5 Major Developments in Ukraine

5 Major Developments in Ukraine

• Zelenskyy signs laws on abolition of VAT, import duties for drone components

• The order of filling in Annex 3 “Calculation of Budget Refleration” to VAT tax return

• The number of risky VAT payers increases in Ukraine

• When the DPS can refuse to cancel VAT payer registration

• The procedure for VAT taxation under the supply contracts of goods/services

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Bad Debts (Relief for Underpaid Sales Invoices)

• Creditors were allowed to reduce VAT by the size of a dubious requirement

Bookkeeping

• Is it mandatory to obtain an excerpt from the VAT payer register?

Cryptocurrency and NFT

• Nuances of using the cash register method with VAT in case of payment by e-money

Customs

• Zelenskyy signs laws on abolition of VAT, import duties for drone components

• EU Extends Suspension of Duties on Imports from Ukraine

• Customs control: a return to wartime inspections is a new test for business

• Ukraine: Commission extends customs duty and VAT waiver on imports of life-saving goods for ten Member States

Deduction (Input Tax Credit)

• Is it necessary to adjust the tax credit or to charge the tax liability in the reorganization of the VAT payer?

• Can the amount of VAT included in the tax credit for the acquisition of goods destroyed as a result of hostilities can be included in the budget reimbursement?

• What is the procedure for forming a tax liability and a tax credit by VAT payers when carrying out an transaction to assign a claim?

• Is the invoice issued to the taxpayer for services rendered, the cost of which is determined by the indicators of accounting devices, a basis for assigning VAT amounts to the tax credit?

E-invoicing

• How are VAT payers transfer and receipt of tax invoices and adjustments to them, made in electronic form?

Exemption

• What is the procedure for taxation of factoring operations?

• How are reimport operations subject to VAT?

• Is VAT taxation subject to payment of insurance payments?

• Is the FOP – VAT payer exempt from submitting VAT tax returns in connection with mobilization to the Armed Forces?

• Is the VAT taxation of non -profit supplies?

• Are VAT tax exempt transactions for the supply of goods (works, services) to non -profit organizations, budgetary institutions, individuals who are not VAT payers or enjoy privileges?

• Is it necessary to charge VAT on the free transfer of goods of the Armed Forces of Ukraine?

• VAT benefits for IT business will not return

• Exemption from VAT and Import duties of components for drones: it is recommended to adopt laws

• Are VAT taxation exempted operations for the supply of technical and other rehabilitation facilities (their components), as well as cars for persons with disabilities?

• Proposed to exempt the import of components for drones from VAT and customs duties

• Ukraine: Commission extends customs duty and VAT waiver on imports of life-saving goods for ten Member States

• Power equipment is exempted from VAT and import duties

• VAT exemption for qualifying software supplies does not apply starting 1 January 2023

Export

• VAT rules for export of goods within the limits of commission contracts

Fraud / Tax Evasion

• When the DPS can refuse to cancel VAT payer registration

• The number of risky VAT payers increases in Ukraine

• The government has changed the risk criteria for VAT payers

Importation

• Nuances of release from VAT import components for drones

• How are reimport operations subject to VAT?
• Zelenskyy signs laws on abolition of VAT, import duties for drone components
• EU Extends Suspension of Duties on Imports from Ukraine
• Exemption from VAT and Import duties of components for drones: it is recommended to adopt laws
• Proposed to exempt the import of components for drones from VAT and customs duties

• Commission adopts exceptional and temporary preventive measures on limited imports from Ukraine

Invoice

• Nuances of VAT accrual on the rent of the utility

• Procedure for filling out the header part of the tax invoice when carrying out transactions for the supply of goods/services to a person who is not registered as a VAT payer

• What documents can the taxpayer authorize the person to sign tax invoices?

• Can tax invoices/adjustment calculations with the individual tax number of the buyer, who is not entered in the register of VAT payers, be registered in the ERPN?

• Are the services provided by the lessor of communal property for rent subject to VAT taxation, and how is the tax invoice drawn up for such transactions?
• Is the invoice issued to the taxpayer for services rendered, the cost of which is determined by the indicators of accounting devices, a basis for assigning VAT amounts to the tax credit?

Liability (Reverse Charge/Withholding)

• Supply of e-advertising services by a non-resident: what about VAT?

Place of Supply

• How is VAT taxed by a resident of a resident – VAT payer, which is located in the customs territory of Ukraine and belongs to the ownership of a non -resident?

• Supply of staffing services by a VAT payer to a resident/non-resident

• The procedure for taxation of transactions on VAT payer of resident/non-resident personnel services

• Providing non-resident freight forwarding services to the resident customer: what about VAT?

• What is the procedure for taxation of VAT operations to provide non-resident freight forwarding services to the customer-resident?

• Supply of e-advertising services by a non-resident: what about VAT?

Rate

• Is it necessary to charge VAT on the free transfer of goods of the Armed Forces of Ukraine?

• Supply of spare parts and accessories for cars: when is the zero VAT rate applied?

• Ukraine Proposes Reduced VAT Rate (20 to 10%) for Supplies of Dairy Products

• Initiative to cancel 2% single tax rate introduced for the period of martial law

Real Estate/Immovable Property

• Is the property management contract subject to mandatory registration by the VAT payer?

• What date does the seller have VAT tax liabilities when selling real estate if the date of transfer of ownership of such real estate and the date of payment for it are different?

• Expropriation by financial institutions of property acquired as a result of foreclosure on such property: what about VAT?

• Is the provision of communal property for rent subject to VAT?
• Provision of communal property for rent by the lessor subject to VAT taxation?
• Are the services provided by the lessor of communal property for rent subject to VAT taxation, and how is the tax invoice drawn up for such transactions?

Refund

• Current issues regarding documentary checks on budgetary VAT refunds

• Is it necessary to adjust the tax credit or to charge the tax liability in the reorganization of the VAT payer?

• Regarding the new deadline for audits of the budget VAT refund

Registration

• When the DPS can refuse to cancel VAT payer registration

• In what cases a person (except a non-resident person who provides electronic services to an individual in the customs territory of Ukraine) is subject to mandatory registration as a VAT payer?

• How do the VAT payer from the war zone to cancel registration?

• The procedure for submitting supporting documents for the registration application under f. No. 1-DAV sent by electronic electronic communications 

• From what point does the non-resident become a VAT payer?

• When can the DPS refuse to cancel the registration of a VAT payer based on an independent decision?

• How to renew registration by a VAT payer: jurisprudence

Reporting / Compliance

• How do the supplier and buyer reflect the cost of the container in VAT?

• Is it possible to correct the error made in Annex 7 to the VAT tax return?

• How are VAT amounts taken into account when determining the object of taxation from corporate income tax?

• Updated VAT administration procedures and the Registry for budget reimbursement applications, aligning them with the new e-wallet law

• The order of filling in Annex 3 “Calculation of Budget Refleration” to VAT tax return

• Nuances of submitting supporting documents f. No. 1-VAT

• On the peculiarities of the inclusion of the amount of negative value of VAT, formed based on the results of the reporting period, in the reduction of the amount of tax debt from the tax incurred in previous periods

• Nuances filling in Annex 2 to VAT Declaration

• What is the procedure for VAT taxation of factoring operations?

• Where is the VAT declaration a negative value with VAT?

• Does Table 2.1 of Appendix 1 to the VAT tax return show the amount of goods/services purchased related to the repair and improvement of non-current assets?

• Is the interest received on the deposit subject to be reflected in the VAT return?

• Is the deposit interest received by the taxpayer subject to be reflected in the VAT tax return?

• “VAT declaring to budget compensation” – a video from the DPS

• Display in the VAT declaration conducted by a chamber/documentary verification of which a tax notification-decision in the form “B4” was taken

• Transactions not subject to VAT: how to indicate them in the declaration?

• Deadlines for registration of VAT invoices have been extended

SAF-T (Standard Audit File for Tax)

• Submission of the standard audit file (SAF-T UA) with the tax authorities

Supply of Goods

• Does the customer charge VAT during the transfer of raw materials?

Supply of Services

Tax Point (When the Chargeable Event Occurs)

• The procedure for VAT taxation under the supply contracts of goods/services

• What date does the seller have VAT tax liabilities when selling real estate if the date of transfer of ownership of such real estate and the date of payment for it are different?

• What is the procedure for taxation of VAT transactions under a commodity loan agreement?

• How is the date of occurrence of software from VAT?

• Nuances of using the cash register method with VAT in case of payment by e-money

• Long -term contract: How is VAT software date determined?

Taxable Amount

• How do the supplier and buyer reflect the cost of the container in VAT?

• What price is considered normal for determining the VAT tax base?

• How is the VAT tax base determined in the case of import of goods into the customs territory of Ukraine in international postal and rapid records?

• Are VAT taxable transactions for sale and free delivery of gift certificates that provide for their exchange for goods/services?

• The buyer has returned some of the goods and the funds remain with the seller for another supply of goods: what about VAT?

• Do you pay VAT in the event of MNMA write -off?

• Application of the exchange rate to calculate VAT

• How is the VAT tax base determined in the case of import of goods in postal and express shipments?

• Federal Tax Service of Russia explained the specifics of determining the tax base

• What is the procedure for taxation of VAT transactions under a commodity loan agreement?

• Does the commission agent calculate VAT when receiving compensation from the principal?

Taxable Person

• From what point does the non-resident become a VAT payer?

Taxable Transaction

• What is the procedure for taxation of factoring operations?
• Is the property management contract subject to mandatory registration by the VAT payer?

• Brokerage services within the commission agreement: what about VAT?

• Does VAT be charged in the event of the transfer of property to operational leasing?

• Is the VAT taxation of non -profit supplies?
• Are VAT tax exempt transactions for the supply of goods (works, services) to non -profit organizations, budgetary institutions, individuals who are not VAT payers or enjoy privileges?

• Free receipt of goods from a VAT payer: will there be tax consequences?

• Is VAT taxation subject to free receipt of goods from a resident of a VAT payer or a non -payer/non -resident under a loan agreement?

• Is VAT taxation subject to free receipt of goods from a resident of a VAT payer or a non -payer/non -resident under a loan agreement?

• Expropriation by financial institutions of property acquired as a result of foreclosure on such property: what about VAT?

• Is the provision of communal property for rent subject to VAT?

• Provision of communal property for rent by the lessor subject to VAT taxation?

• Is the sale and free supply of gift certificates subject to VAT?

• Is VAT taxed in the authorized fund of another legal entity?

• Does the VAT commissioner charge when compensation from the commissioner for the purchase of a service for him from the VAT non -payer, is provided under the commission agreement?

Tax Authorities / Penalties

• The payer must provide access to e-carriers with PN during DPS checks

• Current issues regarding documentary checks on budgetary VAT refunds

• Liability of payers for violation of VAT payment deadlines

• Customs control: a return to wartime inspections is a new test for business

VAT Identification Number 

• Is it mandatory to obtain an excerpt from the VAT payer register?

Vouchers

• Sale and free supply of gift certificates: what are the VAT consequences?

• Is the sale and free supply of gift certificates subject to VAT?

War in Ukraine

• Nuances of release from VAT import components for drones
• Is the FOP – VAT payer exempt from submitting VAT tax returns in connection with mobilization to the Armed Forces?

• EU adopts 11th package of sanctions against Russia for its continued illegal war against Ukraine

• Supply of spare parts and accessories for cars: when is the zero VAT rate applied?
• Liability of payers for violation of VAT payment deadlines

• How do the VAT payer from the war zone to cancel registration?

• Exemption from VAT and Import duties of components for drones: it is recommended to adopt laws
• Can the amount of VAT included in the tax credit for the acquisition of goods destroyed as a result of hostilities can be included in the budget reimbursement?
• Proposed to exempt the import of components for drones from VAT and customs duties
• Federal Tax Service of Russia explained the specifics of determining the tax base
• Commission adopts exceptional and temporary preventive measures on limited imports from Ukraine
• Ukraine: Commission extends customs duty and VAT waiver on imports of life-saving goods for ten Member States
• Ukraine: Commission extends customs duty and VAT waiver on imports of life-saving goods for ten Member States