Sole Proprietorships

FOPs, from FOP – individual entrepreneur (sole proprietor). A natural person who works independently, at their own risk, in order to make a profit. An individual entrepreneur has the right to choose the simplified taxation system under one of four groups.

Large enterprises often conclude contracts with sole proprietors to reduce the amount of taxes paid. Retail chains can register cashiers this way. Or for one-off operations, a currency deal, after which the sole proprietorship is liquidated.

On September 18, 2019, the Verkhovna Rada adopted in the second reading and as a whole draft laws 1053-1 and 1073 on the introduction of mandatory cash registers for sole proprietors and reducing pressure on business.