4689

Authorization procedure and Trade Register aspects for CAEN 4689

Establishing a commercial company with the main activity code CAEN 4689 – "Specialized wholesale trade of other products n.e.c." requires going through the standard registration steps at the Trade Register (ONRC), with the mention that this class is a residual one, intended for products that do not find their place in more specific classes (4681-4688). Authorization to operate is based on an affidavit in accordance with Law 359/2004, by which the manager attests to the fulfillment of legal conditions. No prior operating permits are required; however, if the products traded fall under sectoral regulations (e.g., waste, dangerous substances, pressure equipment), specific permits must be obtained. Upon registration, the registration sheet is completed with the detailed object of activity, and subsequently, the tax registration declaration (fiscal vector) is submitted to the Tax Authority (ANAF). For the registered office, proof of the right to use the space is required (lease agreement, loan agreement or ownership title), and for secondary offices the same procedure applies. In the case of goods with a special regime (e.g., tobacco, alcohol, excisable products), additional authorization rules apply from the competent authorities (ANAF – Customs Authority, Ministry of Health, etc.).

Regulatory framework, specific permits and control institutions

The activity of specialized wholesale trade for CAEN 4689 is governed by the Civil Code, Companies Law No. 31/1990, Law No. 359/2004 on simplifying registration, as well as general tax regulations. Since this class covers a wide range of products, control institutions may include: ANAF (for tax and customs inspections), the Public Health Directorate (if products with health impact, such as cosmetics or supplements, are traded), the National Environmental Guard (for waste or dangerous products), and the Consumer Protection Office (ANPC) – if selling to final consumers, although wholesale trade typically involves B2B relationships. For products such as construction materials, electrical equipment, or chemical substances, permits from the State Inspectorate in Construction (ISC) or the National Agency for Dangerous Chemical Substances and Preparations may be required. It is mandatory to comply with Regulation (EU) No. 1907/2006 on chemicals (REACH) and the classification of products according to the Globally Harmonized System (GHS). Also, the transport and storage of certain goods may require specific authorizations from the Fire Department (ISU) or road authorities. Otherwise, the company risks fines and suspension of activity.

Fiscal management, ANAF audit risk and specific accounting

Proper VAT registration is essential; if the exemption threshold (RON 300,000 for small taxable persons) is exceeded, VAT registration is required. Invoicing is done through the RO e-Factura system (mandatory from 2024 for B2B relationships). Accounting must reflect acquisition costs, transport expenses, commissions, and ensure stock traceability. The use of FIFO or weighted average cost methods for stock valuation, according to OMPF 1802/2014, is recommended. Profit is taxed at the standard rate of 16% (or 1% on revenue for micro-enterprises, subject to conditions regarding the number of employees and revenue). The risk of an ANAF audit is increased in the case of intra-Community transactions with products classified outside specific classes, which may be subject to checks on the reality of operations and transfer pricing if transactions are carried out with related parties. For seasonal or perishable products, provisions for inventory depreciation must be set up. Additionally, if the company carries out acquisitions from outside the EU, it must comply with customs regime and summary declarations. Any non-compliance in the application of tariff codes may lead to reclassification and penalties. A lawyer specialized in commercial law recommends drafting framework contracts that include clauses on guarantees, payment terms and liability for defects, to reduce litigation risks. Permanent monitoring of legislative changes (e.g., updates to CAEN classification) is mandatory to maintain compliance.