55 companies expelled from the White Business Club: what are the reasons
19 April 07:27
on April 1, 2024, the list of taxpayers with a high level of voluntary compliance with tax legislation (the so-called “white business club”) was updated by the State Tax Service. This was announced by the Chairman of the Verkhovna Rada Committee on Finance, Taxation and Customs Policy Danylo Hetmantsev, according to
According to him, the list currently includes 8,199 thousand taxpayers, which is 55 taxpayers less than in the previous list, including:
- 4123 – legal entities on the general taxation system;
- 2149 – legal entities paying the single tax of the third group;
- 984 – legal entities paying the single tax of group IV;
- 211 – residents of Diia City;
- 732 – individual entrepreneurs.
The list was published on April 18 and is available here:
https://tpd.tax.gov.ua
According to Mr. Hetmantsev, the list includes representatives of large, medium and small businesses with the best payment and tax discipline performance, which are serviced by 611 compliance managers who provide support to the companies.
It is interesting to note that the largest number of taxpayers in the updated list are individual entrepreneurs (581 individual entrepreneurs).
“Most of the taxpayers included in the first list continue to use the proposed mechanism, adhering to the established levels of tax payment, which allows them to retain the privileges of the “Territory of high level of tax confidence”. However, not all of them were able to maintain the required indicators, so they were not included in the updated list,” the MP emphasized.
As reported by
– 4488 legal entities under the general taxation system;
– 2359 legal entities – single tax payers of the third group;
– 1088 legal entities – single tax payers of group IV;
– 169 residents of Diia City;
– 151 individual entrepreneurs.
The State Tax Service plans to review the functioning of the so-called “white business club”.
“I often hear complaints that business should not be divided into ‘white’ and ‘black’. There are companies that may not meet the formal criteria, but still pay taxes. Therefore, we will discuss and possibly change systemic approaches to the formation of such a business community. The rules are the same for everyone,” said Ruslan Kravchenko, the new head of the State Tax Service.
Follow us on Telegram: the main news in brief
What we know about the White Business Club
As a reminder, the President of Ukraine Volodymyr Zelenskyy signed the draft law No. 11084 on the establishment of the “White Business Club” – a list of taxpayers with a high level of voluntary compliance with tax legislation.
The law is aimed at improving the interaction between tax authorities and honest taxpayers, providing the latter with certain benefits in exchange for a high level of tax discipline.
It clarifies the concept of “tax risk” and introduces a new concept of “compliance” (tax risk management).
The Law defines the criteria for recognizing a taxpayer as a bona fide taxpayer, including no or minimal tax debt, timely submission of reports, compliance with industry tax payment rates, and payment of salaries not lower than the industry average.
Taxpayers included in the list will receive the following benefits:
- upon request, the taxpayer has the right to receive information about tax information available to the controlling authority that may indicate tax risks in the taxpayer’s activities, as well as advice on how to eliminate such risks within five days
- moratorium on documentary audits;
- reduction of the timeframe for desk and documentary audits for the purposes of budgetary reimbursement – five calendar days;
- individual tax consultations within five calendar days;
- the taxpayer is assigned a compliance manager with whom the taxpayer will be able to interact, in particular by means of remote communication, including videoconferencing;
The list of bona fide taxpayers is compiled on a quarterly basis, and taxpayers are notified of their inclusion in this list. These features will be in effect for the period of martial law and until the end of the year, when it will be canceled.
Read about the business reaction to the law here.
Follow us on Telegram: the main news in a nutshell
