- Taxpayers requested a consultation on whether budget financing amounts received under code 2610 should be included in the VAT base
- The State Tax Service of Ukraine considered the request and stated that the main activities of the taxpayer include supplying drinking water, collecting and storing solid household waste, providing other communal services, and maintaining community facilities
- The taxpayer receives budget financing under code 2610 for maintenance, repair of playgrounds, cemeteries, street cleaning, etc.
- The taxpayer requested an individual tax consultation on the inclusion of budget financing amounts received under code 2610 in the VAT base
- Taxation matters are regulated by the Tax Code of Ukraine
- Budget funds are funds of the budget that are received and spent in accordance with the law
- Recipients of budget funds are entities authorized to use the funds for budget programs
- Tax, statistical, and other reports based on accounting data are required by law
- The legal basis for VAT taxation is set out in the Tax Code of Ukraine
- VAT is applicable to transactions of VAT payers for the supply of goods/services within the customs territory of Ukraine, including free transfers
- Services are defined as operations that are not the supply of goods, including intellectual property rights and other intangible assets, as well as services consumed during a specific action or activity
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.
