Streamlined Tax Compliance with Standard Audit File for Tax (SAF-T UA)
Ukraine is embracing digital transformation in tax compliance with the phased implementation of the Standard Audit File for Tax (SAF-T UA). Initially introduced as an optional measure in 2023, it will become mandatory for annual reporting for large taxpayers starting January 1, 2025, and will extend to all taxpayers by 2027.
What is SAF-T UA 2.0?
The latest version, SAF-T UA 2.0, published in November 2024, simplifies the XML structure by reducing mandatory fields and aligning with national accounting standards. This updated format ensures easier adoption and consistency in data reporting.
The SAF-T UA is based on the OECD-standard XML schema, enabling detailed transactional-level reporting that includes:
- General ledger accounting entries
- Sales and purchase ledgers
- Fixed and intangible asset movements
- Cash receipts
- Tax reconciliation
Taxpayers may be required to submit SAF-T reports on demand with only two days’ notice during regular tax audits.
Phased Introduction Timeline
- 2023: SAF-T UA available on-demand for large taxpayers.
- 2025: Mandatory annual reporting for large taxpayers begins.
- 2027: All taxpayers must comply with periodic submissions.
A Growing Global Standard
The SAF-T standard, initially launched by the OECD, has been widely adopted across Europe to enhance transparency and efficiency in tax reporting. Countries implementing SAF-T require taxpayers to provide comprehensive financial data, including:
- General ledgers
- Sales and purchase invoices
- Asset registers
- Inventory movements
Prepare for Compliance
Businesses operating in Ukraine should assess their accounting and ERP systems for SAF-T compatibility to ensure readiness for mandatory reporting deadlines. Early adaptation to the SAF-T UA 2.0 structure will streamline compliance and minimize the risk of penalties.
