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Authorization procedure and Trade Register aspects for CAEN 0128

Setting up a company with the main activity of CAEN 0128 involves going through the standard registration procedure at the Trade Register (ONRC), with specific mentions regarding the biological nature of the activity. When submitting the registration application, a sworn statement in accordance with Law 359/2004 is completed, attesting compliance with operating conditions. In the case of medicinal and aromatic plant crops, it is mandatory to specify the cultivated areas and species, as this data influences subsequent phytosanitary authorizations. For authorized natural persons (PFA) or legal entities, the CAEN code 0128 is registered as the main or secondary object. If the company intends to also carry out processing activities (e.g., drying or grinding spices), the corresponding CAEN code from group 10 (food industry) must also be registered. The constitutive documents are submitted to the Trade Register (ONRC), and for agricultural associations, an opinion from the Ministry of Agriculture is also required. No special fee is charged for this code beyond the standard registry fees.

Regulatory framework, specific opinions and control institutions

The cultivation of medicinal and aromatic plants is regulated by Government Emergency Ordinance 244/2000 on the regime of medicinal and aromatic plants, as well as by the Plant Health Law no. 349/2002. For the cultivation of species containing narcotic substances (e.g., poppy or cannabis for medical use), a prior opinion is required from the Ministry of Health and the National Anti-Drug Agency. Also, for plants falling under CITES (endangered species), an authorization from the National Agency for Environmental Protection is necessary. Phytosanitary control is carried out by the Phytosanitary Directorates within the National Phytosanitary Authority, and inspections target the certification of seeds, planting material and applied treatments. The storage and commercialization of dried medicinal plants must comply with hygiene standards established by the National Sanitary Veterinary and Food Safety Authority (ANSVSA). Sanitary-veterinary registration is mandatory for storage spaces, even if no industrial processing is carried out.

Tax management, audit risk of Tax Authority (ANAF) and specific accounting

Taxpayers carrying out CAEN 0128 may opt for the income tax system (micro-enterprise) or profit tax, depending on turnover. They are eligible for income tax exemptions from agricultural activities, according to the Fiscal Code (art. 56), if they hold a producer certificate and do not exceed the threshold of RON 106,000 per year. For agricultural land, land tax is paid, and for buildings with agricultural purpose, a reduced rate applies. VAT applies to the supply of plants to processors or pharmacies, but a reduced rate of 9% may apply for food products if the plants are intended for human consumption as such (e.g., packaged spices). The Tax Authority (ANAF) may initiate a thematic tax audit, especially in case of incorrect use of agricultural tax exemptions or failure to declare income from sales to individuals. Accounting must reflect cultivation costs separately: purchase of seeds, fertilizers, pesticides, seasonal labor. It is recommended to prepare a monthly trial balance and maintain phytosanitary records. For claiming APIA (Agency for Payments and Intervention in Agriculture) subsidies, the single payment application is submitted, and the amounts received are non-taxable income according to the Fiscal Code, up to the threshold of EUR 1,500 per holding. Failure to comply with subsidy declaration obligations may lead to reclassification of income and sanctions from the Tax Authority (ANAF).