Attempt number two: what should the agrarians expect from the updated system for blocking tax invoices?

Submitted by bashun on Wed, 04/04/2018 - 14:44

The Cabinet promises that problems with reporting will only be for fictitious entrepreneurs with lost passports. But does the SFS know about this?, agravery.com reported.

Since March 22, the system for monitoring and blocking tax invoices has been renewed. It had to start working on March 1, as required by the amendments to the Tax Code, which were adopted on December 7 last year. The delay occurred because the criteria for blocking the tax reporting had to be finalized because of the claims of business representatives and the tax committee of the Verkhovna Rada, the Finance Ministry explained. Therefore, for example, only on February 21 this year the Cabinet was able to adopt resolution No. 117 on the order of operation of the system for monitoring and blocking tax invoices. According to experts, the text of this resolution is written out perfectly. But problems in the work of the SFS can cross out everything.

Blocking tax invoices for "risky" operations began on July 1, 2017. Since then, problems with reporting have started in medium-sized agro-enterprises that grow grain and vegetables and have from 500 thousand UAH to 5 million UAH of trade turnover per month.

On October 6, 2017, the Ministry of Finance issued an order No. 716, which formally "removed" agrarians from the system of blocking tax invoices. Agroproducers were allowed to submit a technological card with information about their enterprise together with tax reports. If an enterprise processes a minimum of 200 hectares of arable land, it was entitled to a special regime for VAT or received subsidies in 2017, did not change its manager for the last year, the invoice must not be blocked. Suppliers of agrochemistry and building materials did not receive such benefits. Through the purchase of such goods, agrarians had problems submitting reports to the SFS until the end of December last year. On January 1, 2018, the SFS terminated the monitoring and blocking of tax bills, as required by Law No. 6776-d "On Amendments to the Tax Code" of December 7, 2017.

After several months of work, the fiscal authorities decided that first of all they would determine the "riskiness" of the supplier's enterprise. Last year, tax officials primarily determined the "fictitiousness" of the operation, which caused the most criticism of the real sector of the economy, Olena Krupnova, deputy head of the Main Directorate of the SFS in Kyiv said. According to her, an enterprise registered in the territories occupied by Russia, or registered for a lost passport or for a frontman, will be considered as "risky". Also, if an enterprise is registered for a person convicted of a fictitious business, or if it is registered less than three months ago.

Tax specialists also need to monitor the "riskiness" of trading operations. Decree No. 117 significantly expanded the list of such operations, in particular for the agricultural sector. In addition to suppliers of crop and livestock products, as "risky" will also be considered manufacturers of sugar, sunflower, beer, chocolate and bakery products. For agrarians, it will be problematic to buy not only mineral fertilizers but also organic fertilizers or unprocessed ammonia. Also, building materials and tractors. The list of "risky" also included services for the transport of goods by road and rail.

Demchenko promises that tax specialists will analyze first the origin of this product or service, and only then - the "fictitiousness" of the operation, overhead delivery or quality certificates. If the farmer processes at least 200 hectares of land, was a participant in the special regime of VAT or received subsidies in 2017, and grows grain, vegetables, or engaged in livestock and poultry, he can submit a technological table describing his production activities. It is necessary that agrarians can prove the "authenticity" of the origin of their products and avoid further questions from the SFS. Such documentation will be automatically taken into account by the tax authorities, Demchenko said.

Tax agribusinesses with a turnover of up to 30 million UAH per month will unblock the regional commissions of the SFS, more than 30 million UAH - the central office of the SFS in Kyiv, which was given the right to cancel decisions of the regional commissions. At the same time, the SFS should maintain an open register of "blocked" tax bills. If the fiscal authorities do not have time to consider the complaint within 5 days, the accounts will be considered filed, the text of the Resolution of the Cabinet of Ministers No. 117 states.

According to Liudmyla Demchenko, it is too early to speak about the effectiveness of the updated monitoring system and the blocking of tax invoices. According to her, in Kyiv, a third of all Ukrainian entrepreneurs are registered. And for the past two weeks, the business with the Kyiv residence permit has filed only 300 complaints of blocking from 4,000 tax invoices. "The system of monitoring and blocking tax bills has stopped harming real business. Now there are only 5% of blocked overheads of the real sector, in the past it had been 40-50%," she commented.

Agrarian producers have not had any problems with the blocking of tax bills this season, according to a survey of profile agrarian associations, which was conducted by Agravery.com. According to the head of the Ukrainian Society of Economic Freedoms, Marian Zablotskyi, problems with filing fiscal statements with farmers can begin during the harvest period, when the active period of crop sales and purchases of agrochemicals and other necessary resources will begin.

In the SFS itself, it is assumed that there may be problems in the work of commissions on unlocking tax invoices. In particular, due to the legal ignorance of the businessmen themselves. For example, says Demchenko, entrepreneurs have already begun to submit their technological cards, without waiting for the blocking of their invoices. The SFS specialists need some time to review such documentation and find out that there is no need for it in its filing. But such incidents are expected to correct fiscals thanks to regular seminars, which businessmen from all spheres of Ukrainian economy will attach to.

English

Read more