CHECKING STANDARDS: WHAT DO YOU NEED TO KNOW ABOUT THE CONSEQUENCES OF THE ABSENCE OF DOCUMENTS?

The employer, tax authorities, local authorities (Article 260 of the Labor Code, clause 12 of Procedure No. 295) may inspect an entrepreneur regarding compliance with labor legislation and demand labor contracts and other “labor” documents.

  At the same time, not so long ago, the court declared Invalid Procedure No. 295 (Resolution of the Sixth Administrative Court of Appeal dated May 14, 2019, Case No. 826/8917/17), and thus questioned:

– the legality of the actions of the “Trudoviks” based on Order No. 295;

– the legality of the “arrival” of inspectors from local authorities.

  So, it is said exactly in Order No. 295 that:

– in the absence of documents, the maintenance of which is stipulated by the labor legislation, an act is drawn up on the impossibility of carrying out an inspection visit or out-of-site inspection with an indication of the relevant reasons (paragraph 16);

– in the absence of documents, the maintenance of which is stipulated by the labor legislation, a copy of such an act and a written request indicating the period of restoration of documents shall be sent to the object of visit. At the time of the fulfillment of such a requirement, the period for carrying out an inspection visit or an exit-site inspection is suspended (clause 18).

  Despite the “tarnished reputation” of Order No. 295, this prescription will have to be fulfilled on time, because otherwise:

– the road to an administrative fine for failure to comply with the requirements of the “Trudovik” under Art. 188CoAP (from 850 to 1700 UAH.);

– failure to submit documents may be regarded by inspectors as a non-admission to inspection, for which a fine is threatened: either in the amount of 3 minimum wages (if checked on labor law issues), or in the amount of 100 minimum wages, (if indicated in the direction of the inspection, that its subject is to check the actual admission of workers to work without an employment contract).

  So beware and do not break the law. If for some reason you can’t keep records of documents and bookkeeping yourself, you do not have a full-time accountant, then our company is ready to offer you the services of a remote accountant in Kiev.

 You can choose different types of accounting services, both fully integrated accounting support, and individual services.

 Author: Kristina Vorozhbitova

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