The head office of the DPS in Kyiv informs that the right to charge tax and draw up tax invoices is granted exclusively to persons registered as tax payers in accordance with the procedure provided for in Art. 183 of the Tax Code of Ukraine (clause 201.8 of article 201 of the PKU).
A person is obliged to register as a tax payer with the controlling body at his location (place of residence) in compliance with the requirements provided for in Art. 183 of the Civil Code (except for a person who is a single tax payer of the first – third group) in the event that the total amount from transactions for the supply of goods/services subject to taxation in accordance with ch. V PKU, including operations for the supply of goods/services using a local or global computer network (in particular, but not exclusively by installing a special application or application on smartphones, tablets or other digital devices), charged (paid) to such a person during of the last 12 calendar months, collectively exceeds UAH 1,000,000. (excluding VAT) (clause 181.1 of article 181 of the Code of Civil Procedure)
Clause 187.1 of Art. 187 of the Civil Code defines that the date of occurrence of tax liabilities for the supply of goods/services is considered to be the date that falls on the tax period during which any of the events that occurred earlier occurs:
a) the date of the transfer of funds from the buyer/customer to the taxpayer’s bank account as payment for the goods/services to be supplied, and in the case of the supply of goods/services for cash – the date of posting the funds in the taxpayer’s cash register, and in the absence of such – the date of collection cash in a banking institution serving the taxpayer;
b) the date of shipment of goods, and in the case of export of goods, the date of issuance of the customs declaration certifying the fact of crossing the customs border of Ukraine, issued in accordance with the requirements of customs legislation, and for services, the date of issuance of the document certifying the fact of the supply of services by the taxpayer.
At the same time, according to para. 14.1.266 clause 14.1 of Art. 14 PKU cash method for taxation purposes according to ch. V PKU is a method of tax accounting, according to which the date of occurrence of tax liabilities is defined as the date of crediting (receiving) funds to the taxpayer’s accounts, opened in bank institutions and/or in bodies that provide treasury service of budget funds, to the taxpayer’s cash register or the date of receipt of other types of compensation for the value of goods (services) delivered (or those to be delivered) by him, and the date of allocation of tax amounts to the tax credit is defined as the date of debiting funds from the taxpayer’s accounts opened in bank institutions and/or in bodies, that carry out treasury maintenance of budget funds, the date of issuance from the taxpayer’s cash register or the date of provision of other types of compensation for the value of the delivered (or those
Taking into account the above, if the VAT payer has the first event (shipment of goods, execution of a document for the supply of services or crediting of funds from the buyer) occurred before his registration as a VAT payer, and the second event occurred after such registration of the VAT payer, then the VAT tax liability for such transaction is not accrued, provided that such a payer has not chosen the cash method of determining the tax liability.
If the VAT payer uses the cash-based method of determining tax liabilities, then in the event of receipt of payment for the supplied goods/services after its registration as a VAT payer, he is obliged to declare VAT tax liabilities and repay them in accordance with the procedure established by law.
In addition, if the payer, prior to his registration as a VAT payer, on the date of the first event, was obliged to register as a VAT payer, in connection with the achievement of the volume of taxable transactions of UAH 1,000,000, but did not register, then VAT tax liabilities are accrued , and the right to a tax credit is not granted.
Source: gov.ua
