4311

Authorization procedure and Trade Register aspects for NACE 4311

Registering a company with the main activity object NACE 4311 (Demolition works of buildings) requires going through the incorporation formalities at the Trade Register (ONRC). When submitting the application, a sworn statement under Law 359/2004 is completed, whereby the associate/administrator confirms compliance with the legal operating conditions. The exact mention of NACE code 4311 as main or secondary object is mandatory. For demolition activities, specific legislation (Government Emergency Ordinance 195/2005, Government Decision 447/2003) requires obtaining prior approvals before registration with the Trade Register. In practice, I recommend preparing a preliminary file including: urban planning certificate (if the registered office involves work sites), environmental agreement or notification to the Environmental Protection Agency (APM). For companies with foreign capital, the investor's status and the legalized translation of the constitutive acts are additionally verified.

Regulatory framework, specific approvals and control institutions

NACE code 4311 falls under Government Emergency Ordinance No. 195/2005 on environmental protection, as subsequently amended. Operators must request an environmental permit from the Environmental Protection Agency (APM) before starting work. Also, under Government Decision No. 447/2003, demolition activity is part of the category of works requiring an urban planning certificate. There is no obligation to be a member of a chamber of commerce or a professional association, but I recommend affiliation for access to technical information. The Labor Inspectorate (ITM) controls compliance with occupational safety and health standards (Law 319/2006), and the Inspectorate for Emergency Situations (ISU) verifies fire prevention measures. For demolitions involving hazardous substances, a permit from the Environmental Guard is additionally required.

Fiscal management, ANAF audit risk and specific accounting

From a fiscal perspective, companies with NACE 4311 are required to register in the RO e-Factura system for all service supplies (ANAF Order 6/2022). The profit tax is calculated quarterly or annually, depending on income. VAT applies the standard rate (19%) if the company exceeds the exemption threshold (300,000 RON). I recommend activating the VAT code from the start, to avoid later adjustments. The submission of the single declaration (D212) for the income of involved natural persons is required, if there are associates or administrators. Accounting must separately record demolition costs (labor, equipment depreciation, waste transport expenses). The risk of ANAF audit is high due to frequent VAT settlements and cash payments. I recommend keeping detailed estimates, reception minutes and documents regarding waste disposal (under Government Decision 856/2002). The obligation to equip with a cash register (fiscal device) applies in case of cash payments, regardless of the field. Non-compliance with the fiscal vector (monthly declarations 312 for excise duties, 310 for VAT) may attract sanctions.