FOS is what? FOS on the common system

Planning to engage in private business, it is necessary to determine what kind of legal form the organization will have. Choose the form of commercial activity so that it fits as much as possible for business - one of the most important stages. In order to do this, you need to understand the professional literature and learn a lot of information relating to the organizational and legal forms of various enterprises.

For example, you can be a private entrepreneur and conduct activities on your behalf, and you can represent the interests of a legal organization, acting as a co-owner or owner.

Considering the first case, you need to register as a private entrepreneur. According to the Ukrainian legislation - FOP or SPD. However, before making your choice in one of the parties, it is necessary to clarify the pros and cons of the chosen form.

FOP is an abbreviation, which stands for "phisical person - pidpriemets", in Russia - FLP (individual entrepreneur).

pros

Registration FOP is a simpler version of the documentation and requirements.

Advantages are:

• Lack of requirements for the authorized capital;
• The registration procedure is short;
• Is made at the place of permanent residence;
• Printing, as well as a bank account in the bank are not mandatory;
• The accounting system is very simple and does not require an accountant in the state;
• The taxation system is much simplified.

Terms of opening

If the purpose of opening such a form is the legalization of income, the acquisition of the opportunity to settle with customers by a non-cash form of payment and cashing in if necessary, then the FOP is the best choice.

In order for this form to be optimal, it is necessary to observe a number of conditions:

• Work is carried out independently or the number of employees does not exceed 10 people;
• Turnover is from 3 to 5 million USD. For a year (about 11 million rubles) or 5 group of the single tax is used;
• With partners, contractors, employees and employees of payment are made by bank transfer;
• Availability of VAT for customers;
• The business is new and is just starting to gain momentum.

Single tax

For entrepreneurs of small businesses there is a single system of taxation. Simplified system - a special mechanism that allows you to levy taxes and fees, replacing the payment of certain taxes and certain fees to pay taxes with record-keeping and reporting in a simplified form.

A simplified system is not allowed to use non-resident individuals. If a person is registered as an entrepreneur, then it must be a resident of the country. In this case, a person has the right to apply, on general grounds, a simplified taxation system.

There are four groups of business entities, of which three are individual entrepreneurs. The fourth group is applied to legal entities that produce agricultural products.

Groups

FOP groups are diverse. For each act as simplifications, which make life easier for entrepreneurs, and restrictions.

The first is the only group that does not require a PPO book (registrars of settlement transactions). The condition for staying in this group is the income level, not exceeding 300 thousand UAH. (About 650 000 rubles). You can engage in retail sales on the market or provide personal services. Counterparties are solely individuals.

Examples of services:

• Services for the restoration, repair, restoration of furniture or its manufacture under individual order;
• Custom-made carpentry or carpentry;
• Custom-made production of metal products;
• Services for the repair of watches, musical instruments;
• Services for repair of personal items, hardware;
• Services for the processing of laundry, washing, cleaning or painting of textile or fur products;
• Hairdressing services.

The second group is the most common and in demand. The tax rate for this group is fixed, paid from the minimum wage, and not from the total income. Reporting must be submitted once a year. At the same time, the maximum level of income is UAH 1.5 million. For the year (approximately 3.2 million rubles).

Those who are registered on this group can carry out activities related to the provision of services to the public and those who pay the EH.

Examples:

• Catering business. Sale of beer and table wine is allowed.
• Provision of space for rent.

It is prohibited:

• To be an intermediary in the sale, valuation, purchase, lease of real estate.
• Sell, produce, repair household and jewelry from precious metals, precious stones, semiprecious stones.
• Provide services for legal entities on a common system.

The maximum allowed income for this group is UAH 1.5 million.

The third group. The tax rate for this group is 5% of income in the case when VAT is included in a single tax, 3% for those who pay VAT. The maximum annual income is UAH 5 million.

Entrepreneurs of this group can engage in any kind of activity other than that prohibited for a single system, and also sell and produce goods, provide services to the public, provide services to all taxpayers and entrepreneurs.

The conduct of the books of the RFB is mandatory in the event that from the beginning of the calendar year the income has exceeded UAH 1 million. (About 2.2 million rubles). If this amount of income is not available, then the PPO is not necessary.

The fact that the group is chosen for the FOP depends entirely on the type of activity and profit.

Minuses

The FOC's disadvantage is the responsibility that will be imputed in case of accidents. The entrepreneur is responsible for the business and for all obligations with absolutely all his property. Legislatively it is assumed that a small entrepreneur should not bear such losses and liabilities that he will not be able to pay off without using his property. However, in practice it often turns out that entrepreneurs who are too confident in their success often take on themselves such obligations that they can not fulfill later to start a business. In this case, they are subject to legal liability, and often in court.

General taxation system

Payments performed by the FOS on the common system:

• Tax on income for individuals;
• single social contribution;
• VAT (value added tax).

A common system is applied when, along with the statement that it is necessary to register a physical entity as an entrepreneurial entity, there was no application for the use of a simplified system.

The total income from which the tax is levied is the revenue received by the entrepreneur as a result of the activity.

Reporting

FOP taxes pay on a simplified system. Among the mandatory reporting, which as a result is filed, are:

1. Declaration on taxes on personal income (this is a tax return "on property and income"). It is served once a year in the period of forty calendar days from the moment of the coming of the new year.
2. For themselves, FLP submit a report on ERUs once a year until the first April of the year that follows the reporting year.
3. If the registered FOP is a VAT payer, then it is necessary to file a VAT tax return every month. Term - within twenty calendar days after the reporting month. The form of submission of the declaration is approved.
4. The filing of registers of received and issued invoices to the tax service is carried out. It is carried out in electronic form.
5. If a PPO is used, it is necessary to submit a report on the use of the PPO, as well as the RC, no later than the 15th day of the month following the reporting month.

Calculation of ERUs

ERUs (a single social contribution to compulsory state social insurance) are calculated according to a certain algorithm.

ERUs for FOP:

1. If the income for the month is 0 or there were losses incurred by the entrepreneur, then the ERU is 0.
2. If for a month the net income is equal to the gap from 0 to the size of the minimum wage, then the ERU is equated to the minimum insurance payment. The calculation is made by multiplying the minimum monthly wage by 34.7%.
3. If the total monthly income is equal to the minimum wage to the maximum accrual basis, then ERU is equal to 34.7% of net income;
4. If the net income is more than the maximum size of the accrual basis, the ERU will be equal to 34.7% of the maximum value of the base.

check in

In order to register a business, you must perform a number of procedures, mandatory activities. For registration of a FOS on a common system it is necessary:

1. Submit the documents to the state registrar.
2. In the tax write a statement that the necessary taxation system has been chosen.
3. After registration of the payer of the single tax is registered, it is necessary to file a special request, in which there will be an extract from the register of payers.
4. Pick up a completed statement.
5. Register with the tax service books on income and expenses.

For registration it is necessary to bring with you:

• Copies of identification code and passport;
• A statement that a single taxation form has been chosen;
• Received in advance an extract from a single state register;
• Book of income and expenses;
• A statement written in the name of the head of the tax or application form 5-OPP.

In order to carry out the registration procedure, it is not necessary to come to the tax authority independently. You can use the services of official Internet portals and file all documents electronically. Then, after the deadline for processing the documents, you need to pick up the originals.

Documentation

Due to the fact that reporting, which is submitted by the business owner, is standard, it is necessary to make out it in accordance with the requirements. The FOP-reporting form is most conveniently downloaded on specialized Internet resources. Before preparing the reports it is important to make sure that the form of the report and the form correspond to the latest changes in the legislation, and also suitable for the specific form of taxation.