's on you, what's on us

You issue invoices correctly and send us the documents. We keep the records, calculate VAT payable/refundable and file the declaration on time — with a check beforehand, so there are no surprises.

Not sure whether you should register now or later? Ask us — we'll do a quick calculation on your numbers and tell you the advantageous option.