1082

Authorization procedure and Trade Register aspects for CAEN 1082

The establishment of a company that will carry out the activity of manufacturing cocoa, chocolate and sugar confectionery (CAEN code 1082) requires going through the standard registration stages with the Trade Register (ONRC). The standard registration application, the constitutive act and the identity documents of the shareholders and administrators are filed. There are no special forms or mandatory prior approvals at the ONRC for this CAEN code, but it is necessary to obtain a registration certificate mentioning CAEN code 1082 as the main or secondary activity. The prior verification of the company name is done through the ONRC portal. At the registered office, proof of legal use (lease contract, ownership) must be provided. After registration, the tax registration declaration (Form 010) is submitted to the Tax Authority (ANAF) to obtain the tax identification code and the VAT code, unless the exemption with option regime applies. For individuals starting independent activity, prior registration with ONRC as an authorized natural person or individual enterprise is required, following the same formalities.

Regulatory framework, specific approvals and control institutions

The activity of manufacturing cocoa and chocolate products is subject to health and food safety legislation. According to EC Regulation No. 852/2004 on the hygiene of foodstuffs and Law 150/2004, food business operators must implement procedures based on HACCP principles. Any unit that manufactures, stores or markets chocolate and sugar confectionery must be registered/authorized for sanitary-veterinary and food safety by the County Sanitary Veterinary and Food Safety Directorate (DSVSA). This issues a registration certificate or, as the case may be, an operating permit, based on a file including the HACCP plan, proof of compliance of the premises with sanitary norms, approvals from the Public Health Directorate (DSP). Also, finished products must comply with the composition standards set out in Law 78/2000 on cocoa, chocolate and other sugar products, which transposes European directives (e.g., minimum cocoa butter content for chocolate). In the case of chocolate production, rules on labeling, allergens, additives also apply. Official control is carried out by DSVSA and the National Authority for Consumer Protection (ANPC). For storage and transport, the premises need to be authorized by DSVSA. Finished products subject to excise duties (e.g., chocolate containing alcohol above a certain threshold) may require an excise warehouse authorization from ANAF – Directorate General for Large Taxpayers (DGAMC). Generally, sugar products are not subject to excise duties, only to VAT.

Tax management, ANAF audit risk and specific accounting

From a tax perspective, companies with CAEN code 1082 are liable for corporate income tax (16%) or micro-enterprise income tax (1% or 3% of turnover, depending on the number of employees and revenues). VAT applies at the standard rate (19%) for the sale of finished products, except those benefiting from a reduced rate (e.g., chocolate with added sugar is not considered a basic product, so the 5% or 9% rate does not apply – the standard rate applies). Invoicing must be done through the RO e-Factura system (electronic invoices reported in the SPV) for B2B transactions, according to GEO 120/2021. Specific accounting involves distinct records of raw material stocks (cocoa, sugar, milk powder, emulsifiers) and finished products (chocolate, candies, sugar confectionery). It is recommended to use the weighted average cost method (WAC) or FIFO for inventory valuation. For production, cost calculation is required: raw materials, direct labor, indirect production costs. For finished products, markup margins are applied and perishability is monitored. Depreciation or expiration of shelf life is reflected in accounting as impairment adjustments. ANAF audit risk: operators in food production are frequently targeted by controls regarding the correctness of inventory recording, application of VAT rate, proper use of RO e-Factura, as well as compliance with sanitary norms. It is advisable to keep supporting documents for each batch of raw material (invoices, quality certificates) and for each batch of finished product (recipes, production sheets). The monthly return (D300, D301) and VAT return are filed by the 25th. At year-end, declaration 101 (corporate income tax) or 100 (monthly declaration for micro-enterprises) is filed. For production employees, the specific working regime for the food industry applies (overtime, shifts). Occupational health and safety are subject to Law 319/2006, and for personnel handling chocolate and sugar confectionery, special hygiene conditions may exist. Recommendation: contracting an HACCP consultant for developing the hazard control plan and obtaining the DSVSA authorization. From a fiscal transparency standpoint, underreporting of revenues is not recommended; ANAF uses risk analysis based on raw material yield indicators (e.g., the ratio between the quantity of cocoa purchased and the chocolate produced). Thus, evading the recording of actual production can lead to estimates and penalties. All transactions over 10,000 lei/day are registered in the e-Factura system and reported in D406 (SAF-T) if the monthly threshold of 50,000 lei is exceeded. Total stock and revenues are declared in the annual financial statements. Expenses for the purchase of raw materials from third parties are deductible only on the basis of fiscal invoices and transport documents. To avoid risks, electronic archiving of all primary documents is recommended. Legislation on finished products also includes the obligation to have labels with allergen information (EU Regulation 1169/2011).