Detailed comparison
| Side-by-side comparison of taxation, cost of living and scores between the two countries. |  France | |
|---|---|---|
| Taxation | ||
| Dividend tax | 31.4% | 16%, Edge to this country |
| Capital gains tax | 31.4% | 16%, Edge to this country |
| Corporate tax | 25% | 16%, Edge to this country |
| Wealth tax | Yes, IFI (real estate only) | None |
| Direct inheritance | 45%Scale5-45% | 0%, Edge to this country |
| Cost and real estate | ||
| Monthly FIRE budget | €2,700 | €1,550, Edge to this country |
| Cost-of-living score | 38.5 | 83.1, Edge to this country |
| Reference city | Paris | Bucarest |
| City-center 2-bed rent | €2,450 | €450, Edge to this country |
| Safety and FIRE score | ||
| Insecurity | 2.0 | 1.7, Edge to this country |
| FIRE Ultimate V3 score | 64.6 | 99.5, Edge to this country |
Verdict
- Romania wins on the headline rate (16% against 31.4%), on the absence of a wealth tax, on the 0% direct-line inheritance, and on the health contribution capped at around €1,950 a year, decisive for larger estates.
- France keeps fiscal stability, a top-tier medical setup, no currency risk for euro income, and inflation far below the Romanian 9.3%.
- Verdict: for a European rentier living on dividends and capital gains, Romania offers a real tax gain, provided you accept rising taxes (10% to 16% in 2026), high inflation, and self-assessment via the Declaratia Unica.
Frequently asked questions about this duel
Is Romania less taxed than France on dividends?
Yes. Romania taxes foreign-source dividends at 16%, plus a health contribution capped at around €1,950 a year, against a 31.4% flat tax in France (12.8% income tax and 18.6% social charges). The gap widens further for very large incomes thanks to the CASS cap. The caveat: the Romanian rate rose from 10% to 16% in 2026. Source: PwC Romania 2026.
Do you have to leave French tax residency to benefit from Romania?
Yes. You must genuinely transfer your tax residence to Romania, which means living there more than 183 days a year and having your home and center of interests there. France retains a right to tax certain French-source income. Advice in both countries is recommended to secure the move. Source: France-Romania tax treaty.
Is inheritance really 0% in Romania compared with France?
In the direct line, yes: Romania applies no inheritance tax between parents and children, whereas France taxes up to 45% after an allowance of €100,000 per child. For a substantial estate transfer, this is one of the strongest arguments in Romania's favor. Source: PwC Romania 2026.