The VAT evasion by agricultural producers was exposed in Ternopil region

Within the framework of operation “Harvest 2020”, specialists of the Main Directorate of the STS in Ternopil region analyzed the completeness of payment of taxes by agricultural producers who are in Group IV of the single tax. They compared the agricultural land plots declared by economic entities in Appendix to the Declaration of the single tax payer of Group IV (Information on the availability of land plots) with data of the Cadastral Map of Ukraine to find out their intended land use. Tax specialists also paid attention to the completeness of declaring land plots (shares) located in one field, the use of pastures and hayfields.

It turned out that 19 taxpayers cultivate land shares without taxation. These are 2437.2 hectares of agricultural land – arable land was sown with different crops but this was not reflected in the reports and taxes were not paid. In addition, the taxpayers plowed 1004.7 hectares of pastures. In this area, they planted crops but did not document change in the intended use of land, subsequently taxation was carried out at a lower tax rate. As a result, local budgets did not receive 530 thousand UAH of the single tax; the state budget conditionally did not receive 9.2 million UAH of the value added tax.

Head of Main Directorate of the STS in Ternopil region Ivan Punko assured that economic entities that minimize taxes and violate tax legislation will continue to be closely monitored.

“At present, tax specialists have enough technical capabilities to gather necessary information and analyze legality of the enterprise. Therefore, individuals who are still trying to use different schemes to minimize tax liabilities should remember this and pay taxes properly and declaring honestly” – summarized Tax official.