Taxation of investment fund earnings | BT Asset Management

Taxation of Earnings

Taxation of gains obtained by individuals from investments in investment funds.

Legal entities:
Record in accounting the gains or losses resulting from the sale of fund units.

Starting from 01.01.2026, earnings obtained by individual investors from investments in open-end investment funds will be taxed by withholding at source, as follows:

  • by applying a rate of 3% on each profit from the transfer of securities that were acquired and alienated in a period greater than 365 days, inclusive, from the date of acquisition;
  • by applying a rate of 6% on each gain from the transfer of securities that were acquired and alienated within a period of less than 365 days from the date of acquisition;

In the period 01.01.2023-31.12.2025, the earnings obtained by individual investors from placements in open investment funds were taxed through withholding at source, as follows:

  • by applying a rate of 1% on each gain from the transfer of securities that have been acquired and alienated in a period greater than or equal to 365 days from the date of acquisition;
  • by applying a rate of 3% on each gain from the transfer of securities that were acquired and alienated within a period of less than 365 days from the date of acquisition;

For determining the holding period of the redeemed fund units and classifying them into one of the two tax brackets, the FIFO method (first in – first out) is used, calculating the number of days elapsed between the fund units' issuance date and the cancellation date of the fund units subject to the redemption transaction.

Starting from 01.01.2023 losses realized from the redemption transactions of fund units are not carried forward, these representing definitive losses of the investor, regardless of the date they were recorded.

In the situation where individual taxpayers obtain cumulative annual income from multiple sources: investments, independent activities, liberal professions, rents, etc. exceeding the ceiling established by the Fiscal Code, the taxpayers also owe the health insurance contribution (CASS), according to the applicable legal provisions. The exceptions to the payment of the health insurance contribution are found in the specific legal framework in force.

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