Publication date: 06.06.2024
I constantly strive to develop and acquire new knowledge, my experience and additional education confirm this.
Unlocking the tax invoice
The tax invoice is an important document in the tax system of Ukraine. This is a document that confirms the fact of carrying out a certain operation (sale of goods, provision of services) and includes information about the parties to the operation, the type of goods or services, their quantity, price and other details that affect the amount of taxation.
Ukraine has its own system of tax invoices, which are regulated by relevant tax laws and regulations. These documents are important for proper tax accounting, tax control and prevention of tax fraud.
Tax invoices are used both for tax accounting of enterprises and entrepreneurs, and for control by tax authorities. They are also important documents during audits and inspections by tax authorities. Unblocking a tax invoice is an important process for Ukrainian businesses, as blocked tax invoices can lead to financial difficulties and delays in VAT refunds. Below are the steps and recommendations for unlocking tax invoices in Ukraine.
The procedure for unlocking a tax invoice
The enterprise receives a decision on the blocking of the tax invoice/adjustment calculation, which indicates the reasons for the blocking.
Get familiar with the reasons for blocking and determine what documents are needed to refute them.
Prepare all the necessary documents that confirm the reality of the transaction. These can be contracts, invoices, acts of completed works, goods and transport invoices, bank statements and other primary documents.
Download explanations and copies of documents through the taxpayer's electronic account on the official website of the DPS.
Submit the documents within 365 calendar days from the date of receipt of the blocking decision.
The tax authority considers the submitted documents and explanations within 7 working days from the day of their receipt.
After consideration, the commission makes a decision on registration of the tax invoice or refusal to register it.
Appealing the decision (if necessary)
If the commission refused to register a tax invoice, the enterprise can appeal this decision in an administrative procedure by filing a complaint with the higher authority of the DPS.
In case of dissatisfaction with the administrative appeal, the enterprise has the right to appeal to the court.
Practical advice
Keep clear and systematic documentation of all business transactions in order to be able to quickly provide the necessary evidence in the event of a tax invoice being blocked.
Contact tax consultants or law firms specializing in tax law for professional assistance in preparing documents and explanations.
Regularly check the status of your tax invoices in the taxpayer's electronic account to promptly respond to any changes.
Provide training to accounting and finance staff on the rules and procedures for registering tax invoices and possible reasons for their blocking.
Common causes of blocking
Inconsistencies or errors in filling out tax invoices.
Tax authorities may suspect fraudulent transactions due to data inconsistencies or lack of goods movements.
Failure to provide or improper processing of documents confirming the reality of transactions.
Knowing these aspects and preparing for possible situations with the blocking of tax invoices will help to avoid delays and ensure the smooth operation of the enterprise.
