4637

Authorization Procedure and Trade Register Aspects for CAEN 4637

Establishing a company that will carry out wholesale trade of coffee, tea, cocoa and spices (CAEN 4637) involves going through the standard registration stages at the Trade Register (ONRC), with specific mentions regarding the object of activity. When submitting the registration application, the affidavit according to Law 359/2004 is completed, by which the administrator certifies compliance with the legal conditions for operation. It is mandatory to include the exact CAEN code 4637 in the founding act, as the main or secondary object, depending on the fiscal strategy. For limited liability companies (SRL), the minimum share capital is 200 lei, and for individual enterprises (PFA/II), there is no legal minimum capital. After obtaining the registration certificate, the company must register for tax purposes with the Tax Authority (ANAF) within 30 days, requesting the allocation of a VAT code if the estimated turnover exceeds the threshold of 300,000 lei/year. Also, the fiscal vector is completed with specific obligations: corporate income tax/micro-enterprise tax, VAT (if applicable) and monthly/quarterly declarations. The firm recommendation is that before starting the procedure, check with the Trade Register (ONRC) if the company name is available and if there are restrictions related to storage space, given that food products require special conditions.

Regulatory Framework, Specific Approvals and Control Institutions

Wholesale trade of coffee, tea, cocoa and spices is subject to strict regulations on food safety, mainly through EC Regulation 178/2002 and national legislation transposed by Law 150/2004 (on food safety). Economic operators must be registered with the Sanitary Veterinary and Food Safety Directorate (DSVSA) at county level, based on documents confirming compliance of storage spaces with hygiene, temperature and labeling standards. For green coffee, specific regulations on traceability and caffeine content also apply. Also, if coffee, tea or spices are imported from third countries, notification to the National Sanitary Veterinary and Food Safety Authority (ANSVSA) and border control are mandatory. The main control institutions are DSVSA, the National Authority for Consumer Protection (ANPC) and ANAF. For spices, the provisions of EU Regulation 1169/2011 on consumer information regarding allergens and labeling also apply. Lack of necessary approvals attracts contraventional sanctions and the possibility of activity suspension by DSVSA.

Fiscal Management, ANAF Audit Risk and Specific Accounting

From a fiscal point of view, the CAEN 4637 activity has particularities that increase the risk of ANAF audit. The commercial margin on coffee and spices can be significant, which requires rigorous documentation of acquisition costs: import invoices, customs documents, certificates of origin. It is recommended to use the RO e-Factura system for invoices issued to legal entities, mandatory since July 1, 2022 for all B2B invoices. VAT on collection (cash accounting) may be optionally applied if the turnover does not exceed 4,500,000 lei, which can improve cash flow. Accounting must separate stocks by category (coffee beans, ground coffee, tea, cocoa, spices) and record entries/exits through goods management. For spices, there may be differences in humidity/volume affecting inventory. ANAF frequently checks the correlation between reported and physical stocks, as well as internal transport. A major risk is the underreporting of income from cash sales to final customers (retail or small businesses). The use of a fiscal cash register is mandatory for any cash collection, even if the activity is wholesale. Also, hiring personnel requires registration in Revisal and payment of social contributions. For fiscal optimization, one may opt for the micro-enterprise income taxation system if the conditions of capital and turnover are met. Special attention must be paid to the single declaration (for PFA/II) and annual accounting reporting. It is recommended to consult a tax consultant specialized in food trade to avoid VAT adjustments at inventory and sanctions for non-compliance.