Representative Office in Romania — E-commerce Formation Guide
Choose a jurisdiction with strong payment gateway support (like Stripe or PayPal) and clear VAT/Sales Tax thresholds. Consider a US LLC for global reach or a UK/Estonian company for European market access.
Last verified: June 13, 2026
Corporate Tax
0.0%
State Tax
0.0%
Formation Cost
$1,200
Annual Fee
$1,200
Forming a Representative Office in Romania as a E-commerce means a total tax burden of 0.0% and an official formation cost of $1,200. There is no minimum capital requirement. Standard formation takes 30-45 days, or 30 days expedited. No local director is required; the process can be managed remotely. This guide covers the steps, tax breakdown, banking options, and compliance requirements — all from verified data.
First-year total cost
≈ $7,200
Ongoing (per year)
≈ $6,800
Why Representative Office for E-commerce?
Selling physical or digital goods online directly to consumers or businesses. E-commerce businesses require robust payment gateways, favorable VAT/Sales Tax regimes, and efficient customs handling.
Ideal for
- Dropshippers
- Amazon FBA Sellers
- Direct-to-Consumer (DTC) Brands
- Print-on-Demand Creators
Challenges to watch
- Managing cross-border VAT and sales tax compliance
- High shipping and fulfillment costs
- Payment gateway restrictions in certain countries
- Inventory management and customs duties
Key decision criteria
- Access to global payment processors (Stripe, PayPal, Shopify Payments)
- Import/export regulations and customs duties
- Corporate tax rates and dividend withholding taxes
- Distance selling regulations and consumer protection laws
Representative Office formation requirements
Minimum capital
None
Standard timeline
30-45 days
Expedited timeline
30 days
Local director
Not required
Registered office
Virtual office allowed
Notarization
Required
A local representative must be appointed via a notarized and apostilled Power of Attorney to manage the office.
Estimated breakdown (based on avg. $150,000 revenue)
Simulate with your own revenue →
VAT / Sales Tax
Standard rate 21%. Registration threshold: 395,000 RON. Non-resident providers of digital services to Romanian consumers must register for VAT or use the OSS scheme. The standard VAT rate increased to 21% in August 2025.
Banking & payments for E-commerce
Opening a bank account for a representative office can be challenging for non-residents due to strict KYC and AML regulations. Founders usually need to visit a local branch in person or appoint a local representative with a notarized Power of Attorney to complete the process. Note that since representative offices cannot generate revenue, these accounts are strictly for funding local administrative and payroll expenses.
Supported payment gateways
Remote-friendly accounts
Wise
A popular fintech alternative for multi-currency accounts, allowing remote setup for managing the administrative expenses of the representative office.
Representative Office formation steps
Prepare the parent company's corporate documents (Certificate of Incorporation, Articles of Association).
Obtain a bank letter of good standing from the parent company's bank.
Draft and notarize a Power of Attorney (POA) for the local representative in Romania.
Translate all foreign documents into Romanian and have them notarized and apostilled.
Secure a registered office address in Romania (via a tenancy or virtual office agreement).
Submit the application file to the Ministry of Economy, Entrepreneurship and Tourism (MEAT) to obtain the operating authorization (issued within 30 days).
Register the representative office with the National Agency for Fiscal Administration (ANAF) within 15 days of receiving the authorization.
Pay the annual flat tax of 18,000 RON to the Romanian tax authorities.
Open a local bank account to manage administrative and payroll expenses.
E-commerce FAQ
Which country is best for incorporating an e-commerce company?
The US (Wyoming or Delaware LLC) is popular for global payment gateway access and low maintenance. For the EU market, Estonia (OÜ) or the UK (LTD) are excellent choices due to ease of remote management and straightforward VAT registration.
Do I need to pay VAT or Sales Tax if I sell internationally?
Yes, depending on your customers' location and your sales volume. The EU has the OSS (One Stop Shop) scheme for cross-border sales, while the US has economic nexus laws that require sales tax collection once specific state thresholds are met.
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Related guides
Complete Representative Office guide
Taxes, requirements, banking, compliance
Representative Office cost calculator
One-time and annual cost breakdown
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