Mandatory VAT Registration: Do Free Transfers and Asset Liquidation Count Towards Taxable Supply Calculation?

• Free transfer and liquidation of assets are considered in calculating the total taxable supply amount for mandatory VAT registration.
• Registration as a VAT payer depends on the volume of supply transactions.
• The total amount from taxable supply operations exceeding 1000000 UAH in the last 12 months requires VAT registration.
• Taxable operations include those taxed at standard, reduced, zero rates, and exempt from VAT.
• Service supply includes any operation not considered a supply of goods.
• Goods supply includes any transfer of ownership rights, including sale, exchange, or donation.
• Liquidation of non-current assets by the taxpayer is considered a supply of goods.
• Free transfer and voluntary liquidation of non-current assets are included in the taxable supply calculation for VAT registration.

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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