Liquidation of certain categories of individual entrepreneurs in a simplified manner

In accordance with Article 67 of the Tax Code, the termination of certain categories activities of individual entrepreneurs in a simplified manner is carried out without in-house control, on the basis of a taxpayer's tax application for termination of activities.

• Individual entrepreneurs who meet the following conditions at the time of filing a tax application are subject to termination of activity in a simplified manner:

1) not registered as a VAT payer;

2) not carrying out activities in the form of joint entrepreneurship;

3) not carrying out certain types of activities (production of gasoline, diesel fuel; wholesale and retail sale of gasoline, diesel fuel; production of ethyl alcohol and alcoholic beverages; wholesale and retail sale of alcoholic beverages, production and wholesale of tobacco products, gambling business, production, assembly excisable goods; electronic trade in goods).

4) absent in the plan of tax audits or in the list of selective tax audits based on the results of measures of the risk assessment system, or absent in the semi-annual schedule of tax audits carried out in a special order based on an assessment of the risk degree;

5) have no tax arrears, arrears of social payments;

6) not have a high level of risks in the risk management system.

Upon termination of activities in a simplified manner on a tax application, an individual entrepreneur submits to the tax authority at the place of his location at the same time:

1) a tax application for the activities termination;

2) liquidation tax reporting;

3) a tax application for deregistration of a cash register machine (if any) in the manner specified in Article 169 of the Tax Code.

Liquidation tax reports are drawn up by types of taxes, payments to the budget and social payments, for which an individual entrepreneur, terminating activities, is a payer and (or) a tax agent, for the period from the beginning of the tax period in which a tax application for termination of activities is submitted to the date submitting such a statement.

If the deadline for the next tax reports submission comes after the submission of the liquidation tax reports, the submission of such regular tax reports is made no later than the date of submission of the liquidation tax reports.

• Upon termination of activities in a simplified procedure on a tax application, the payment of taxes, payments to the budget and social payments reflected in the liquidation tax returns shall be made no later than ten calendar days from the submission date to the tax authority of the liquidation tax returns.

If the deadline for the payment of taxes, payments to the budget and social payments, reflected in the tax reports submitted before liquidation tax reporting, occurs after the expiration of the period specified in part one of this paragraph, then the payment (transfer) is made no later than ten calendar days from the date filing liquidation tax reports.

The tax authority, no later than three working days from the date of fulfillment of the tax obligation in accordance with this paragraph, deregisters the individual entrepreneur from registration and places information on the removal of the individual entrepreneur from the registration on the Internet resource of the authorized body.