The Verkhovna Rada of Ukraine adopted the Law of Ukraine “On Amendments to the Tax Code of Ukraine regarding the taxation of non-profit organizations” of 17.07.15, № 652-VIII (comes into force from the day following the day of its publication). The Tax Code of Ukraine has been again amended by this Law. This time it’s related to non-profit organizations. In particular, qualifying standards for non-profit organization are specified.
Company is allowed not to pay the income tax if it meets the following requirements:
- formed and registered in accordance with the procedure established by the law;
- its constituent documents prohibit the distribution of received incomes (revenues) or their parts among founders (participants), members of such organization, employees (except payment for their labor, assessment of the unified social tax), members of management and other related entities;
- its constituent documents provide for the transfer of assets to one or more non-profit organizations of relevant kind or crediting on budget revenue in case of termination of a legal entity (as a result of its liquidation, merger, division, accession or reorganization);
- a company registered in the Register of non-profit institutions and organizations by controlling authority.
The parliamentarians also extended the list of organizations that could be registered as non-profit (subject to mentioned above conditions). These are:
- unions, associations and other legal entities;
- trade unions, their associations and organizations of trade unions as well as organizations of employers and their unions;
- agricultural servicing cooperatives, cooperative associations of agricultural servicing cooperatives;
- other legal entities.
The Verkhovna Rada of Ukraine adopted the Law of Ukraine “On Amendments to the Tax Code of Ukraine on decreasing tax pressure on taxpayers” of 17.07.15, № 655-VIII (comes into force on the first day of the month following the month of its publication (except para. 2 of ch. II, which enters into force from the day following the day of publication), which provided that the starting date of penalty assessment was postponed by 90 days.
According to the regular amendments to the Tax Code of Ukraine (hereinafter - TCU) by an independent accrual of the amount of a monetary obligation by a payer (which is not repaid in time), the penalty would be charged only after 90 days following the last day of the deadline.
Currently, the penalty is charged from the first working day following the last day of the deadline for payment of the liability to the taxpayers, who do not repay obligations in due time.
Those taxpayers, who in case of independent errors correction (Art.50 of the TCU) would make amendments to the tax returns within 90 days following the last day of the deadline for payment of the liability, will get an exemption from the penalty. Current version of TCU does not provide this.
New policy on tax consulting is introduced by the same law.
Thus, only the SFS of Ukraine and controllers of regional level (including Crimea), Kyiv and Sevastopol, regional territorial bodies of SFS are entitled to provide written consulting (or in electronic form) to the taxpayers. The fiscal authorities of lower level are allowed only oral communication with taxpayers.
Taxmen are obliged in written (electronic) consulting to provide a description of the issues raised by the taxpayer, to substantiate application of norms of the law and provide conclusion on the practical application of certain provisions of tax legislation.
All consultations of the state financial control of regional level and the central office of SFS must be made public on their official web sites within 10 days.
Only the Ministry of Finance should provide the roundup tax consulting. The state financial control is deprived of such right.
The Law amended the TCU concerning recognition criterion of debts as bad.
Thus, two characteristics were adjusted among nine (paras. 14.1.11 of the TCU), the debt should correspond to one of them to be considered as bad, and also the tenth was added, namely:
- the debt should be overdue more than 180 days, and the total amount of creditor’s claims for it should not exceed minimum size of direct creditor’s claims established by the law to commence an insolvency proceeding. For individuals – the debt, which does not exceed 50% of a minimum wage (per year), established on 1 January of the reporting fiscal year (in case of absence of a legislatively approved bankruptcy proceedings of individuals). Relevant amendments were made to item “ґ” of paras.14.1.11 of the TCU. In comparison with current version the term “overdue debt” was added and the requirements for the recognition of such debt as bad disappeared, if measures provided by the law used by the creditor did not lead to its recovery;
- overdue debt of individual or legal entity should be considered as bad if it is not repaid due to insufficient property of such person, provided that enforce recovery actions of the debtor’s property did not lead to full repayment. Item “є” of paras.14.1.11 of the TCU sounds this way.
- the debts of business entities should be considered as bad, which were recognized as bankrupt or liquidated legal entities. This criterion would be entered in item “з” of paras.14.1.11 of the TCU.
The Verkhovna Rada of Ukraine introduced automatically fixation of violations of drivers on the way by the Law of Ukraine “On amendments to some legislative acts of Ukraine on improvement of regulation of relations in the field of road traffic safety” of 14.07.15, № 596-VIII (partially entered into force on 08.08.15).
Now the administrative liability for violations in the sphere of Road Traffic Safety by legal entities and individuals, on which the vehicle is registered, are to be if the violations are automatically fixed. In other words, the violation is fixed via technical means that enable to make photography or video, and that operate according to the legislation on the information protection in telecommunication systems.
In addition, 150 points are calculated for every citizen, who has driver license, every year since the beginning of the year (after receipt of the driver license) until the end of the year. And the amount of penalty points provided for the relevant offenses would be deducted from them for the administrative violation automatically fixed.
