Individual entrepreneurs through Diyu can be registered online very quickly, but before doing this, you must check your tax debts and choose the right KVEDs and tax group to avoid restrictions on the simplified system. After registration, all key statuses and documents can be updated up to three working days, so you should work fully only after confirming the data in the tax registers.
Tax consultant Mikhail Smykovich spoke about this. The procedure looks simple, but entrepreneurs make key mistakes not during registration, but even before submitting an application or after receiving status.
Before entering Diyu, you need to prepare several important things that directly affect taxes and the ability to work without restrictions. First of all, you need to decide on the group of individual entrepreneurs and the taxation system.
In Ukraine there are 1, 2 and 3 groups of single tax, and each has its own income limits, rules of activity and permitted types of business. You also need to select the main KVED that will correspond to your main type of activity, and additional KVEDs that may be needed in the future.
A very important point that is often ignored is checking tax debts. If you have even a small debt to the tax authorities, the system may not transfer you to a simplified tax system. In this case, the individual entrepreneur is formally registered, but you temporarily find yourself on the general system, which means different taxes and work rules.
Registration occurs through the web version of Dii using an electronic signature or BankID. The mobile app is not suitable for this. The process looks like this - first you log in to your account, then select the individual entrepreneur registration service, fill out personal data, indicate the registration address or place of business, add KVEDs, select a tax group and sign the application with an electronic signature. After this, the documents are automatically sent for registration. The system immediately checks whether the selected KVEDs are allowed for the selected group. If there are restrictions, it either blocks the selection of a group or warns that such a combination is impossible. This is an important point that allows you to avoid mistakes at the application stage.. You also need to take into account that when choosing the first or second group, the transition to a simplified system occurs only from the first day of the next month. Until this moment, the individual entrepreneur may formally be on the general taxation system, so it is better not to start active activities immediately on the day of registration.
After submitting an application, the individual entrepreneur is usually registered very quickly, often on the same day. But the process does not end there, since you need to wait for all state registers to be updated. In the tax office you need to check whether you are included in the register of single tax payers, which group is assigned to you and from what date the simplified system is in effect. There may be a delay of up to three business days for this information to appear, this is normal..
At the same time, an extract from the Unified State Register is generated in Dii. This is the main document that confirms your status as a sole proprietor. It must be downloaded and saved, since it has legal force and may be needed for a bank or working with clients.
You also need to separately obtain an extract from the register of single tax payers. This document confirms your tax system and group, and is often required by banks or legal entities during cooperation.
After registration, you need to open an account for business activities. But it is important to understand that the bank does not always immediately see a new individual entrepreneur, since the data in the registers is updated with a delay.
In most cases, the account is opened within one to three days after registration. This is normal practice and is not a system error.. Without an open account it is difficult to work with non-cash payments, so this step is mandatory for most entrepreneurs.
Many problems arise due to simple mistakes at the start.. Most often, this is ignoring the verification of tax debts, which leads to the inability to switch to a simplified system. The second common mistake is the incorrect choice of KVEDs, which is why the business is either limited or cannot work on the required group.
Also, entrepreneurs often start working immediately after submitting an application, without waiting for confirmation of their single tax payer status. This may create tax problems during the transition period.
Another mistake is ignoring documents. An extract from the Unified State Register and an extract from the register of single tax payers are often not saved, although they confirm the status of individual entrepreneurs in real work processes.
After receiving the status of a sole proprietor, you need to check the tax office, upload all documents, open a bank account and make sure that the tax system is activated. Only after this can you fully launch the activity and accept payments.