9630

Authorization procedure and Trade Register aspects for NACE 9630

Setting up a company with the main activity of NACE 9630 (Funeral and related activities) requires compliance with strict formalities at the Trade Register (ONRC). When submitting the registration application, a sworn declaration under Law 359/2004 is filed, whereby the administrator confirms compliance with the legal conditions for carrying out the activity. Although Law 359/2004 does not require mandatory prior approvals for this NACE code, local authorities (town halls, DSP, ISU) may require operating or environmental permits depending on the specific nature of the activity (e.g., crematoria, cemeteries, funeral transport). When drafting the constitutive act, it is recommended to specify the exact activity, including secondary ones: funeral transport, cosmetology services, ceremony organization, sale of funeral articles. The administrator must submit the documents to the ONRC in person or through an authorized representative, and the legal processing term is 5 working days, but may be shorter if the simultaneous incorporation and tax registration procedure is chosen.

Regulatory framework, specific approvals and control institutions

Funeral activity is regulated by Government Ordinance no. 79/2002 on the legal framework of burials and funeral services, as well as by Law no. 276/2010 on the organization and conduct of funeral activities. The main control institutions are: town halls (for operating authorization and cemetery management), the Public Health Directorate (for transport and handling of corpses), the Traffic Police (for funeral vehicles), and in the case of cremation, the National Sanitary Veterinary Authority. It is mandatory to have appropriate premises equipped with a cold room, a wake room, and an office. For the transport of corpses, special authorization of the vehicle and staff training are required. Approvals from the DSP are obtained after verifying compliance with hygiene standards. Lack of these approvals entails contravention sanctions and even suspension of activity by the town hall. Additionally, it is prohibited to carry out the activity in premises that do not meet the minimum operating conditions provided by law.

Tax management, ANAF audit risk and specific accounting

From a fiscal perspective, companies with NACE 9630 are subject to the standard corporate income tax rate (16%) or, if conditions are met, the micro-enterprise income tax (1% or 3%, as applicable). Registration in the RO e-Factura system is mandatory for all invoices issued, regardless of threshold (according to the ANAF order). The tax base includes all income from funeral services, including those from transport, sale of coffins, wreaths, preparation services of the deceased, etc. Value Added Tax (VAT) applies at the standard rate of 19%, as funeral services do not benefit from special exemptions in Romania. ANAF may initiate an audit in case of discrepancies between declared revenues and those estimated based on the number of deaths in a locality. Specific accounting requires separate recording of expenses for funeral materials and services rendered. The administrator must file the single declaration (for authorized natural persons) or periodic declarations (D300, D101, D100). A major audit risk arises from non-declaration of services performed outside the cash register (mandatory electronic fiscal cash registers). Any cash transaction must be justified with supporting documents (invoices, receipts, contracts). The RO e-Transport system may apply to funeral journeys exceeding 50 km if coffins or materials are transported on large tonnage vehicles. To mitigate fiscal risk, written contracts for each service, keeping a death register, and strictly chronological invoicing are recommended. Improper recording of operations leads to reclassifications and significant fines.