- When an intangible asset is written off due to the impossibility of obtaining further economic benefits, the VAT payer must accrue compensating tax liabilities.
- Intangible assets are considered goods for VAT purposes, and their write-off is treated as a supply.
- The taxpayer must calculate tax liabilities based on the tax base and issue a consolidated tax invoice by the end of the reporting period.
- The write-off is considered a supply at regular prices, but not lower than the book value at the time of liquidation.
- The taxpayer must comply with the requirements of Article 198.5 of the Tax Code of Ukraine when writing off intangible assets.
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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