Reporting Unpaid VAT Amounts Due to Tax Exemptions in Tax Declaration

• The amount of VAT not paid to the budget due to tax benefits is indicated in section 4 (D5) of the tax return.
• If the amount is negative, section 4 (D5) should not be filled out.
• The procedure for determining the amount of VAT not paid to the budget due to tax benefits is outlined in section V1 of Order No. 21.
• The accounting of the unpaid VAT due to tax benefits is regulated by the Tax Code of Ukraine.
• Information about the unpaid VAT is calculated according to the specified procedure and is recorded in Table 2 (D5) for tax-exempt transactions.
• If the tax benefit code is not available, a conditional code “99999999” is used in the tax return.
• The calculation of unpaid VAT for tax-exempt transactions is done using a specific formula outlined in Order No. 21.
• The formula includes factors such as the volume of transactions, purchases without VAT, and tax obligations.

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.

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