What is the tax refund and how you can get back some of the money given to the state

Almost every Ukrainian has the list of obligatory payments for the month. However, many do not know that citizens, formally employed, according to some lists of expenses can obtain some of their money in tax return. The philosophy of the tool is simple: the state encourages its citizens useful for society business and returns incurred the cost of taxes. The list of expenses, after payment of which it is possible to claim a tax refund, include education, home loans and even insurance in private pension organizations, etc. “Today,” found out how much money could return.


One of the grounds for tax refund — education (teaching in the state seasoned professional-technical or higher educational institution in the contract or tuition fees of family member first-degree relatives (daughter, son). The right to such compensation are available only to residents of Ukraine with the registration number of taxpayer card (or passport stamp confirming its absence for religious reasons). While individuals must be formally employed, because the tax rebate is a refund of part paid by his employer the income tax of the official salary. Entrepreneurs or those who work under civil law contracts, qualify for the tax credit can’t.

DOCUMENTS. To be eligible for a tax refund, you need documentary proof of expenses included in the sales tax discount. This can be receipts, fiscal or trade checks, petty cash receipts, copies of contracts that identificeret seller of goods (works, services) and buyer (recipient).

You need to present your passport (original + copy parent-taxpayer and student), identification code (original and copy), information on the amount of wages of a parent for the last year (taken in the accounting Department at work), a copy of the contract on training, which paid the money, the monthly receipts for payment of the contract fee (original) and a completed tax Declaration (can be downloaded from the website of the tax service or even buy some stationery shops).

“You need to file a return for the year and package of documents showing the amount of payments were and what the actual amount of that is paid by the taxpayer. Must contract directly with the legal entity (vocational, University) that provided services from the list, which is subject to the tax credit — explains the Director of the division of People Advisory Services, the team leader for the provision of services to private clients’YE in Ukraine Halyna Khomenko. It is important that the agreement was properly drafted. For example, often the applicants for the tax refund apply after a year of study and enter the entire course (academic year). This is wrong: in the service tax calculation is made for a calendar year, and the year of study in the school affect two calendar years: from September to December and from January to June or July. Therefore, the tax Declaration serves twice.”

Also needs to be clearly spelled out months where paid only half month of study.

Education. One of the grounds for the tax refund


It is important that the sums specified in the contract coincided with that of the actually incurred expenditure. “If there is a mismatch in the amount of the contract and the actual evidence (lost the receipt for a month, etc.), tax can calculate the refund based on the amount that will be less, or to refuse at all, — says Galina Khomenko. — Cause failure may also incorrectly drafted documents (if there are no items that give agreement or cheques/warrants etc., signs an official document)”.

HOW IS THE RETURN. The refund amount may be different in each case. It is possible to calculate according to the formula: payment amount tuition per month multiplied by the number of months in a calendar year. From the resulting amount you need to calculate 18% (income tax rate). For example, if the monthly payment for tuition is 1 thousand UAH, and the time of the actual study and payment for a calendar year — 10 months (from January to December and 2 months of vacation), 1000х10 and out of this amount, 18% = 1800 UAH.
If all taxpayers of the deadline for filing tax returns until may 1, for applicants for the repayment period extended until December 31 of the year following the reporting year. If now 2017 and the campaign for the Declaration is already closed, but the physical persons-taxpayers were spending in 2016, the points from the list, entitling you to a tax rebate, they can submit the Declaration until the end of the year.


Before the repayment period was limited to 60 days, and was even provided certain penalties for missing the deadline. To date, such limitations do not exist, although the return occurs approximately in this time range.

“Received a tax credit for the daughter, a student in the amount of UAH 920 through 73 days after submission of all documents,” — said from Kiev Tatiana Vasilenko.

To submit an application for tax refund, the taxpayer has the right as many times as you want to do. The first submission of the Declaration may be for the first semester of the first course, the last — next year after graduation under the contract. If the taxpayer before the end of the fiscal year following the reporting year, did not use the right to earn tax credits, the right is not transferred to the following tax years.


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The Tax code has a point about tax rebate on the amount paid by taxpayer in favor of the health care institutions. According to him, it is possible to compensate the cost of paid services in treatment of such taxpayer or family member first-degree relatives. This includes the purchase of medicines, donor components, prosthetic and orthopedic appliances, medical devices for individual use disabled, paid rehabilitation services, etc. are spelled out a lot of exclusions (cosmetic surgery and prosthetics that are not related to medical indications abortion, sex change surgery, alcohol dependence, etc.).

But there is one big “but”: the tax discount on madrasati not yet in force. “At the end of the Tax code there is a PostScript that she will work only from the year when it introduced mandatory health insurance. Only then Ukrainians will be able to have a tax compensation of part of expenditures on medical services. At this stage, they cannot be included in a tax credit,” explained Halyna Khomenko.

EXCEPTION. However, there are positions for which the taxpayer is entitled to a tax rebate. It is the costs of assisted reproductive technologies according to the conditions established by law. But returned not more than an amount equal to one third of the income as wages for the tax year. Also, this category included the payment of the cost of public services associated with the adoption of a child, including payment of state duty.

“I returned a little more than 7 thousand UAH in the framework of tax rebates for reproductive technology. I thought so: my salary 10 thousand UAH, for the calendar year is 120 thousand UAH. Can get a discount in the amount of not more than 30% of 120 thousand UAH, which is 40 thousand UAH. And with her back to me 18% of the amount — 7200 UAH”, — said Svetlana Prokopiv of the Dnieper.

DOCUMENTS. The documents will also be weighty: with evidence, and other evidence of incurred expenses. To apply for a tax refund must be the same taxpayer that has entered into a contract with a medical institution. And for example, such services as assisted reproductive technologies, may pay the husband as the earner of the family. But this issue better be discussed in the tax in advance, because then “cancel” signatures, etc. will be impossible. Applying for tax relief must also be a citizen of Ukraine and have the official salary, which is paid income tax.

“We have a high income, but since I don’t work, and my husband is a foreign citizen, us in return refused”, — says Irina from Kiev Merosina.

There are positions with the right to a discount. Photo: A. Boyko


To receive a tax return are eligible and officially employed taxpayers who pay credit for housing. The refund will be issued as payment of the amount of interest paid for the use of mortgage loan. Take advantage of the tax credit only if that taxpayer is registered at the address of housing, purchased the mortgage. If housing purchased a mortgage in a newly built house, in the first year after people have registered, he is entitled to a Declaration to a tax rebate cumulative for the previous years that he has been paying the loan. More this tax discount is only available for 10 years. If a person has acquired the second object (apartment), and also on credit, then to tax relief he will be able only if the first loan is paid in full.

THE RETURN DEPENDS ON THE AREA. Tax refund for interest paid on the mortgage is limited to the coefficient which depends on the square footage of housing. Boundary mark 100 sq. m. If the area is more, the calculation will be carried out with a reduction factor. For example, if the apartment is with area of 107 sq. m, the reduction factor will be 0.96 percent. That is, of the 107 sq meters, only 96 of interest paid falls under the return of income tax.

“From the point of view of income tax refund, it is better to not repay the loan annuity (equal payments) and payments decrease, — experts explain. In this case, the payments are higher, but the mortgage interest (of which you compensate for the tax) is higher.”

The taxpayer must be registered at housing. A. Yaremchuk

CONDITIONS. The person applying for a tax rebate part of the interest on the mortgage, shall be the official salary, commensurate with the payments on the loan for housing. As, for example, if the official salary of the person of 3,2 thousand UAH (minimal), and interest on mortgage — 4 thousand UAH, the taxpayer may not claim a refund on all 4 thousand UAH, and only 3.2 thousand UAH, because it comes under paid. So, except for the Declaration and proof of expenditure, you will need a reference from the employer on the amount that is accrued during the year, and the amount of income tax withheld during the year. The documents then the same as in the case of refunds on training — all that confirms the cost and actual payments.

THE BOUNCE IS MINIMAL. Experts say that the failures of those who asked for refunds are rare. “If all conditions are fulfilled and all necessary confirmations — tax discount will be given. Its size depends on the size of official salaries, and paid her personal income tax, the square acquired a mortgage of an apartment and the amount of interest accrued for the credit” — explained the Director of the Chamber of tax advisors Vitaly Smerdov.

“I noticed that the tax refund was approximately the amount of interest that you have to pay for 1 month. About the same number have returned a few of my friends who has issued a tax rebate around the same time as me,” recalls the inhabitant of Kiev Denis Vertogradari.

Not so optimistic in this respect, the professionals involved in real estate. “I have not heard that anyone in my environment made a tax rebate. Maybe before this happened, but lately — no, — says the realtor, lawyer Vladimir Stolitny. — First of all, mortgage lending is not in the best form. Secondly, the Ukrainians that receive an official salary is so high that you can qualify for the purchase of housing loans are few. Thirdly, even those who are entitled to a tax rebate, do not want to do because you do not wish to contact our bureaucratic machine.”


Return can also of the amount of expenses of taxpayer for insurance payments (premiums, bonuses) and pension contributions paid by the taxpayer to the insurer-resident, non-state pension Fund, banking institution the long term life insurance, private pensions, pension contract with non-state pension Fund, and also contributions to Bank pension Deposit account, pension deposits and accounts of participants of funds of Bank management as a taxpayer and his family members first-degree relatives not to exceed (calculated for each of full or incomplete months of the tax year, in the course of which the act of the insurance contract).

“For example, you have a job, and the employer pays compulsory pension insurance. If the taxpayer suspects that the pension, which will pay the state would be insufficient, he may begin to defer his own retirement in addition, for example, in non-PF, — says Galina Khomenko. In this case, taxpayer is a contract at least 10 years, during which the person undertakes to pay monthly some amount. However, the tax return in this case is fixed at 18% of the 2240 UAH (403,92 UAH). Even if a person puts 5 thousand UAH — he still gets only 403,92 UAH. It is important to get all these 10 years salary, because it will have paid income tax and you simply return your hard-earned money. The Declaration is submitted once a year”.

INSURANCE. To request a tax credit, i.e. payment of income tax, if the taxpayer insures a relative of the first degree. It applies the 50% reduction factor, and the insurance benefit will amount to 18% of the 1120 UAH (UAH 201,6). If insured is a distant relative, a tax refund will do.