Beginning entrepreneurs are always interested in the issue of taxes, including VAT, the procedure for calculating and paying. This tax, VAT, will be discussed in this article.
VAT stands for value added tax. This tax is calculated as a percentage (percentage) of the tax base, and it correlates with the tax rate. In the event that the rates are different, the amount of VAT is calculated as follows: all taxes are calculated separately calculated for each rate.
The total, or total, amount of VAT is calculated as the sum of all operations that the object of taxation recognizes and which it performed in a particular tax period.
The VAT payment deadline is usually as follows: it is paid no later than the 20th day following the results of each period (tax), that is, a month or a quarter. VAT should be paid only at the place where the taxpayer is recorded. In this case, when paying VAT, taxpayers are required to submit a tax return to the relevant authorities.
In the case of the sale of not only simple goods, but also services or work, the payer must, plus the simple price of these goods (services in this situation are also considered as a kind of goods), present the calculated corresponding amount of VAT to the buyer for payment. When selling services, goods or work, the seller must present an invoice to his buyer. An invoice is a document that serves as the basis for the acceptance of declared amounts for deduction or reimbursement. The deadline for paying VAT (or rather, the deadline by which the seller must present such a paper to the buyer) is 5 days.
Tax deductions for which the taxpayer has the right to reduce the total amount of value added tax are subject to the amount of VAT that has been presented to this payer and which he paid when purchasing goods, services or work.
In short, you can say this: the amount of VAT is considered as the total amount of tax at the end of each period, obtained as a result of adding tax amounts at the rates of 0%, 10% or 18%.
In practice, quite often VAT is the difference between the amount that the taxpayer’s clients paid and the amount that he or his various suppliers and partners had previously paid.
In some special cases, the duty to add, transfer and withhold VAT is imposed on officials referred to as tax agents. Their role is most often played by individual entrepreneurship or special organizations. They must be registered with the relevant tax authorities and at the same time acquire work, services or goods from foreign persons in the territory of the Russian Federation. The deadline for paying VAT for them does not change at all - just the same until the 20th day of the month following the reporting period.
Legal entities may have the following question: how to pay VAT to an individual entrepreneur? Perhaps there are some benefits? Yes, indeed, there are benefits, but under several conditions:
- no less than three months should pass from the moment of registration of an individual entrepreneur;
- revenue excluding VAT is not more than three million rubles;
- there is no sale of excisable goods.
Subject to these conditions, individual entrepreneurship is completely exempt from VAT. If an individual entrepreneur was exempted from payment, and then acquired one of these properties, then he again begins to pay VAT, while the deadline for paying VAT does not change. In general, this period is always the same, it is standard: until the 20th day of the month that follows the end of the tax period.
But if at the same time there is import of goods in the Russian Federation or an individual entrepreneur is a tax agent, then in this case this exemption will not apply to him.
You can get an exemption from VAT from any month, and not only, as some people think, from the beginning of the next quarterly period. Therefore, if an individual entrepreneur meets all the conditions for canceling VAT, you can take advantage of this fact almost immediately.