Tax social concession provided wrongfully – whether to do personal income tax recalculation?

Consultation is given how to correct a mistake on illegitimacy of representation of NSL to the chairman of a farm.

The chairman of a farm is the member of this economy. During 2006 the income in the sum of 650 UAH was monthly paid to it., and from September to December inclusive the accountant applied a tax social concession (NSL) to this income. However as the member of an economy the chairman has no right to NSL. Whether personal income tax recalculation is necessary in the circumstances? And how it is correctly to make it?

Really, the chairman of a farm (FH), being his founder, it is considered the member of a danyony economy. So, to its income of NSL not prime­nyaetsya as the income of the member of FH isn’t a zarabotyony payment in understanding of the Law No. 889*.

It is necessary to tell that isn’t applied in this case to the income of the chairman and standard of item 3.5 of the Law No. 889. That is for the purpose of the taxation such income doesn’t decrease by the sum of collecting of the Pension fund of Ukraine and contributions to funds of obligatory soyotsialny insurance.

Therefore if the accountant applied to such income of NSL, it is necessary for it to make recalculation: donachis­lit to the personal income tax and to pay its new sum of the budget, without waiting documentary check from taxing authorities.

How it is correct to carry out recalculation and to reflect its results in the form of No. 1DF?

Whether it is necessary to submit specifying tax ras­chet during the periods in which NSL was applied?

Let’s deal with these questions.

Specifying tax calculation, as appears from Order No. 451 item 4, moves for correction of the sleduyuyoshchy mistakes allowed in earlier submitted calculation:

•  introduction of the wrong data (it is necessary is­pravit);

•  the record admission (it is necessary to include);

•  executions of superfluous, wrong record (it is required to withdraw).

As we see, at mistake correction in the form of neprayovomerny granting NSL to correct rayony the handed-over tax calculations of a No. 1DF form there is no need. That is to represent specifying tax calculations for the periods in which primenya­las NSL, isn’t necessary: after all data of earlier submitted reporting correspond to charges, payments do­xodov and to tax transfers for the corresponding reporting tax periods.

And here for each separate month in which pri­menyalas NSL, the accountant should make pere­raschet the personal income tax, that is donachislit it. To reflect tayoky operation it is necessary in the form of No. 1DF for that quarter in which the tax will be donachislen.

For example, having made recalculation in January – March, 2007, its result will need to be included in a No. 1DF form for Ikvartal of 2007.

The sum of a donachislenny tax increases to sum­me a tax added and listed for the otchetyony period (in case of its actual a perechisleyoniya in the budget).


To the monthly income of the chairman of FH, sostavyolyayushchy 650 UAH., from September to December, 2006 NSL at a rate of 175 UAH was inclusive applied. From this income the personal income tax at a rate of 58,79 UAH was paid. Considering illegitimacy of application of NSL, the sum of a tax it is necessary donachislit.

Recalculation is realizable in Ikvartale of 2007.

The sum of the personal income tax withheld from monthly doxo­da of the chairman, should make 84,50 UAH. (650 UAH. x 13 %). Therefore, for every month of application of NSL it is necessary to make donachisleyony personal income taxes. The monthly sum of a donachisleniye will be Ravenna 25,71 UAH. (84,50 UAH. – 58,79 UAH.), in 4 months (September – December) the sum of the donachislenny personal income tax will make 102,84 UAH. (25,71 UAH. x 4).

And for Ikvartal of 2007, at monthly vyp­late 650 UAH., the sum of the added and paid income will make 1 950,00 UAH. (650 UAH. x 3), personal income tax of-292,5 UAH. (1 950 UAH. x 15 %).

So, in the case under consideration it will be necessary to pay for Ikvartal of 2007 of the personal income tax in the budget in total amount of 395,34 UAH. (292,5 UAH. + 102,84 UAH.).

Let’s give a fragment of filling of a No. 1DF form for Ikvartal of 2007.

In summary – important argument in favor of need of carrying out recalculation of the personal income tax in rasyosmotrenny us situations. At independent correction of the mistakes connected, in particular, with neyopravomerny application of NSL, that is in case of an independent donachisleniye and personal income tax transfer, the farm will avoid the penalties provided by Art. 20 of the Law No. 889 and subitem 17.1.9 of the Law No. 2181. For their application for proveyoryayushchy bodies there will be no bases.

List of documents

1. The law No. 889 – the Law of Ukraine from 22.05.03 of No. 889-IV About a tax on the income of individuals.

2. The law No. 2181 – the Law of Ukraine from 21.12.2000 of No. 2181-III About an order of repayment of obligations of taxpayers before budgets and the state specialized funds.

3. An order No. 451 – the Order of filling and representation by tax agents of tax calculation of the sums of the income, nachisyolenny (paid) in favor of taxpayers, and the sums of the tax withheld from them, approved by the order GNAU from 29.09.03 of No. 451.

(On Balans-Agro newspaper materials).