9311

Authorization procedure and Trade Register aspects for CAEN 9311

Opening a company that operates under CAEN code 9311 (Activities of sports facilities) requires going through the standard registration procedure at the Trade Register (ONRC), but with a few specific features. When submitting the file, you will complete the affidavit according to Law 359/2004, by which the administrator confirms compliance with the legal conditions for operation. No prior approval from the Ministry of Sports is required for registration, but it will be requested later for sanitary and fire safety authorization. In the articles of association, the main object of activity must be clearly defined as 'Operation of sports facilities', and secondary codes may include 9312 (Activities of sports clubs) or 9329 (Other recreational activities). Note: if the sports facility also includes accommodation spaces, code 5520 (Holiday and other short-stay accommodation) must be added. For renting out fields to other entities, it is recommended to mention code 6820 (Renting and operating of own or leased real estate). Upon completion of registration, you will receive the unique registration certificate and the extract from the Trade Register, and later you will request the fiscal vector from the Tax Authority (ANAF), which will set the frequency of declarations (monthly/quarterly).

Regulatory framework, specific permits and control institutions

The activity of sports facilities is regulated by the Law on Physical Education and Sport no. 69/2000 and by the Order of the Ministry of Sports no. 13/2016 approving the Norms on the classification and authorization of sports facilities. According to the law, sports facilities are authorized by the county directorates for sports, based on a technical opinion issued by the specialized federation (if applicable). For sports facilities that do not host official competitions, the authorization is obtained from the local town hall, through the urban planning department. The main control institutions are: ANAF (for tax matters), ISU (fire safety authorization - mandatory for spaces with more than 50 people), DSP (sanitary operating authorization, according to Ordinance 19/2006) and ITM (compliance with occupational safety rules). For sports facilities that include swimming pools, an opinion from the ANPC (National Authority for Consumer Protection) for water quality is added. Do not forget that for organizing sports events with an audience, a temporary authorization from the town hall and an opinion from the Local Police must be obtained.

Fiscal management, ANAF audit risk and specific accounting

From a fiscal perspective, the revenues of a sports facility come from: renting out fields/halls, subscriptions, entrance fees, event organization, sponsorships, etc. Taxation is standard: corporate income tax 16% (or income tax 1% for micro-enterprises, if conditions are met), VAT 19% if turnover exceeds 300,000 lei (exemption threshold). Attention to renting out fields: if the operator is not the owner, the rent paid to the owner is deductible as an expense, but a 10% withholding tax is levied at source (if the owner is an individual) and declaration 100 is submitted. High ANAF audit risk: verifying whether revenues qualify as sports activities (exempt from VAT? No, sports activities are exempt from VAT only if provided by non-profit entities under art. 292 of the Fiscal Code. Commercial companies charge VAT normally at 19%. Also, sponsorships receive special tax treatment (deduction of corporate income tax by 20% of the sponsorship value, limited to 0.75% of turnover). Specific accounting: you must keep separate records for each type of revenue (rent, subscriptions, events). Deductible expenses include: amortization of land (land is not amortized, only buildings and equipment), maintenance costs, utilities, salaries, insurance. For sports facilities with swimming pools, monitoring water consumption and chemical products is required. I strongly recommend using accounting software that manages subscriptions and issues automatic invoices through the RO e-Factura system, mandatory for all B2B operations as of 1 January 2024. Do not forget the single declaration (form 212) for the sole associate or administrator (if they have income from dividends or other sources). In the case of thematic fiscal controls, ANAF will mainly verify: the reality of recorded revenues (no under-invoicing for rentals), correctness of deductions (no inclusion of personal expenses), and compliance with obligations regarding cash registers (use of journalized fiscal devices for cash receipts). Penalties for failure to issue fiscal receipts can reach up to 10,000 lei.