Pros and cons of individual entrepreneurship with VAT in 2021

I am currently engaged in the supply of building materials and saw a little occupied niche - cargo transportation with VAT. Everyone either works on a simplified basis or for cash. The stool makers are tired of constantly giving birth to cash. For large enterprises, working with VAT is fundamental.

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Cargo transportation is complete chaos!

I am currently engaged in the supply of building materials and saw a little occupied niche - cargo transportation with VAT. Everyone either works on a simplified basis or for cash. The stool makers are tired of constantly giving birth to cash. For large enterprises, working with VAT is fundamental. So I decided to take a closer look at this business and clarify a few points. Does anyone have experience in cargo transportation with VAT or understand taxes?

As you know, if you are directly involved in cargo transportation, then you can switch to OSNO only when there are more than 20 vehicles in the fleet, but you can organize cargo transportation, that is, through mediation. Here you can already work with VAT. I am receiving an application. I'm picking up a car. I'm sending the driver. The money has been received into my bank account. Now there is a gap in my knowledge.

What agreement should I conclude with the driver if he is an individual entrepreneur? What percentage of the order does the carrier usually have directly and how much does the intermediary, that is, me, have? For example, delivery by Gazelle from city A to city B costs rubles. This is the tariff for stool-dwellers and those who use the simplified system. I would be glad if someone answers the questions posed. Delivery throughout the city and region is planned. Margins are low, risks are high. If you don’t have some serious advantages, such as exclusive access to fat orders, you will lose money and time.

The transport expedition contract, as a service and the main activity of the enterprise, is immediately targeted by the tax authorities, and sometimes by the Economic Crimes Department. A competent accountant will regulate VAT on completely legal terms. You need to understand a simple truth: if a GAZelle comes from A to B as a private owner for rubles and the “local” rate is exactly that, you will not get through by issuing an invoice to your client by stupidly adding VAT. In small amounts you may not feel it, just like your client, but larger amounts will no longer be competitive.

You need to understand the geography of logistics. Moscow, St. Petersburg, the ports of Novorossiysk for example - there is always a lot of work there. There are 4 ways:. Everyone, from the tax office to the final buyer, does not like to sit on these three hundred and thousand, purely control rooms. A simple advertisement will not be enough, you will need, if not an office, then a couple or three girls in sales, so that the client will come to you.

A lot of hassle. A millionaire will bring net thousand per month from one GAZelle, provided that the task assigned to this GAZelle is competent and it works continuously. If this is Moscow time, then my GAZelles came out there clean every month. The fact that the transport must be fresh and the driver must be good - I think there is no need to explain this. If you are not poking around, there are a million and one ways to deceive you as the owner, then don’t bother at all.

With a fresh clutch and a good driver, a good driver is always a problem. Everything is the same as above, only you will have lift from the car even with a lazy setup. It's good to start with 3 trucks. Two earn money on their leasing, consumables, repairs, insurance, taxes, platon, salary for drivers, the third is just your pocket. A huge minus is that you are on your phone 24/7, literally 24/7.

The car went for a long drive, crashed and just a few thousand kilometers away it broke down, take it to repair it at minus 30 and then change it there. Detain the cargo and pay a fine. Rarely but it happens. You can write a whole separate post about consolidated cargo.

You can take their path, but small-town choose one region or a couple of neighboring ones, or a couple of large cities exchanging cargo with each other and pump them up. The mediator you call yourself is the stool maker you despise so much.

So before you call them that, think about why you are better. No duplicates found. All comments by the Author. The second is more profitable, since you need to pay VAT to the budget so that there are no problems. I work in an intermediary company in the intercity and urban segment, I’ll try to answer. It makes no difference what accounting system your driver uses. I haven’t worked with individuals, but in general the tax authorities are against carrying out entrepreneurial activities without at least forming an individual entrepreneur.

Sometimes we close the trip for Delta, sometimes for Plus, it probably depends on the region. In any case, your rates should be at a competitive level. Check out the local GP market. I'll add one more thing on my own. Please note that new companies now have very big problems opening bank accounts. The Federal Law has become stricter; this is the only way financial monitoring blocks accounts. Mostly due to transfers to individual entrepreneurs due to the cash-out topic. We transfer money to a normal individual entrepreneur, we didn’t cash it out, we provided all the documents, it seems like the banks don’t even look at them.

It’s easier for them to close and not worry. We're tired of opening these accounts. St. Petersburg region Basically not pay? It’s possible, but the tax office really doesn’t like this kind of bullshit.

Profit and VAT are the main headache in my memory. Be healthy. They usually pass the stools. They reduce VAT on fuel, spare parts. And most intermediaries cannot work without cashing out.

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Choosing a taxation system for individual entrepreneurs engaged in cargo transportation

For transport services within the framework of the simplified tax system, the “income” taxation scheme is often used. If the expense part is minimal, the use of this type of accounting is justified. An entrepreneur can determine exactly how much taxes must be paid and has the right not to pay the expenditure side of taxation. With a minimum tax, the system allows you to have a reduced staff of service personnel.

• The obligation to take into account only the physical indicator – the number of vehicles. The individual entrepreneur maintains only general documents without taking into account fuel costs, spare parts and other freight transportation costs.
• Possibility of combining the system with another type of taxation. It is justified to combine only the simplified tax system with the “income” scheme, in which there is no need to take into account costs. Forms that complement each other make it possible to create conditions under which it is possible to legally eliminate accounting and pay less to the budget.

VAT refund

View full version: Organization of freight transportation. Good day! Please help me understand this issue that is difficult for me.

Often, a novice entrepreneur does not fully understand how the VAT scheme works in the field of international cargo transportation. The situation is complicated by the fact that such transportation has its own characteristics and VAT is also subject to separate rules. Let's try to understand this issue and make our life a little easier. But first things first. VAT or value added tax is one of the most important taxes that has a direct impact on the formation of the country's budget and one of the most difficult to understand. This type of taxation is considered indirect, its essence is that a percentage determined by law is deducted from the cost of goods, services, etc., to the country’s budget. At the same time, VAT is deducted from those goods and services that are sold or provided with a markup, that is, their final price higher than the cost of the product.

If we take the previous example of rubles, then it is not clear with the payment of tax, who pays it? I am reporting the information I found out. I found a competent accountant. Hello everybody.

Example of tax burden calculation

For example, let’s take an entrepreneur from the city of Chekhov, Moscow region.

The initial data of his business are as follows:

1. The number of cars he uses to transport goods is 3.
2. The average monthly income of an entrepreneur is 900,000 rubles.
3. The average monthly amount of expenses that are taken into account when calculating tax (insurance contributions included) is 630,000 rubles.
4. The number of hired employees is 2, the monthly amount of insurance premiums is 9,000 rubles for each employee. Total per year: 2 * 9,000 * 12 = 216,000 rubles.

The insurance premiums of the entrepreneur himself will be:

• fixed part for income up to 300,000 rubles in 2021 - 36,238 rubles;
• 1% to the Pension Fund from the excess amount: (900,000 * 12 - 300,000) * 1% = 105,000 rubles;
• total amount of individual entrepreneur contributions for himself: 36,238 + 105,000 = 141,238 rubles.

Note: for UTII and PSN, the additional contribution to the pension insurance of individual entrepreneurs is calculated not from real income, but from those established by the state (imputed income on UTII or potentially possible on a patent).

Now we will calculate taxes on different systems, and at the same time we will tell you about the features of each of them.

Simplified taxation system

Entrepreneurs can apply the simplified tax system everywhere for almost any type of activity, but there are limitations:

• The individual entrepreneur must employ less than 100 people (average value for the year);
• his annual income must be less than 150 million rubles;
• the residual value of its fixed assets must also be less than 150 million rubles.

Read about changes to the simplified tax system for 2021 in this article.

At will, an entrepreneur can choose one of two options for paying tax under the simplified tax system:

1. At a rate of 6% on income.
2. At a rate of 15% of the difference between income and expenses.

In the first case, the expenses of the individual entrepreneur do not play any role and are not taken into account. The only exception is insurance premiums. They are subtracted from the amount of calculated tax. An entrepreneur and employees have the right to reduce the tax by a maximum of half due to the contributions paid. If an individual entrepreneur operates alone, then he can deduct his contributions from the tax in full, reducing it even to zero.

For the individual entrepreneur from our example, the tax calculation under the simplified tax system with the “Income” object will be as follows:

• tax base for the year: 900,000 * 12 = 10,800,000 rubles;
• tax amount: 10,800,000 * 6% = 648,000 rubles;
• total amount of insurance premiums per year for the entrepreneur himself and his employees: 141,238 + 216,000 = 357,238 rubles;

Due to insurance premiums, the tax can be reduced by 50%, i.e. up to 648,000/2 = 324,000 rubles.

If the simplified tax system is used with the object “Income minus expenses”, then the tax calculation for our individual entrepreneur will be as follows:

(900,000 - 630,000) * 12 * 15% = 486,000 rubles.

In this case, insurance premiums do not reduce the tax amount, since they are already included in expenses. 486,000 per year .

In addition, this mode has the following features:

• expenses that reduce the tax base must be documented;
• certain types of expenses are not taken into account when calculating the tax base;
• There is a minimum tax value - this is 1% of the amount of income.

Individual entrepreneur (freight transportation): is it possible to work with VAT if the individual entrepreneur has only 4 trucks?

VAT can be considered one of the most important taxes for the country’s budget and the most difficult to understand. These difficulties in understanding the very essence of VAT cause difficulties in calculating tax amounts and monitoring their payment by the state. VAT quickly turned from an element of tax theory into a real element of taxation, successfully applied in practice. It will not be possible to talk about VAT in one article; there are too many nuances to consider. Today we will try to highlight the main points regarding this tax, and then in separate articles we will examine in detail problematic issues related to this topic.

Which tax system to choose for cargo transportation for individual entrepreneurs and LLCs

Note! OSNO (general system of taxation) in the field of cargo transportation is not considered here, since it is one of the most complex tax regimes from an accounting point of view. The fiscal burden on business under OSN is also considered burdensome in comparison with more profitable special regimes.

To determine the choice, it is necessary to take into account the organizational and legal status of the company, the number of working units of transport, the scale of planned transactions and the amount of revenue for the period. The available modes for individual entrepreneurs and LLCs differ. At the same time, not only the taxes paid, but also the workflow, as well as the accounting methodology, vary by law.

Working with or without VAT (pros and cons)

1. As already mentioned, many large enterprises work only with VAT counterparties. In this regard, those working without VAT always run the risk of being rejected by a potential partner. You should be prepared for this, and in order to somehow increase your competitive attractiveness, you, as a VAT non-payer, need to think twice about the steps that can make cooperation with you profitable.
2. It is secretly believed that the competence of inspectors working with enterprises on OSNO is significantly higher than those who inspect counterparties without VAT (using special regimes) - therefore, the former may have much more claims.

1. The downside may be for a “simplified” user of the simplified tax system “income” to purchase goods from a supplier who is a VAT payer: in this case, the buyer will not be able to deduct VAT even if he has an invoice. But if a “simplifier” works on the simplified tax system “income minus expenses,” he will not lose anything, since he will be able to take into account the paid VAT in expenses.

Registration procedure

Becoming an entrepreneur today is very simple - it does not require large financial expenses or time. The registration process is practically independent of the chosen field of activity. Everything happens in several stages.

Step 1. Preparation

Before opening an individual entrepreneur for cargo transportation activities, you need to determine your registration authority. Not every inspection registers entrepreneurs and companies. In order not to make a mistake with your choice, we recommend using the special service of the Federal Tax Service.

Next, you need to select activity codes (OKVED). For cargo transportation services, code 49.41 is suitable. You can add additional codes if desired.

Free selection of OKVED

Step 2. Payment of state duty

The state fee for registering an individual entrepreneur is 800 rubles. To generate a receipt for payment, you can use the tax service service.

The state charges a fee for the fact that Federal Tax Service specialists review the documents of the future entrepreneur. However, you only need to pay a fee if they are submitted in paper form. Therefore, before opening an individual entrepreneur for freight transportation services, it is better to determine the specific registration method:

• on paper - in person, through a representative, by mail or through the MFC;
• in electronic form with an electronic signature, yours or the MFC (if the center interacts with the Federal Tax Service in electronic form).

Step 3. Application for registration of individual entrepreneurs

The application is submitted in form P21001, approved by order of the Federal Tax Service dated January 25, 2012 No. ММВ-7-6/ [email protected] Filling it out is not very difficult, you just need to enter all the personal data of the entrepreneur and the previously selected activity codes. Particular attention should be paid to two points:

• indicate your email on the last page of the application - documents will be sent to it after registration;
• You cannot sign the application; you must sign either in the presence of a Federal Tax Service employee who accepts the documents, or at a notary. The second option is for those who cannot visit the tax office in person.

Step 4. Going to a notary

If a future entrepreneur submits documents for registration in person or sends them electronically with an electronic signature, then this step can be skipped.

If documents are submitted by mail or with a representative, the signature on form P21001 is certified by a notary.

Step 5. Formation of a set of documents

The contents of the kit will depend on how the documents are submitted. If in person at the Federal Tax Service or MFC, you will need:

• statement;
• receipt of payment of state duty;
• passport of the future entrepreneur.

Create documents for individual entrepreneurs for free

When sending the kit by mail, you will also need a notarized copy of your passport. If the documents are sent with a representative, then a notarized power of attorney must be added to all of the above. It, like a copy of your passport, can be issued by a notary during the same visit when the signature on the application is verified.

Step 6. Registration with the Federal Tax Service

The completed package of documents is transferred to the Federal Tax Service or the MFC. On the fourth working day after receiving them, the tax authority sends the registration result. The entrepreneur will receive it by email. There can be two options:

• The individual entrepreneur has been registered - then he will receive a USRIP registration sheet;
• registration was refused - then he will receive a reasoned decision to refuse.

The reasons for refusal vary, but usually this is due to the execution of the application or shortcomings in other documents. In this case, it will be possible to reapply for registration within 3 months, correcting all errors. There is no need to pay the state fee again. But you will be able to correct yourself only once; you will have to pay again for the third registration attempt.

So, we looked at what you need to think about and do to open an individual entrepreneur for cargo transportation. Now let’s pay attention to a particularly important point - the choice of tax system. Ideally, this should be done in advance. The tax burden in different regimes varies greatly, and business profits will not least depend on taxes. But first you need to determine what expenses your future business will require.

What expenses will you face in your business?

Several taxation systems are suitable for cargo transportation, but which one is more profitable? This must be calculated based on business conditions. But first, let’s talk about what the main cost items are expected during cargo transportation. Here is their list:

• Rent a Car;
• maintenance, repair;
• depreciation;
• petrol;
• car insurance costs;
• drivers' salaries;
• taxes and insurance premiums.

In modern economic conditions, a good result is considered if the profit-to-revenue ratio is 15-20%. For calculations, we will focus on the lower threshold - 15%. That is, let’s take it for granted that the share of expenses will be approximately 85% of revenue. But this figure is arbitrary; its exact value will depend on many factors.

In particular, before opening an individual entrepreneur for cargo transportation and choosing a tax regime, you need to understand whether the work will be carried out on your own car or whether the car will be purchased, rented or leased. Costs will largely depend on this.

Invoice for payment from individual entrepreneurs in 2021: sample and procedure for issuing

• The personal information of the supplier and buyer is placed in the header.
• Then they move on to bank details.
• Then indicate the serial number of the document and the date of its preparation.
• List of services or works, quantity, price and value.
• If a product is sold with VAT, you need to add a separate column for it. If without, make a clarification next to the price: “Without VAT.”
• Next, you can make a footnote with deadlines and other conditions for the delivery of goods or services.
• At the end, a signature is placed; individual entrepreneurs are not required to put a seal.

Sometimes, for cooperation between two parties, it is enough to conclude an agreement; this document specifies the volume of supplies, terms and amount to be paid. If the client orders goods from time to time and in different quantities, an invoice is issued for each individual transaction, which indicates the cost of a one-time purchase. You will still have to conclude an agreement, but it specifies only general provisions on cooperation.

How to calculate

When calculating, an entrepreneur should take into account the general algorithm:

• when purchasing from a supplier, VAT is already paid (for example, for a cost of 1000 rubles per unit of goods, the tax amount will be 1000 * 18:118 = 152.54 rubles);
• when selling goods at a price of 1200 rubles. the tax is calculated in the amount of 1200*18:118=183.05 rubles;
• as a result, the amount of the mandatory fee is equal to the difference in the calculated tax amounts of 183.05-152.54 = 30.51 rubles.

There is a more simplified formula - (1200-1000) * (1-1: 1.18) = 30.51 rubles. When calculating the VAT amount, the tax already paid when paying for the goods from the supplier is deducted.

To apply the deduction, it is necessary to reconcile all invoices in order to avoid claims from the tax office. The absence of an incoming document will not reduce the amount of the contribution.

Pros and cons of individual entrepreneurship with VAT in 2021

• after purchasing goods from a supplier, it is necessary to register the transaction by entering it into the purchase book and logbook;
• after setting the markup and sale, an invoice is issued, which reflects VAT;
• enter invoice data into the sales and transaction accounting book;
• at the end of the quarter, calculate the amount of value added tax billed to customers.

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For entrepreneurs whose activities are related to cargo transportation, the use of OSN is justified if they own a wide fleet of vehicles, an increased number of staff and hire appropriate personnel.

Transport services

The services offered by transport companies can be varied. Depends on the conditions of cargo delivery, customer wishes and other factors. The following services can be provided:

1. Participation in negotiations. Owners of transport companies can, along with customers, develop timing and routes for cargo delivery.
2. Paperwork. This includes shipping documents, packaging of packages, execution of acts necessary in the process of work confirming surplus, shortage or damage to goods, presentation of documentation for export and loading.
3. Import and export of goods from warehouses and storage areas to the territory of the consignee.
4. Loading and unloading works, warehouse services. Loading and unloading goods from storage areas, sorting, picking, packaging, packing into containers and other containers, checking availability, picking, plating, labeling, repairing containers and all kinds of packaging.
5. Information services - transmission of dispatch notifications, movement tracking, information about border crossings and delivery to ports.
6. Preparation of additional equipment necessary for transportation. Checking equipment for further work, cleaning after unloading work, preparing and providing sealing devices.
7. Insurance services for transported goods (drawing out contracts, receiving insurance payments, paying required insurance premiums).
8. Financial services consisting of payment of expenses arising during the delivery of goods.
9. Customs clearance procedures if necessary to cross borders. Control over the preparation of customs declarations and other related documents, transfer of customs duties.
10. Other services arising depending on the specifics of the goods and the conditions of movement.

ConsultantPlus: Forums

I have several questions regarding the payment of VAT in the organization of cargo transportation.
I’m planning to open an LLC, I’ve read that it seems to be the best way to work according to the simplified tax system, taking into account profits and expenses. but then I had several questions regarding settlements between me and the customer and me and the carrier. in the invoice issued to the transportation customer, I am required to indicate VAT, let’s say the amount of the order from the cargo owner is 12,000 - in total VAT will be 2,160 rubles on this amount, but my profit still lies in the difference that I will pay to the carrier (who works on imputation and cooperates with me on the contract or regular hiring) and the amount that I will receive from the customer and if I pay VAT on the amount that I will receive from the customer, then I will go into the red, because intermediary services most often equal 500-1000 rubles. and here comes the question 1. can I, when submitting a report to the tax office, show that my profit amounted to only 500 rubles 2. can I pay VAT only on the amount of 500, those 90 rubles, and not 2160 indicated in the invoice when paying from the customer . 3. Well, and accordingly, how is this and where to include it in the report when submitting It is also a very pressing question for me, the situation is similar. I also work with clients, but so far without VAT (USN 6%), clients are starting to demand that invoices be issued including VAT, please tell me how to do this correctly to do, and what threatens with the transition to VAT. If we take the previous example of 12,000 rubles, then it is not clear with the payment of tax, who pays it? the client or us (as intermediaries). thank you in advance.

LLC on OSNO carries out cargo transportation throughout Russia, and if to Kazakhstan

I didn’t quite understand the situation, to be honest. But if I understood correctly, here’s what: services provided to Kazakh partners by Russian firms are subject to VAT in accordance with the laws of the state that is considered the place of their implementation. How to determine the place of implementation: there is such an excellent table from the Main Book - https://glavkniga.ru/images/digit/_elver/formulas/2012_02_46_47.jpg

Further, if the place of sale is Kazakhstan (according to the table above), then one more fact must be taken into account: if the contractor (counterparty from the Russian Federation) is not registered with the tax authorities of Kazakhstan, then the VAT is paid by the customer. You can read more details on the same Glavniga, even with calculation examples and specific situations: glavkniga.ru/elver/2012/2/459-rossija_belarusi_kazakhstan_po_rabotam_uslugam.html

Basics for individual entrepreneurs in 2021: what taxes to pay?

The single tax on imputed income is not calculated by the entrepreneur, but is established by the state as a fixed (imputed) contribution in the amount of 7.5. 15% of the “potential profit” in a specific business area. Thus, UTII does not require accounting for individual entrepreneurs and does not reflect the actual amount of earnings.

When your consumers and partners for the most part also use this system and pay VAT. In this case, you help each other in terms of reducing the VAT amount. You yourself reduce the VAT paid by the amounts paid for the same tax by performers and suppliers of components. Buyers and partners, in turn, also reduce their VAT by deducting the tax you paid. You acquire the image of a profitable business ally, becoming more competitive in the market in the category of OSNO taxpayers.

Accounting for cargo transportation

Accounting for cargo transportation Companies providing transport services have cars on their balance sheet or under a lease agreement. If you are renting a car from an individual, then read this article. The Ministry of Transport has established to keep records of normalized and current transport costs.

Then the accounting will have the following entries: 19 60 VAT allocated when accounting for goods, works, services of third-party organizations 90-3 68 VAT accrued when selling services Accounting in a motor transport enterprise can also occur using accounts 23,25,29. This is typical for enterprises with a complex cost structure. For example, if there are expenses that cannot be distributed among types of services.

Accounting and legal services

• did not apply for a transition to a special regime (USN, UTII, PSN);
• applied a special regime, but lost the right to use it;
• along with special regime activities, conducts activities in respect of which the simplified tax system/UTII/PSN does not apply. In this case, the individual entrepreneur is considered to be using the OSN in relation to his activities.

A fine of 5% of the amount of tax payable reflected in the “overdue” declaration will be assessed for each full/incomplete month from the established day for submitting the declaration, but not more than 30% of this amount and not less than 1000 rubles (clause 1 of Art. 119 of the Tax Code of the Russian Federation). Our Calculator will help you determine the amount of the fine.