The President of Ukraine signed the Law of Ukraine “On Amendments to Certain Legislative Acts of Ukraine to Authorize Local Governments to Restrict the Sale of Beer (Except Non-Alcoholic), Alcohol, Low-alcohol Beverages, Table Wines” of 22.03.18, No. 2376-VIII. This law authorizes village, town and city councils with powers to impose a ban on the sale of beer (other than non-alcoholic), alcoholic beverages, low-alcohol beverages, table wines at certain times of the day within the respective administrative territory. Of course, such prohibitions do not apply to catering establishments.
The fine is from 510 UAH to 1 700 UAH for violation of the law. However, it is the employee who sold alcoholic beverages at the forbidden time to be brought to administrative liability.
The Cabinet of Ministers of Ukraine by its Resolution “On Amendments to Certain Acts of the Cabinet of Ministers of Ukraine” of 18.04.18, No. 286 amended the rules of consideration of complaints in the field of state registration and the procedure for accreditation of subjects of state registration.
Thus, the persons invited for consideration of the complaint on the merits will be informed about the time and place of its hearing not later than two days before the appointed day.
At the same time, those who are invited for consideration of the complaint on the merits (apart from the complainant) will be provided with copies of the complaint and the documents attached to it.
The period during which a legal entity of public law will not be able to obtain accreditation after the abolition of such one by the Ministry of Justice, has been increased to five months.
The Cabinet of Ministers of Ukraine by its Resolution “On Amendments to the Resolution of the Cabinet of Ministers of Ukraine dated December 27, 2017 No. 1045” of 11.04.18, No. 295 excluded Bulgaria from the list of states transactions with which were recognized to be controlled for the purpose of transfer pricing.
However, if the company carries out transactions with residents of Bulgaria in the period from 01.01.18 until the moment when the Cabinet Resolution on its exclusion from offshore countries comes into force, such transactions will be considered as controlled. Of course, subject to the requirements of para.39.2.1.7 of TCU.
It should be recalled that on March 7, 2018, the Cabinet excluded Georgia, Estonia, Latvia, Malta and Hungary from the list of offshore countries.
The State Fiscal Service of Ukraine in its Individual Tax Advice “On the Application of cash registers in providing special codes, coupons, certificates, bonus codes, etc. and electronic vouchers for mobile communication services to clients remotely through the Internet” of 16.04.18, No. 1667/6/99-99-14-05-01-15/ІПК considered the company’s request for the use of cash registers in the case of distant selling of coupons, bonus codes, certificates, electronic vouchers via Internet. Supplying of such codes and vouchers will be carried out by sending an encrypted file on a specially selected data channel or by a specified e-mail.
Representatives of the fiscal department reported: if the funds for coupons, codes and vouchers are paid by consumers through the Internet or in non-cash form (from the account to the account) - the company does not necessarily apply the cash register.
Direct sale of goods to customers for such codes and coupons must be carried out using the cash register and issue a check indicating the appropriate form of payment.
The State Fiscal Service of Ukraine in its Individual Tax Advice “On Taxation of Investments in the Case of Returning to a Non-Resident” of 16.04.18, No. 1664/6/99-99-15-02-02-15/ІПК reported that the return of share in the authorized capital of Ukrainian company to a non-resident was not considered to be a foreigner’s income. Consequently, there is no tax on repatriation regarding such a transaction.
However, in the case of transfer of income from investments that are returned - such income is taxed in accordance with para.141.4 of the Tax Code of Ukraine (hereinafter - TCU) or in accordance with the rules of international treaties on avoidance of double taxation.
The State Fiscal Service of Ukraine in its Individual Tax Advice “On reducing the financial result before tax on income accrued from participation in the capital of the unified tax payer of the fourth group” of 16.04.18, No. 1617/6/99-99-15-02-02-15/ІПК reports that the dividends, which are accrued by the unified tax payers to the benefit of the income tax payer, do not reduce its financial result before tax. That is, the accrued dividends should be taken into account as a part of income by the income tax payer.
This norm entered into force from 01.01.18 along with other amendments made to TCU. Consequently, from this year, the duty to pay the income tax from such investment accounting incomes was shifted from the shoulders of the unified tax payers to the shoulders of investors- payers of the income tax.
The State Fiscal Service of Ukraine in its Individual Tax Advice “On the adjustment of the financial result before taxation to the amount of the write-off of deficiencies of values beyond the norm, found during the inventory and shortages because of thefts” of 18.04.18, No. 1702/6/99-99-15-02-02-15/ІПК reported: if the company found a shortage due to inventory or in connection with the theft, this situation would affect the tax-profit accounting solely in accordance with the accounting rules.
At the same time, if there was a shortage of fixed assets (hereinafter - FA), representatives of the fiscal department ordered to apply the differences under para.138.1-138.2 of TCU – to increase the financial result on the amount of book value of stolen FA and reduce it on the amount of residual value, calculated in accordance with the norms of Art.138 of TCU.
The Ministry of Finance of Ukraine by its Order “On Amendments to the Order of the Ministry of Finance of Ukraine dated January 28, 2016 No. 21” of 23.03.18, No. 381 amended the VAT declaration form and the procedure for its completion.
In particular, the new edition stated:
- Annex D1 “Adjustments Calculation of Value Added Tax”;
- Annex D5 “Decoding of tax liabilities and tax credit in the context of counterparties”;
- Annex D9 “Calculation of tax liabilities for transactions specified in Article 16-1 of the Law of Ukraine “On State Support to Agriculture of Ukraine”, and the Share Weight of Agricultural Goods”.
Annex D5 is supplemented with the new table 1.2. “Information on the amount of value added tax, indicated in the tax invoices, drawn up from July 1, 2015 and not registered in the Unified Register of Tax Invoices on the date of submission of the tax declaration form on the value added tax (except for tax invoices, which are compiled in the reporting (tax) period for which such a declaration is submitted and which are not registered in the Unified Register of Tax Invoices indicated in Table 1.1 (D5) (Annex 5) are included in the amount of tax liabilities for the previous reporting (tax) periods”. It should be decoded in it the tax liabilities on counterparties under blocked tax invoices. However, this table should be filled in once for the reporting (tax) period, for which the VAT return is first submitted, taking into account the amendments.
An order of the Ministry of Finance shall enter into force on the first day of the month following the month of its official publication. If the publication takes place in April, then VAT payers must report under an updated form, starting with the June declaration. But the controllers may have a different position.
The Ministry of Health of Ukraine in its letter “On the necessity of obtaining a license for the conduct of economic activity of medical practice for carrying out medical examinations of drivers of vehicles” of 24.11.17, No. 17/19/53/1541-17/31223 clarified the following: to examine the health of drivers (i.e. conducting pre-departure and post- departure examinations of drivers) it is necessary to choose one of the following ways:
- to conclude an agreement between carriers and an outpatient clinic with a license, under which the relevant services will be provided by a separate structural unit of the outpatient clinic;
- individual-entrepreneurs conducting medical practice on the basis of a license, open medical offices at the enterprises carrying out transportation;
- enterprises carrying out transportation receive a license and open a medical cabinet without establishing a health care institution that will act in accordance with the provisions of such a cabinet.
The National Bank of Ukraine in its letter “On the clarification of whether the business entities should reflect in the cash book the funds of the provided financial assistance, increase of the authorized capital, etc., made by one of the founders or an official of the entity on the settlement account of the enterprise through the cash desk of the bank” of 07.02.18, No. 50-0007/7855 clarified that the cash limit of UAH 50 000 applied to cash payments between the individual and the company, including for financial assistance, increase of the authorized capital.
Consequently, if the amount of financial aid or contribution to replenish the authorized capital exceeds UAH 50 000, then individuals (for example, one of the founders or the director or chief accountant of the company) can use for calculating the services of banks by making cash and transferring them further to the accounts of the recipients (in this case, on the current accounts of the entity). Such funds should not be reflected in the cash book of the company, since they were received on a current account in a non-cash order.
It should be reminded that individuals have the right to make cash settlements within one day with one or more payment documents with business entities in the amount of up to 50 000 hryvnias (paras.6 and 7 of the II Regulation on cash transactions in national currency in Ukraine, approved by the decision of the NBU Board dated December 29, 17, No. 148).
