2410

Authorization procedure and Trade Register aspects for CAEN 2410

For the registration with the Trade Register (ONRC) of the activity of manufacture of basic iron and steel and of ferro-alloys, CAEN code 2410, the company must submit the standard documentation according to Law 31/1990 republished and Law 359/2004. The registration application includes the administrator's affidavit that there are no legal prohibitions for carrying out the activity. It is mandatory to specify the main object of activity exactly according to the Classification of Activities in the National Economy. The ONRC will verify that the company name does not contravene public order rules and that the registered office is real. CAEN 2410 activities fall under Law 346/2004 on the authorization of economic operators carrying out activities with major accident risks involving dangerous substances, which requires a preliminary opinion from the Territorial Labour Inspectorate (ITM) and the Environmental Protection Agency (APM). Without these opinions, the ONRC may suspend the registration. Also, the company must declare to the Trade Register all workplaces where production takes place.

Regulatory framework, specific permits and control institutions

The economic operator carrying out activities of manufacture of basic iron and steel and of ferro-alloys must obtain an integrated environmental permit according to Government Emergency Ordinance 201/2002 on industrial pollution control. The main control institutions are the National Environmental Guard (GNM) and the National Environmental Protection Agency (ANPM). Specific permits include: fire safety authorization from the Inspectorate for Emergency Situations (ISU), sanitary operating authorization from the Public Health Directorate (DSP), and authorization from the ITM regarding occupational health and safety, as the activity involves heavy machinery and exposure to harmful substances. For ferro-alloys, Regulation (EC) No 1907/2006 on the Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) applies, requiring registration of the produced substances. Law 319/2006 on occupational safety and health requires a risk assessment for each workplace, and if certain thresholds are exceeded, the provisions of the Seveso III Directive (transposed by Law 59/2016) also apply. The production of basic iron and steel involves CO2 emissions, requiring monitoring under the EU-ETS scheme (Directive 2003/87/EC transposed by Government Ordinance 51/2005).

Tax management, ANAF audit risk and specific accounting

From a fiscal perspective, CAEN 2410 falls under the Fiscal Code (Law 227/2015) for corporate income tax, VAT and excise duties. Producers of basic iron and steel may benefit from excise exemptions for energy products used in chemical reduction processes (Art. 360(3)(a) of the Fiscal Code). Accounting must distinctly reflect costs for raw materials (iron ore, coke, limestone), electricity and labour, as the Tax Authority (ANAF) checks the VAT deductibility percentages and the correctness of statements 390 and 394. The ANAF audit risk is high due to the specificity of the sector, with checks on undervaluation of production, missing invoices from the RO e-Factura system, and undeclared by-products (slag, coke dust). It is recommended to prepare monthly production balances and reconcile physical stocks with book records. For VAT, the standard rate of 19% applies to raw materials and finished products, but ancillary services (such as transport) may be taxed differently. Reporting obligations include the single declaration (D112) for social contributions, and for employees the REVISAL system is used. Also, upon establishment, the fiscal vector must be submitted to the ANAF within 30 days of registration with the ONRC. Specific accounting involves recognizing provisions for decommissioning of installations (according to IAS 37), and when using ferro-alloys as raw material, applying weighted average cost or FIFO for inventory valuation.