- Reorganization of a legal entity
- VAT payer: no need to adjust the tax credit or charge conditional liabilities
- A VAT payer undergoing reorganization through merger, consolidation, transformation, division, or spin-off does not adjust the tax credit or reduce VAT
- According to tax authorities in Cherkasy region, registration of a taxpayer remains valid until cancellation, which occurs when the taxpayer decides to liquidate and settles tax obligations
- If goods/services, non-current assets, or tax amounts included in the tax credit were not used in taxable transactions, the taxpayer must determine tax liabilities based on the usual price of such goods/services or assets
- Reorganization operations of legal entities (merger, consolidation, division, spin-off, transformation) are not subject to taxation
- A VAT payer must calculate tax liabilities based on the tax base determined according to the law when goods/services or assets start being used in non-taxable transactions
- A VAT payer undergoing reorganization through merger, consolidation, transformation, division, or spin-off does not adjust tax liabilities or reduce tax credit for transactions involving goods/services or assets not used in taxable transactions.
Source: news.dtkt.ua
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
