Accounting for advance transactions in the VAT return

What is VAT calculated?

Activities subject to VAT are any activities leading to an increase in the cost of a production product. In other words, when producing products, goods or any services, the seller sells them at a price higher than their cost.

VAT accrued arises upon sale and is taken into account in account 68 “Calculations for taxes and fees”, on the loan.

When selling products for the main activity of the enterprise, revenue is reflected in passive subaccount 90.1.1, and active subaccount 90 is used to reflect the amount of tax.

When selling in addition to the main activity (for example, when selling fixed assets), revenue is similarly reflected in account 91 “Other income and expenses”.

The trading company sells purchased goods in the amount of 236,000 rubles, as well as fixed assets, the sales amount is 178,000 rubles.

When selling goods, VAT is charged on the transaction:

When selling OS, VAT is charged on the transaction:

https://youtu.be/IVGa9znYj3U

Additional VAT calculation - postings

After receiving the inspection report, such amounts can be included in the cost price if this amount is already included in the calculation of income tax (letter of the Ministry of Finance of Russia No. 03-07-11/222 dated 06/07/08). In all other situations, according to tax authorities, additional accrued VAT cannot be included in expenses on the basis of paragraphs. 19th century 270 of the Tax Code of the Russian Federation, where it is clearly defined that it is not permissible to accept tax charged to the buyer as expenses. But there is an opinion that VAT, like any other tax, can be attributed to other expenses associated with production and sales, which reduce the tax base for profit (paragraphs

1 clause 1 art. 264 of the Tax Code of the Russian Federation). Even the courts in such cases sometimes side with the taxpayer (Resolution of the Federal Antimonopoly Service of the North Caucasus District No. A32-5096/2007-12/27 dated 08/10/09). But inspectors are required to take these adjustments into account in the inspection report. Although, even if the tax authorities did not do this, the company does not need to adjust old declarations, but needs to reflect the changes in the current period according to the general rules established in the Tax Code of the Russian Federation (clause 1, article 54). For example, a company conducts activities subject to VAT and preferential transactions. Tax authorities refused to deduct VAT on goods that are classified as non-taxable transactions. This means that the company had to take these amounts into account in the cost of goods and write them off as expenses (clause 2 of Article 170 of the Tax Code of the Russian Federation). Therefore, the identified error led to an overpayment of income tax. This means that VAT amounts can be included in current expenses on the date the tax authorities’ decision comes into force. There is no need to submit a clarification. On the date of entry into force of the decision of the court or the Federal Tax Service of Russia, additional taxes or contributions must be assessed. But only in the part that is indicated in the final decision, if you are not going to challenge it.

VAT recoverable

Input VAT or VAT refundable (deductible) is the amount paid to the supplier as part of the purchased goods. In delivery documents, the tax amount is shown separately, on a separate line.

The same company purchases its goods from the supplier Panda LLC at a wholesale price. Let's assume that a batch of goods purchased earlier for the amount of 156,000 rubles was sold, including VAT - 23,797 rubles.

Posting for VAT reflection:

The following transactions are accepted for VAT deduction:

In this way, you can calculate the amount of tax that Orion must pay to the budget. This amount is calculated as “VAT accrued” minus “VAT deductible”. This difference is equal to 36,000 rubles. — 23,797 rub. = 12,203 rub.

Income tax

When adjusting expenses, keep the following in mind. Since costs were underestimated in the previous tax period, no corrections need to be made in the current year’s tax accounting. There is also no need to submit an updated declaration, because the inspectors have already assessed an additional amount of tax and reflected it in the budget settlement card.

Sometimes expenses that are not accepted in tax accounting need to be canceled in accounting (for example, if depreciation of fixed assets is incorrectly calculated). Then in the accounting of the current period it is necessary to show the profit of previous years. Because of this, a permanent negative difference is formed, which generates a permanent tax asset (PTA).

Example 2 In 2011, the organization underwent an on-site inspection. The decision based on its results states that in 2010 the organization transferred 300,000 rubles to the accounts of dubious suppliers. This amount was excluded from expenses, and additionally accrued income tax amounted to 60,000 rubles (300,000 rubles x 20%). In addition, in 2009, both in tax and accounting, the company overestimated the depreciation of fixed assets by 70,000 rubles. In this regard, inspectors assessed additional income tax in the amount of 14,000 rubles (70,000 rubles x 20%). The accountant determined that these amounts are immaterial. The following entries appeared in the registers for 2011:

If income is also underestimated in accounting, then in the current period it is necessary to reflect the profit of previous years and show a permanent tax asset. If income is formed correctly in accounting, then there will be no adjustments in the current period (see table).

Income tax adjustments and entries

Question

We have operations with VAT and preferential operations (supply of medical equipment - without VAT). When selecting documents, it was established that there is equipment that will be taxed at a rate of 18%. How to correctly reflect the restored VAT in accounting. What wiring needs to be done? We found it ourselves without checking. We have already submitted an amendment and paid both VAT and penalties. The question is how to correctly reflect it in accounting.

Answer

Additional accrual of VAT and tax penalties in accounting is accompanied by the following entries:

— additional VAT amount has been accrued (tax penalties have been accrued).

D 99 - K 68 Additional income tax was charged (tax under the simplified tax system, UTII, Unified Agricultural Tax) VAT was not charged on sales D 90 (91) - K 68 Additional VAT was charged. Account 91 is used if: - or income from sales for which VAT was not charged is recorded on this account; VAT has not been restored D 19 - K 68 VAT has been additionally charged D 91 - K 19 Recovered VAT has been included in expenses Input VAT has been wrongfully accepted for deduction (the violation was committed in a year for which reporting has not yet been signed) REVERSE D 68 - K 19 VAT has been additionally charged D 20 ( 26, 44, 90, 91) - By 19 Input VAT is written off as costs (expenses). The posting is made if the cost of the object (goods, work, service) to which VAT applies has already been written off as costs (expenses). The same account is debited to which the cost of this object is written off D 01 (04, 10, 41) - K 19 Input VAT is included in the cost of the object.

VAT on advances received

Flamingo LLC received an advance payment from the buyer in the amount of 98,000 rubles against the upcoming delivery of goods. The amount of VAT intended for restoration to the budget: 98,000 * 18/118 = 14,949 rubles.

VAT on advances received transactions::

After the sale has taken place, that is, the goods have been shipped to the buyer, or after canceling the transaction and returning the advance payment, this VAT can be deducted.

VAT on transaction advances:

Reinstatement of previously deducted tax

It happens that VAT on acquired assets is initially deductible, but then it has to be restored. A typical example is receiving an advance payment. If the supplier deducts tax from the advance payment, then after shipment he must restore this amount. An entry is made to restore VAT previously accepted for deduction: Dt 60 - Kt 68.

The second example is that an entity with OSNO switches to a simplified tax regime. He should restore the tax on the balance of goods and fixed assets, if it was accepted for deduction. In such circumstances, it is advisable to make the following entry: Dt 91 - Kt 68.

Thus, the restored tax is accumulated under the credit of account 68 and increases the organization’s obligations to the budget.

VAT on advances issued

An organization has the right to receive a VAT deduction from advances transferred towards future deliveries if there is an SF and the contract specifies the condition for advance payment.

against the upcoming receipt of equipment, transfers an advance in the amount of 95,000 rubles.

VAT on advances issued by transactions:

When is tax allowed to be deducted?

The legislation establishes certain conditions under which VAT can be offset. Let's start with the fact that this is allowed only to organizations and entrepreneurs that are recognized as payers of this tax. All other entities do not deduct input tax even when they are forced to pay it. For example, when issuing an invoice with the tax amount specified as a separate line.

For those entities to whom deductions are allowed, the following conditions must be met:

• goods and services for which tax is deductible must be capitalized, that is, accepted for accounting;
• they are used to carry out activities that are subject to VAT;
• there is an invoice issued by the supplier when purchasing these goods (services), and the VAT amount is highlighted in it.

VAT penalties

In case of late payment of tax, the organization is obliged to calculate and transfer penalties for the delay. Penalties are calculated at 1/300 of the Central Bank refinancing rate independently, or as a result of a tax audit.

The calculated amounts of VAT penalties in accounting are displayed by postings:

VAT on reduction of sales value: postings

Often, disputes arise between counterparties after the shipment of goods regarding the value of the assets being sold. Any party can be vulnerable in such a situation, but more often this applies to the supplier. If he agrees to the price change, a sales adjustment is made. Let's consider the option of reducing the price of a product due to additional delivery.

Example:

An agreement was concluded between the two companies for the supply of products in the amount of 100 units for the amount of 500,000 rubles. + VAT 90,000 rub. The price of one product is 5000 rubles. + VAT 900 rub., cost price 3000 rub. After shipment, the supplier additionally supplied 8 products under the additional agreement. The sales adjustment in supplier accounting will be as follows:

Operations	D/t	K/t	Sum
Sales proceeds	62	90/1	500 000
VAT on revenue	90/3	68	90 000
The cost of goods sold is written off (3000 x 100)	90/2	43	300 000
The cost of products shipped additionally has been written off (3000 x	44	43	24 000
VAT charged on additional supply (5000 x 8 / 118 x 18)	44	68	6102
Payment received	51	62	500 000
A permanent income tax liability has been created (6102 x 20%)	99	68	1220

VAT tax agent

A tax agent is an organization (person) that is responsible for withholding tax and transferring it to the budget. For example, when leasing state property, the tax agent’s VAT entries look like this:

VAT mechanism

Tax is calculated on all transactions within the framework of core and non-operating activities (entry D/t 90 K/t 68), the accountant records the amount of tax payable to the budget, and the entry D/t 91 K/t 68 reflects the VAT that the company must pay when performing other income-generating transactions.

When purchasing goods, the purchasing company has the right to reimburse from the budget the amount of tax indicated in the invoice by making the following entries:

D/t 19 K/t 60 — VAT on the purchased goods;

D/t 68 K/t 19 - tax is presented for deduction after the values ​​are accepted for accounting. This algorithm allows you to reduce the amount of accrued VAT due to the “input” tax.

Thus, the accrued VAT is accumulated in the credit account. 68, and the reimbursable one is in debit. The difference between debit and credit turnover, calculated at the end of the reporting quarter, is the result that the accountant focuses on when filling out a tax return. If prevails:

• credit turnover - it is necessary to transfer the difference to the budget;
• debit - the amount of the difference is subject to reimbursement from the budget.

Tax refund

If the tax liability is less than the tax credit, then a VAT refund is provided. The taxpayer declares to the tax authority the amount to be reimbursed, which is determined during a desk audit. If there are no violations, then after 7 days the tax office makes a decision on a refund. Within 5 days after the decision is made, the taxpayer is informed about it in writing. The required amount is returned by the territorial body of the federal treasury within a working week.

If violations are identified during a desk audit, a report is drawn up and sent to the head of the tax department for review. He or his deputy makes a decision on the existence of a tax offense and holding the taxpayer accountable accordingly. It is worth noting that the amount declared for refund can be reimbursed to pay off arrears, debts and federal tax penalties.

Basic rules for calculating VAT

VAT is an indirect tax, the collection of which is regulated by Chapter. 21 Tax Code of the Russian Federation. The tax and reporting period for VAT is a quarter (Article 163, paragraph 5 of Article 174 of the Tax Code of the Russian Federation). Quarterly reporting data for VAT are entered into the declaration; the accrual method in VAT reporting is not applicable. At the end of the quarter, the taxpayer is required to calculate VAT and submit a tax return. Next, the amount of VAT is accrued for payment to the budget.

According to the rules of Art. 174 of the Tax Code of the Russian Federation, the accrued VAT is divided into 3 equal parts and paid to the budget over the next 3 months until the 25th day of each month inclusive. Early full or partial payment of tax is allowed. VAT payable is calculated using the formula:

NOTE! As a general rule, the payer is obliged to charge VAT on all sales carried out related to the main and other types of activity when restoring value added tax and on non-operating income received.

Reflection of incoming VAT in accounting entries

An organization in the course of its activities faces value added tax in the following cases: when selling goods and products to customers (providing services, performing work) and purchasing goods (work, services) from a supplier.

In the first case, when selling a product, the organization is obliged to charge a tax on its value and pay it to the budget. VAT accrual is reflected in the following entry:

• If account 90 “Sales” is used to record sales transactions, then the VAT posting has the form D90/3 K68.VAT.
• If account 91 “Other income and expenses” is used to record sales transactions, then the entry reflecting the accrual of tax has the form D91/2 K68.VAT.

That is, accrued VAT payable to the budget is collected on the credit of account 68.

In the second case, when purchasing a product, the organization has the right to send VAT for reimbursement from the budget (deduction); in this case, the tax is allocated from the total amount of the purchase and is accounted for separately in account 19 “Value added tax on acquired values” by posting D19 K60. After which VAT is sent for deduction, the transaction has the form D68.VAT K19.

As you can see, VAT for reimbursement from the budget is collected in the debit of account 68.

The final amount of tax that must be paid to the budget is determined as the difference between the credit and debit of account 68. If the credit turnover is greater than the debit turnover, then the organization must pay VAT to the budget; if the credit turnover is less than the debit turnover, then the state remains indebted organizations.

The organization bought the goods from the supplier for 14,750 rubles. (in view of VAT).

After which I sold it completely for 23,600 rubles. (in view of VAT).

A VAT rate of 18% applies to this product.

How is accounting carried out in this case, what accounting entries for VAT need to be made (accrual and refund)?

The purchased goods are accounted for in account 41. When purchasing goods from a supplier, the organization receives documents, including an invoice, in which the amount of value added tax is allocated. If an organization is not exempt from paying VAT, then it has the right to separate VAT from the amount and send it for deduction; in this case, goods are included in the receipt at cost without taking into account tax.

That is, having received the goods and documents from the supplier, the organization breaks the cost indicated in the documents (14,750 rubles) into two components: VAT (2,250 rubles), which is taken into account by posting D19 K60. and the cost of goods without VAT (12,500 rubles), the accounting of which is reflected by posting D41 K60. Next, the organization uses its right to recover VAT from the budget and sends it for deduction using posting D68.VAT K19.

Once again, I would like to note that an organization can make the last posting only on the basis of an invoice. If the supplier does not present an invoice, then it will not be possible to reimburse this VAT.

D90/2 K41 – cost of goods written off (12500)

D62 K90/1 – reflects the amount of proceeds from the sale including VAT (23600)

D90/3 K68.VAT – calculation of VAT on sales (3600).

Based on the results of the sale, you can identify the financial result on account 90, which will be determined as the difference between credit and debit turnover, for our example we have the financial result profit = 23600 - 12500 - 3600 = 7500 rubles.

This profit is reflected by posting D90/9 K99.

At the same time, in account 68.VAT, the debit shows the tax for reimbursement in the amount of 2250, and the credit shows the tax to pay in the amount of 3600. In total, the organization must pay 3600 - 2250 = 1350 rubles to the budget.

Calculations for payments to the relevant budgets should be reflected in a special accounting account 68. In terms of calculations for the value added tax liability (VAT), a separate sub-account “VAT” is created for account 68.

According to the credit of account 68, the accounting records should reflect the amounts of tax liabilities accrued, that is, subject to transfer to the appropriate budget of Russia. And the debit of this account records the amounts of payments made, that is, taxes paid. Also in the debit of the account. 68 should reflect the amounts reimbursed from the budget.

In addition to the account 68, to reflect accounting entries for input VAT, special account 19 “VAT on acquired values” is used. Input tax is generated when purchasing goods, products, works and services, the cost of which already includes these tax obligations. Consequently, the debit of account 19 reflects the amount of tax liabilities of the DS, taken into account in the purchase price. And then the tax liability is presented as a deduction from the budget and is credited in correspondence with account 68.

Then the accountant checks the turnover on account 68.

Let us consider the rules for reflecting these tax obligations in more detail.

VAT accounting is carried out according to the following accounts in the chart of accounts (Order of the Ministry of Finance of the Russian Federation No. 94n dated October 31, 2000):

• 68 “Calculations for taxes and fees”, subaccount 68.02 - accrual is recorded on the loan, VAT calculated and paid to the budget is carried out according to Dt 68;
• 19 “Value added tax on acquired assets” - to reflect input VAT, but not reimbursed from the budget.

If an organization is engaged in the sale of goods, works and services, then VAT is charged on the operation - the posting will be: Dt 90, 91 Kt 68.

When purchasing products, the customer has the opportunity to recover VAT from the funds paid to the budget. The procedure is carried out as follows: the paid amount of VAT is separated from the purchase price and recorded in account 19:

• Dt 19 Kt 60 - VAT on acquired assets is accepted for accounting;
• Dt 68 Kt 19 - VAT deductible (posting).

VAT to be refunded is accumulated on the debit of account 68, forming a payment that must be sent to the budget. VAT is the difference between debit and credit turnover. When the turnover on the loan account. 68 exceeds the debit, then the calculated amount of value added tax is subject to payment to the budget. If the debit of the account 68 more than the loan, then the total difference is reimbursed from budget payments.

Tax accounting

If an organization or individual entrepreneur is the payer of the payment in question, then both accounting and tax accounting for VAT are applied. This happens on the basis of Chapter 21 of the Tax Code of the Russian Federation.

When implementing the latter, it is necessary to take into account the object and base of taxation, the components of the tax to be paid. The first in the VAT accounting under consideration are transactions performed by an economic entity for the sale of products. The tax base is the monetary value of a given object.

The accounting in question is carried out on the accrued amount minus the allocated tax for reimbursement by adding the restored payment.

When it is carried out, sales and purchase books are filled out, and also, if the economic entity is an intermediary, an invoice register is filled out.

These registers are compiled on the basis of all invoices. Those forms from the above that are used in the organization constitute its accounting tax policy. It is being developed on a par with accounting.

Prices for goods for tax accounting must be the market average with possible fluctuations within 20%.

Rules for filing a VAT return in the Russian Federation and Ukraine

At the end of the reporting period, each enterprise registered with the tax office submits a VAT return. For “dummies”, we note: in Russia, the reporting period is considered a quarter, and in Ukraine – a month. The quarterly reporting period is used only if the volume of taxable transactions for the last 12 months does not exceed the amount of UAH 300,000. Within twenty days following the last day of the tax period, the declaration must be submitted to the relevant authorities. Payment of contributions in Ukraine must occur within thirty days after the end of the reporting period, and in Russia - within twenty.

Filing a tax return in Ukraine can be carried out personally by the taxpayer, transmitted electronically or sent by mail as a valuable letter with mandatory notification. In Russia, as of January 1, 2014, VAT returns can only be submitted electronically via telecommunications channels. You can select an electronic document management operator on the regional websites of the Federal Tax Service. It is necessary to conclude an agreement with him, obtain crypto-protection means and an enhanced qualified electronic signature, which will be used to certify invoices and declarations.

Filling out the VAT return must be carried out in strict accordance with the form established on the date of its submission.

VAT for

Value added tax is mandatory for any enterprise engaged in the production, sale of goods, or provision of services. In this article we will talk about tax rates, objects of taxation, the VAT calculation system and the importance of filling out a tax return.

Concept of VAT

Value added tax is indirect. It is transferred to the state budget by the seller, but at the exit it is paid by the consumer. VAT is included in the price of any product and is always paid by the last buyer.

VAT components

It will be easier to understand the essence of VAT for the “dummies” if you understand the concepts of tax credit and liability, the difference between which is the actual amount to be paid to the state treasury:

• A tax credit is an amount by which the tax liability can be reduced in a given reporting period, since it has already been paid earlier.
• Tax liability is the total amount of tax for the reporting period. For example, a seller wants to sell a product worth $10,000. with a 15% markup, that is, for 11,500 USD. The VAT rate for it is 20%, that is, the tax is 2300 USD.

Documentation of payments for goods and services occurs using tax invoices. In addition to them, there is another important document - an invoice, which is issued in two copies: one is intended for the seller, the other for the buyer. If you purchase a product, you register your invoice in the purchases ledger; if you sell, then in the sales ledger.

Calculating VAT for a “teapot” will not be difficult if you save all tax documentation. If there is no, incorrect or lost invoice from the seller, you are not entitled to a tax credit, which means you overpay VAT, since you have nothing to deduct from your tax liability.

Calculation

VAT accounting for “dummies” begins with the registration of invoices in the sales book and purchase book. The difference between the tax liability and the total amount of tax credit for the reporting period is VAT payable.

If you carefully keep your accounting records, it is very easy to calculate VAT.

For “dummies”, postings can be very complicated, so the entries should be made by a professional, since they are the basis for the final tax calculation at the end of the reporting period.

The value added tax rate depends on the activities carried out by the enterprise, as well as on its annual cash turnover.

Let us explain the calculation of VAT using the example of the production and sale of women's dresses in the Russian Federation, for which VAT is 18%. The manufacturer purchased fabric and accessories in the amount of 20,000 rubles, and also paid VAT of 3,600 rubles.

He received an invoice, which he entered into the purchase ledger. 3600 rub. – this is a tax credit in this case.

10 dresses were produced from the original materials, which are planned to be sold at a price of 3,500 rubles. each, that is, the total markup on the product will be 15,000 rubles. The tax liability is calculated as follows: (3500*10)*18/100=6300 rub.

The formula for mandatory VAT payment for a “teapot” is simple: a tax credit is deducted from the tax liability. In our example, you need to do the following: 6300-3600 = 2700 rubles. The entrepreneur must pay VAT in the amount of 2,700 rubles, since 3,600 rubles.

he already contributed when he purchased the fabric and accessories.

Taxpayers and objects of taxation

Individual entrepreneurs, organizations and persons transporting goods across state borders are VAT payers. What is this for dummies? This means that you can find out whether you will pay value added tax as follows: you need to determine your status in accordance with the Tax Code of the country where your business is registered.

https://www.youtube.com/watch?v=jNWAI0s5fTM

The following transactions are subject to taxation in the Russian Federation:

• Sales of goods and services in the Russian Federation. These also include the transfer of property rights and collateral.
• Carrying out construction and installation works.
• Transfer of goods, services or works for one’s own needs. When calculating VAT for a “teapot”, it is worth considering that expenses for such operations are not deductible.
• Import of goods into the territory of the Russian Federation.

Tax rates in the Russian Federation

VAT for “dummies” (2014) is 3 rates: 0%, 10% and 18%, determined depending on the type of activity of the enterprise. A 0% value added tax is imposed on the sale of the following goods, services or works:

• Obligations fulfilled by organizations for pipeline transport of petroleum products and natural gas.
• Services for international transportation of goods.
• Provision of railway rolling stock.
• Sales of goods exported under the customs export procedure.

The full list of taxation objects is set out in Art. 164 Tax Code of the Russian Federation. VAT of 10% is paid on the sale of food products:

• meat, poultry, seafood, fish;
• eggs;
• salt, sugar;
• grains, cereals;
• pasta;
• dairy products;
• bakery products;
• vegetables;
• children's and diabetic nutrition.

10% is charged when selling the following children's goods:

• clothes and shoes;
• beds and mattresses;
• diapers;
• strollers;
• office supplies.

Book products of an educational nature related to science or culture, as well as periodicals are subject to VAT of 10%. This does not apply to printed products of an erotic or advertising nature. Medical goods: drugs and medical products are also among the goods subject to VAT at 10%.

In all other cases, a tax rate of 18% applies. If we are talking about goods imported into the territory of the Russian Federation, they are subject to a value added tax of 10% or 18%.

Tax rates in Ukraine

VAT rates in Ukraine today are as follows: 0%, 7% and 20%. The 0% VAT rate applies in the following cases:

• operations for the export of goods from the territory of Ukraine under the customs export regime;
• supply of goods for refueling sea vessels in the territorial waters of other states, as well as Ukrainian Navy vessels;
• supply of goods for refueling or maintaining aircraft performing international flights or being part of the Ukrainian Air Force;
• international transportation of passengers, luggage and cargo by various modes of transport.

A complete list of taxation objects with a 0% rate is set out in Art. 195 Tax Code of Ukraine. A value added tax of 7% is levied on medical products. In all other cases, the VAT rate of 20% is applied.

In Art. 196 of the Tax Code of Ukraine lists transactions that are not subject to taxation. VAT for dummies in 2013 and 2014 was not subject to major legislative changes. In 2020, the main rate may be reduced to 17%.

Tax payment and reporting

Registration of invoices is the basis for calculating VAT payable. Tax credit and tax liability are carried out only if these documents are available. It is important that invoices are prepared correctly, otherwise they are invalid.

In Russia, VAT is paid to the budget at the end of the reporting period - a quarter, in Ukraine - monthly. The taxpayer has 20 days to complete documents reflecting VAT. What is it for “dummies”: a declaration that is submitted to the tax office.

On its basis, a desk tax audit is carried out.

Tax refund

If the tax liability is less than the tax credit, then a VAT refund is provided. The taxpayer declares to the tax authority the amount to be reimbursed, which is determined during a desk audit.

If there are no violations, then after 7 days the tax office makes a decision on a refund. Within 5 days after the decision is made, the taxpayer is informed about it in writing.

The required amount is returned by the territorial body of the federal treasury within a working week.

https://www.youtube.com/watch?v=pffM1QrB8Xw

If violations are identified during a desk audit, a report is drawn up and sent to the head of the tax department for review.

He or his deputy makes a decision on the existence of a tax offense and holding the taxpayer accountable accordingly.

It is worth noting that the amount declared for refund can be reimbursed to pay off arrears, debts and federal tax penalties.

Rules for filing a VAT return in the Russian Federation and Ukraine

At the end of the reporting period, each enterprise registered with the tax office submits a VAT return. For “dummies”, we note: in Russia the reporting period is considered a quarter, and in Ukraine – a month.

The quarterly reporting period is used only if the volume of taxable transactions for the last 12 months does not exceed the amount of UAH 300,000. Within twenty days following the last day of the tax period, the declaration must be submitted to the relevant authorities.

Payment of contributions in Ukraine must occur within thirty days after the end of the reporting period, and in Russia - within twenty.

Filing a tax return in Ukraine can be carried out personally by the taxpayer, transmitted electronically or sent by mail as a valuable letter with mandatory notification. In Russia from 01.01.

As of 2014, VAT returns can only be submitted electronically via telecommunications channels. You can select an electronic document management operator on the regional websites of the Federal Tax Service.

It is necessary to conclude an agreement with him, obtain crypto-protection means and an enhanced qualified electronic signature, which will be used to certify invoices and declarations.

Filling out the VAT return must be carried out in strict accordance with the form established on the date of its submission.

Export VAT

Russian companies that promote their products abroad have a benefit from the state - a 0% VAT rate, since the full amount of tax for any product is always paid by the end buyer (in this case, a foreign consumer, but to the treasury of their state). Export VAT for dummies: a company providing goods or services abroad can refund the VAT paid earlier on costs of raw materials, production, labor, since it often exceeds the VAT recorded in the sales book.

To do this, the exporting company must confirm the legality of adopting a zero VAT rate, the fact of the export transaction and the validity of the refundable tax amount. The following documents must be submitted to the tax office:

• VAT declaration;
• invoices and copies of delivery notes;
• contract with a foreign partner;
• a customs declaration confirming the shipment of goods abroad;
• copies of documents confirming receipt of goods in another country;
• application for VAT refund.

After this, the tax authority conducts a desk audit and decides on the possibility of returning the declared amount.

If inaccuracies or errors are found in any document, this may result in not only a refusal to reimburse the required amount, but also a fine.

To return funds, it is important to comply with the deadlines and rules for submitting documents, as well as promptly respond to requests from the tax inspectorate if additional information about the company’s activities is needed.

VAT for the state

VAT is a tax that everyone pays. The seller always includes it in the price of the product sold in order to return his funds that he has already transferred to the budget.

Thus, VAT is a significant and constant revenue to the state treasury.

The zero VAT rate for exporting companies makes the development of foreign economic relations attractive, and this stimulates the influx of foreign currency into the budget and stabilizes the country's balance of payments.

The system for generating and paying VAT is quite simple; you can read more about this in the Tax Code. The article says everything about VAT; for “dummies” this information is quite enough to understand the essence of the tax in question, as well as the rules for its calculation, deductions to the treasury and the generation of relevant documentation.

Taxpayers and objects of taxation

Individual entrepreneurs, organizations and persons transporting goods across state borders are VAT payers. What is this for dummies? This means that you can find out whether you will pay value added tax as follows: you need to determine your status in accordance with the Tax Code of the country where your business is registered.

The following transactions are subject to taxation in the Russian Federation:

• Sales of goods and services in the Russian Federation. These also include the transfer of property rights and collateral.
• Carrying out construction and installation works.
• Transfer of goods, services or works for one’s own needs. When calculating VAT for a “teapot”, it is worth considering that expenses for such operations are not deductible.
• Import of goods into the territory of the Russian Federation.