Newsletter № 6/2022: Peculiarities of the income tax payment regarding payment of dividends

Press service of the State Tax Service of Ukraine, published 01 November 2022 at 16:59 Chapter: News

Newsletter № 6/2022 refers to peculiarities of calculating the corporate income tax advance payment regarding dividends paid by a resident legal entity.

Letter contains the following information, in particular:

- in which cases the income tax advance payment is not paid when dividends are paid;

- whether Diia City residents pay advance payment paying dividends;

- what tax consequences arise for the income tax payer in case of a decrease in the authorized capital;

- how to correctly fill in lines 4 and 5 of Annex AB to the corporate income tax declaration in case of simultaneous payment of dividends to individuals and legal entities;

- whether the corporate income tax payer has a right to take into account reduction of tax liability from this tax to the amount of advance payments paying dividends, which remained unaccounted for in the reduction of tax liabilities on the date of transition to the single tax payment at 2% rate;

- how to calculate tax base for payment of advance payment paying dividends for the reporting year;

- whether it is necessary to pay the income tax advance payment in case of reinvestment of dividends;

- how to calculate advance payment paying dividends for periods of stay of the corporate income tax payer on the simplified taxation system.

Read the Newsletter here.