Romania is an important exporter of cars, with producer Dacia occupying the leading position in this subsector. Other notable categories of exports include foodstuffs, cereals, wood, furniture, clothes, and accessories as well as many others. As far as the imports are concerned, the country is a recipient of various types of equipment and parts as well as packaged medicaments, among others.
In this article, our Romanian lawyers answer the most basic questions that are of interest to any foreign investors who are willing to start an import/export business in the country. Please keep in mind that this information is not exhaustive and, in some cases, additional details may be needed, especially with regards to the import of certain goods.
Our agents specialized in company formation in Romania are able to assist entrepreneurs who are interested in opening an import and/or export company. The country has important potential in this field and further infrastructure developments would make the sector even more attractive to foreign investments.
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What are the steps in opening an import-export company in Romania?
The steps for opening up an import-export company in Romania are presented below by our lawyers in Romania:
- Setting up a company that has import-export as object of activity: for more information on the registration of a company, please read our team’s article on the subject and contact our lawyers for further details.
- Register as a VAT payer: our law firm can offer consultation and assist you in the process of obtaining the required documents for VAT registration in Romania. You can also read our article on the Registration for VAT purposes.
- Register to the Register of intra-community trade operators: this is a mandatory step for transactions with customers within the EU.
- Registration and attainment of the EORI code: the code is used to track customs information across the EU and it is also used in non-EU transactions.
- Obtain special licenses: if the traded products are subject to import or export licenses acquirement, you must obtain the specific license.
Our Romanian lawyers specializing in company formation can assist you throughout all of these procedures.
Who needs to obtain an EORI number?
Persons who are required to request the assignment of an EORI number are:
- economic operators (persons who, in the course of their professional activities, develop activities regulated by customs legislation, such as the import, export, transit, storage, representation and operations prior to the arrival / departure of the goods which are inserted / removed from the Community);
- persons other than economic operators who place / remove goods to / from EU.
In Romania, the competent authority for registering and assigning EORI numbers is the General Directorate of Customs. EORI numbers will be required to the regional customs departments in whose territorial jurisdiction the headquarters are established or, in exceptional cases, at the border customs offices. In Constanta, the competent authority is the Regional Customs Directorate of Constanta.
The procedure for acquiring the EORI number presented by our Romanian lawyers
In order to assign the EORI number, the person concerned is required to submit an application for registration.
This application is available on the website of the Romanian Customs Authority.
Persons established in Romania will be submitted to support the application to the Regional Customs copies of the following documents:
- the economic operator’s registration certificate issued by the Trade Register or registration documents issued by competent authorities in this regard;
- registration certificate for VAT purposes issued by the Ministry of Finance;
- document showing the registered office or actual tax residence, as applicable, if it does not match the one entered in the shown certificate;
- ID card, for physical persons.
The experts at our Romanian law firm can assist with this registration.
What is the procedure of registration to ROI?
In order to register to the ROI (Romanian Intracommunity Operators), taxpayers must complete and submit to the competent tax authority Form “Application for registration / deregistration from the Register of intra-community trade operators”, as well as criminal record certificates issued by the competent authority in Romania of all members, except for joint stock companies, and managers.
In the case of joint stock companies, including limited by shares, which place their business in Romania, in order to register to the ROI, will present the criminal record of the directors, not the shareholders.
Taxpayers applying for the Register of intra-community trade operators on the same date of registering for VAT purposes must submit the registration application along with form 098 “Application for registration for VAT purposes”, or, where appropriate, registration statements tax / claims requiring registration for VAT purposes, to the competent tax authority.
Are there any NACE codes required?
In order for your company to make community acquisitions, you are required to possess the corresponding NACE codes for the type of goods you want to bring to Romania.
COMPANY FORMATION IN ROMANIA
Our Romanian layers have answered some of the most important questions concerning the requirements for companies that engage in the trade of goods. Investors are required to observe these, however, before they can complete the EORI registration steps or registering the right NACE numbers for their business activity, they must first open a company in Romania. The objective of the company will naturally be imports and exports. For this purpose, the two suitable business forms are the private and the public limited liability company, the SRL and the SA. These offer an important advantage over other business forms, namely the fact that the liability of the shareholders extends only to the amount of capital they have invested in the company. Moreover, under one of these two business forms, the credibility of the company will be sufficient for trading outside of the country and signing contracts with different import/export partners or customers.
The steps for company formation in Romania are the following:
- Choose the business form: as previously stated, investors in this business field will choose between the SRL – with the lower capital requirements – and the SA.
- Reserve the name: the desired company name is to be checked with the National Trade Register Office and then reserved.
- Choose the registered office: the company will need to have a registered office in a Romanian city of choice; this address is used for registration and correspondence.
- Prepare the company documents: these are the Articles of Association, the name reservation proof, the registration request form, filled in, the company administrator’s statement, the founder’s identification documents and others.
- Actual registration: once all the documents are complete and the share capital is deposited into a corporate bank account, the company may be registered with the National Trade Register Office.
- Other steps: obtaining a company stamp as well as making any other necessary registrations with other authorities.
Import and export company requirements in Romania
A company that activates in the import and export sector will be required to comply with all of the ongoing requirements for taxation and annual reporting. The usual corporate income tax in the country is 16%, with smaller rates applicable to micro companies. Other corporate taxes include the withholding taxes on dividends, interest and royalties, the social security contributions, real property tax and the payroll tax.
An import/export company will generally work with a tax year the same as the calendar year for accounting purposes. Corporate income tax compliance takes place on a quarterly basis and each taxpayer is required to file its own tax return. Our lawyers in Romania ca provide complete details on the general and the specific requirements for import/export businesses in the country.
According to the National Statistical Institute, the following figures apply to Romania’s trade volume:
- 67.733.138.000 Euros exports value in 2018;
- 62.644.081.000 Euros exports value in 2017;
- 82.866.827.000 Euros imports value in 2018;
- 75.603.930.000 Euros imports value in 2017.
Romania’s top trading partners include Germany, Italy, France, the United Kingdom or Hungary for exports with the top import origins being Germany, Italy, Hungary, France and Poland.
Our team of tax attorneys in Romania can provide more detailed information about the taxation regime and about the VAT registration requirements. Do not hesitate to reach out to us if you have any specific questions concerning taxation for import and export companies.
For any information regarding this subject, do not hesitate to contact our law firm in Romania. One of our lawyers will offer you proper legal consulting in accordance to your needs.