Questions – answers regarding postponement of terms of the VAT tax credit formation during the martial law in Ukraine

Press service of the State Tax Service of Ukraine, published 01 December 2022 at 17:02 Chapter: News

1. Are the deadlines for registration of tax invoices/adjustment calculations in the Unified Register of Tax Invoices extended for a period of the martial law on the territory of Ukraine?

Provisions of Paragraph 102.9 Article 102 Chapter 11 Section II and Sub-paragraph 69.9 Paragraph 69 Sub-section 10 Section XX of the Tax Code of Ukraine (hereinafter – Code) stipulate that for a period of legal regime of the martial law, time limits specified by the Code for registration of tax invoices/adjustment calculations in the Unified Register of Tax Invoices does not stop.

2. Does the term established by the Code for the tax credit formation stop for a period of the martial law?

Yes, it stops. Taking into account the fact that during legal regime of the martial law on the territory of Ukraine for taxpayers and controlling bodies, the passage of time limits determined by tax legislation, except for, in particular, exceptions provided for by Sub-paragraph 69.9 Paragraph 69 Sub-section 10 Section XX of the Code, the passage of time periods, determined by the Code for the tax credit formation, is suspended for the specified period.

Term for inclusion of amounts in the VAT credit (according to tax invoices registered in the Unified Register of Tax Invoices, including those compiled before introduction of the martial law on the territory of Ukraine), established by Paragraph 198.6 Article 198 of Section V and Paragraph 80 Sub-section 2 Section XX of the Code, after termination or abolition of the martial law is extended for the number of calendar days that fall within a period of the martial law and during which the taxpayer had a right to include the VAT amounts in the tax credit. 

3. Is a period established by the Code for the tax credit formation interrupted for a period of registration suspension of tax invoices/adjustment calculations in the Unified Register of Tax Invoices?

Yes. In case of registration suspension of tax invoice/ adjustment calculation in the Unified Register of Tax Invoices according to Paragraph 201.16 Article 201 Section V of the Code, period for the tax credit formation, specified in Paragraph 198.6 Article 198 Section V and Clause 1 of Paragraph 80 Sub-section 2 Section XX of the Code, is interrupted for a period of registration suspension of such tax invoices/ adjustment calculations in the Unified Register of Tax Invoices.