Moldova Seeks to Maintain Moldova IT Park’s 7% Single Tax Rate Until 2035

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The Republic of Moldova aims to maintain the preferential tax regime of Moldova IT Park, including the 7% single tax, until 2035. The issue was discussed during the presentation by the Ministry of Economic Development and Digitalisation of Moldova’s negotiating position for EU accession Chapter 10 — Information Society and Media, IPN reports.

According to Michelle Iliev, State Secretary at the Ministry of Economic Development and Digitalisation, the authorities are examining two options for maintaining the benefits granted to Moldova IT Park residents: recognising them as a separate tax regime or classifying them under a state aid scheme. During negotiations with the European Union, the Republic of Moldova intends to request a transition period of up to six years.

Michelle Iliev also noted that the priority is to preserve the 7% single tax rate, in line with the commitment established under national legislation until 2035. However, if the benefits are classified as state aid, they may need to be adjusted to comply with European rules.

Meanwhile, Competition Council President Alina Cebotariov stressed that the institution is involved in identifying a solution compatible with European legislation. According to her, economic data and detailed analyses of the impact on competition are needed to justify the benefits and any potential transition periods. In this context, an expert from Poland has been commissioned to analyse the regulatory framework governing Moldova IT Park and determine to what extent the current regime can be maintained or adapted.

At the same time, regarding Chapter 10, the Ministry of Economic Development and Digitalisation aims to be ready for its provisional closure by the end of the year.

According to the State Secretary, legislation governing electronic communications is already aligned with European standards. Objectives set for 2030 include ensuring a minimum internet speed of 100 Mbps and achieving 5G network coverage of at least 25%. The authorities are also preparing to align legislation on cybersecurity and artificial intelligence with European standards.