2223

Authorization procedure and Trade Register aspects for CAEN 2223

When registering in the Trade Register (ONRC) a company whose main activity is CAEN 2223 – manufacture of plastic doors and windows, the exact code and name must be mentioned. The constitutive documents must include this CAEN code as main or secondary activity, depending on the business specifics. No prior approvals from ONRC are required for this code, but depending on related activities (e.g., installation or trading), additional permits may be necessary.

For legal entities, the affidavit under Law 359/2004 certifies compliance with legal operating conditions. Upon registration, the single registration form must be submitted together with the constitutive documents. If the company will also carry out construction-installation activities, the need to register in the Register of Builders or obtain other certifications must be verified.

It is important that the registered office is a space with a legal destination, and if production takes place at the office, urban planning and environmental norms must be met. Prior consultation with ONRC representatives is recommended to clarify whether the activity is compatible with the space.

Regulatory framework, specific permits and control institutions

Manufacture of doors and windows made of plastic material (PVC, thermoplastic) is subject to several normative acts. Regulation (EU) No. 305/2011 (CPR) sets the conditions for marketing construction products, requiring CE marking and performance assessment. Manufacturers must draw up a Declaration of Performance (DoP) and apply CE marking in accordance with harmonised standards (e.g., EN 12608 for PVC profiles, EN 14351-1 for windows and doors).

Product control is carried out by the State Inspectorate in Construction (ISC) and the National Authority for Consumer Protection (ANPC), especially for compliance with technical standards. Also, if plastic materials containing hazardous substances are used, REACH Regulation (EC No. 1907/2006) applies.

For the operation of the production unit, an environmental permit from the Environmental Protection Agency is required, as the activity involves plastic processing (waste, emissions). Depending on production capacity, an environmental impact assessment or environmental agreement may be required. Compliance with fire safety rules, approved by the Inspectorate for Emergency Situations (ISU), is mandatory, especially if thermal machinery or flammable substances are used.

From a labour relations perspective, the Labour Code applies, and employees must be trained in occupational safety and health according to Law 319/2006. The Labour Inspectorate (ITM) may carry out periodic inspections.

Tax management, ANAF audit risk and specific accounting

From a tax perspective, companies carrying out CAEN 2223 activities are subject to corporate income tax (16%) or, if conditions are met, micro-enterprise income tax. The manufacture of doors and windows involves significant material costs (PVC profiles, glass, hardware) and labour. Accounting must correctly manage production costs, inventories of raw materials and finished products, as well as work in progress.

It is recommended to use account 345 'Finished products' for the stock of manufactured doors and windows, and valuation is done at actual production cost. Inventory differences may create tax adjustment risks. Also, purchases of raw materials must be documented by compliant invoices, and VAT is deductible under the conditions of the Fiscal Code (art. 297).

For deliveries to legal entities or individuals, an invoice with 19% VAT (or 5% for construction, if applicable) is issued, and if installation is also carried out, reverse charge may apply for construction services, according to art. 331 para. 2 letter b) of the Fiscal Code. ANAF may check the correctness of applying these regimes, especially in the context of the RO e-Factura system, which requires reporting invoices within 5 working days from issuance.

The main audit risk from ANAF consists of undeclared income from sales, especially in the case of sales to individuals (cash) or installation work invoiced separately. Strict record keeping of orders, estimates and contracts is required. Declaration 394 (informative declaration on supplies/services) must be correctly submitted, including for invoices issued in the e-Factura system.

Regarding local taxes, the company pays tax on buildings and land used in production. It is recommended to consult a tax consultant to optimise the tax burden and avoid penalties.