You must submit these documents online before January 17, 2022, through Bo Impuesto portal. Failure to submit these documents on time will automatically result in the cancellation of the KOR status of the business.
- No need to pay BBO/BAVP/BAZV monthly;
- No need to submit BBO/BAVP/BAZV declaration form monthly
- Business owners can use the funds within the company;
- Less administrative work.
Although small businesses do not have to submit the monthly declaration forms, the law states that they must file their BBO/BAVP/BAZV declaration documents yearly.
This allows the tax inspector to evaluate if the business owner retains the right to the KOR arrangement. If the business’ revenue of 2021 surpassed the Afl. 84.000 bracket, it will lose the KOR status.
How to declare?
Small businesses submit their declaration electronically via the “BO impuesto” (or BOi) portal. Your company must be registered for this so that you can receive your login details by e-mail and submit the relevant declaration. To register your company, you must make an appointment on the website of the Tax Department.
How do I complete the declaration forms?
The following information serves only as an example of a small business owner’s declaration:
Business “X”: Volume Company turnover 2021 Afl. 63.000
You can fill out the form like this:
Exempt turnover: 0,00 (nihil)
Taxed turnover BBO and BAVP: 63.000
Taxed turnover BAZV: 63.000
The automated system will calculate the amount to be paid in taxes. Companies with KOR status get an automatic calculation of zero florins to be paid. Please note that you do not fill out the Exempt turnover as this is not applicable for businesses with KOR status. This section is only for businesses that have an activity eligible for tax exemption.
Deadline to submit declaration forms
Companies with KOR status have up to January 17, 2022, to submit their annual 2021 declaration documents. Submissions after January 17, 2022, or failing to submit these documents will automatically result in the small business losing the KOR status. Consequently, the small business owner must submit BBO/BAVP/BAZV forms monthly and pay monthly, like any other regular business. The Tax Department is urging small businesses with the KOR benefit to submit their BBO/BAVP/BAZV declaration forms in time for the year 2021.