When tax authorities and banks can block a card: instructions for individual entrepreneurs
Inhaltsübersicht
- When can a bank block accounts?
- In what cases is financial monitoring of individual entrepreneurs' accounts carried out?
- When can the tax authorities block an entrepreneur's account?
- Can an entrepreneur make expenditures if his or her accounts have been seized?
- How can I make expenses if my accounts are frozen?
Blocking a company's current account is one of the sanctions applied by the tax authorities to ensure timely payment of taxes. Blocking can last up to 3 months. Find out in which cases the sanction is applied and what the algorithm of actions is if this has already happened
When can a bank block accounts?
Accounts may be blocked by the bank in the following cases:
- there have been no transactions for 12 months (and there is no balance on the account)
- death of the client;
- breach of obligations by the client under the Agreement;
- cooperation may lead to financial losses, deterioration of the bank's image;
- submission of false information by the client;
- use of the account for purposes other than personal needs;
- the client's activities are contrary to the law;
- suspicion of illegal payment transactions;
In what cases is financial monitoring of individual entrepreneurs' accounts carried out?
The grounds for financial monitoring are as follows:
- the client makes transfers abroad or receives transfers from abroad in the amount of more than UAH 50,000
- transactions are related to gambling and lotteries;
- there is a suspicion of establishing ties with Russia or Belarus;
- the customer's address is fictitious or located in a place of mass registration;
- income from assets (cryptocurrency) exceeds UAH 30,000;
When can the tax authorities block an entrepreneur's account?
The main reason for blocking an account is late payment of taxes. The entrepreneur receives a written warning of a possible blocking. If the entrepreneur fails to pay taxes within the specified period, the tax service has the right to go to court to collect the debt. The court may initiate proceedings against an entrepreneur in two cases:
- If there is a suspicion of tax evasion;
Can an entrepreneur make expenditures if his or her accounts have been seized?
How can I make expenses if my accounts are frozen?
Mandatory elements of the application:
- current account number;
Within two days from the date of receipt of the application, the state or private enforcement officer issues a resolution in which the proposed account is determined to be an expense account for the debtor. Thereafter, no later than the next business day, the public or private enforcement officer must perform the following actions
- send the issued resolution to the bank;
- check other enforcement proceedings against this individual entrepreneur;
For qualified legal assistance, please contact Visit Ukraine specialists. They provide assistance to individual entrepreneurs and legal entities on business and tax issues.
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Häufig
gestellte Fragen
When will a bank account be blocked if it is not used?
What is the minimum amount for financial monitoring?
When does a court initiate proceedings against an entrepreneur?
How long is an account blocked by the bank?
How much money can a sole proprietor with a blocked account disburse?
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