Regarding certain peculiarities of filling out Annex 2 to the VAT declaration

Regarding certain peculiarities of filling out Annex 2 to the VAT declaration "Calculation of the amount of budgetary reimbursement and amount of negative value that is included in the tax credit of the next reporting (tax) period (D2)" (hereinafter – Annex 2).  

Attention of the value added tax payers (hereinafter – VAT) should be paid to the fact that in connection with issuance of Order of the Ministry of Finance of Ukraine № 400 as of 09.08.2024 “On amendments to certain regulatory and legal acts of the Ministry of Finance of Ukraine”, registered in the Ministry of Justice of Ukraine on 26.08.2024 under № 1302/42647, taking into account changes made by Order of the Ministry of Finance of Ukraine № 418 as of 28.08.2024 “On amendments to Order of the Ministry of Finance of Ukraine № 400 as of 09.08.2024”, registered in the Ministry of Justice of Ukraine on 03.09.2024 under № 1343/42688 (hereinafter referred – Order № 400), the VAT declarations, starting from the reporting (tax) period October 2024, are prepared exclusively according to forms set out in the new edition of Order №  400 (submitted from November 1, 2024).

Changes made to the tax reporting forms are due to the need to bring them into line with requirements of the Tax Code of Ukraine (hereinafter – Code) in order to implement tax mechanisms in practice, including in terms of ensuring effective VAT administration and performing automated verification of the taxpayer's declaration of negative amount.

In particular, Annexes 2 and 3 to the declaration have been combined into one Annex 2.

New Annex 2 provides for application of the updated Table 1, which structures procedure and changes chronology of reflecting information by taxpayers on the calculation of negative amounts and budgetary reimbursement amounts, namely:

- in terms of the reporting (tax) periods in which negative amount arose;

- tax invoices, grouped by the periods of their preparation separately for each supplier of products/services for which such amount was formed;

- adjustment calculations compiled on the basis of Sub-paragraph "c" of Sub-paragraph 97.4 Paragraph 97 Sub-section 2 Section XX of the Code, if such adjustment resulted in negative value of amount calculated according to Paragraph 200.1 Article 200 Section V of the Code, which is subject to budgetary reimbursement.

Table 1 of Annex 2 details the entire amount of negative amount declared in line 19 of the declaration, including remaining amounts of negative amount that arose in the previous reporting (tax) periods.

Information regarding negative amounts is indicated in the chronological order of occurrence of such amounts, starting with the reporting (tax) period that is the oldest prior to the date of filing the declaration, and ending with the nearest reporting (tax) period.

Annex 2 to the declaration has been added with a new table 1.1, which should indicate information regarding amounts of tax for the purchase of products/services, if such amounts of tax were credited to the repayment of tax liabilities determined for the product export to which the Export guarantee regime applies, provided that amounts of tax are actually paid to such suppliers of products/services or to the State budget of Ukraine.

Peculiarities of filling out Annex 2 are set out in Annex 2 to the State Tax Service’s letter dated 28.10.2024 № 29885/7/99-00-21-03-02-07 (posted on the State Tax Service’s web portal at the link https://tax.gov.ua/zakonodavstvo/podatki-ta-zbori/zagalnoderjavni-podatki/podatok-na-dodanu-vartist/listi/2024-rik/79175.html).