Logical – based on the application of logic techniques in the audit process.
Taxable income is the total net income, ie the difference between gross income (revenue in cash and in kind) and documented expenses directly related to income. If these costs cannot be documented, they are taken into account by the tax authority when making final calculations according to the norms as a percentage of gross income.
Expenses directly related to the receipt of income include documented expenses that are included in gross production costs (turnover) or subject to depreciation.
Given that a natural person-entrepreneur is not a legal entity and a payer of income tax and is not required to keep accounts, so the declaration of income received during the reporting period includes only direct gross expenses and the amount of depreciation, corresponding to the actual amount of gross income received in this period in any form from a particular activity and documented.
Any amounts of expenses of a natural person-subject of entrepreneurial activity until the moment of receiving income from the result of such activity is his own risk in accordance with Article 1 of the Law of Ukraine "About entrepreneurship"… Therefore, only the fact of receiving income can be the basis for inclusion in the gross expenses of the reporting period not all consecutive expenses, but only that part of them that is directly related to the receipt of this income.
Citizens engaged in business activities submit quarterly declarations to the tax authority on a cumulative basis from the beginning of the year within 40 calendar days following the last calendar day of the reporting tax quarter. That is 4 times a year, but not later:
May 10 – for the first quarter; August 9 – for the first half of the year; November 9 – for 9 months; February 9 next year – for the previous year.
Entrepreneurs fill in declarations independently, without corrections and cleanups, in which they indicate general information about themselves (identification number, place of residence, surname, name and patronymic), the amount of income, expenses, the amount of tax paid for the reporting year or other period, as well as types of business activities according to the classifier of economic activities.
Upon receipt of the return, the tax authority within 15 days from the date of receipt of the annual return shall make a final calculation of income tax for the previous year and accrue advance payments for the current year from the actual income received for the previous year … If the business entity is newly created, the accrual of advance payments is made from the expected income.
During the year, taxpayers pay quarterly to the budget 25% of the annual amount of income tax in the form of advance payments in terms: until March 15, May 15, August 15 and November 15.
In the event of an increase or decrease during the year of the payer’s income within 50 percent or more of the expected income, the tax authority shall recalculate the amounts of tax according to the due dates.
Law of Ukraine "About personal income tax" from 22.05. 2003 Law of Ukraine ‘On Entrepreneurship" from 7.02. 1991 Law of Ukraine ‘TIRO State Tax Service in Ukraine" from 4.12. 1990 Decree of the President of Ukraine "On the simplified system of taxation, accounting and reporting of small businesses" from 3.07. 1998 Bondarenko GI, Danilov OD, Doctor SI and others. Taxation of individuals. – Irpin: Academy of State Tax Service of Ukraine, 2001 .– 247 p.
Audit procedures: definitions and types. Abstract
Control and audit procedures are a system of methodical actions on subjects and objects of the process of the expanded reproduction of a socially necessary product which are carried out by auditors when carrying out control functions.
Definition of the procedure. Procedure (from the Latin procedure – pass, happen) – a concept that establishes the performance of certain actions by means of labor on the objects of labor in order to learn, transform or improve them to achieve the optimum.
Control functions in the economic mechanism are carried out using control and audit procedures developed by science and practice.
Control and audit procedures are a system of methodical actions on subjects and objects of the process of the expanded reproduction of a socially necessary product which are carried out by auditors when carrying out control functions. As a subject (from the Latin subjectum – is the basis) are the bearers of rights and responsibilities of entrepreneurs, and the objects are the objects to which their activities are directed. In the process of economic activity, the subjects of law may be individuals, specific individuals and individuals; legal – associations, enterprises, cooperatives, organizations, institutions. They act as bearers and participants in economic rights and responsibilities, carry out economic activities and manage it in accordance with the laws and regulations of the state.
Control and audit procedures implement methodological techniques of control and audit, so they are characterized by the functions they perform in the control and audit process.
Methodological methods of audit can be divided into:
inventory; control measurements of works, selective and continuous observations; technological and chemical-laboratory control; examination of different types; examination of projects and estimate documentation; official investigation; experiment.
Calculation and analytical:
economic analysis; statistical 123helpme.me calculations; economic and mathematical methods.
information modeling; document research; in-house inspections; regulatory and legal regulation.
Generalization and implementation of control and audit results:
grouping of shortcomings; documenting the results of the intermediate control; analytical grouping; investigative and legal substantiation; systematic grouping of control and audit results; decision-making; control over the implementation of decisions.
Each methodological technique in the financial and economic system involves the use of certain control and audit procedures.
Types of procedures. Control and audit procedures by purpose in the application of control techniques can be divided into organizational, modeling, regulatory, analytical, calculation, computational, logical, comparative and others.
Organizational – the choice of specialists to perform control functions, registration of organizational and administrative documentation (orders, instructions, schedules, etc.), the establishment of objects and methods of control.
Modeling – construction of organizational and information models of control objects, which allow to optimize the control of time and quality characteristics with the use of computer technology. Depending on the control of a group of economically homogeneous objects, the model is specified in terms of differentiation of objects and their structural elements, sources of information, methods of auditing and generalization of its results. The method of modeling, for example, establish regulatory and factual information relating to the object of control, create an information image.
Regulatory – checking compliance with the rules of the object of control, compliance with labor legislation in labor relations at the enterprise, conducting an inventory of values and compliance with the Basic Provisions for inventory of fixed assets, inventory, funds and calculations.
Analytical – the division of the object of control into constituent elements and their study using special techniques. So analyze the implementation of the state order for the production of the most important products in the range; carry out technological and chemical-laboratory quality control of products, etc.
Estimated – check the reliability of quantitative and cost measures of business transactions, calculate the generalizing indicators that characterize the object of control (indicators of productivity, implementation of the implementation plan, etc.).
Computing – used during the verification of the quantitative characteristics of the objects of control. These include – setting the value of goods in accordance with market prices, checking the correctness of the calculation of wages to workers, settlement relations, and so on. In addition, they are used in inventory, document research, economic analysis, statistical calculations, economic and mathematical methods, and other audit techniques.
Logical – based on the application of logic techniques in the audit process. They are used in combination with other control and audit procedures (for example, when checking documents, economic and mathematical calculations, economic analysis).
Comparative-comparative – provide for comparison and comparison of the object with its analogue, approved samples, regulations to identify deviations from them. It should be noted that the causes of deviations are investigated through other control and audit procedures. Comparative procedures are widely used in conjunction with other audit techniques, but they play a particularly important role in the study of documents.
The auditor obtains audit evidence by applying one or more of the procedures that he or she uses directly during the audit of the entity:
audit; observation; poll; confirmation; calculations.
Verification – consists of a study of accounting records; documents that allow you to collect audit evidence of varying degrees of reliability. The main category of documentary audit evidence that has varying degrees of reliability includes: audit evidence that is created and stored by three persons; documentary audit evidence kept by the client.
Observation is the analysis of a process or procedure used by others.
Survey – storage of information from knowledgeable persons of the client and outside them. It may provide the auditor with new information or confirm old information.
Calculations – checking the compliance of the amounts specified in the registers of accounting and primary documents.