Anyone who plans to start a business in the form of an individual entrepreneur or organization must correctly determine the type of activity according to the state classifier in order to avoid problems during inspections and at the same time not "overpay" taxes. Let us refer to the All-Russian Classifier of Types of Economic Activity - OKVED.
Instructions
Step 1
According to OKVED, economic activity is the pooling of resources (production, human, etc.) into a process for the production of work, products or services. OKVED contains a list of economic activities classified in a hierarchical way.
Step 2
The economic activity code consists of numbers. It can be two to six digits long. The first two digits indicate the class to which this or that type of economic activity belongs, the third digit is the subclass, the fourth is the group, the fifth is the subgroup, and the sixth is the type itself. A period is placed between the second and third digit, as well as between the fourth and fifth. Classes of activities are grouped into subsections, and subsections, respectively, into sections, which are designated by Latin capital letters.
Step 3
OKVED includes a mandatory Appendix A, which contains descriptions of all types of economic activity. How do you define your type of activity? Let's give an example. Let's say you open a coffee shop. Appendix A contains section H and subsection HA - Hotels and restaurants. This subclause contains Class 55, which includes, but is not limited to, the provision of prepared food and beverage products for local consumption. Subclass 55.3 is called "Restaurant activities" and contains group 55.30 - "Restaurant and café activities". It includes "production, sale and organization of consumption of culinary products, sale of products on the spot." Hence your activity code is 55.30.
Step 4
OKVED codes can be obtained from the tax office after registering your business in the form of an information letter. It is necessary to register your type of activity with the statistics authorities of your city. It is allowed to have several OKVED codes, one of them must be the main one.
