Tax attack, or As private executives turn into debtors

For our country, it seems to be strange if the reform is successful and some direction justifies public expectations. Such rare cases include the appearance of private performers last year. But suddenly they decided to quickly "interfere" with the tax ...

For more than six months Ukraine has a new mechanism for executing court decisions through private executives. Moreover, as noted by the experts and the collectors themselves, it is functioning successfully enough. In contrast to the state, private executives are not burdened with any bureaucratic procedures. And from here, efficiency and mobility in decision-making - the main component of success in the work. In addition, the private executor is motivated solely for the successful recovery, since it directly depends on his income.

And while the private performers' bands are not replenished so quickly (now, for a whole Ukraine, there are just over 100 people), the success of this institution is recognized even by their main competitor - the Ministry of Justice. The department has already begun talks about the possibility of reducing the staff of state executives.

In connection with the preparation of a report on the amount of private income earners and withholding taxes for 2017, private entities submit requests for the provision of relevant information to the State Register of Individuals - Taxpayers. However, it turns out from the answers that the amount of income of private performers are credited to the advances of collectors and recovered in their favor funds.

Under the law, advance payments are money paid by the collector prior to the enforcement of the decision and directed exclusively to finance the costs of enforcement proceedings. Subsequently, the expenses incurred are borne by the debtor and returned to the debtor in full.

In accordance with Article 44 of the Law "On Enforcement Proceedings", a private executor executes compulsory execution of decisions by opening accounts in banks for:

• accounting of deposit amounts and crediting of debtors and funds paid to debtors;

• enrollment of enforcement proceedings (which includes the down payment of the payer and the debts from the debtor to the costs of enforcement proceedings);

• crediting the reward.

At the same time, this article directly states that the funds specified in paragraphs 1 and 2 are not income of a private executor. The rule of law is logically determined, since this money belongs to the collector.

Similarly, funds are transferred to state executives. However, there are no misunderstandings about the possibility of assigning funds from the debtor to the income of the bodies of the state executive service.

Currently, according to the law, a private executor may receive a basic remuneration of 10% of the amount deducted. From it, he pays the proper taxes and fees, the aggregate amount of which, by the way, is more than 41.5%.

However, the data formed by the State Register indicate that the private performers receive income in excess of the actual amount of 900%!

It is clear that this problem is of a purely technical nature. However, whether the State Fiscal Service wants to solve it - a rhetorical question. After all once accrued taxes will be included in the plans of budget revenues. In addition, the Tax Code, the rules of which will be given priority in the event of a court hearing of such a dispute, completely bypasses these issues.

Only the Association of Private Performers of Ukraine announced its position on this issue. However, the Ministry of Justice, which is responsible for the formation and implementation of enforcement policy, has not yet spoken about this issue.

Meanwhile, private executives, having received reports of "profits" from their activities, are gradually being transformed from the subjects who charge them to the subjects from which they charge money. And then - only the termination of the activity and the elimination of the profession.

Posted by Alexey SOLOMKO


(translated using google translate)