The Verkhovna Rada adopted as a basis a bill that simplifies VAT administration. The document provides for raising the threshold for unscheduled tax audits from UAH 100,000 to UAH 1 million, and also allows individual entrepreneurs who are VAT payers to independently choose their reporting period. UNN reports this, citing a parliamentary session.
Details
Draft Law No. 16037-d "On Amendments to the Tax Code of Ukraine Regarding the Simplification of Value Added Tax Administration" was adopted as a basis by 264 lawmakers.
Under the draft law, it is proposed to increase the threshold amount constituting grounds for conducting a documentary unscheduled audit concerning a VAT payer's declaration.
Currently, a documentary unscheduled audit is conducted when at least one of the following grounds exists, in particular: the taxpayer has submitted a declaration claiming a value-added tax refund from the budget and/or reporting a negative value for value-added tax exceeding UAH 100,000.
The bill proposes raising this amount to UAH 1 million.
It is also proposed to allow individual entrepreneurs registered as VAT payers to independently choose their reporting period: a month or a quarter.
For individual entrepreneurs wishing to choose a quarterly reporting (tax) period who submit the relevant application within 15 calendar days of registering as a taxpayer, the first reporting (tax) period is the period that begins on the date of such registration and ends on the last day of the first full calendar quarter.
The reporting (tax) period is changed by submitting an application to choose a reporting (tax) period.
Reminder
Since August 14, a new stage of bank monitoring of transactions involving newly established and long-inactive individual entrepreneurs and legal entities has come into effect in Ukraine. The enhanced monitoring will apply to new and "dormant" individual entrepreneurs.