2.2. MARCO CONCEPTUAL
2.2.2. Sistema Financiero
In general, no.
What information must a VAT invoice show?
A GUI (VAT invoice) must show:
• an GUI number which is unique and sequential which is pre-printed on invoice book purchased from the government
• the purchaser’s registered name
• the purchaser’s GUI number
• the invoice date
• the customer’s name and GUI number
• an item description sufficient to identify the goods or services supplied
• the quantity of goods or the extent of the services
• the unit price excluding VAT
• item subtotal
• the rate of VAT that applies to what’s being sold
• the amount of VAT charged expressed in new Taiwan dollar
• the grand total of the transaction.
The GUI number is generally viewed as the identity number of a business entity in Taiwan.
For further information on indirect tax in Taiwan, please contact:
Jay Lo
T +886 2 2758 2688 ext 314 E [email protected]
Taiwan
Ukraine
What are the current rate(s) of indirect tax?
Are there any confirmed or anticipated changes to these rates?
What is the principal indirect tax?
Is there a registration limit for the tax?
Does the same registration limit apply to non-established businesses?
Does a non-established person need to appoint a fiscal representative in order to register?
How often do returns have to be submitted?
Are penalties imposed for the late submission of returns/payment of tax?
Are any other declarations required?
Are penalties imposed in other circumstances?
Can the tax incurred by overseas businesses be claimed if they are not registered in your country?
• Standard rate of 20%, for all goods and services unless defined to be zero– rated or exempted. From 1 January 2015 the standard rate will be 17%.
• Zero-rated for some operations.
• Exempt operations.
• Operations aren’t subject to taxation.
From 1 January 2015 the standard rate will be 17%.
Value Added Tax (VAT) is the principal indirect tax in Ukraine. It is a tax on consumer expenditures, and is collected on business transactions and imports. VAT is charged on the final consumption of certain goods and services in the home market but is collected at every stage of production and distribution.
Yes. It relates to the annual turnover of taxable transactions in Ukraine in the amount of 300,000 UAH (without VAT), and once the limit has (or will be) reached it is necessary to register.
In accordance with Ukrainian legislation non-resident can be registered as a taxpayer in Ukraine only if such non-resident registers the permanent establishment. The registration limit of UAH 300,000 taxable operations applies to permanent establishments.
A non-established business do not need to appoint a fiscal representative in order to register.
Most businesses are required to submit VAT returns on a monthly basis. Some businesses can submit VAT returns covering three month accounting periods.
Yes. Penalties apply in case of non or late VAT return submission, and the amount of fines increases if the taxpayer has already been fined in this tax period.
In addition to VAT declarations, businesses must provide revised VAT and customs declarations at the time of importing goods.
Yes. Penalties can be imposed for an understatement of tax and for increasing budget compensation.
No. VAT incurred by overseas businesses can not be claimed if they are not registered in Ukraine.
Indirect tax snapshot
What is the principal indirect tax?
Value Added Tax (VAT) is the principal indirect tax in Ukraine.
VAT is a state tax and is payable to the state budget of Ukraine.
It is a tax on consumer expenditures, and is collected on business transactions and imports. VAT is charged on the final consumption of certain goods and services in the home market but is levied at every stage of production and distribution. The person supplying the taxable goods or services, or importing the same into Ukraine is responsible for VAT returns.
Although VAT is eventually paid by the consumer by being included into the price, the liability for charging, collecting and paying it to the tax authorities at each stage of the process is on the business making the supply i.e. the sale. Therefore, the actual burden of the tax is on the final consumer.
Taxpayers are Ukrainian companies, foreign companies and entrepreneurs. Taxable shall be the Sales of goods, works and services on the territory of Ukraine, imports/exports to/from the territory of Ukraine, exports from the customs territory of Ukraine, supply of services for international transport of passengers and various types of transport are taxable.
Ukraine is regarded to be the place of performing works and providing services in case the purchaser of such works and services is registered (with the tax authorities) on the territory of Ukraine. This rule applies to advertising, advisory, engineering, legal (including advocate services), accounting, auditing, actuarial services, data processing services and providing information and other services in the field of information.
The Ukrainian Tax Code establishes goods, works and services that are taxed at a standard rate of 20%, that are taxed at a zero-rate, the ones that are not subject to taxation and operations that are exempt from the VAT.
The tax reporting period of VAT is one calendar month and in some cases it is a calendar quarter.
Generally, VAT paid to suppliers of goods, work or services will be offset if such goods, work and services were used in the operating activity of the company who pays VAT. In some cases VAT amounts paid to the suppliers of goods, work or services are added to the profits tax deductible expenses (for example, if they are used for VAT exempt operations).
A business registered for the tax will charge VAT (output tax) on its sales, and incur VAT (input tax) on its purchases (including any VAT paid at importation). The difference between the output tax and the deductible input tax in each accounting period will be the amount of VAT payable by the business to the tax authority. Where the input tax exceeds the output tax, a refund can be claimed.
Most goods imported into Ukraine from other countries are subject to VAT. The tax will have to be paid by the importer at the time of border crossing.
There is a close relationship between VAT and customs duty. Customs duty is levied at the place where goods are imported into the country. Once duty (and VAT) has been paid by the importer, the goods can then be released for use in the home market. VAT is charged on the value of the importation.
Is there a registration limit for the tax?
If the total amount of taxable operations regarding delivery of goods/services, which are subject to taxation, in aggregate exceeds UAH 300,000 (excluding VAT) such person is required to register as a taxpayer with the tax authorities at its location.
A business can register on a voluntary basis even if the registration limit has not been exceeded.
If a person, that is not registered as a taxpayer, imports taxable goods into the territory of Ukraine, such person shall pay the tax at the time of customs clearance of goods without registering as a taxpayer.
Group registration does not apply in Ukraine.
A penalty may be imposed by tax authorities, if a business fails to register within the prescribed time frame.
Does the same registration limit apply to non-established businesses?
In accordance with Ukrainian legislation non-resident can be registered as a taxpayer in Ukraine only if such non-resident registers the permanent establishment. The registration limit of UAH 300,000 taxable operations applies to permanent establishments.
Does a non-established business need to appoint a fiscal representative in order to register?
In accordance with Ukrainian legislation non-resident can be registered as a taxpayer in Ukraine only if such non-resident registers the permanent establishment. A non-established business does not need to appoint a fiscal representative in order to register. Naturally, any non-resident can set up a subsidiary in Ukraine.
Ukraine
How often do returns have to be submitted?
If you are obliged to charge VAT, you must also report and pay VAT to the state, regardless of the amount of sales. The obligation to report also applies to those who are registered for VAT and have the right to make deductions (right to repayment) despite not needing to charge VAT.
In Ukraine the tax reporting period for VAT is one calendar month and in some cases specified by the tax code – a calendar quarter, taking the following into account:
• if the person is registered as a taxpayer on the day other than the first day of the calendar month, the first reporting period is the period that begins on such registration date and ends on the last day of the first full calendar month
• if the tax registration of person is cancelled on the day other than the last day of the calendar month, the last reporting period is the period that begins on the first day of the month and ends on the day of such cancellation.
Taxpayers who are eligible for the zero income tax rate for the period starting from 1 April 2011, through 1 January 2016, and taxpayers who pay the single tax may choose quarterly tax reporting period. At the same time, quarterly tax reporting period shall apply starting from the first tax reporting period of the next calendar year.
A tax return for the base tax reporting period which is equal to a calendar month shall be filed within 20 calendar days following the last calendar day of the tax reporting month.
The taxpayer shall pay the amount of the VAT liabilities specified in the VAT return within ten calendar days following the relevant deadline.
Are penalties imposed for the late submission of returns/payment of tax?
Taxpayers shall pay a penalty of 170 UAH for failure to submit VAT returns or late submission of the same on a case by case basis. Repeated violations committed by the taxpayer during the year shall incur a penalty of 1,020 UAH for each such failure to submit or late submission. If the taxpayer does not pay its tax liabilities on time, such taxpayer shall pay a penalty as follows:
• in case of delay of up to 30 calendar days inclusive following the last day of deadline for payment of such liabilities – at the rate of 10% of repaid amount of the tax debt
• in case of delay of more than 30 calendar days following the last day of deadline for payment of such liabilities – at the rate of 20% of repaid amount of the tax debt.
Are any other declarations required?
In addition to VAT declarations businesses must provide revised VAT and customs declarations at the time of importing goods.
Are penalties imposed in other circumstances?
Yes. Penalties can be imposed for an understatement of tax and for increasing budget compensations.
Penalties and interest can be applied in case of errors and omissions made in tax returns, or when the tax is paid late. Penalties can also be applied when the businesses fail to maintain adequate records, provide information (including additional declarations) to the tax authorities or make repeated mistakes.
Criminal proceedings may be brought in the case of intentional evasion of taxes, duties and other payments in the system of taxation imposed in accordance with the law.