- Use of goods in non-taxable VAT operations is less than 0.01 percent
- No tax obligations are accrued if the usage share is below 0.01 percent in the first month
- Large VAT payers often use goods for both taxable and non-taxable operations
- Rules in Article 199 of the Tax Code require calculation of usage share and tax obligations
- If non-taxable operations are less than 0.01 percent, no tax obligations are accrued
- Tax obligations are based on the calculation from Article 189.1 of the Tax Code
- The calculation is submitted with the VAT tax declaration in Appendix 5
- Appendix 5 is mandatory in certain periods and situations
- If the share changes and exceeds 0.01 percent by year-end, tax obligations are adjusted
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.