The value added tax is one of the most important for the state budget and at the same time one of the most controversial in terms of fulfilling the obligations of payers to include it in the budget and reporting. The provisions of the legislation of the Russian Federation require companies not only to pay the tax in question on time to the budget and to submit a tax return to the tax service, but also to do this when following certain technological criteria. What specific rules of the law in this case deserve special attention from taxpayers? What are the specifics of paying VAT and reporting this tax to government agencies?
General VAT
VAT, or value added tax, is classified as indirect. This means that the company pays it de jure, but de facto it is its client or buyer, since this fee is usually included in the structure of the selling price of the goods.
The amount of the corresponding tax to be transferred to the budget of the Russian Federation is determined as the difference between the indicator calculated at the time of the sale of goods, works or services, and the figure that was presented to the company by the supplier of the corresponding product. VAT is paid to the federal budget of the Russian Federation within the time limits established by the Tax Code of the Russian Federation. Also, the state’s main tax law requires VAT payers to submit declarations to the regulatory authorities. Consider the features of the implementation of these procedures in more detail.
VAT declaration
The deadline for submitting a VAT return, defined by the norms of the Tax Code, is the 25th day of the month following the reporting period. Regarding VAT, a quarter is considered as such. So, if the taxpayer needs to report for the first 3 months of the year, then the deadline for submitting a VAT return for the corresponding period is April 25th.
How to submit VAT returns taking into account weekends?
A very topical issue for many entrepreneurs is when to send the document in question to the Federal Tax Service, if the 25th is a day-off. The legislation of the Russian Federation includes a norm according to which, when reporting on VAT, the deadline for submitting a report in the form of a declaration is postponed to the next working day. That is, for example, in 2015, the deadlines are as follows: VAT returns for the 1st quarter must be submitted before April 27, reporting for the 2nd quarter is provided until July 27, for the 3rd - until October 26, for 4- th - January 25, 2016. In 2016, in turn, there will be new deadlines for the declaration. VAT is a fee that requires careful consideration of the legislative nuances that govern it. It is advisable for the taxpayer to study them in advance. The legislation does not provide for VAT returns for the year. The deadlines for this document in one way or another correlate with the quarter.
Sanctions for non-reporting of VAT
If the company does not provide the state with VAT reporting provided for by law, then in accordance with the provisions of Art. 119 of the Tax Code of the Russian Federation, a fine may be imposed on her. Another sanction applied to a company that was unable to comply with the deadlines for submitting a declaration for VAT is a possible suspension of transactions on current accounts. These are the norms fixed in paragraph 3 of Art. 76 of the Tax Code.
It can be noted that declarations on the tax under consideration are provided, if it is an enterprise with branches, only the main office of the company. That is, the separate divisions of the company may not provide the relevant document to the local structures of the Federal Tax Service.
Electronic Declaration
It is necessary to provide the state with the declaration in question in electronic form. If the payer brings the document in paper form, the Federal Tax Service will consider it not provided. The company will be considered as a violator of the VAT reporting law. Thus, the deadlines for submitting a declaration are not the only criterion for fulfilling the requirements of the legislation for the tax payers in question.
But how is it necessary to submit to the Federal Tax Service an electronic tax return for the tax in question?
How to send an electronic declaration to tax authorities?
If you try to bring to the Federal Tax Service the document in question in the form of a regular file in Word or Excel format or send it by e-mail, the department most likely will not accept it. The fact is that the declaration, as the most important source of tax reporting, must be signed. Since the legislation requires businesses to provide this document in electronic form, it is assumed that it will be signed by electronic digital signature, and specialized software may be involved in sending it. The VAT payer can get the appropriate infrastructure at one of the certification centers.
How to register an EDS for declarations?
In order to register a digital signature, a passport, as well as the constituent documents of a legal entity must be provided to this organization. If an EDS is ordered by a company representative, you may also need a power of attorney for it from the organization’s management. There are a large number of organizations registering digital signatures for entrepreneurs. Of these, you should choose those that are accredited - the relevant certification authorities can issue electronic keys that have the highest degree of protection. The Federal Tax Service, accordingly, will be ready to accept VAT returns signed with keys issued by an accredited certification authority.
VAT declaration form
Another significant factor in recognizing the obligations of the company according to the VAT report to the state is fulfilled is the use of the correct form of the declaration. The legislation of the Russian Federation requires taxpayers to use the document approved by Order of the Ministry of Finance of the Russian Federation No. 104 dated 10/15/2009. Having examined what VAT is, the deadlines for submitting a tax return, we will consider in more detail the aspect associated with the correct filling out of this form.
How to fill out a VAT return?
The document in question should include indicators in rubles, no pennies should be indicated. If such are formed in the process of calculating VAT, then the relevant indicators should be rounded to the nearest ruble. If the amount is 50 kopecks or more, then to the greater side, if less - then, respectively, to a lesser extent.
The title page of the declaration, as well as the 1st section of the document should be filled out by all companies that are payers of the tax in question. Including those who did not have turnover for the reporting period on transactions with VAT. The deadlines and reporting procedures for such organizations are the same as those for firms that have actually paid the tax in question.
Sections of the declaration from the 2nd to the 12th, as well as various annexes to the corresponding reporting document, should be completed, in turn, only if the taxpayer performed the operations indicated in one form or another.
Sections of the declaration from the 4th to the 6th should be completed only in those cases when the company paid VAT at a zero rate.
Sections 10 through 11 of the document in question are filled in if the taxpayer used invoices in the reporting period, but carried out entrepreneurial activities in the interests of third parties taking into account signed agency contracts, commission agreements, transport expeditions, or was a developer .
Section 12 of the source in question should be completed if:
- the taxpayer issued invoices to his client, but at the same time he was not a VAT payer by law;
- the company issued invoices, but the deliveries indicated in the relevant documents were not taxed by VAT;
- if the taxpayer generated invoices, but was relieved of the obligation to pay the tax in question to the budget.
How is VAT calculated?
In order to fill out a VAT return, the corresponding tax must be correctly calculated. How is this problem solved? It all depends on the specific type of product, work or service for which VAT is charged. Certain types of products are taxed at 18%, others at 10%. There are activities that are taxed at zero interest rate. We study the specifics of their application in more detail.
The zero rate for the tax in question is applied in commercial activities involving the export by a Russian company of goods abroad under agreements on the functioning of a free customs zone, in the process of providing services for international transportation and other operations stipulated by the legislation of the Russian Federation. A VAT rate of 10% applies to the sale of food, goods for children, the press, and medical goods. In turn, the rate, which is 18%, applies in other cases. If the company receives an advance payment for the product, as well as in cases where the VAT is calculated in a special manner, rates of 10% and 18% may also be involved.
It is always useful for business owners to keep abreast of innovations in the field of legislation governing the sale of goods, products and services that are subject to VAT. The main sources of law to which attention should be paid in this case are art. 164 of the Tax Code of the Russian Federation, Government Decision No. 908 of December 31, 2004, No. 688 of September 15, 2004, No. 41 of January 23, 2003. Thus, it is extremely important for the taxpayer to use the correct form of the VAT declaration, calculate this tax, and also observe the deadline set for reporting by law. VAT must also be paid on time. We will study this aspect in more detail.
VAT payment deadlines
So, we have studied such a nuance as the deadline for submitting VAT reports. But its observance is an obligation that complements, in fact, the payment of the corresponding fee to the treasury. When do I need to make tax payments to the budget? How do the deadlines for VAT delivery and payment correlate?
In accordance with the provisions of the tax legislation of the Russian Federation, the fee in question should be paid in the general case no later than the 25th day of the first 3 months following the reporting period, in equal shares. That is, if, for example, according to the results of the 1st quarter, the company must contribute 30,000 rubles to the budget of the Russian Federation as VAT, then in April, May and June it needs to pay the state 10,000 rubles each.
Thus, the deadlines for submitting a VAT report can only coincide with the first payment to the budget. A special scenario is set by the legislator for organizations that are not the default tax payers in question, but have issued invoices to their counterparties in which the tax is recorded. Such companies need to pay the full amount of the fee before the 25th day of the month that follows the reporting period. In this sense, payment to the budget and submission of a VAT return have the same deadline.
VAT is a tax that must be paid on time, as well as reporting to the state on it.