Steps to follow after setting up the PFA
Once the PFA is registered, a few more steps are needed to be able to start the activity. Among them, the PFA will have to get a stamp. This procedure is quite simple, the stamp can be purchased from any company that sells stamps based on documents issued by the Trade Register.
Then, the PFA will have to be registered with ANAF, including for VAT purposes. From here, the company will receive an invoice, a receipt, an entry-exit register and an inventory register.
You can count on our agents specialized in company establishment for more information related to the procedures to start the activity in the form of a PFA.
Taxation of a PFA
Although it benefits from simplified accounting, the PFA must be subject to well-established rules. Thus, the PFA can opt for single-entry or double-entry accounting, in compliance with the laws in this regard.
When setting up a PFA, two tax rules can be taken into account: the one in the real system and the one in the income norm. From these two, the right one will be chosen. A PFA must consider the payment of the following taxes and duties:
- the 10% tax that applies regardless of the chosen taxation system;
- pension contributions of 25% of the minimum tax threshold or a threshold chosen by the PFA;
- 10% health contributions calculated at the minimum wage per economy;
- the single tax returns are submitted until July 31 of the current year for the last year.
How long does it take and how much does it cost to set up a PFA?
The time required to set up a PFA is relatively short, requiring:
- one day for the preparation of all the documents necessary for the establishment of the PFA, including the reservation of the name;
- obtaining the land book extract for the right of use on the registered office takes approximately 3 working days;
- the submission of the file to the Trade Register and the issuance of the registration certificate takes around 4 working days;
- the registration at ANAF will take another day, after which the company will be able to start operating.
Regarding the costs of setting up a PFA, they are lower compared to those of an SRL or SA. Also, it is not necessary to hire an accountant to keep accounting records.
If you need help setting up a PFA, do not hesitate to contact us. We remind you that we are at your disposal with establishment services for other types of companies, such as SRL and SA, and hosting headquarters.