Ukraine: The Ministry of Finance publishes a route map for the implementation of the BEPS Action Plan
On 16 May 2017, the Ministry of Finance published a route map for the implementation of the BEPS Action Plan and presented it to experts. Minister of Finance Oleksandr Danyliuk said that the government must ensure that profit tax is collected where
See MoreUkraine: SFS clarifies the definition of related parties for the recognition of controlled transactions
On 16 May 2017, the State Fiscal Service of Ukraine published a letter No. 9012/6/99-99-15-02-02-15 concerning the definition of related parties for the recognition of transactions controlled and guided by article 52 of the Tax Code of Ukraine. The
See MoreUkraine: Cabinet of Ministers adopts the changes to advance pricing agreements
The Cabinet of Ministers of Ukraine on March 29, 2017 adopted amendments to the Regulation No. 504 of 17 July 2015 regarding the procedure of issuing advance pricing agreements (APAs). According to the adopted amendments to the Regulation No. 504 of
See MoreUkraine ratifies the DTA with Malta
On 1 May 2017, Mr. Petro Poroshenko, the President of Ukraine signed a law ratifying the Double Taxation Agreement (DTA) with Malta. Under the provisions of the treaty, the withholding tax on dividend income shall not exceed 5% of the gross amount
See MoreUkraine: Parliament ratifies the double tax treaty with Malta
The Parliament of Ukraine on 13 April 2017 ratified the income and capital tax treaty with Malta. The Convention and the protocol to it were signed by the Government of Ukraine and the Government of Malta in September 2013. Under the provisions of
See MoreUkraine updates tax code concerning transfer pricing changes
Transfer pricing legislation in Ukraine has been changed effective from January 1, 2017. The law introduces changes to the Tax Code of Ukraine with respect to transfer pricing rules (TP). The following changes have been introduced on “Amending the
See MoreUkraine: President sign the law to ratify income tax treaty with Luxembourg
The Ukrainian President signed a law to ratify the income tax treaty with Luxembourg on 3 April 2017. The Convention between two states was signed as long ago as on 6 September 1997, but has not been ratified until now. On 30 September 2016, parties
See MoreUkraine: State Fiscal Service clarifies contribution of fixed assets to share capital
Contribution of fixed assets to the share capital of an Ukrainian company is treated as a controlled transaction for transfer pricing purposes. On 9 March 2017, the State Fiscal Service (SFS) clarified this through issuing Guidance Letter No.
See MoreUkraine: State Fiscal Service clarifies usage of information for transfer pricing purposes
The State Fiscal Service (SFS) recently published Guidance Letter No. 517/Г/99-99-12-03-07-14 of 16 January 2017, the State Fiscal Service (SFS) clarified which sources of information should be used for transfer pricing purposes according to the
See MoreUkraine: State Fiscal Service clarifies procedure for transfer pricing adjustments
The State Fiscal Service (SFS) on 4 January 2017 issued Guidance Letter No. 29/6/99-99-15-02-02-15 clarifying the procedure for transfer pricing adjustments by corporate income taxpayers that are required to file quarterly returns. According to tax
See MoreUkraine: Parliament ratifies the free trade agreement with Canada
The Ukrainian parliament passed a law on 14 March 2017 ratifying the free trade agreement between Canada and Ukraine, signed on 11 July 2016 in Kiev. The Canada-Ukraine Free Trade Agreement represents a significant milestone in the relationship
See MoreUkraine: Amendments to tax code effective from 1 January 2017
The amendments to the Tax Code have been effective, with some exceptions, since 1 January 2017. Below is a summary of the most significant changes in corporate profit tax and transfer pricing. Corporate profit tax: The general tax rate remains
See MoreUS: FATCA agreement signed with Ukraine
An intergovernmental agreement between Ukraine and the United States was signed on 7 February 2017 to improve international tax compliance with respect to the US Foreign Account Tax Compliance Act (FATCA). The agreement helps to reduce the
See MoreLuxembourg: Parliament ratified amending protocol to treaty with Ukraine
Luxembourg ratified the Luxembourg–Ukraine amending protocol to income and capital tax treaty (1997) on 23 December 2016. The protocol was signed on 30 September
See MoreUkraine: High court decided to zero VAT rate for goods which are lower than market level
Recently Ukraine Higher Administrative Court decided to zero VAT rate if prices of goods are lower than market level. According to decision, goods exported from Ukraine at prices below the market level should be subject to zero rate VAT pursuant to
See MoreUkraine-Adopted amendments to Tax Code
The parliament of Ukraine adopted a draft law amending the Tax Code on 21 December 2016. According to the adopted law, costs for repairing and maintenance of non-productive fixed assets will no longer be considered as deductible expenses. Previously
See MoreUkraine joins the inclusive framework on BEPS
The Inclusive Framework on BEPS welcomed Macau (China), Mauritius and Ukraine bringing to 90 the total number of countries and jurisdictions participating on an equal footing in the Project. Following the first meeting of the Inclusive Framework on
See MoreUkraine: Ministry of Finance clarified advance payments of corporate income tax on dividends
The Ministry of Finance (MoF) issued Guidance Letter No. 31-11130-09-10/21370 dated on July 25, 2016, explaining the corporate income tax treatment of dividends paid by Ukrainian residents. According to letter, dividends received by the companies
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