The Rulebook on conditions and the method of excluding qualified income from corporate income tax base

The Ministry of Finance published the Rulebook on conditions and the method of excluding qualified income from corporate income tax base (the Rulebook) on 9 July 2019, which entered into force on 20 July 2019, and it will be applied in the calculation of corporate income tax starting from 2019.

The Rulebook prescribes OKP form – form for calculation of qualified income, by which taxpayer who applies this benefit will be obliged to submit together with tax balance.

The right to exclusion of qualified income belongs to every taxpayer – the right-holder of the deposited copyright work, or the right-holder or the applicant related to invention, who earns income based on the fee for usage of deposited copyright work or invention, and who deposits the copyright work by the end of the tax period, or submits tax return related to the invention by the end of the tax period.

The Rulebook prescribes necessary documentation which taxpayer must possess if he uses the right to exclusion of qualified income, and such documentation is being prepared for every copyright work/invention separately, for tax period when the right to exclusion is being used.

The list of documentation includes – Certificate issued by Authority for protection and registration of copyright work/inventions, the contracts and invoices related to using copyright work, contracts and other documentation related to qualified expenditures and total expenditures, etc. Besides this, the taxpayer is obliged to possess additional documentation in accordance with the Rulebook.

The taxpayer is obliged to prepare and possess the whole documentation in the moment of submission of tax return, and the documentation must be delivered to the competent authority upon request.

2019-08-21T09:14:03+00:00 August 21st, 2019|

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