As it is known, in accordance with paragraph 298.2.2 item 298.2 Art. 298 of the Tax Code of Ukraine (further – the Tax Code) payers of the single tax can independently refuse to apply the simplified system of taxation in connection with transition to payment of other taxes and fees from the first day of the month following the tax (reporting) quarter in which the application for refusal from the simplified taxation system in connection with the transition to the payment of other taxes and fees is submitted. The step-by-step algorithm of such transition is further.
The application for refusal to apply the simplified taxation system must be submitted to the controlling body by the business entity not later than 10 calendar days before the beginning of the new calendar quarter (year).
The application form for applying of the simplified taxation system was approved by Order of the Ministry of Finance of Ukraine No. 308 of July 16, 2019.
Payers of the single tax are obliged to switch to payment of other taxes and fees in the cases and within the time limits specified in paragraph 298.2.3 item 298.2 Art. 298 of the Tax Code, namely:
1) in case of exceeding during the calendar year the established amount of income by single tax payers of the first and second groups and failure of such taxpayers to switch to another rate – from the first day of the month following the tax (reporting) quarter in which such excess occurred;
2) in case of exceeding during the calendar year the amount of income established by paragraph 3 item 291.4 of Art. 291 of the Tax Code, payers of the single tax of the first and second groups, who used the right to apply other rates set for the third group – from the first day of the month following the tax (reporting) quarter in which such excess occurred;
3) in case of exceeding during the calendar year the established amount of income by single tax payers of the third group – from the first day of the month following the tax (reporting) quarter in which such excess occurred;
4) in the case of application by the single tax payer of another method of calculation than those specified in item 291.6 of Art. 291 of the Tax Code, – from the first day of the month following the tax (reporting) period in which such method of calculations is allowed;
5) in the case of activities that do not give the right to apply the simplified system of taxation, or non-compliance with the requirements of organizational and legal forms of management – from the first day of the month following the tax (reporting) period in which such activities were carried out or legal form;
6) in case of exceeding the number of natural persons who are in employment with the single tax payer – from the first day of the month following the tax (reporting) period in which such excess is allowed;
7) in the case of carrying out activities not specified in the register of single tax payers – from the first day of the month following the tax (reporting) period in which such activities were carried out;
8) in the case of a tax debt in excess of the amount specified in the third paragraph of item 59.1 of Art. 59 of the Tax Code, on each first day of the month for two consecutive quarters – on the last day of the second of two consecutive quarters;
9) in the case of the payers of the first or second group of activities, which is not provided for in paragraphs 1 or 2 item 291.4 of Art. 291 of the Tax Code, respectively, – from the first day of the month following the tax (reporting) quarter in which such activity was carried out.
