The changes for individuals in 2021 – what do you need to know?

The changes for individuals in 2021 – what do you need to know?

The laws passed last year come into force on January 1, 2021. It is important to know what exactly will change in order to be ready for this.


How to prepare reports for individuals in 2021?


Entrepreneurs know the reporting period starts in January. Everyone has heard new reporting forms need to be approved. But they will come into force only in a year. You need to use the previous forms now.


It is necessary to submit a report on the single tax for employees and contractors of the individuals, for SSC, 1II. You need to provide a report on SSC paid to your employees. You do not need to search for information on different sites as for when you need to submit these reports. Just go to the program where you send reports. For example, in the electronic office of taxpayers, the deadlines for submitting the corresponding electronic documents are written for each report. Everything is indicated there.


The new tax accounts


It is important not only to fill out the reports correctly, but also to pay taxes. It is important to understand the accounts have changed due to the change in the administrative-territorial structure. If the invoices at the taxpayer’s office have not been updated, you need to check the new data on the website of the tax office. The accounts have changed, because taxes go to the State Tax Administration now. This is more convenient because no matter what area you live in, taxes are paid to the local community. Your money will go towards the development of the place where you live.


The minimum wage increase


The minimum wage will double in 2021. In January, it has grew to 6000 UAH, and in December – to 6500 UAH. It should be taken into account when drawing up a plan for the development of costs and benefits. Since the size of the minimum wage will also depend on the amount of taxes. This is primarily a single tax and SSC. There will be more taxes in the new year.


The tax book cancellation


Those individuals registered in 2021 may not register the tax book. Those who have already issued it earlier must complete it before the end of this year. Keep it in a safe until 2023. Then you can throw it away. The tax code still requires you to keep track of income even if you don’t have a ledger. You can run it as you like. If you would like to take notes in a notebook. It’s ok.


If you want to do it in an Excel, it is also possible. You can do it in free form monthly. And you must to indicate the monthly income.


Will it benefit individuals in 2021?


The main thing is the first group may not pay taxes at all until May 2021:

✅ The SSC
✅ The single tax


It is due to the help of the business during the quarantine restrictions. It will be easier to pay taxes, but there will be more of them. If you need legal advice on tax issues, you can find the right one using the UniExpert app.