Accounting Treatment of Transactions with Partners with Invalid Vat Code

Abstract

The value-added tax is an indirect tax payable to the state budget. Its complexity lies in the application of rights and obligations regarding the exercise of the right of deduction or collection. The paper deals with practical aspects of tax deduction and collection in relation to the quality of trading partners, and the reflection of these transactions into accounting. The research method used is the case study. The aim of the research is to highlight the accounting treatments related to the peculiarities of the commercial transactions with partners with the canceled VAT code.