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Clarification from the Office of Large Taxpayers on VAT exemptions for medical devices.

The Office of Large Taxpayers of the State Tax Service of Ukraine notes that for the period of quarantine, transactions on supply in the customs territory of Ukraine of goods (including medicines, medical devices) involved in value added tax (VAT) are temporarily exempt. fight against a pandemic, the list of which is determined by the resolution of the Cabinet of Ministers of 20.03.2020 № 224 (hereinafter – the List № 224) (paragraph 71 of subsection 2 of section XX “Transitional Provisions” of the Tax Code of Ukraine (hereinafter – the Code).

Operations on supply of goods are operations on retail sale of goods to end consumers, including the sale by pharmacies of goods included in the List № 224, in accordance with the provisions of the Code.

In this case, in the case of exemption of the supply of goods from VAT under such transaction VAT is not charged, and a tax invoice is drawn up indicating “Excluding VAT” for the transaction exempt from this tax.

The value of goods included in the List № 224 must be determined without VAT from the date of introduction of the benefit established by paragraph 1 of subsection 2 of section XX “Transitional Provisions” of the Tax Code of Ukraine, ie from 17.03.2020. This requirement applies regardless of whether the contracts and primary documents drawn up for the supply of such goods contain provisions on the need to charge VAT or not, as well as regardless of the date of conclusion of such contracts.

Taxpayers who supplied goods included in List № 224, including VAT, should adjust their VAT liabilities for transactions carried out (“the first event” took place) from the date of introduction of the benefit (from 17.03.2020). ) until the date of entry into force of Law № 540 (until 02.04.2020).

In this case, taxpayers must make recalculations, according to which the amount of VAT paid (accrued) as part of the value of purchased goods and reflected in the tax invoices drawn up for transactions with such goods, which occurred in the period from 17.03.2020 to 02.04.2020. , must be either returned to buyers or credited to the cost of subsequent deliveries.

Therefore, during such an adjustment, the taxpayer-supplier has:

to calculate the adjustment to the tax invoice, which was drawn up with VAT, in which to indicate with a minus sign indicators for goods supplied from the List № 224. Such calculation of adjustment is subject to registration in the Unified Register of tax invoices by the recipient (buyer) of goods;

draw up and register in the Unified Register of Tax Invoices a tax invoice for a transaction for the supply of goods from List № 224, which is exempt from taxation, without VAT.

In this situation, the tax invoice, which was drawn up with VAT, and the calculation of adjustments to it in the tax reporting for VAT are not reflected.

If the supply of goods included in List № 224 was carried out with VAT to the final consumer (non-payer of VAT), due to which it is impossible to return the tax paid to buyers, the accrued amounts of tax liabilities are not adjusted by the direct seller. The relevant amount of VAT received from non-taxable final consumers as part of the price of goods is taken into account by such seller when determining the VAT liability for the relevant reporting period in the general order.

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