Reporting and Payments for The Income Tax

Starting from 01/01/2013, the new rules for reporting and payments of the tax are enacted. The new rules introduce advance monthly tax payments and annual reporting instead of quarterly payments based on the quarterly returns:

• The taxpayers with income exceeding UAH 10m per annum pay tax monthly in 1/12th of the tax due for the preceding year;
• The newly established entities and those with annual income that is less than UAH 10m submit the tax return and pay the tax annually;
• If the entity paying monthly advance payments does not make profits or makes losses in 1Q of the reporting year it may pay the tax in accordance to the quarterly returns without remitting the advance payments;
• If the entity makes no profits or makes a loss in a preceding year, it is required to file the tax return and pay the tax on quarterly bases.

The deadlines for submission of the tax returns and payments of the tax are as follows:

• The monthly advance payments must be remitted to the state within 10 calendar days of the next month;
• The quarterly tax returns should be filed within 40 calendar days after the end of the reporting quarter; the annual return should be submitted within 60 calendar days;
• The deadline for payments of the tax is set to 10 calendar days following the deadline for the return submission.