KPO book
The KPO book, or Book of turnover of flat-rate taxpayers, is a turnover record that every flat-rate entrepreneur keeps.
Simply put — in the KPO book you record turnover you earn from doing business.
KPO lets you track how much turnover you have earned, which is especially important for monitoring flat-rate tax limits.
How is the KPO book kept?
You can keep the KPO book in paper or electronic form. If you keep it electronically, you do not need to print it and fill it in manually.
What is recorded in KPO?
KPO records turnover from selling goods and providing services.
This includes turnover for which you issued an invoice, but also turnover for which you issued a fiscal receipt.
What is not recorded in KPO?
In the KPO book you do not record documents that do not represent turnover on their own. For example, the following are not recorded in KPO:
- Proforma invoices
- Advance invoices
- Transfers of own funds
- Loans
- Other inflows that do not represent income from business activity
When turnover occurs after a proforma or advance and you issue a final invoice, the corresponding turnover is then recorded in KPO.
What if the invoice is in foreign currency?
If you issued an invoice in foreign currency, you record it in the KPO book in dinars.
The amount is converted to dinars at the National Bank of Serbia middle exchange rate on the day of turnover.
For example, if the invoice was issued for 1,000 EUR, you do not record 1,000 EUR in KPO, but the corresponding dinar equivalent.
Why is the KPO book important?
The KPO book is not just a formal obligation. It lets you see at any time how much turnover you have earned and how close you are to the prescribed limits.
