The education level of the Russian population is increasing every year. Every year, universities graduate thousands of young financiers. And many of these aspiring businessmen want to open their own business. Therefore, we have created step-by-step instructions for beginners on how to open an individual entrepreneur in 2019.

Advantages of IP

More and more people are becoming entrepreneurs. The dynamics of growth in the number of individual entrepreneurs in Russia exceeds similar data for legal entities. And there are objective reasons for this. Firstly, the entrepreneur does not need to account for accounting. Secondly, the registration procedure is much simpler and requires fewer documents. Thirdly, a more loyal system of fines and taxation.

In addition, a legal address is not required for entrepreneurship. Individual entrepreneurs can immediately consider all profits to be their property, and many bureaucratic formalities, such as maintaining protocols and forming authorized capital, are absent.

Taxation

There are 3 main taxation systems available for individual entrepreneurs:

1. The general taxation system (OSNO) obliges to pay VAT in the amount of 18% and 13% personal income tax. Individual entrepreneurs are also required to pay property taxes.
2. Simplified taxation system (STS). With such a system, VAT and personal income tax are not charged to individual entrepreneurs. But he pays 15% of the base, equal to the difference between expenses and income. Or 6%, if the total amount of income is taken as the base (without deducting expenses).
3. Patent taxation system (PTS). Applicable under a number of restrictions: the number of employees is up to 15 people and the annual income is less than 60 million rubles. If you buy a patent for a period of up to 1 year, then during this time you will not pay tax on your main activity. A patent requires payment of 6% of the potential income established by law for a specific type of activity.

The Unified Agricultural Tax (USAT) is almost never used, because it is only suitable for the production of agricultural goods. All simplified types of taxation have restrictions depending on the type, volume and region of activity. In addition to taxes, individual entrepreneurs must annually pay a number of social contributions.

Who can become an individual entrepreneur

The requirements for individuals wishing to become entrepreneurs are not very strict. They were established in 2001 by Federal Law 129-FZ “On State Registration of Legal Entities and Individual Entrepreneurs”. Any adult capable citizen can register an individual entrepreneur if he does not currently have a valid registration in this capacity. But there is also a list of areas for work in which opening an individual entrepreneur is impossible:

• private security activities;
• production and trade of alcoholic beverages and medicines;
• electric power industry;
• development and production of military equipment and weapons;
• investment funds and similar financial institutions;
• aerospace technologies;
• air transportation;
• activities related to pyrotechnics and explosive substances, and a number of other types.

There are also exceptions that allow minors to conduct business activities:

1. If you have an employment contract and permission from an adult legal representative, an individual entrepreneur can be registered from the age of 16.
2. If a minor citizen is married, then from the age of 16 you can also become an entrepreneur.
3. You can start running a legal business even at the age of 14. But for this you need to obtain notarized permission from both parents.

A person recognized as partially or completely incapacitated will not be able to open an individual entrepreneur under any conditions. It is also not available for 5 years after the completion of bankruptcy proceedings of the registering individual. Another prohibition concerns certain types of activities (usually related to working with minors) - an individual entrepreneur will not be registered if there is a criminal record or criminal prosecution.

Required documents

Opening an individual entrepreneur is a process that requires the applicant to provide a mandatory package of all necessary documents. For most people, this part is the least pleasant, because even the slightest mistakes when filling out papers or the absence of one document can cause a delay. And sometimes they even refuse to open an individual entrepreneur, after which you will need to go through the entire procedure from the very beginning.

If you are planning to conduct business, we strongly recommend that you clarify which authority you need to submit the necessary documents to. So, here is their list:

1. First, you must submit a completed Application Form P21001. It is evidence that the citizen has expressed a desire to become an entrepreneur. Therefore, making even the slightest mistake when filling out an application is unacceptable.
2. A copy of the passport of a citizen of the Russian Federation. If the document is submitted not by the owner of the passport, but by a third party, then it must be notarized.
3. A copy of the birth certificate (if the passport does not contain data on the date and place of birth).
4. A copy of a document confirming your residential address (if your passport does not contain this data).
5. Receipt confirming payment of the state duty. It is worth noting that when submitting documents electronically, you do not need to pay this fee, starting from January 1, 2019.

These documents are sufficient if the applicant has citizenship of the Russian Federation.

If a foreigner wants to engage in entrepreneurial activity on the territory of the Russian Federation, then he will be required to provide some additional papers:

1. Application on Form P21001.
2. A copy of the foreigner's identity card.
3. A copy of a document that confirms the fact that a foreign citizen is in the Russian Federation legally.
4. A copy of the birth certificate. If this cannot be provided, a copy of any other official document indicating where and when the person was born will be required.
5. You must also provide a copy of a document confirming that the foreigner has a legal place of residence in Russia.
6. You may need a receipt for payment of the fee, the amount of which is 800 rubles.

It is worth considering that minor applicants cannot submit documents independently. With the exception of persons who are legally married and have provided evidence of legal capacity. All other cases require that each copy of the document be notarized with the consent of the minor's parents.

Rules for filling out an application

The previous topic discussed the importance of filling out the application correctly. In order for your application to be accepted, you must provide the following information:

1. Full name, date of birth and gender of the applicant.
2. If available, then TIN (taxpayer identification number).
3. Place of official registration, code of the subject of the Russian Federation and postal code.
4. Citizenship.
5. Place of Birth.
6. Data about the citizen's passport: number, series, when and by whom it was issued.
7. Telephone numbers where the applicant can be contacted if necessary.
8. OKVED codes.

Depending on the subject of the Russian Federation in which the individual entrepreneur is opened, the application pages may need to be sewn together. You need to check with the tax service whether there is such a need. Now let's take a closer look at which aspects should be given special attention during the filling process.

There is a uniform standard for filling out papers by hand. This must be done in capital block letters. The only correct paste color is black. If even one of these conditions is not met, the government agency will not accept the application.

There is a more convenient method of submitting an application. You need to use an online service that will help you collect the necessary package of documents and register as an individual entrepreneur. The benefit is that the possibility of error is excluded, because the creators of the service guarantee high quality. But there is one drawback to filling out the application online: you will have to pay for the services provided, while working on the application yourself is free.

You can also register online through the tax website https://service.nalog.ru/gosreg/#ip. However, this will require an account with State Services or a taxpayer’s personal account, as well as a certificate and software for working with electronic signatures.

The program for preparing documents for state registration is located at the following link https://www.nalog.ru/rn77/program/5961277/.

Registration and opening costs

The first thing anyone who wants to become an individual entrepreneur should think about is the associated costs. Their assessment needs to be approached responsibly, to ensure that already halfway through it does not suddenly turn out that it is not possible to make the obligatory payment.

To become an individual entrepreneur, a person must be prepared to spend money on the following services:

1. Government duty. Its amount is 800 rubles if the applicant submits a package of documents directly to the relevant authorities. But this expense item does not apply to those who provide documents electronically. In this case, no state duty is charged. The relevant law comes into force on January 1, 2019.
2. A mandatory attribute of an entrepreneur, indispensable in running a business, is printing. To make it, you need to pay an amount ranging from 400 to 800 rubles. The law does not oblige an individual entrepreneur to have a seal, but without it many transactions are simply impossible, so it is better to do it anyway.
3. Notarial services. You will have to pay for them if certification of documents is required. For example, if they are submitted by a representative, the signature must be certified. Payment can vary greatly from 1000 to 10 thousand rubles. It depends on how expensive and in demand the specialist is and what services are required.
4. You will also need to pay for the services of other organizations participating in the opening of an individual entrepreneur. They will cost an average of 2 – 3 thousand rubles.
5. The bank in which a current account for business activities will be opened will charge a certain fee for its services. Usually it is 200 - 500 rubles, but a number of banks also have free offers for individual entrepreneurs. Opening a current account is not a mandatory requirement for registration, but you will certainly need it in business, so it is better to open it right away.

A clear advantage is that the future entrepreneur is free to choose whether to seek additional help from specialists or go through the procedures on his own, where possible.

Who can be refused and why?

If the applicant spent his time and money collecting and certifying all documents, this does not mean that he can de facto consider himself an entrepreneur. There are frequent cases of refusal to open an individual entrepreneur. This state of affairs is always very disappointing. But if you look at the possible reasons for failure, you can reduce the likelihood of failure to a minimum:

1. The application is missing important information. Or vice versa, everything is indicated, but with errors.
2. Do not forget about the list of activities prohibited for individual entrepreneurs. If you ignore this issue, your efforts will be wasted.
3. Incorrect document submission address. The package of documents is accepted only at the place of registration.
4. The applicant already has an unclosed individual entrepreneur.
5. If 12 months have not passed since the forced closure of the previous individual entrepreneur.
6. A court ruling prohibiting the applicant from being an entrepreneur for a specified period that has not yet passed.

Remember that the procedure for approving the opening of an individual entrepreneur is clearly regulated. And refusal for biased reasons cannot be considered legal.

What has changed compared to 2018

One of the key changes for the coming year is the introduction of online cash registers. From January 1, 2019, those entrepreneurs who use online cash registers are exempt from declaring under the simplified tax system. The completion of the transition to online cash registers should occur on July 1, 2019. Also in the new year, a new requisite “product code” will appear for online cash register receipts.

From January 1, it is planned to increase VAT from the current 18% to 20%. And the mandatory state duty will be canceled for individual entrepreneurs registering through the online service. Also, from October 1, 2018, the fee for re-submitting documents for registration after refusal was canceled. But there is a limitation here - you can submit documents again only within 3 months, and only once; you will have to pay for further attempts. They decided to extend the supervisory holidays for an additional 2 years - until 2020. And the deflator coefficient for the UTII tax will increase again, this time from 1.868 to 1.915.

In contact with

Registration of individual entrepreneurs is recognized as one of the most convenient legal forms of doing business. It should be noted that an individual entrepreneur is an individual who registers his activities with the local tax authority.

How to open an individual entrepreneur yourself in 2016 step by step instructions

The first step will be to pay the state duty, which currently amounts to 1,300 rubles. You can transfer this amount at the nearest Sberbank branch. After this, you must save the receipt.

The second step is to determine what you are going to do as a businessman. According to the law of the Russian Federation, there is a special classifier of permitted activities, which is displayed through OKVED codes. In some cases, economic activity will require a state license.

The third step is choosing a tax regime. The default is General mode. However, every citizen has the right to submit an application regarding the transition to a different tax system. Today's entrepreneurs can choose between a single tax on temporary income, Unified Agricultural Tax, simplified and patent taxation systems.

The fourth step is to prepare a mandatory package of documents, which includes:

• passport (copy),
• statement,
• bank receipt of state duty.

When submitting documents, you need to ask for a receipt stating that you have provided everything necessary to complete the procedure. This paper indicates the date and time of return of your papers.

Almost unchanged compared to 2016. You can register a business either independently or by contacting lawyers competent in this matter.

It should be said that in comparison with, registration of an individual entrepreneur is a fairly simple procedure that anyone can cope with. To register with the tax office you will need:

• , the form of which can be obtained from the tax office. If this application is submitted in person, then it is not required to be firmware; if by mail or through a representative, then firmware is required.
• Passport of a citizen of the Russian Federation and TIN certificate.
• Receipt confirming payment of the state duty.
• If the application is submitted by a representative, then it is necessary to make a notarized power of attorney for him, and also provide him with a notarized copy of all pages of the passport, which is also bound.
• When sending documents by mail, a copy of your passport, also certified by a notary, must be attached to the notarized application.

Opening costs

State duty

The fee for registering an individual entrepreneur with the tax service is 800 rubles and does not depend on the location of the tax authority or entrepreneur. A receipt for payment can be obtained from the service department or downloaded from the official website of the Federal Tax Service.

Sending a package of documents by mail or through a representative

So what expenses are needed here:

• Certified copy of passport – 200 rubles.
• Power of attorney for a representative – 1000 rubles.
• Shipping by registered mail by Russian Post - about 100 rubles.

Seal

IP can work, but many prefer to make it. The cost of production ranges from 500 to 2000 rubles (depending on the complexity of the design and equipment). Let's take the average price - 1000 rubles.

Opening an account

As a rule, large banks charge a fee for . For example, in Sberbank such a commission will be 2,400 rubles, and if you connect an online bank, you will have to pay another 1,700. There is also a fee for certification of documents and for monthly maintenance. On average, opening an account will cost at 3,000 rubles.

All detailed information about business registration is presented in the following video:

Total amount

So, when opening an individual entrepreneur on your own with a personal appearance at the Federal Tax Service, you need to count on the following expenses:

• The state duty is 800 rubles.
• Printing - 1000 rubles.
• Opening a bank account - 3000 rubles.

Total: 4,800 rubles.

When sending documents by mail the following costs are added:

• Postal services - 100 rubles.
• Certification of an application and a copy of a passport - 500 rubles.

Total: 5,400 rubles.

When registering through a representative, a power of attorney is added to this amount - 1,000 rubles.

Total: 6,400 rubles.

Opening through intermediaries

When registering an individual entrepreneur through intermediaries, the amount of 6,400 should be add another 1,500-3,000 rubles. The price of services depends on the company you contact.

You may want to keep in mind that there are online services for registering individual entrepreneurs. When submitting an application in this way, after some time it will be necessary to appear at the tax office to present the original documents. You will receive a letter from the tax office indicating your time of attendance.

Innovations for 2019

On January 1, 2019, amendments to the Tax Code of the Russian Federation came into force, in particular to paragraph 3 of Article 333.35 “Benefits for certain categories of individuals and organizations.” Now there is no need to pay a state fee for performing legally significant actions in cases where documents are sent to the registration authority in electronic format.

This applies to the following:

• for state registration of a legal entity;
• for state registration of changes made to the constituent documents of a legal entity, as well as for state registration of liquidation of a legal entity;
• for state registration of an individual as an individual entrepreneur;
• for state registration of termination by an individual of activities as an individual entrepreneur.

In this article you will learn how to open an individual entrepreneur. The step-by-step instructions below will help you do this yourself, quickly and without errors. Which OKVED code should I choose to open an individual entrepreneur? Which tax regime is best for you? Will tax holidays apply? How much does it cost to register an individual entrepreneur? You will find answers to these and other questions below.

Step-by-step instructions on how to open an individual entrepreneur

Let’s say right away that there were no global changes in the procedure for registering individual entrepreneurs in 2016 - 2019. Therefore, all the recommendations and steps that we gave are relevant for this year. In this article we will remind them and talk about the features of opening an individual entrepreneur in 2016 - 2019. Step-by-step instructions will include the following steps:

Selecting OKVED

Choosing a tax system

Filling out form P21001

Payment of state duty

Submission of documents for registration of individual entrepreneurs to the tax authority

Receiving documents from the Federal Tax Service and taking subsequent actions

Step 1. Selecting OKVED for opening an individual entrepreneur

OKVED codes (all-Russian classifier of economic activity codes) must be indicated in the application for registration of individual entrepreneurs (form P21001). For example, if you plan to produce furniture, then codes from group 36.1 “Furniture production” are suitable for you. If you are planning to open a cafe, then you need to indicate code 55.30 “Activities of restaurants and cafes.” That is, when registering, you will need to find in OKVED the appropriate code for the type(s) of activity that you are going to engage in. Below are some types of activities and the appropriate codes for them.

Note! There are several OKVED classifiers. There are OKVED 2001, 2007 and 2014. However, in the application for registration c should be indicated according to OKVED2 (2014).

After you select the OKVED code or several codes that suit you, you will need to indicate them in the application on form P21001. The application must contain at least 1 OKVED code; the maximum number is not limited. At the same time, it should be borne in mind that each code must be detailed to at least 4 digits. For example, if you are engaged in the production of furniture, then the application for registration must indicate 36.11 or 36.12, or 36.11, 36.12, etc., but you cannot indicate 36.1. In this case, your registration may be denied because the application does not meet the established requirements.

Step 2. Selecting a tax regime

For individual entrepreneurs, usually the best option is one of the special regimes: simplified tax system, UTII, patent taxation system or unified agricultural tax. The general tax system (OSNO) is quite complex in terms of tax accounting and reporting and is burdensome. For more information about the characteristics of different tax regimes, see our website.

What should you consider when registering an individual entrepreneur when choosing a tax regime? Until 2021, many regions have tax holidays for individual entrepreneurs who are registering for the first time. However, they apply only to individual entrepreneurs using or. The list of activities for which tax holidays have been introduced is also limited. They apply to the scientific, industrial, social spheres of activity, as well as to the sphere of consumer services. The lists of activities for which tax holidays have been introduced, and the conditions for their application, are determined by the regional authorities themselves in their laws. You can find out in which regions such laws have already been adopted and familiarize yourself with them.

Step 3. Filling out form P21001

To register an individual entrepreneur, you need to submit an application to the tax authority. The application is submitted to the tax authority at the place of registration (registration) of the citizen. The application indicates personal data (full name, place of residence, date and place of birth, TIN if available, telephone number), OKVED codes for the types of activities that the citizen plans to engage in. To learn how to correctly fill out form P21001, watch the following video.

Step 4. Payment of state duty

The state fee for registering an individual entrepreneur is 800 rubles. You can pay it at any bank using the tax details or pay it online using a special Russian bank account.

Step 5. Submitting documents to the tax authority

After paying the state duty, you need to come to the tax authority at the place of registration and submit an application on form P21001. You need to have a passport with a copy, a TIN certificate (if available), and a receipt for payment of the state duty.

The tax office will give you a receipt for receipt of documents, which will indicate when you can come for a certificate of registration of individual entrepreneurs. Registration is carried out within no more than 3 working days from the date of submission of documents.

In order to submit documents for registration, it is not necessary to come to the tax authority yourself. You can send documents by mail (for this, the signature on the registration application must be certified by a notary) or use the capabilities of the special service of the Federal Tax Service and.

Documents for registration of an individual entrepreneur can also be submitted through a representative by issuing a power of attorney in his name.

Note! Along with the application for registration of an individual entrepreneur, you can submit and or.

Step 6. Receiving documents and performing other actions

If you did everything correctly, then in a few days you will receive a certificate of registration as an individual entrepreneur. After this, you may need to take a number of additional steps.

Submit if you have selected an activity that requires mandatory notification prior to the start of the activity.

If you plan to engage in a licensed activity.

(not necessary).

Receive (optional).

(if necessary).

Register as an employer in and (if you have employees).

As you can see, opening an individual entrepreneur (step-by-step instructions are given above) requires the proper degree of care. So if you have any questions, you can ask them below. We will definitely answer them.