How to deal with the contractor’s debt expected not to be returned in the tax accounting
Coronavirus and the downturn in the economy are significantly changing the state of affairs: some customers and contractors, who have been reliable even yesterday, are going off-balance, and there are doubts whether their debt will be actually paid.
And what to do with such situation in the tax accounting? Should we pay tax, including the one on the imaginary “paper” profit, which is unlikely to be received in the “cashbox”, up to the official bankruptcy of the contractor in debt? Or are there any other options? ...
Full text is open only for the subscribers.
Taxes and Motivation
Delaying VAT refund by tax audits: is this lawful?
Does (not) the moratorium apply to audits aiming at confirmation of VAT refund?
Facilitating economic recovery after the quarantine through tax changes
“Backdating” VAT exemption: what to do?