How can an individual entrepreneur confirm income?
Is it possible for an individual entrepreneur to receive an income statement?
Individual entrepreneurs are at the same time both employers and tax agents, which complicates the process of confirming income. They, as well as employees, often face the need to confirm income in different organizations. For example, at the bank, when filling out an allowance, a subsidy, any benefits, applying for a visa to travel abroad, you must provide information about your income. When employed, you get the right to receive a certificate from the employer, individual entrepreneurs need to confirm their income on their own.
How to confirm the income of an individual operating on the OSNO or USN
Individual entrepreneurs applying the general taxation system can confirm their income with a declaration in the form of 3-personal income tax. Entrepreneurs working on the simplified tax system confirm income with a declaration provided in connection with the application of this tax system. However, sometimes entrepreneurs can additionally request a book of income and expenses accounting from USN. Since IPs on the USN are required to keep this book, it can be copied if necessary. A copy is provided at the place of demand.
Declarations will be required with the stamp of the tax office. Copies certified by the signature of the entrepreneur do not have legal force. Therefore, when providing tax reporting, it is worth asking the inspector to put a stamp on the acceptance of the declaration in several copies at once.
How to confirm income if an individual uses UTII?
Entrepreneurs applying UTII, when confirming their income, cannot use the tax return for this tax regime, since it does not contain data on real revenue, but only estimated income. Also, entrepreneurs at UTII are not required to keep records of their income. This greatly complicates the process of confirming income. Entrepreneurs at UTII in order to confirm their income can, on their own initiative, keep records of income or confirm it with primary documents. In this case, revenue accounting must be documented, that is, the accounting document must contain the following details: TIN and name of the entrepreneur, his registration number, name, place and date of preparation, signature and seal, if any. Such an accounting document must contain information that the business transaction was performed, the amount. Since, when applying UTII, entrepreneurs report quarterly, the results in the accounting document should be summed up quarterly, highlighting the annual result separately.
As a rule, a certificate signed by the entrepreneur himself is not accepted, but exceptions are possible. Then, you may additionally need a document confirming registration as an individual entrepreneur, as well as documents that confirm receipt of income, for example, a book of income and expenses or an accounting document in free form.
Getting help from tax authorities
Bodies of tax control do not have the obligation to issue certificates of income IP. However, some regional tax services go to meet businessmen and prepare documents of this kind for those who request IP. In order to obtain a tax certificate, you need to submit an appropriate request to the inspection at the place of registration. The request form is arbitrary. Issuance of a certificate or decision on refusal to occur within 30 days. The refusal to issue such a certificate does not make sense to dispute, since no regulatory document establishes the obligation of the tax authorities to issue such documents.
Sample certificate of income IP
The period during which the certificate of income IP
Income statements of entrepreneurs do not have a fixed validity period. Various government agencies, banks and other organizations present their requirements for the validity period of documents confirming the income of individual entrepreneurs. Therefore, the validity period should be specified exactly in the organization where the certificate will be provided.
Based on the foregoing, it can be concluded that the most reliable way of confirming your income for an individual entrepreneur is to submit a declaration in the form of 3-NDFL, and a tax authority mark is required. When applying the simplified tax system, a tax return should be used. However, in the absence of a declaration or at the request of the authority in which it is necessary to confirm your income, it may be necessary to provide either income accounting documents or primary documents confirming the receipt of revenue. Therefore, it is recommended to keep records of business income, regardless of the applicable taxation system, as well as to keep all primary documents, watching for their proper execution.