VAT Obligations for Enterprises with Taxable and Exempt Operations: When Are Compensatory Liabilities Required?

• The enterprise conducts both taxable and VAT-exempt operations.
• If goods purchased by the enterprise are intended solely for use in taxable VAT operations, there is no need to accrue compensatory tax liabilities.
• According to the tax code, the taxpayer must accrue tax liabilities based on the tax base and register a consolidated tax invoice by the deadline.
• This applies to goods, services, and non-current assets acquired or manufactured with VAT if they are used in non-taxable VAT operations or non-business activities.
• If goods are intended solely for taxable VAT operations, there is no need to accrue tax liabilities as per the tax code.

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.