If the published draft amendments to the Tax Code are adopted in Belarus, then Wildberries and Ozon reporting can be used as primary accounting documents (however, only within the framework of VAT, since the wording for the rest of accounting is still very streamlined – we are waiting for further changes). And this is good news. But it’s too early to talk about this, so at the Marketplaces conference CFO and Chief Accountant Svetlana Malinina spoke in general about how to keep tax records and pay taxes correctly when working with marketplaces.
Conference partners: Rekish Cosmetics
Conference partner bank — Paritetbank
What you need to do to start working on marketplaces
— To start selling on marketplaces, you need to acquire some kind of legal status on the territory of the Republic of Belarus, and then accept the offer of the selected site and enter your data on the registration portal of foreign exchange agreements of the National Bank. Let me remind you that inter-currency contracts are subject to registration if their contract amount is not defined (this is just our case) or if it exceeds 4,000 base units.
In addition, since we use a form of distance selling, registration in the commercial register is mandatory. This need arose when Wildberries and Ozon had a Belarusian legal entity.
Registration in the commercial register is a simple and short procedure, which is free for business. If you have an electronic digital signature, this can be done very quickly.
Taxation systems for trading on marketplaces
Now there are many individual entrepreneurs working on marketplaces. But it is important to remember that only until the end of 2022, individual entrepreneurs in Belarus can use the “simplified” system. From the new year, unfortunately, there will be no such opportunity and the income tax rate for individual entrepreneurs will rise from 16% to 20%.
An individual entrepreneur on the general taxation system can keep his account in one of two ways:
- multiply by 20% the difference between income and expenses;
- multiply by 20% the difference between income and a deduction of 20 percent (this deduction is prescribed in paragraph 36 of Article 205 of the Tax Code, in this case, you can not keep track of the cost part).
A single tax does not apply to distance trading, because there is an agency agreement. Sometimes they forget about it.
Recently, there are many legal entities that have an online store and in parallel they want to go to Wildberries. The legal entity remains on the “simplification” of 6 percent and beyond, so there are no restrictions here. Please, you can use it, no one forbids you. A legal entity can also work on a general taxation system with the payment of income tax, the rate of which will rise to 20% from January 1, 2023, and with the payment of VAT of 10% or 20%, depending on the group of goods.
Tax accounting when trading on marketplaces
The most painful topic is tax accounting, because now there is no clear description of the concept of distance trading and the list of documents that are recognized as primary accounting documents when trading through the marketplace. Before the adoption of changes to the Tax Code, it is difficult to talk about something.
But the general principles of accounting will not change. I usually advise you to start accounting from the moment you determine who the supplier of your product is. It can be residents or non-residents of Belarus.
If you buy goods from a supplier from Belarus, then everything is relatively simple: you bought the goods, signed an agreement, transferred money from your current account – and your supplier ships it to you according to the invoice. But if you buy from a manufacturer or supplier not from Belarus, you will have to conclude a payment agreement from the current account and for the import of goods into the country.
Non-residents are divided into two categories: from the EAEU and from other countries. When you are transporting goods from the EAEU member countries (or other countries, if we import from the EAEU countries), you must independently submit documents for the main VAT before the 20th day of the month following the month in which the goods were imported. Conditionally, I brought the goods on November 1. Until December 20, I have to apply for import and pay VAT.
If you are transporting goods from other countries, then it falls under customs declaration and you can use the services of customs declarants.
So you brought the goods to the territory of the Republic of Belarus, put them on delivery, calculated the cost price, shipping price, and so on. Now you ship it for trading on marketplaces – to the sorting center. At the same time, it is imperative to have an invoice so that you can see the movement of your goods. It is impossible to transfer in debt and give waybills. And remember: the book price is your purchase price.
Do not forget to download reports from Wildberries (preferably with details) and store them. Otherwise, then errors in accounting appear, which are very easy to calculate. God forbid a tax audit comes to you, and you will have a discrepancy between the report from Wildberries and what actually came to the current account.
Look: your income is not the same as the money that came to your account. For tax revenue, this is the amount from the marketplace report, that is, before the site collects its commission. The situation is the same as with acquiring: you paid 100 rubles, 97 rubles came, and for the tax base you need to take 100 rubles.
By the way, check yourself: do you correctly calculate the tax base according to the principle of payment and according to the principle of shipment. Here are tasks with ready-made examples:
And a little “reminder” on taxes:
Features of contracts with marketplaces
There are some features of contracts when working with marketplaces. Ozon and Wildberries have solid working contracts that are adapted to them, to the platforms themselves. And they are not ready to discuss any other terms of delivery with individual entrepreneurs or organizations.If you have noticed, the marketplace offer is updated almost every week. Penalties are unilaterally set and then accrued. But they can be challenged in court. There is a precedent that the imposed fine of 80 thousand Belarusian rubles was successfully challenged.