Romania Implements Windfall Tax on Fossil Fuel Sector

Romania has published Emergency Ordinance no. 186 of 28 December 2022 in the Official Gazette, which provides for the implementation of a solidarity contribution (windfall tax) on surplus profits in the fossil fuel sector based on Council Regulation (EU) 2022/1854. The solidarity contribution is payable by companies operating in the crude oil, natural gas, coal, and refinery sectors at a rate of 60% on taxable profits in 2022 and 2023 to the extent exceeding 120% of the average taxable profi…