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Tax
Which taxes does an entrepreneur have to pay? How much?
The tax system can be divided into three groups for LLC (or LTD):
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General taxation system
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Simplified taxation system
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Preferential taxation
General taxation system in Ukraine of LLC or LTD.
The main tax in this system is the profit tax (corporate tax). The main difference of this system is that the tax base (ie a base with which to pay taxes on profit) is profit - the amount of which is calculated by subtraction of the value of income (revenue) the amount of expenses incurred. This taxation model provides a more painstaking accounting system.
The rate of income tax - in 2016 is 18% (the rate in 2015 was 18%). In the matter of the timing of the payment of tax legislation will divide the company into two categories depending on the size of annual revenue:
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Less than 20 million - these businesses pay tax once a year according annual declaration;
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More than 20 million - these companies pay income tax on a quarterly basis.
Companies having a general system additionally will such taxes:
Tax on dividends - 5% for companies on a common system of taxation (18% for single tax payers). Since 2015 accrued dividends are subject to an additional accrual and retention of military duty (1.5%)
VAT - rate - 20%
Single Social Contribution and Personal income tax, the military collection - taxes related to payroll and related payments.
Environmental tax - for some companies, for example, emissions of harmful substances, etc.
Military contribution 1,5% of individual income
Simplified Taxation System
In contrast to the general taxation system, the basis for calculating the tax is all income (revenue and so on.)
Single tax is charged at a fixed rate, which depends on the group of the taxpayer.
The group of the single tax payer will depend on such indicators of LLC:
Group 3 - two criteria:
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annual company income is less than 5 mln.UAH.
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annual average statistical number of hired personnel is not limited
Group 4
Taxpayers of this group can be exclusively enterprises that had previously paid a fixed agricultural tax
Preferential Taxation of LLC (or Ltd).
The Tax Code of Ukraine provides a number of benefits for enterprises such as:
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SMEs - 0% corporate tax.
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Software industry companies - 5% corporate tax and exemption from payment of VAT.
For more details about the Preferential Taxation, please view here.
