Value Added Tax (VAT) is an indirect tax, that is, in the form of a surcharge on the cost of goods or services, paid to the federal budget. 141 of the Tax Code of the Russian Federation, persons moving goods across the customs border can be recognized as payers.
In practice, the seller calculates the amount of VAT due. The tax rate is added to the cost of goods or services and is prescribed in the contract, invoice, as well as in the payment order . The total amount of tax payable to the budget is determined as the difference between VAT received on sales and VAT paid on purchases. Thus, each participant in the intermediary chain actually contributes his share – for the value that he added.
The deadline for payment of value added tax is once a quarter. For 2012, the base VAT rate is 18%, the reduced rate for a number of goods (mainly food products) is 10%. There is also a 0% tax exemption system. Including VAT, transactions in the securities market, transactions with precious coins that are legal tender, as well as banking services (except for collection) are not subject to VAT.
In addition, it is possible not to have the status of a tax agent and, accordingly, not pay VAT on sales for relatively small enterprises using the simplified taxation system, whose total revenue for the last three months does not exceed 2 million rubles. This system was introduced to stimulate the development of small businesses.
Value added tax is not a Russian invention. It was first introduced in France in 1954 at the suggestion of the economist, head of the directorate for taxes, fees of the Ministry of Economy, Finance and Industry of France Maurice Loret. Today, VAT is applied in more than 120 countries around the world. In the UK it is called VAT (base rate – 20%), in Germany – MwSt (19%), in France – TVA (19.6%).
An important feature of VAT is that this tax is paid only on those goods and services that are sold and used within the country. In the case of their export, the entire amount of VAT is refundable. Thus, while abroad, a tourist, leaving the host country, can apply for tax compensation on what he purchased and exported.
Object of taxation
The object of VAT is the operations of taxpayers for the supply of goods and services to the destination located in the customs territory of Ukraine, the import of goods into the customs territory of Ukraine, the export of goods outside the customs territory of Ukraine. In addition, the object of VAT taxation is the supply of services for the international transportation of passengers, baggage and cargo by rail, road, sea and river and air transport.
Not subject to VAT, in particular, operations on
issue (issue), placement in any form of management and sale (redemption, redemption) for funds of securities issued into circulation (issued) by business entities;
transfer of property for storage (responsible saving), for concession, as well as for leasing (lease), except for transfer to financial leasing;
provision of insurance, co-insurance or reinsurance services by persons licensed to carry out insurance activities in accordance with the law, as well as services of insurance (reinsurance) brokers and insurance agents related to such activities;
provision of services related to the transfer of funds, participants of payment systems and payment organizations of payment systems, provision of services for collection, settlement and cash services, attraction, placement and return of funds under loan, deposit, deposit (including pension) agreements, management of funds and securities (corporate rights and derivatives), assignment, provision, management and assignment of claims on financial loans of financial institutions, loan guarantees and bank guarantees by the person who provided such loans, guarantees or guarantees;
provision by banks (financial institutions) of services within the framework of managing banking management funds, real estate transaction funds, construction financing funds (including for transferring funds to finance construction from the construction financing fund), for making payments on mortgage certificates in accordance with the law;
import into the customs territory of Ukraine, export outside the customs territory of Ukraine, regardless of the chosen customs regime of goods, the customs value of which does not exceed the equivalent of 150 euros.
The following operations are exempted from VAT taxation, in particular:
supply of state paid services to individuals or legal entities by executive authorities and local governments, as well as other persons authorized by such bodies or by law to provide these services, the obligation to receive (provide) which is established by law, including fees for registration, issuance of licenses, certificates in the form of fees, state fees, etc.;
In Ukraine, there is an open Register of applications for the return of the budgetary VAT refund.
The following requirements apply for VAT refunds:
based on the data of the Register of applications for the return of the amount of budgetary compensation, the body providing treasury services to budgetary funds, after the day of receiving the status of the agreed amount of budgetary compensation, transfers such an amount from the budgetary account to the current bank account of the taxpayer in the servicing bank and / or to budgetary accounts for transfer to the account payment of monetary obligations or repayment of the tax debt of such a taxpayer from other payments paid to the state budget in the previous or current accounting period;
the right to a VAT refund arises when the amount of the tax credit exceeds the amount of the tax liability for the reporting (tax) period (there is a negative value of VAT);
a taxpayer who is entitled to receive a budget refund and has made a decision to return the amount of the budget refund, submits a tax declaration and an application for the refund of the amount of the budget refund specified in the tax declaration to the relevant regulatory authority;
taxpayers who are entitled to a budget refund in accordance with this article and who have submitted an application for the return of the amount of the budget refund, receive such a budget refund if the claimed amount of the budget refund is agreed with the supervisory authority based on the results of a desk audit, and in cases provided for by law, based on the results of documentary verification. If a taxpayer has a tax debt, the declared amount of tax reduced by the amount of such tax debt is subject to budgetary compensation.