- The company provides processing services for non-residents, using both customer-supplied raw materials (90% of the cost) and its own raw materials (10%).
- The processing is done under the customs regime of processing on the customs territory, which allows for the re-export of the processed products.
- Ukrainian goods, except for fuel and energy, cannot be used during the processing of foreign goods.
- The processed products must be declared to customs authorities, including a list of Ukrainian goods used and their quantity and value.
- Ukrainian goods fully used during processing should be placed under the customs regime of export.
- From a VAT perspective, there are three economic operations involved: re-export of processed products, provision of processing services, and export of Ukrainian goods used during processing.
- Separate VAT invoices need to be prepared for each of these operations.
- For re-export of goods, the VAT invoice should be prepared based on the actual supply price and marked as “Composed for operations of exporting goods beyond the customs territory of Ukraine.”
- The recipient (buyer) should be indicated as the non-resident’s name and country of registration.
- The VAT rate code for the invoice should be 903, and the corresponding VAT exemption code should be indicated in accordance with the VAT directories.
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.
