The National Statistics Service informs
The Main Inspectorate of the National Statistics Service of Ukraine reminds that for obtaining tax relief, an individual income taxpayer should file an application to the employer asking to apply the tax benefit. The supplementary documents to prove such right are to be submitted along with the application. A list of the documents and procedure for submission are set out in Resolution No.1227 passed by the Cabinet of Ministers of Ukraine on 29.12.2010. The taxpayer can choose the place of filing an application for tax relief.
The tax benefit gives a taxpayer an opportunity to reduce the tax on monthly income obtained in the form of salary. The amount that such salary is to be reduced is expressed as percentage of minimum subsistence, applicable to the persons able to work.
The tax relief for the salary of the taxpayer is to be calculated by only one competent authority starting from the date of receipt of the application by the employer. However, if the taxpayer acquires the right to apply the tax benefit on grounds other than those indicated in his/her application, such taxpayer should file another application with supporting documents. The application for tax relief is drawn up in a free form.
If the application and supporting documents are filed later than the first days of the month, then the tax relief is applied to the total salary calculated in the said month.
If the taxpayer has the right to apply the tax relief based on two or more grounds, the grounds for bigger tax relief are applied.
Significantly, the tax relief granted to any taxpayer amounts to 50% of the minimum subsistence per person able to work (per month), as set out as of January 1 of the accounting year (par. 169.1.1 par. 169.1, article 169 of the Tax Code of Ukraine). In 2014 it amounts to 609 hryvnias.
Please note that the salary of the taxpayer should not surpass income thresholds – 1710 hryvnias in 2014.
It is worth noting that the categories of taxpayers and amount of tax reliefs are set out in article 169, chapter IV of the Tax Code of Ukraine.
