2824

Authorization procedure and Trade Register aspects for CAEN 2824

Registration with the Trade Register (ONRC) for CAEN code 2824 requires the express mention of the main activity as "Manufacture of electric handheld power tools". The standard documentation according to Law 265/2022 must include the affidavit (official model) regarding the lack of incompatibilities, and for certain premises prior approvals from the municipality are required. Prior verification of the registered office is mandatory (loan/lease contract or title deed). There are no minimum share capital requirements for this class, but if the legal entity has a sole shareholder, it is recommended to subscribe a capital adequate for current operations. For authorized natural persons (PFA), taxation is established through the ANAF tax vector immediately after registration with the Trade Register, with a 30-day deadline for submitting the single declaration.

Regulatory framework, specific permits and control institutions

The activity is regulated by the technical standards on machinery safety (Directive 2006/42/EC transposed by Government Decision no. 1029/2008). For the production of electric handheld power tools, essential health and safety requirements apply, including conformity verification and CE marking. Manufacturers must apply for a conformity assessment from a notified body (e.g., SRAC). The technical file and declaration of conformity must be prepared. Periodic inspections are carried out by the Labour Inspectorate (ITM) and by ISCIR (for pressure vessels if used). No environmental permit is required, although if noise or emission thresholds are exceeded, an environmental agreement from the Environmental Protection Agency is requested. Production units are controlled by the Fire Inspectorate (ISU) for compliance with fire prevention regulations.

Tax management, ANAF audit risk and specific accounting

Accounting must separately highlight production costs (raw materials, direct labor, manufacturing overhead). Finished goods and semi-finished inventories are valued according to OMFP 1802/2014. In the case of series production, the standard cost method is recommended. VAT: the standard rate of 19% applies to sales. If exporting, 0% VAT is used subject to keeping transport documents. For purchases of machinery and components, VAT is deducted according to invoices, with the obligation to report in the RO e-Factura system from 1 July 2024 for all B2B operations. Corporate income tax: paid quarterly with payment deadline until the 25th inclusive (or annually for micro-enterprises if the turnover threshold of EUR 500,000 is exceeded). The ANAF audit risk is moderate to high due to the specific nature of power tool production, which has a high degree of technical complexity and potential margins. ANAF may request clarifications regarding the method of determining costs, justification of subsidies (if any) and correctness of VAT deductions on intra-Community acquisitions. Informative returns must be submitted monthly for salaries (Declaration 112, D112) and quarterly for VAT (return 300). For production staff, the CAS rate (25%) and CASS rate (10%) apply, with contribution caps at eight times the average gross salary.