News regarding filing the PPDG-1R tax return
Print Page14. 02. 2023.
Amendments to the Personal Income Tax Law, which have been in effect since January 1, 2023, have deleted the deadlines for submitting the ППДГ-1Р tax return in cases of:
1. Start of performing activity – Individuals who do not register their activity with the Business Registers Agency (e.g., they are entered in the Directory of Lawyers maintained by the Bar Association), and who choose to pay tax on a flat-rate income, do not submit a ППДГ-1Р tax return with the basis for filing the return when starting their independent activity:
- mark 2 - start of self-employment.
The above taxpayers are obliged to submit a request for approval of flat-rate taxation within 5 days from the date of registration with the Tax Administration, i.e. the date of assignment of the TIN, but no later than December 31 of the current year. The December 31 deadline applies to the taxpayers who will be assigned a TIN after December 26.
2. Notification of termination, interruption and continuation of activity - Entrepreneurs who pay tax on a flat-rate income when reporting the termination and interruption of their activities, as well as the continuation of their activities after the interruption, do not submit a ППДГ-1Р tax return with the basis for filing the return:
- mark 3 - cessation of performing of independent activity;
- mark 4 - interruption of performing of independent activity;
- mark 16 - continuation of independent activity after interruption of activity.
3. Change in taxation method - Entrepreneurs who pay tax on income from self-employment on actual income do not submit a ППДГ-1Р tax return when changing the taxation method from self-taxation to flat-rate taxation with the basis of filing a return:
- mark 17 - transition from taxation on actual income to flat-rate taxation.
Entrepreneurs who pay tax on a flat-rate income are not required to submit a ППДГ-1Р tax return if the changes mentioned above relate to the period after January 1, 2023. In such cases, the Tax Administration will determine the tax liability by decision based on the data taken from the competent registration authority.
For changes made before the specified date, there is still an obligation to submit tax returns with the appropriate basis for submitting the return.