4642
Wholesale trade of clothing and footwear
This code covers wholesale trade of clothing and footwear, including accessories such as belts, scarves or gloves. Essentially, you act as an intermediary who buys goods from manufacturers or importers and resells them to shops, retailers or other business entities, not to the final consumer. Activities include selling in large lots, storage and distribution, but not production or direct retail.
Entrepreneur Profile
Acest cod este potrivit pentru SRL-uri, PFA-uri sau alte firme care se ocupă cu distribuția en-gros de haine și încălțăminte, fie că sunt importatori, reprezentanți ai unor branduri străine, sau depozite care aprovizionează magazinele de retail. De asemenea, este util pentru antreprenorii care doresc să lanseze un magazin online B2B (către alți comercianți) sau să participe la târguri și licitații cu vânzare în cantități mari.
Who should avoid:
Avoid the exclusive use of code 4642 if the main activity of your company shifts towards other commercial or related branches not specified in the official description. See the excluded activities section below.
Authorization procedure and Trade Register aspects for CAEN 4642
Setting up a company that will carry out wholesale trade of clothing and footwear (CAEN 4642) requires going through the standard registration procedure at the Trade Register (ONRC), with the explicit mention of the CAEN code in the founding act. As the main object of activity, it is recommended to mention "wholesale trade of clothing and footwear (CAEN code 4642)". For the registered office, a declaration on own responsibility is submitted according to Law 359/2004 on fulfilling the operating conditions; an environmental permit is not required unless the company also carries out storage activities involving hazardous waste. At the time of registration, the registration declaration (standard form) is completed and the stamp duty is paid according to Government Emergency Ordinance 95/2020. If related production activities are also intended (e.g., clothing manufacture), the relevant CAEN codes (1411, 1412, etc.) are added.
Regulatory framework, specific permits and control institutions
The main normative act governing wholesale trade of textiles, clothing and footwear is Law no. 356/2002 on preventing and combating counterfeiting, supplemented by Ordinance no. 99/2000 on the marketing of products. Regarding permits: no sanitary veterinary authorization or authorization from the National Sanitary Veterinary and Food Safety Authority (ANSVSA) is required, as the products are non-food. However, for leather products (footwear), EU Regulation no. 1007/2011 on textile fibre names and labelling applies. The main control institutions are: the Tax Authority (ANAF) (fiscal control), the Labour Inspectorate (ITM) (labour relations control), the Consumer Protection Authority (ANPC, according to Law 296/2004) – which checks correct labelling, compliance with EN standards, and the Trade Register for updating entries. For imports, customs rules (Romanian Customs Code) apply and customs duty is paid at the appropriate tariff code (e.g., 62, 64).
Fiscal management, ANAF audit risk and specific accounting
CAEN 4642 involves the obligation to submit Declaration 394 (e-Invoice) for B2B supplies, and enrolment in the RO e-Factura system is recommended to avoid penalties (from 1 June 2024, e-Invoicing is mandatory for domestic B2B supplies). The company will declare the fiscal vector at establishment, and subsequently will pay corporate income tax (16%) or micro-enterprise income tax (1% if turnover under EUR 500,000 and at least one employee). VAT applies at the standard rate of 19%, except for certain children's clothing items (reduced rate does not apply). Specific accounting involves recording goods at purchase price, inventory valuation using FIFO or weighted average cost (WAC), and adjustment for impairment (provisions). ANAF may initiate a tax audit regarding: justification of trade margins (verification by comparison with the supplier database), reality of inventories (physical inventory according to Order of the Minister of Public Finance 1802/2014), and correctness of import VAT. It is also recommended to prepare a transfer pricing file for transactions with related parties abroad (e.g., purchases from China) to avoid fiscal adjustments.
Included Activities
- ✅ Wholesale trade of clothing, including underwear, workwear and uniforms
- ✅ Wholesale trade of footwear, including boots, sports shoes and sandals
- ✅ Wholesale trade of clothing accessories: belts, scarves, gloves, ties, hats
- ✅ Wholesale trade of fur and leather articles (clothing and footwear)
- ✅ Wholesale trade of travel goods and leather goods (bags, suitcases) when sold together with clothing/footwear
- ✅ Storage and distribution of the mentioned products
Excluded Activities
- ❌ Retail trade of clothing and footwear (code 4771)
- ❌ Manufacture of clothing (codes 1410-1439)
- ❌ Manufacture of footwear (code 1520)
- ❌ Wholesale trade of travel goods and leather goods sold separately (code 4649)
- ❌ Wholesale trade of textiles (code 4641)
Similar or Related CAEN Codes:
From the same category of economic activities:
Întrebări Frecvente
Do I need special permits for wholesale trade of clothing and footwear?
No special operating permits are required, but you must register with the Trade Register and obtain the CAEN code. If you import goods from outside the EU, you will need an EORI number and must comply with customs regulations. For fur or leather products, check if CITES certificates are necessary.
What taxes and duties apply for this CAEN code?
The company pays corporate income tax (16%) or income tax (1-3% for micro-enterprises, depending on turnover), VAT (19% if VAT-registered), and social contributions for employees. If you import, customs duties and import VAT apply. I recommend consulting an accountant for tax optimization.