What is the actual address?

Due to confusion in Ukrainian legislation, entrepreneurs often began to ask: “What is the actual address”. Naturally, we now mean the location of the company. The answer seems simple: “The office where the administration works,” that is, the director, accountant, and other responsible employees. But the civil and tax codes say that in such an office should be the leadership of the company and it is here to carry out financial and economic activities. This means concluding agreements, preparing accounting documents, sending reports to the fiscal service.

After reading these rules, businessmen believe that the legal address is not legal compared to the actual one and problems may arise. In fact, things are a little different. If the company is working properly, answers calls on official phones, which are indicated in the database of the Ministry of Justice, submits reports on time, has no budget arrears, and most importantly, does not apply for VAT refunds, wherever you are, there are practically problems with law enforcement agencies excluded. It is also worth mentioning that in case of a scheduled or unscheduled field visit, your representative (by proxy) will not be at the workplace, expect trouble in the form of blocking invoices.

What is the real address of the company in real life?

There are two options:

  1. A business center where a director, an accountant is actually present, that is, every day they come here to work, enter into transactions, hold meetings, receive visitors, both their counterparties and government employees;
  2. The virtual office from which correspondence is maintained with the tax, licensed institutions, other officials. With this approach, there should be a secretary with a valid power of attorney with a wet seal, the right to accept letters, requests, summons, and so on.

Naturally, the first item is more suitable for a company with good profit, capitalization. Typically, these are exporters, importers of various kinds of goods, heavy industry, energy. The second option is designed for small and medium-sized businesses, which cannot boast of high profitability or even begin to do something using authorized capital, trying to save on expensive rental premises, especially in the center of Kyiv and other large cities of Ukraine.

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