The State Tax Service has launched “road maps” for VAT payers: how to avoid blocking tax invoices

The State Tax Service of Ukraine has introduced a new tool for value-added tax payers — the so-called “road maps,” which contain practical recommendations for filling out data tables. The initiative is aimed at reducing the number of technical errors that lead to the suspension of tax invoices.

The agency notes that the tool was developed taking into account the requests of the business community and industry specifics. Its main goal is to simplify the interaction of payers with tax authorities and minimize the risks of blocking invoices due to formal inaccuracies.

According to the Acting Head of the State Tax Service, Lesya Karnaukh, even a minor error can lead to the suspension of a tax invoice. At the same time, thanks to comprehensive measures, the share of such cases has already been significantly reduced — currently it is about 0.1–0.15%.

What is a VAT payer data table

A taxpayer data table is a generalized information about the types of activities of an enterprise, in particular, the KVED codes, goods (UKTZED) and services (DKPP), which the payer supplies or manufactures on a permanent basis. Its submission is especially relevant for enterprises in the manufacturing, construction, agricultural and service sectors.

Key requirements for submission

The State Tax Service emphasizes a number of mandatory conditions:

the table is submitted together with an explanation of the payer’s activities;
the document must be submitted exclusively in electronic form;
if there are several types of activities, the tables can be submitted separately;
re-submission for already taken into account codes is not required;
if necessary, supporting documents are attached.

What the explanation should contain

For a positive decision of the supervisory authority, the explanation must include:

a description of the payer’s activities;
information on labor resources;
data on the material and technical base (fixed assets, transport, land);
information on permits;
references to tax and financial statements.

When the table may not be taken into account

Among the main reasons for refusal:

lack of explanation or its formal nature;
insufficient or incomplete data;
inconsistency of information with data from automated systems of the State Tax Service;
lack of resources to carry out the declared activity;
low level of employee salaries.

Typical mistakes of payers

The tax service also draws attention to common violations, in particular:

declaring activities without available resources (land, equipment, personnel);
formation of a tax credit for transactions not related to the main activity;
discrepancies between the submitted data and information in the State Tax Service systems;
inconsistency of the level of remuneration with legislative requirements.

The introduction of “road maps” is another step of the State Tax Service towards digitalization and increasing the transparency of tax administration. It is expected that the new tool will help conscientious taxpayers avoid unnecessary risks and focus on conducting business activities.