What is SBCR, and who needs it

In 2020, the Ukrainian government amended legislation on using settlement transaction recorders in trade, catering, and services. Thanks to these changes, entrepreneurs gained the opportunity to use software-based cash registers. Starting January 1, 2022, all single taxpayers of the second-fourth groups who carry out settlement transactions must implement this solution on a mandatory basis.

With the onset of the full-scale russian invasion, businesses were exempted from the responsibility of trading without transaction or cash registers. However, from October 1, 2023, fines for payment transactions without fiscalization in the State Tax Service were reintroduced.

The software-based cash register (SBCR) is an automated system for accounting and reporting introduced by the State Tax Service on August 1, 2020. It allows entrepreneurs to register payment transactions electronically and is an alternative to traditional cash registers (CR).

The Ukrainian government has approved the SBCR as a mandatory settlement process regulation. Thus, enterprises that carry out cash and/or non-cash settlement transactions (using electronic payment methods) use online cash registers.

Hardware CR immediately fiscalizes and prints receipts, storing them in memory. The software-based works on generating electronic receipts, which is its main difference.

How does the software-based CR works:

1. A client makes a purchase, and a settlement transaction occurs.
2. The system automatically sends the receipt to the tax service server.
3. The State Tax Service assigns a fiscal number to the receipt and sends it back.
4. The fiscalized receipt can be sent to the client electronically or printed.

One of the key advantages of using SBCR is its ability to simplify accounting and reporting. Integrating SBCR automates the report generation process, simplifying tax reporting, which is particularly useful for businesses looking to optimize internal processes and costs.

Other advantages of SBCR over traditional cash registers include the following:

• Convenience and ease of use. SBCR can be installed on any mobile device — smartphone, tablet, laptop — and fiscalization can be done anywhere with an internet connection.
• Automated reporting. The software-based CRs automatically transmit Z- and X-reports to the tax office server.
• Savings on equipment maintenance. By abandoning complex cash registers, entrepreneurs can effectively use resources to develop their businesses.
• Registration speed. SBCR can be registered with the State Tax Service online, which takes only a few minutes.
• Easy setup. Clear instructions from the developers of modern SBCRs allow you to implement the system quickly without assistance.
• Remote work is possible. Connecting to the SBCR allows you to perform settlement transactions anywhere there is an Internet connection.

Registration of a software-based CR is mandatory for all entrepreneurs who make payments. Since the entire process occurs online, fulfilling all the necessary conditions will be easy.

Firstly, you must open an Individual Entrepreneur, or a company where a software-based CR will be used is necessary. Before starting the registration of an online cash register, the owner must submit a notification of taxable objects in Form “20-ОПП”. The document must be submitted in paper or electronic form within 10 working days after the registration, creation or opening of the object of taxation or change of information about the taxable object. After that, you can proceed to the registration of the online cash register.

Step 1. Preparation of Electronic Signature

An electronic digital signature is the official equivalent of a traditional signature, allowing documents to be signed electronically. To obtain it, you must contact any qualified provider of electronic trust services, such as the State Tax Service, “Diia”, etc. The register of relevant authorities can be found on the official website of the Central Certification Authority.

Step 2. Software installation

It is necessary to install the software of the selected SBCR on a device connected to the Internet that will serve as an online cash register.

Step 3. Software registration

It is necessary to draw up an Application for registration of software RPO in Form “№1-ПРРО” and submit it online to the fiscal server through the Electronic Cabinet or the Unified Window for Submitting Electronic Reports.

Step 4. Application processing

The fiscal server automatically processes the application, after which the entrepreneur receives confirmation or denial. Upon successful registration, the business gets a unique fiscal number for the SBCR.

Step 5. Registration of electronic signature certificates

Finally, it is necessary to register certificates of electronic signature and/or seals that will be used for the SBCR. This can be done through the appropriate form in the Electronic Cabinet, a Unified Window for Submitting Electronic Reports or electronic reporting submission programs.

After correctly completing all registration stages, the entrepreneur can use his SBCR, which has no service life limitations.

According to the legislation, the CR is mandatory for individuals in the second, third, and fourth groups of taxation regardless of the type of activity and income volume, individual entrepreneurs under the general taxation system, and all legal entities.

Entrepreneurs can use the software-based cash register for the following types of activities:

• Retail trade of goods, except alcohol and tobacco products.
• Providing services to the population.
• Retail trade of alcohol and tobacco products, if sales volume does not exceed 1 million hryvnia per month.

One of the critical features of the SBCR is the ability to open a shift before starting work. It can last no more than 24 hours and has a significant limitation — the cashier must work independently with the online cash register. If staff need to be replaced, the current shift must be closed, and a new one must be opened for another cashier.

After making a purchase, the cashier must create a receipt and send it to the tax office. It is important to note that the receipt has already been fiscalized; the assigned fiscal number can determine this. After the end of the shift, you must send the daily Z-report to the tax office. This is incredibly convenient with software-based CR since the online cash register sends it automatically. The entrepreneur only needs to close the shift.

In addition, the developers of the software-based CR have considered situations where an employee may forget about closing a shift. For such cases, a function of automatic shift closure at a particular time is introduced. This makes the time management process more convenient and efficient for businesses.

The State Tax Service offers its own software for all popular operating systems. However, many solutions from Ukrainian developers have advanced functionality. For example, a cashier can receive payment via NFC or scan an item's barcode using a smartphone.

Not all software-based cash registers have smartphone versions. In such cases, you can use the cash register directly on the site from your phone since many developers use adaptive design, ensuring comfortable use of the site on smartphones.

Thanks to the software-based CR for smartphones, businesses get the following benefits:

• Ease of use. SBCR can be used anywhere with Internet access. This solution provides maximum flexibility in conducting settlement transactions.
• Mobility. Using SBCR on a smartphone allows entrepreneurs to work on any mobile device and freely choose a workplace.
• Saving. Mobile versions of SBCR usually cost less than traditional cash registers, contributing to the rational use of finances.

The software-based cash register has become a simpler and more profitable alternative compared to the classic hardware CR. Entrepreneurs do not need to prepare daily paper reports — the system automatically generates Z- and X-reports and sends them to the tax servers.

All the necessary functions for businesses, which will save the entrepreneur from unnecessary paperwork, are provided by the SBCR service from Tranzzo. We offer fast and free connections, allowing businesses to quickly fiscalize transactions with the tax authority.