- VAT payers can return excess funds transferred to the VAT Electronic Administration System by filling out Appendix 3 of the VAT declaration which includes a statement for the return of funds
- According to the tax code, funds from the VAT payer’s account in the electronic administration system are transferred to the state budget for the amount of VAT liabilities due for the reporting tax period and to the payer’s bank account as declared to the tax authority in the VAT tax report
- The process of transferring excess funds to the payer’s bank account occurs if the declared VAT liabilities for the supply of goods or services in the reporting period are less than the tax amount indicated in the registered tax invoices
- The mechanism for transactions with the budget using electronic accounts is defined by the VAT Electronic Administration Order approved by the Cabinet of Ministers resolution dated October 16, 2014, with amendments
- If the amount in the electronic account exceeds the amount due to the budget on the date of submitting the tax declaration, the taxpayer can request the transfer of the excess funds to their bank account or to the budget to cover any tax debt starting from July 1, 2015
- The tax amount is reduced by the amount that is to be transferred to the budget to cover the tax debt starting from July 1, 2015, or to the taxpayer’s bank account on the date of the declaration
- The transfer of funds to the taxpayer’s bank account can occur if it does not result in a negative tax amount as per the regulations
- For the appropriate transfer of funds, the Tax Service sends a register to the State Treasury Service listing the taxpayer’s name, tax number, and the amount of tax to be transferred to the budget or the taxpayer’s bank account
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.
