The government has introduced a moratorium on the application of VAT penalties to entrepreneurs using the simplified taxation system

The government has introduced a moratorium on the application of VAT penalties to entrepreneurs using the simplified taxation system

The government has decided to support entrepreneurs using the simplified taxation system and who have become value-added tax payers for the first time. They will not be subject to penalties for failure to submit their first VAT tax return on time if such a tax return is submitted for the first time for any of the quarters of 2025.

The decision will help businesses calmly reconfigure their accounting software and study the procedure for filling out a VAT return.

Changes to the Tax Code in relation to taxpayers using the simplified taxation system came into force in 2025:
– the revenue limit for simplified taxation system payers has expanded from 265.8 million to 450 million rubles,
– the threshold for the residual value of fixed assets – from 150 million to 200 million rubles.

Thus, more entrepreneurs have been given the opportunity to apply the simplified tax system without having to split up their businesses.

Entrepreneurs applying the simplified tax system whose revenue for the previous year exceeded 60 million rubles or exceeded 60 million rubles from January 1, 2025, are now required to pay VAT. It is precisely to make it easier for them to adapt to the new rules that the government has decided to impose a temporary moratorium on the application of penalties.

The signed resolution comes into force from the moment of publication and applies to legal relations that arose from January 1, 2025.