Publication date: 10.05.2024
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Taxation of personal income tax surcharges for traveling nature of work
QUESTION
Are additional payments (surcharges) to the official salaries of employees for the traveling (mobile) nature of the work subject to personal income tax, if such additional payments (surcharges) are stipulated by the labor or collective agreement?
ANSWER
In accordance with paragraph 1 of the Resolution of the Cabinet of Ministers of Ukraine dated March 31, 1999 No. 490 "On allowances (field support) to the tariff rates and salaries of employees sent to perform installation, adjustment, repair and construction works, and employees whose work is performed by the shift method , is constantly on the road or has a traveling (mobile) nature", enterprises independently set surcharges to the tariff rates and salaries of employees whose work is constantly on the road or has a traveling nature, in the amounts stipulated by collective agreements, or in agreement with the customer.
The maximum amounts of allowances (field support) for employees per day may not exceed the marginal norms of expenses established by the Resolution of the Cabinet of Ministers of Ukraine dated February 2, 2011 No. 98 "On the amounts and composition of expenses for business trips of civil servants, as well as other persons sent on business trips by enterprises , institutions and organizations that are fully or partially maintained (financed) at the expense of budget funds."
According to subsection 14.1.48 of clause 14.1 of Article 14 of the Tax Code of Ukraine (hereinafter referred to as the Tax Code of Ukraine), wages for the purposes of Section IV of the Tax Code of Ukraine are the basic and additional wages, other incentive and compensatory payments that are paid (provided) to the payer of the income tax of natural persons in connection with relations employment in accordance with the law.
In accordance with subsection 164.2.1 of clause 164.2 of article 164 of the PKU, the total monthly (annual) taxable income of the taxpayer includes income in the form of wages accrued (paid) to the taxpayer in accordance with the terms of the employment contract (contract).
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When calculating income in the form of wages, the tax base is defined as the accrued wages, reduced by the amount of insurance contributions to the Accumulation Fund, and in cases provided for by law, mandatory insurance contributions to a non-state pension fund, which, in accordance with the law, are paid at the expense of of the employee's salary, as well as the amount of the tax social benefit, if it is available (clause 164.6 of article 164 of the PKU).
According to Clause 167.1 of Article 167 of the Civil Code, the tax rate is 18 percent. tax base for income accrued (paid, provided) (except for the cases specified in clauses 167.2 - 167.5 of article 167 of the Civil Code) including, but not exclusively, in the form of: wages, other incentive and compensation payments or other payments and rewards , which are accrued (paid, provided) to the payer in connection with labor relations and under civil law contracts.Taking into account the above, additional payments (surcharges) to the official salaries of employees for the traveling (mobile) nature of the work in the amounts stipulated by the labor or collective agreement are included in the salary and are taxed as part of the salary with personal income tax in accordance with subsection 164.2.1 clause 164.2 of article 164 of the Code of Civil Procedure at the rate of 18 percent.
