Can the UPD replace the certificate of completion of work or not: cases when it is possible to use this document

Recently, companies quite often use a document such as a UTD (universal transfer document) in their activities. This document is not mandatory for execution, despite the fact that the Ministry of Finance and the Tax Service recommend it in order to simplify the document flow in companies. The main advantage of this document is that it allows you to simultaneously access several documents from the “primary” source. At the same time, companies quite often ask themselves whether the UPD replaces the certificate of completed work? Further in the article we will try to answer this question.

UPD functions

In modern accounting, UPD is widely used. This abbreviation stands for – universal transfer document. However, it was introduced into circulation not so long ago - only in 2013.

The main goal of UPD is to reduce the number of documents drawn up for one transaction. This document is most relevant for companies that carry out work and, for this purpose, simultaneously sell their goods or products to the client. Let's look further at why this happens.

How does UPD reduce the number of documents? The bottom line is that its main function is to combine a primary document and an invoice. The UPD replaces the certificate of completion of work/certificate of services rendered or a delivery note issued under a transaction in combination with an invoice.

IMPORTANT!

The UPD form was proposed in the letter of the Federal Tax Service of Russia dated October 21, 2013 No. ММВ-20-3/96.

The invoice form was taken as the basis for the universal transfer document. In 2021, some changes were made to it, and in 2021 the following UPD form is relevant:

Why did we indicate that the form was proposed the Federal Tax Service? The fact is that since 2013, the unconditional use of unified forms of documents has been abolished . They began to use forms that were relatively free-form. But in any case, when drawing up such documents, only the following conditions must be observed:

• the document contains mandatory details (their list is approved by law);
• the form of the document is approved and fixed in the accounting policy of the enterprise;
• The agreement with the counterparty stipulates the use of this form of document closing the transaction.

A UPD is issued instead of a certificate of work performed (certificate of services rendered or bill of lading) and an invoice. Therefore, the mandatory details of the UPD are a compilation of the mandatory details of the primary document and invoice .

What the primary accounting document should contain (certificate of work performed/services rendered/invoice) is established by Federal Law No. 402-FZ dated December 6, 2011 on accounting. And the type of invoice is specified in Art. 169 of the Tax Code of the Russian Federation. From July 1, 2021, changes were made to the invoice form, so similar adjustments should be in the UPD.

A sample UTD with all the necessary details and data can be viewed in our article “Universal Transfer Document (UTD) from July 1, 2021: completed sample.”

UPD (universal transfer document)

For quite some time now, the tax authorities have been considering the issue of simplifying the company’s primary documentation, since many documents can duplicate each other, either partially or completely. Therefore, it was decided to use such a universal document as the UPD.

The very name of this document indicates that this document is used to achieve external rather than internal goals. Externally, this document resembles an invoice, since it was based on the invoice that it was developed. But in addition to the invoice details, the document may also contain details of the delivery note (

Application of UPD in a simplified manner

Since we are talking about using UPD instead of an invoice, a logical question arises: can a simplifier use UPD instead of a certificate of completion of work?

Yes maybe . Despite the fact that the simplifier does not issue invoices.

When applying the UPD for completed work, the simplifier must carefully consider filling out this document, namely, the “Status” field (those using the simplified tax system should use only status “2”).

Find out about indicating statuses in the UPD from our article “What does status mean in the UPD.”

Options for using UPD

The performer can use the universal form in two versions. The first is to replace the act and invoice. This method allows you not only to declare the amount of VAT to be deducted, but also to reflect the business transaction in accounting, as well as provide the customer with a list of services performed. The second is for replacing only the act.

The approved standard UPD form is presented by the Federal Tax Service in its Letter. The document was developed in accordance with the current requirements of stat. 169 Tax Code and clause 2 stat. 9 of Law No. 402-FZ of December 6, 2011. The form has been amended in accordance with regulatory changes. The last adjustment was made as of October 1, 2017. General recommendations for entering data indicating the required lines are given in Appendices 3, 4 of the Letter. Keep in mind that the rules for displaying information vary depending on the application of the UPD.

Features of using UPD

When drawing up the UPD, you should remember the following features of the use of this document:

• It is unacceptable to replace an advance invoice with a universal transfer document, since when issuing an advance invoice there are no grounds for drawing up a primary document;

IMPORTANT!

An invoice can only be a primary document and cannot be only an invoice. Here we will clarify that you can issue an invoice and UPD at the same time , where the UPD will have the status “2” and act only as a primary document.

• the use of UPD is not necessary . An organization can use UPD or a package consisting of a primary document + invoice. Moreover, you can use different sets of documents with different counterparties;
• The UPD can simultaneously include not only data about the product, but also about the work performed or services provided .

And here we come to the answer to the question asked at the beginning of the article: why is UPD so beneficial to those who perform the work.

How to issue a UPD instead of a certificate of completion of work

The process of drawing up this document may involve either using the recommended format or adding to the form certain lines necessary for carrying out certain transactions. In this case, it is not allowed to delete the mandatory column in Appendix 4 to the Letter . When entering information in the “Status” column, you should adhere to the following order:

• Code “1” needs to be specified only if the form will be used simultaneously as an invoice and act. This means that information will be required in both the invoice section and the additional primary section;
• Code “2” is used in the case of applying the universal protocol only as an act. In this case, it is allowed not to fill in the lines relating to VAT.

The main section of the UPD contains lines from the invoice. The format of such a form was approved by Resolution No. 1137 of December 26, 2011. A person acting as a taxpayer does not have the right to make any changes to this part of the document.

In the additional section, it is mandatory to indicate the details that are provided for by Federal Law No. 402 for primary registration. If necessary, it is possible to add additional lines to this section based on the specific features of the economic activities of a commercial structure.

What is good about UPD for those doing the work?

For example, an organization installs equipment for a customer. In this case, she must draw up as closing documents:

• delivery note for equipment + invoice;
• act of completion of work + invoice.

If the organization is on a simplified taxation system, the number of documents is less:

1. Packing list.
2. Certificate of completion.

What package of documents should I give to the customer? Invoices, acts, invoices or UPD? In our opinion, the answer is obvious: one UPD instead of four (or two) documents.

Here are examples of filling out the UTD for those using the basic taxation system (OSN) and for simplifiers.

EXAMPLE

Let Principle LLC install the equipment on the customer’s vehicles.

This is what the UPD of Principle LLC looks like if the company is on OSNO:

SAMPLE UTD FOR GENERAL MODE

Let's consider the UPD of Principle LLC, if it applies the simplified tax system:

SAMPLE UPD FOR USN

Filling rules

The invoice form contains lines and columns with numbering and letter designations.

Strings

Graphs

You can learn how to fill out an invoice correctly here.

Which document can be issued earlier?

Do not discount the fact that when providing work, an invoice cannot be issued before it is provided . But this does not apply to prepayment (advance payment) for work.

Arguments that enable the performing company to issue an invoice for the provision of work before the fact of presentation and in the absence of prepayment (advance payment) are considered to be those that the supplier companies do not have any fundamental values ​​for the timing of presentation of such documentation.

Attention! The simultaneous receipt of this document by the customer becomes a mandatory condition for accepting VAT for deduction. In other words, early receipt does not affect the fulfillment of this condition.

Since the provision of an invoice does not play a role for the supplier, this document is issued by the seller at the time of signing the contract. Early receipt of a completed document does not affect the VAT deduction.

Along with the paper version, the electronic form of the invoice has legal force. This document also contains all the necessary information in compliance with all the rules, which is signed by an authorized person (read about signing an invoice here). Such a document is the basis for deducting VAT and must be stored for four years (we wrote about the rules for storing invoices in a separate article).