The Verkhovna Rada of Ukraine adopted the Law of Ukraine “On the State Budget of Ukraine for 2021”.
The Law provides for a minimum wage in 2021:
- in the monthly amount: from January 1 – UAH 6,000, from December 1 – UAH 6,500;
- in an hourly rate: from January 1 – UAH 36.11, from December 1 – UAH 39.12.
The law sets in 2021 a subsistence rate per person per month in the amount of UAH 2,189 from January 1, 2021, UAH 2,294 from July 1, UAH 2,393 from December 1, and for the main social and demographic groups of the population:
- children under the age of 6: from January 1, 2021 – UAH 1,921, from July 1 – UAH 2,013, from December 1 – UAH 2,100;
- children aged 6 to 18: from January 1, 2021 – UAH 2,395, from July 1 – UAH 2,510, from December 1 – UAH 2,618;
- able-bodied persons: from January 1, 2021 – UAH 2,270, from July 1 – UAH 2,379, from December 1 – UAH 2,481;
- able-bodied persons, used to determine the basic salary of a judge: from January 1, 2021 – UAH 2,102;
- able-bodied persons, used to determine salaries for employees of other state bodies, whose remuneration is regulated by special laws: from January 1, 2021 – UAH 2,102;
- able-bodied persons, used to determine the salary of the prosecutor of the district prosecutor's office: from January 1, 2021 – UAH 1,600;
- persons who lost their ability to work: from January 1, 2021 – UAH 1,769, from July 1 – UAH 1,854, from December 1 – UAH 1,934.
The Law stipulates that in 2021 the subsistence level for assistance in accordance with the Law of Ukraine “On State Social Assistance to Low-Income Families” as a percentage of the subsistence level for the main social and demographic groups is: for able-bodied persons – 35%; for persons who have lost their ability to work and persons with disabilities – 100%, for children – 130% of the subsistence level.
The Law defines for 2021:
- revenues of the State Budget of Ukraine in the amount of UAH 1,092,083,254.3 thousand;
- expenditures of the State Budget of Ukraine in the amount of UAH 1,328,201,570.2 thousand;
- repayment of loans to the State Budget of Ukraine in the amount of UAH 8,585,108.9 thousand;
- granting loans from the State Budget of Ukraine in the amount of UAH 19,102,293 thousand;
- the maximum amount of the state budget deficit of Ukraine in the amount of UAH 246,635,500 thousand;
- working capital balance of the State Budget of Ukraine in the amount of up to 2% of expenditures of the general fund of the State Budget of Ukraine.
The State Tax Service of Ukraine through the Office of Large Taxpayers has reminded that the sale of alcoholic beverages on tap for consumption on the spot is allowed only to catering businesses and specialized departments with the status of catering businesses, businesses with a universal range of goods (Article 153 of the Law of Ukraine “On state regulation of production and circulation of ethyl alcohol, cognac and fruit, alcoholic beverages, tobacco products and fuel” No. 481/95-ВР of December 19, 1995 (hereinafter – Law No. 481).
Table wine is the wine made by complete or incomplete fermentation of wort. Depending on the sugar content, table wine is divided into dry, semi-dry, semi-sweet (paragraph 28 of Article 1 of the Law of Ukraine “On Grapes and Grape Wine” No. 2662-IV of June 16, 2005).
According to State Standard 4806-2007 “Wines. General technical conditions” in the production of grape wines, the use of sugar, water, flavorings and dyes is prohibited.
Thus, cocktails (glogg, “mulled wine”, etc.) made using exclusively table wines are not table wines.
Retail trade is the sale of goods directly to citizens and other end users for their personal non-commercial use, regardless of the form of payment, including bottling in restaurants, cafes, bars and other catering establishments (Article 1 of Law No. 481).
Retail trade in alcoholic beverages (except table wines) or tobacco products, or fuel may be carried out by businesses of all forms of ownership, including their producers, if they have licenses for retail trade (Article 15 of Law No. 481).
Therefore, businesses, which trades in cocktails (glogg, “mulled wine”, etc.), made using only table wines, must acquire a license for the retail sale of alcoholic beverages.
Storage, in particular of alcoholic beverages, is carried out in places of storage of alcoholic beverages entered in the Unified state register of places of storage (hereinafter – the Unified register), irrespective of to whom such place of storage belongs, or that on what business statement such place of storage was brought to the Unified register.
Entities that have received a license for the retail sale of alcoholic beverages must enter in the Unified register only those places of storage of alcoholic beverages that are located at a different address than the place of trade.
The State Tax Service of Ukraine in category 101.24 “ZIR” has answered the question: “How to fill in table 1 of Annex 6 “Calculation of VAT amounts not paid by the business entity to the budget in connection with the receipt of tax benefits and/or indicators, respectively to which enterprises (organizations) belong to the enterprise (organization) of persons with disabilities)” to VAT tax return?”.
Table 1 of Annex 6 “Calculation of VAT amounts not paid by the business entity to the budget in connection with the receipt of tax benefits and/or indicators according to which enterprises (organizations) belong to the enterprise (organization) of persons with disabilities” to VAT tax return is filled in for transactions as follows:
- column 2 displays the name of the transaction, which corresponds to the transactions specified in the relevant subparagraphs of paragraph 186.2, 186.3 and 196.1 of the Tax Code;
- column 3 – the norm of the Tax Code (subparagraph, paragraph and article of the Tax Code), according to which the transaction refers to one that is not subject to VAT or for which the place of supply of services is determined outside the customs territory of Ukraine;
- column 4 – the volume of supply (total for the reporting period without decoding for counterparties) for such a transaction.
The Ministry of Finance of Ukraine by Order “On approval of Amendments to the Regulations on registration of value added tax payers” No. 629 of October 21, 2020 has approved amendments to the Regulations on registration of value added tax payers.
The document was developed in order to bring Order of the Ministry of Finance No. 1130 of November 14, 2014 in accordance with Art. 183, 184 of Chapter V of the Tax Code as amended by the Law of Ukraine “On Amendments to the Tax Code of Ukraine to Improve Tax Administration, Eliminate Technical and Logical Inconsistencies in Tax Legislation” No. 466-IX of January 16, 2020.
The Order has amended the Regulations on Registration of Value Added Tax payers, according to which:
- newly created business entities during the registration of business can declare their desire and be registered as VAT payers without submitting a registration application of the VAT payer on form No. 1-VAT (hereinafter – the Application);
- the Application is submitted to the supervisory authority exclusively in electronic form (for both mandatory and voluntary registration). There is no other way to submit the Application;
- new deadline is set for filing the Application in case of voluntary registration of a person as a VAT payer, as well as in case of transfer of a person from the simplified taxation system, which does not provide for VAT payment, to other taxes and fees established by the Tax Code, or changes by the single taxpayer of the third group of the single tax rate of 5% to the rate of 3% - not later than 10 calendar days before the start of the tax period from which such persons will be considered VAT payers (instead of 20 calendar days before the start of the tax period );
- simplified (shortened) procedures for VAT re-registration. In particular, re-registration is not provided in case of change of location (residence) by the business entity, and re-registration in connection with change of name (except transformation) (surname, name and father’s name) of the VAT payer, which is included in the Unified State Register of Legal Entities, Individual Entrepreneurs and Public Organizations (hereinafter – the Unified State Register), is carried out by the controlling body without submitting the Application on the basis of information from the Unified State Register;
- registration of VAT payers is automatically canceled on the basis of information from the Unified State Register on termination (liquidation) of a person or on the basis of data from the register of single tax payers on application by a person of a simplified taxation system that does not provide VAT.
The Order will enter into force on the day of its official publication.
