Main points
- To receive a tax installment or deferral, you must submit a written application along with a package of documents.
- Installment or deferment is provided by the State Tax Service without any amount limit, but requires a deposit for amounts over 1 million hryvnia.
Installment or deferral of tax payments in Ukraine / Collage of Channel 24
Installment or deferral of tax debt is the postponement of the payment terms by the taxpayer with interest. Their amount is 120% of the annual discount rate of the National Bank, effective on the day of the relevant decision.
What are the conditions for tax installments?
The application procedure involves submitting a written application and a package of documents. Details are explained on the Debit-Credit portal.
Deferral (installment) of monetary obligations is provided within the limits of authority in each specific case:
- without limit on the amount – State Tax Service of Ukraine;
- up to 3 million hryvnias – regional and Kyiv administrations, as well as interregional ones (for large taxpayers).
If the payer requests an installment or deferral for 1 million hryvnias or more, he must provide the property as a tax lien. Its book value must not be lower than the declared amount.
Please note! Decisions on tax debt deferral are made within one fiscal year.
The decision on the installment or deferral of local taxes and fees is made by the head or authorized person of the control body, and approved by the financial body of the local government, to whose budget these payments are made.
How to submit a written application?
To obtain an installment or deferral of tax debt, the payer submits to the State Tax Service at his place of registration (or at the place of registration of a specific obligation) a written application of the established form (in Appendix 1 to Procedure No. 574) and a package of supporting documents :
- Financial statements – copies of the Balance Sheet and Income Statement for the reporting period and the same period last year.
- Property documents (for tax lien) – a list of property with detailed characteristics and certified copies of ownership documents.
- Economic justification , including:
- a list of circumstances indicating the presence of a threat of the emergence, accumulation or non-repayment of a tax debt, and evidence of the existence of such circumstances, signed by the manager and/or chief accountant and sealed;
- a schedule for repayment of installments within the budget year, signed by the manager and/or chief accountant and sealed;
- analysis of the taxpayer's financial condition (tables 1 – 9 of the Methodological Recommendations for Determining the Threat of Occurrence, Accumulation or Non-Repayment of Tax Debt);
- description of measures to increase solvency and calculation of forecasted income that guarantee compliance with the repayment schedule;
- information on the value of assets as of the date of the request (balance sheet lines 220, 230, 240);
- data on long-term and short-term capital raised (calculation of the coefficients of the threat of tax debt arising or non-repayment, general liquidity).
What else should taxpayers know?
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As a reminder, testing of a new service in Ukraine has started. Tax declarations on property status and income, as well as for obtaining a tax discount to return part of the paid personal income tax, can now be submitted online.
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In addition, to obtain information from the State Register of Individual Taxpayers, it is not necessary to personally contact the Taxpayer Service Center. Ukrainians have access to the taxpayer's electronic account and the “My Tax” mobile application.