21-25 April 2014. The procedure for re-registration of Crimean taxpayers is explained

The Cabinet of Ministers of Ukraine by its Resolution of 01.04.2014 № 109 increased basic standard for profit contribution for the payment in 2014 state dividends on the results of financial and economic activity in 2013. Now it will be 50 % instead of 30% that was previously set.

It should be recalled that annual basic standard concerns public enterprises and business entities in share capital of which are state corporate rights as their obligation to provide part of the net profit for the payment of dividends to state is recognized by par.5 Art. 11 of the Law on Management of State Property Objects.

In case of non-payment up to 01.07.2014 by economic entity in share capital of which are state corporate rights dividends on the results of financial and economic activity in 2013, subjects of state corporate rights management should take steps to terminate the contract with the head of the entity.

The Ministry of Revenue and Duties of Ukraine in its letter of 10.04.2014 № 8414/7/99-99-19-03-01-17 informed that due to changes in the procedure for setting the official rate of UAH to foreign currencies, allowing to change it during a day, for the purpose of determining tax liability (including customs duties) over all days the official rate of UAH, acting on the 0 hours of respective days, should be used.

The Ministry of Revenue and Duties of Ukraine in its letter of 24.03.2014 № 6725/7/99-99-18-02-01-17 explained the procedure for re-registration of Crimean taxpayers.

In Crimea introduced a new mechanism that allows to re-register business on the mainland and pay taxes in accordance with the legislation of Ukraine.

To change location or place or residence legal entities and physical persons – entrepreneurs, registered in the Crimea, should appeal to Ukrainian State Registrar in regions and in Kiev. In turn, tax authorities, receiving information from the USR (the Unified State Registry) on changes take such taxpayers for registration.

Those taxpayers, who carry out the re-registration, but are not included in the USR should submit to the tax authorities of the selected region corresponding application, on the basis of which will be carried out their registration.

All business entities that are already in the transitive state from Crimean tax inspections in regions or Kiev tax inspections, considered as accepted for registration.

Legal entities or self-employed persons who are registered in Crimea and the main places of tax payment  of which are tax inspections in regions or Kiev in such inspections should be registered as insurers - payers of Unified Social Contribution.

In all four cases after registration tax payers should pay taxes, fees, Unified Social Contribution, submit tax returns (reports, calculations) and fulfill other obligations of taxpayers in regions and in Kiev.

The Ministry of Finance of Ukraine by its Order of 15.04.2014 № 401 corrected Methodological Recommendations on verification of comparability of financial reports.

In the focus of attention are the following forms:

form 2 'Statement on financial results (Statement of comprehensive income)' corrected 'arithmetic' of lines 2010 and 2460 in column 3;

form 3-н 'Statement oт Cash Flows (Indirect method)' taken out alignments 77 and 90, as well as the following changes have been made:

form 5 «Notes to the annual financial statements»:

The Ministry of Finance of Ukraine by its Order of 11.04.2014 № 397 amended the budget classification, approved by Order of 14.01.2011 № 11, adding codes for payment:

code 11010800 - income tax of private individuals from income in the form of interests;

code 11010900 - income tax of private individuals from the amount of pension payments or monthly lifetime monetary pay, which are taxed in accordance with subparagraph 164.2.19 of the Tax Code of Ukraine;

code 21083000 - funds from the sale of vehicles, means of land, water and air transport, agricultural machinery and equipment owned by the public authorities and other public bodies created by state authorities of enterprises, institutions and organizations that use funds from the state budget.

The Ministry of Economic Development and Trade of Ukraine in its letter of 16.04.2014 № 3302-05/11961-07 informed on the following.

Terms of the contract on public procurement can not be changed after signing up to fulfillment obligations by parties in full. Exceptions could be in cases of price changes for the unit by more than 10 % with fluctuations in the market, if that changes do not increase the amount determined by the contract.

Client can apply this rate during the term of the contract. If the subject of the contract includes several items of goods, this rule can be applied for every item of goods.

Parties may make such changes in the procurement contract several times, depending on fluctuations in the price of goods at the market.

However, such changes in the procurement contract should be justified and documented.

For medical products and medicines are established supply raise not exceeding 10% of wholesale price and differentiated marginal trade (retail) rises above 25 % of the purchase price. It concerns medicines included in the National list of essential medicines and medical products (except narcotics, psychotropic medicines, precursors and medical gases) and mandatory minimum range of medicines for pharmacies, defined the Ministry of Health.

According to par. 188.1 of the Tax Code of Ukraine, the tax base in supply of goods/services is determined on the basis of the contract value, including state taxes and fees.

The Ministry of Economic Development and Trade of Ukraine in its letter of 07.03.2014 № 4122-03/7252-08 considered the conditions for set-off cross foreign demands.

Over transactions on set-off cross foreign demands in foreign economic activity should be observed the following terms:

- demands of contractors should be cross, ie, contractors should be payable to each other (each party is both debtor and creditor);

- demands should be similar;

- on both demands should come deadline, established by foreign economic contract or by law ( excepting liabilities that do not have time or period or time determined by the moment of reclaim).

Social Insurance Fund on Temporary Disability in its letter of 09.04.2014 № 5.1-31-767 considered the question of granting temporary disability benefits during business interruption without fault of worker.

Regardless of when the disability of worker occurs - before or during business interruption and continues after its termination, payment of temporary disability days due to illness or injury not related to an accident at work, is carried out on a general basis and is available in the manner and amount, prescribed by the Law on Obligatory State Social Insurance due to Temporary Disability.

Consequently, sick leave should be paid for missed work days due to illness. Another payment of temporary disability days during business interruption is not provided by the legislation.

State Land Agency of Ukraine in its letter of 17.04.2014 № 28-28-0.17-4386/2-14 concluded that the land may be subject to civil rights exclusively since its inception. Registration of rights to land use, on which the building is situated, and is in common ownership of several subjects, possible by providing for the use and sign the agreement on lease the land with all owners of the building in which the parties (tenants) might be several persons (multiplicity of parties).

Use of land by each co-owner of the building, in particular, compensation rent for use of the land, should be carry out in proportion to shares of  each co-owners.

Part (share) of land can not be subject of a lease of land, as land plots are the subject of a lease. Consequently, the lease contract on land plot is only possible with indication the information about the object of rent (land) and, accordingly, all tenants.