Simplified for individual entrepreneurs

The simplified tax system or, as it is often called, a simplified tax system is the most popular tax regime for small businesses. Most entrepreneurs apply this particular regime.

STS was specially designed for small businesses. The widespread prevalence of simplification among entrepreneurs is due to the lower tax burden, as well as extremely simple accounting and tax accounting. STS for individual entrepreneurs is no different for the same regime for companies (LLC, ZAO), only entrepreneurs have no obligation to keep accounting records. It is only necessary to fill out the KUDIR and the cash book.

How to switch to simplified

In order to start applying the simplified tax system, an entrepreneur must register with the registration authority when registering. Otherwise, by default, all IPs are required to use OSNO. The latest tax regime is extremely burdensome for entrepreneurs. Its use is justified only if most of the IP clients will be representatives of large businesses who need invoices with a dedicated VAT. In other cases, especially for a new business, the most appropriate is the application of the simplified tax system.

For an existing business, to switch to the simplified tax system from next year, you must submit an application before the end of the current one.