Individuals-entrepreneurs, who are on the simplified taxation system, do not have a right to carry out types of economic activity that are not included in their accounting data and Register of the single tax payers.
Carrying out activities not listed in Register of the single tax payers is a reason for losing right to the simplified system and making a transition to general taxation system (Sub-paragraph 7 of Sub-paragraph 298.2.3 of the Tax Code of Ukraine).
Such payer must make a transition to general system from the first day of month following the reporting period in which such activity was carried out (Sub-paragraph 7 of Sub-paragraph 298.2.3 Paragraph 298.2 Article 298 of the Tax Code of Ukraine).
If the activity type changes, it is necessary to submit changes to the Unified state register of legal entities, individuals-entrepreneurs and public organizations (hereinafter – Unified state register) and then update data with the Tax Service.
Reminder: the Unified state register contains all information about individuals-entrepreneurs, including economic activity types.
Information from the Unified state register that is the basis for making changes to the taxpayers’ registration data (Paragraph 66.1 Article 66 of the Tax Code of Ukraine).
Information about changes in the information of individual-entrepreneur is automatically transferred from the Unified state register to the information systems of the State Tax Service of Ukraine in the electronic form.
This occurs with an interval of up to two hours after the registration action is carried out.
Example:
Programmer, individual-entrepreneur is of the single tax Group II. Registering in the Unified state register of legal entities, individuals-entrepreneurs and public organizations and in Register of the single tax payers, the classifier of economic activity types (KVED_62.01 – Computer programming) is indicated.
But the programmer decided to expand activity and open a cafe.
For this it is needed to:
Make changes to the Unified state register by adding KVED _56.10 – Restaurant activities, provision of mobile catering services.
Submit application to the Tax Service to make changes to Register of the single tax payers with addition of KVED_56.10 – Restaurant activities, provision of mobile catering services.
After these actions, individual-entrepreneur can carry out activities related to the provision of catering services.
More at the link: https://zir.tax.gov.ua/main/bz/view/?src=ques&id=43614.
