Transfer pricing

  • The value criteria to determine the transaction under control have been increased:
    • the annual income of taxpayer from any kind of activity determined in accordance with the accounting standards for the relevant tax (reporting) year is UAH 150 million (formerly 50 mln UAH);
    • the volume of business transactions of taxpayer with one partner determined in accordance with the accounting standards for the relevant tax (reporting) year is UAH 10 million (formerly 5 mln UAH);
  • The report should be submitted by 1 October following the reporting year.
  • There are high penalties for failing to submit the report on transactions under control and documentation on transfer pricing.

Income tax

  • The procedure of fixed assets depreciation and intangible assets has been brought in line with accounting standards;
  • Financial result before taxation can be adjusted to take into account the expenses of repair, reconstruction, modernization or other improvements expenses of non-productive fixed assets and intangible assets;
  • Decrease of financial result before taxation amounting to the initial value of the property of non-productive fixed assets or intangible assets in the event of a sale of such an object.

Value Added Tax

  • Improvement of VAT electronic management system;
  • Publication of the unified public Register of Applications for VAT Budgetary Refund;
  • Introduction of obligatory detail – the commodity code subject to Ukrainian Classification of Commodities for Foreign Economic Activity on tax invoice in accordance with State classification of products and services;
  • The criteria of risk assessment shall be developed on the basis of which the registration of tax invoice/adjustment calculation in the Unified Register of Tax Invoices may be suspended.

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