TAXATION OF INDIVIDUAL ENTREPRENEURS-2024: INCOME LIMITS AND SINGLE TAX RATES
Starting from 01 January 2024, in accordance with the Law on the State Budget of Ukraine for 2024, the following monthly amounts have been established:
subsistence minimum for able-bodied persons - UAH 3,028
minimum wage - UAH 7100.
According to the Tax Code of Ukraine, the income limit for single tax payers of groups 1-3 is calculated based on the minimum wage established by law as of 1 January of the tax (reporting) year. Therefore, in 2024, the amount of income for individual entrepreneurs - single tax payers should not exceed the following amounts
for the first group - UAH 1,185,700
for the second group - UAH 5,921,400;
for the third group - UAH 8,285,700.
Pursuant to clause 293.1 of Article 293 of the Tax Code, the single tax rates for Group 1 taxpayers are set as a percentage of the subsistence minimum for able-bodied persons established by law as of 1 January of the tax (reporting) year, and for Group 2 taxpayers as a percentage of the minimum wage established by law as of 1 January of the tax (reporting) year. Thus, in 2024, the maximum monthly single tax amount is as follows:
for individual entrepreneurs - single tax payers of group 1 - UAH 302.80 (no more than 10 per cent of the subsistence minimum),
for single tax payers of group 2 - UAH 1,420.0 (not more than 20 per cent of the minimum wage).
In accordance with clause 293.3 of Article 293 of the Tax Code, the interest rate of the single tax for taxpayers of the third group is set at
3 per cent of income - if value added tax is paid,
5 per cent of income - if value added tax is included in the single tax.
- Source: State Tax Service of Ukraine (https://rv.tax.gov.ua/media-ark/news-ark/744824.html)
