Can a single PE carry out activities outside the boundaries of the registration data

According to Art. 42 HKU entrepreneurship is an independent, initiative, systematic, at one’s own risk economic activity, which is carried out by economic entities (entrepreneurs) with the aim of achieving economic and social results and obtaining profit.

According to Art. 42 of the Constitution of Ukraine, everyone has the right to entrepreneurial activity that is not prohibited by law.

Clause 291.3 of the Civil Code stipulates that an individual entrepreneur can independently choose a simplified taxation system, if such a person meets the requirements established by Chapter 1, Sec. XIV of the Civil Code, and is registered as a single tax payer in the manner specified by this chapter.

The simplified system of taxation, accounting and reporting is a special mechanism for the payment of taxes and fees, which establishes the replacement of the payment of individual taxes and fees, established by Clause 297.1 of the Code of Civil Procedure, for the payment of a single tax in the manner and under the conditions specified in Chapter 1 of Sec. XIV TCU, with simultaneous maintenance of simplified accounting and reporting (clause 291.2 of the TCU).

Therefore, an individual – an entrepreneur – a single tax payer does not have the right to carry out, within the scope of business activities, such activities that are not specified in his accounting data.