The Federal Tax Service on 21 February 2017, explained the deduction of expenses for Corporate Income Tax (CIT) purposes. Accordingly, a taxpayer may deduct expenses from corporate income in the tax period in which they are incurred, regardless of the tax period in which they were invoiced or paid (i.e. services were provided to a taxpayer in December 2012. The expenses incurred for the payment of these services were deducted from the corporate income received in 2012. The invoice was issued in January 2013).
Under the accounting legislation, primary accounting records may be drawn up either when the business activity is taking place or after it has already taken place. Therefore, invoices for the services provided in December 2012 may be issued in January 2013. Furthermore, article 272, paragraph 1 of the Tax Code stipulates that expenses are taken into account in the tax period in which they are incurred, regardless of the actual payment.
Thus, taking into account that services were provided in December 2012, the taxpayer may deduct expenses in 2012 for CIT purposes.