Publication date: 18.04.2024
I constantly strive to develop and acquire new knowledge, my experience and additional education confirm this.
An individual entrepreneur in Ukraine can choose a tax regime depending on his income.
FOP of the second group, it means that the FOP has chosen a simplified tax system, where taxation is carried out according to a single tax.
According to the Tax Code of Ukraine, the FOP of the second group are taxpayers who have the following characteristics.
Natural persons-entrepreneurs of the second group may use hired labor, but the number of hired workers should not exceed 10 people. These employees must be with the FOP in an employment relationship, which means that employment contracts are concluded between them, and the FOP cannot use them in the form of civil law contracts (for example, contracts for the provision of services).
FOPs carry out economic activities in the following areas:
Provision of household services, such as cleaning, plant care, home repairs, repair services for other small household appliances, etc.
Provision of services for single tax payers and/or the public, which may include a wide range of services, such as the services of hairdressers, manicurists, massage therapists, photographers, beauticians, etc.
Production and/or sale of goods, such as handicrafts, various household goods, textile products, art products, etc.
Activities in the field of restaurant business, including the operation of cafes, restaurants, fast food, etc.
These are just some examples of activities that can be carried out by the FOP of the second group. It is important to remember that a specific type of activity may be subject to certain restrictions or requirements according to the current legislation of Ukraine.
If you are planning to start a business, I recommend that you contact the services of a lawyer, the services of a lawyer for complete and up-to-date information.
FOPs of the second group have a maximum amount of income per calendar year. This amount of income is established by legislation and may change over time depending on established standards. This income limit is intended to limit the use of the regime of the simplified taxation system by FOPs that have already achieved a certain level of success and income. This ensures a level of stability and fairness in the taxation system.
These types of activities may be subject to the single tax regime, which is a simplified taxation system for sole proprietorships in Ukraine. Choosing this mode allows you to simplify accounting and paying taxes, which is important for many small businesses.
Clause 291.5.1 of the Tax Code of Ukraine defines activities that are prohibited for FOPs of the second group. This usually includes activities that require special licenses, permits or government regulation. Such activities may be related to the production and trade of items that pose a risk to human health or the environment, or to other types of activities that require special permits or documents.
These restrictions apply to FPOs of the second group in order to regulate their activities and ensure compliance with the requirements of the law. It is important to consider these limitations when planning a business or choosing a type of activity.
