October 27, 2020 · 1 min read
The spread of technologies like artificial intelligence, deep learning, chatbots, neural networks, blockchain and cryptocurrency has transformed the way we live.
Ukrainian IT companies move with the times: over the past few years they have become leading players in the global IT services market, and by following current trends they set high standards for their bookkeeping and tax accounting too.
What makes accounting for an IT company different
Bookkeeping, tax reporting and financial accounting for IT companies call for clear financial planning, project-level accounting, accurate tax calculation, and accounting for payments to sole proprietors who, in practice, work as the company’s employees. Above all, the goal of financial accounting here is to determine the financial result both for the company as a whole and separately for each project, team and individual.
Some IT services are exempt from VAT
It is worth noting that a number of IT services are exempt from VAT. We advise management on how to word service descriptions so that they qualify for the VAT exemption.
Clients also come to us for bookkeeping and tax accounting for the representative offices of IT companies based in other countries, such as Poland and the United Kingdom.
