Value added tax, or VAT, is perhaps the main one in many states. It is he who brings the most money to the budget. Even the income tax is not stolen from him. Let's get to know each other in more detail, find out the VAT payment deadline, accrual rules, and also whether it is possible not to pay VAT at all, and what is needed for this.
VAT calculation
Strictly speaking, this tax is not paid at all by organizations, but by the end consumer. We do this every time we buy something in the store. Organizations only transfer tax to the budget. Therefore, it is called called indirect.
They levy a tax not only in Russia, but also in 137 countries. There is no VAT in the USA, but instead they charge a sales tax. The procedure and deadlines for paying VAT are regulated by the Tax Code of Russia (Chapter 21).
The essence of the accrual is that the amount of tax on goods and services that the organization sold during the reporting period is reduced by the amount of VAT on goods and services that were required to be used in the production or resale process. The difference that remains in the end is subject to transfer to the budget.
Despite the apparent simplicity, this particular tax is one of the most difficult, most causing questions and disputes with inspection bodies.
VAT rates
There are three of them. The most common is 18%. A number of goods and services that are on the special list are taxed at a rate of 10%. This special group includes a number of food products, medical products, products intended for children. There is also a 0% rate that applies only to exported goods.
There are also a number of goods and services that are not subject to tax. This, for example, loans, lawyers and a limited list of others. If the organization conducts both taxable and non-taxable activities, then they are taken into account under separate articles. Separate accounting for goods and services with different rates is also maintained.
Both organizations and individual entrepreneurs who have chosen a common taxation system for themselves should pay the tax.
VAT payment deadline
The reporting period for this type of tax is a quarter, so you need to pay VAT once every three months. This must be done before the 25th day: for the first quarter - until April 25, for the second - until July 25, for the third - until October 25, for the fourth - until January 25.
Can I not pay VAT?
Can. There are two options. Those companies that are in special mode, or companies with small revenue, do not pay VAT to the treasury. There are three main special modes:
- UTII;
- Unified agricultural tax;
- STS
In addition, the patent system and production sharing agreement. These options are less common than the first three.
You can get freedom from VAT and those organizations that do not use the special regime, but the general taxation system. If the organization’s revenue for a quarter does not exceed two million rubles, such a legal entity has the right to submit documents for release. This benefit exists to support small and medium enterprises. Revenue must be calculated excluding VAT from it.
It is important to remember that exemption from VAT cannot be obtained automatically. It is necessary to fill out a notice, attach supporting documents and submit it to the tax office. You do not need to wait for approval, just notify. It is necessary to provide notice and documents before the 20th day of the month when the organization decided to start using its right.
You cannot waive the right within 12 months. Then you need to extend it or not to roll over.If the organization’s revenue exceeds two million per quarter, the right to release will automatically be lost. It will be necessary to submit a report and make a tax transfer in time for the payment of VAT to the budget.
Tax agents
There are situations when the obligation to transfer tax to the budget is not performed by the payer, but by another organization. She does this, of course, not from her pocket, but at the expense of the funds that belong to the taxpayer. To do this, from the due income, the amount is kept in advance and transferred to the budget. Such a company that fulfills the obligation to pay VAT is called a tax agent.
The tax agent is required to pay VAT until the 25th day of the month following the reporting quarter. Then you must file a declaration.
If the tax agent has not fulfilled the obligations assigned to it by the legislation to withhold and transfer VAT to the budget, to provide reporting, it will be punished with penalties.
VAT declaration
Each value added tax payer is required to submit a report to the tax office. The deadlines for submitting reports, as well as the deadlines for paying VAT are up to the 25th. The declaration can be submitted both personally and through a representative authorized by power of attorney. The possibility of electronic submission of reports through special systems is also provided.
There is an approved tax return form. You can fill it out manually or on a computer.
Responsibility for violation of deadlines
For violation of conditions such as the deadline for paying VAT or submitting a declaration, liability is provided. If the declaration is not delivered on time, the fine will amount to 5% of the amount of tax calculated according to the reporting data for each month of non-payment. The maximum amount is 30%. The minimum size is 1000 rubles.
If the deadline for paying VAT is not met, the fine will be 20% of the amount that was necessary to be transferred to the budget.
You are now familiar with the basic VAT information. This will allow you to report to the Federal Tax Service and pay taxes on time, as well as use the benefit if your company has the right to it.
