In the case of foreign currency exchange on interbank foreign exchange market, the resident receives money in hryvnia at market rate on his/her current account.In our unstable time it happens that the difference between hryvnia equivalents of foreign currency received from its realization and the income that is shown by the single tax payer (hereinafter-ST) on receipt of foreign exchange revenueshas a positive value.The question is: should this positive difference be included in the income of the ST payer?
As directed by para. 292.1 of the Tax Code of Ukraine dated 02.12.2010, № 2755-VІ (hereinafter - TCU) the income of the single tax payer (individuals and legal entities) is the revenue:
- received during the tax (reporting) period in cash (cash and / or non-cash);
- in the material or immaterial form (according to para. 292.3 of the TCU).
The revenue expressed in foreign currency should be transferred in hryvnias at the NBU official exchange rate on the date of receipt of such income (see directions of para. 292.5 of the TCU).
According to para.292.6 of the TCU the date of receipt of the ST payer income is the date of receipt of funds to the ST payer in monetary form (cash and non-cash). The date of receipt of the income for the ST payer of the III group, who is the VAT payer, is the date of debiting of credit debts for which the limitation period has expired.
Certainly the money comes on the account of the ST payer when implementing own currency. It should be remembered that in previous periods we have already shown the foreign exchange amounts in the income, having determined them in hryvnias at the NBU rate on the date of recognition of such revenue. So there are no any reasons to recognize the revenue one more time. Even when the foreign currency exchange on interbank foreign exchange market, the positive difference arose (between the income recognized by the ST payer on the date of foreign exchange receipt and the sales revenues of this foreign exchange). There are no any reasons in the TCU to recognize such difference of the income.
Additionally, it should be noted that there are not indicated in the Chapter 1 of Section XIV of the TCU how the ST payers should reflect the sale of foreign exchange in the tax accounting.
It should be noted that in practice the controllers require to include the positive difference from the foreign currency sale into the income of ST payer. Thus, it is noted in 108.01.02 category of the public information and reference resource: “In case of foreign currency sale received on foreign currency account of the single tax payer from the transaction of export of goods (works, services), the positive difference between the incomes from the sale of the currency is taken into account of the income, and the income from the implementation of such foreign currency in hryvnia at the date of its receipt on foreign currency accounts. At the same time the negative difference arising on the sale of foreign currency received from the sale of goods and services does not reduce the tax base by the single tax”. The tax authorities gave reasons for their own position having based on the international accounting standard 21 “Effect of changes in foreign exchange rates”, approved by the Order of the Ministry of Finance of Ukraine of 10.08.2000, № 193 (hereinafter - IAS 21).
The accounting standards application is not absolutely provided for in Chapter 1 of Section XIV of the TCU (and, in particular, IAS 21) in determining of the subject of ST taxation. So, the situation is unfair, because the controllers advise to take positive difference into account of the income, but they prohibit reducing the income on the negative difference.
As you can see, the situation is ambiguous, therefore the solutions must be individual.
