In 1925, the city of Galați became the first destination in Romania served by regular flights followed, from 24 June 1926, by an extended service to Iași and Chișinău.

In 1928 the airline changed its name to SNNA (Serviciul Național de Navigație Aeriană, The National Service of Air Navigation).

On 9 July 1930, the company adopted the name LARES [ro][12][13] (Liniile Aeriene Române Exploatate de Stat, Romanian Airlines Operated by the State) while 20 July 1937[12] saw the merger of LARES with its competitor, SARTA [ro] (Societatea Anonimă Română de Transporturi Aeriene).

Domestic operations were started from Bucharest (Băneasa Airport) on 1 February 1946, when TARS took overall air services and aircraft from LARES.

Being part of the regional group of airlines within Eastern Bloc states meant that for much of its history TAROM has operated Soviet-designed aircraft.

After the collapse of the communist regime in 1989, the airline, operating a fleet of 65 aircraft of six basic types, was able to acquire more Western-built jets.

TAROM is recovering from a difficult period that began in the 1990s when losses of up to $68 million per year were registered, caused by unprofitable routes.

During Heinzmann's leadership, the company reduced its financial losses by more than 75%, grew its yearly passenger number to a record 2.4 million and stabilised its load-factor around 70%.

[35] TAROM operated flights for the Romanian Government during the state of emergency, bringing medical equipment from China.

[38] In October 2022, it was reported that the operator of Henri Coandă International Airport, TAROM's home base, was considering legal action against the airline over unpaid fees exceeding 10 million Euros, and also might suspend all services for the carrier.

[39] In November 2024, the European General Court rejected a legal challenge by low-cost carrier Wizz Air against a capital injection provided by the Romanian government to TAROM.

The aid, valued at €2 million, was approved by the European Commission as part of efforts to compensate TAROM for losses related to COVID-19 travel restrictions.

The livery introduced in the early 1990s (on the Airbus A310 aircraft) is an overall-white scheme with the titles and the tailfin painted in dark blue.

The current colour scheme (introduced in 2006 on the A318) is a slightly modified version of the previous one, with an oversized logo on the tailfin, and the engine pods also painted in dark blue.

Major maintenance is performed in the division's hangar, built between 1969 and 1972, with an area of 6,000 m2 and updated in 2000 to comply with EASA and FAA standards.

[56] In a dispute between TAROM and UK airline Jet2.com regarding failure to provide adequate maintenance services for Jet2.com's fleet and the latter's resulting failure to pay certain invoices, the High Court in England determined that TAROM's attempt to terminate the contract in 2007 for non-payment was invalid, and treated the termination as a repudiatory breach of the contract.

The airline's flights to the USA ceased in 2003 and are now operated under a codeshare agreement with Air France via Paris-Charles de Gaulle Airport.

On 22 June 2010, SkyTeam announced that it had renewed its membership program, thereby making TAROM a future full member of the alliance.

Also, at the Farnborough Air Show, the Government of Romania signed a contract to buy 5 Boeing 737 MAX-8 at an estimated value of $586 million.

[66] TAROM had been planning to lease three widebody aircraft to resume long-haul operations to China and the United States after the withdrawal of its Airbus A310s.

[72] In 2018, the CEO of that time declared that TAROM could operate a legacy aircraft with maximum 10 seats, which could fly over Atlantic, in order to be leased by the Romanian Government, the Presidential Administration, for VIP business affairs or in medical emergencies.