The Cabinet of Ministers of Ukraine approved a deficit-free budget of the Pension Fund of Ukraine for 2016 with revenues and expenditures in the amount of UAH 257 207.6 million.
The budget, in particular, takes into account a planned increase of minimum pensions from 1 May and from 1 December. It should be reminded: from 01.05.2016 minimum pension will be UAH 1 130, and from 01.12.2016 - UAH 1 208.
The budget of the Pension Fund of Ukraine for 2016 takes into account the volume of appropriations from the State Budget of Ukraine to finance pension programs in total amount of UAH 144 888.6 million according to the Law of Ukraine “On the State Budget of Ukraine for 2016”. These appropriations, in particular, should compensate to the Pension fund expenses associated with a reduction of a rate of the unified social contribution in 2016, and cover the budget deficit of the Pension Fund of Ukraine.
The Cabinet of Ministers of Ukraine by its Resolution “On Amendments to the Procedure of accumulation by agricultural companies of amounts of value added tax on the special accounts opened in banks and/or agencies that carry out treasury services of budget funds” of 24.02.2016, № 156 made amendments to mentioned Procedure.
Thus, agricultural enterprises are given the opportunity to accumulate funds of value added tax (hereinafter - VAT) to use them for production purposes. The mentioned above mechanism will be in effect until 1 January 2017.
It should be reminded that from 01.01.2016 the subjects to special VAT treatments get a part of positive VAT on a special account:
- under agricultural goods/services transactions (except for cereal and industrial crops transactions as well as animal products transactions) - 50%;
- under cereal and industrial crops transactions – 15%;
- under animal products transactions – 80%.
The adoption of the resolution caused by the necessity to bring the mentioned Procedure in accordance with the provisions of the Tax Code of Ukraine (hereinafter - TCU).
The State Fiscal Service of Ukraine in its letter “On the procedure of application of the norms of tax laws of value added tax when carrying out transactions of export of finished products by a newly established company” of 15.02.2016, № 3154/6/99-99-19-03-02-15 considered the issue on procedure concerning the application of the tax laws of VAT on export transactions of finished products by a newly established company.
Tax officers emphasize that starting from the tax reporting period (January 2016) the right of budget refund of a taxpayer does not depend on the term of registration by the VAT payer and volumes of taxable transactions.
In particular, restrictions on the right of taxpayers to receive budgetary compensation if they were registered as payers of this tax in less than 12 calendar months before the month, under results of which an application for budget refund to be submitted, or had the volume of taxable transactions for the last 12 calendar months less than the stated amount of budgetary compensation provided for by para.200.5 of TCU, was cancelled by para.45 of the Law of Ukraine “On Amendments to the Tax Code of Ukraine and some other legislative acts of Ukraine on providing the balance of budget revenues in 2016” of 24.12.2015 № 909-VIII.
The State Fiscal Service of Ukraine in its letter “On taxation of income received by an individual from the truck sale to the legal entity in 2015, and in such a case the necessity to pay the transport tax” of 02.03.2016, № 2267/С/99-99-17-03-03-14 explained that in case of the truck sale by the individual to the legal entity in 2015, such legal entity was obliged to perform functions of the tax agent when calculating (payment) of income under the mentioned transaction. In other words, the personal income tax (hereinafter - PIT) is required to be charged, to be withheld and to be paid (to be transferred) to the budget at the rate of 5% and the war tax at a rate of 1.5%.
As for the transport tax, the tax authorities note that according to para.267.2 of TCU, only cars are the subject to taxation. Thus, trucks are not the subject to the transport tax.
The State Fiscal Service of Ukraine in its letter “On determination of differences under reserves (provisions) for compensation for the following expenses, formed before 01.01.2015” of 18.02.2016, № 3616/6/99-99-19-02-02-15 considered the issue to determine the differences under reserves (provision) for compensation for the following expenses, formed before January 1, 2015.
The controllers mentioned in the letter that according to para.139.1.2 of TCU financial result before taxation should be reduced by the amount of expenses that are compensated at the expense of reserves and provisions to compensate for the following (future) expenses formed in accordance with accounting rules before 01.01.2015 (excluding provision for employees vacations and provision for doubtful accounts), and by the amount of the adjustment (reduction) of reserves and provisions, on which the financial result is increased before taxation in accordance with accounting rules.
The tax authorities explain their position by the fact that now as before 01.01.2015, expenses for formation of provisions to compensate for the following (future) expenses are not included in the costs when determining of the subject to the income tax.
The State Fiscal Service of Ukraine (hereinafter - SFSU) in its letter “On the procedure of application of special VAT regime” of 04.03.2016, № 7892/7/99-99-19-03-02-17 provided the clarification on the definition of compliance of agricultural products with certain commodity classification code according to UCC FEA.
The tax authorities point out: if it is necessary to determine the compliance of agricultural products own manufactured with commodity classification code according to UCC FEA for correct reflection of volumes of delivery of such goods in the tax declaration of VAT and its applications the taxpayer - subject of a special tax regime is able to receive the conclusion of Chamber of Commerce and Industry of Ukraine (its regional branches) or Research and Development Establishment of court inspections.
At the same time, if the taxpayer - subject to special tax regime carries out a transaction of export of agricultural products own manufactured outside the territory of Ukraine in the customs regime of exports, so, taking into consideration the norms of Art.69 of the Customs Code of Ukraine, such products are subject to customs clearance and are classified by customs authorities of the SFSU by determining the codes in accordance with the classification groups mentioned in UCC FEA. The decision of the customs authorities of the SFSU on classification of goods for customs purposes is mandatory. Conclusions of other authorities, institutions and organizations on commodity codes according to UCC FEA during customs clearance have exclusively informative and or referential nature.
The National Bank of Ukraine published the Regulation of Board of the National Bank of Ukraine (hereinafter – NBU) “On regulation of situation in the monetary and foreign exchange markets of Ukraine” of 03.03.2016, № 140, which again continued the major currency restrictions increasing daily limits on the sale and withdrawal foreign currency.
The Regulation comes into force on March 5, 2016 and is valid to June 8, 2016.
The NBU increases the amount of cash withdrawal in foreign currency and precious metals from accounts of bank’s customers from 20 to 50 thousand hryvnias per day, in national currency - from 300 to 500 thousand hryvnias per day. Also, the maximum amount of cash foreign currency was increased from 3 to 6 thousand in hryvnias for the purpose of legalization of cash currency market.
At the same time, there were extended such requirements as mandatory sale of revenues in Ukraine in foreign currency in legal entities’ favor in the amount of 75%, payments for transactions with export and import of goods to 90 days, the ban early repayment of credits, loans in foreign currency under contracts with residents etc.
The National Bank of Ukraine in its letter “Clarification on issues of financial monitoring conducting” of 01.03.2016, № 25-0008/18557 reported that subjects to compulsory financial monitoring were foreign exchange transactions, which were carried out by paying cash in a bank in national/foreign currency followed the receipt of cash in foreign/national currency in accordance with para.4 of sec.1 of Art.15 of the Law of Ukraine “On prevention and counteraction to legalization (laundering) of proceeds from crime, terrorism financing and financing of spread of weapons of mass destruction” of 14.10.2014, № 1702-VII.
The Supreme Economic Court of Ukraine (hereinafter - SECU) starts a test version of “InfoCentre” on the official website. This service operates in a mode of a dialogue with the staff of the SECU. This staff answers the questions online during working hours: Monday-Thursday: from 9:00 to 18:00, Friday: from 9:00 to 16:45; lunch hour: from 13:00 to 13:45.
It is provided that the following information could be available under a case number:
- the date of receipt of a court case to the court;
- participants in the process (other than individuals);
- the date, time and place of court consideration;
- results of consideration of cassational appeal.
Also, it is provided the information on payment details for the transfer of the court fee for cassational appeal and issuing of documents by the Supreme Economic Court of Ukraine, schedule of reception of citizens and on other organizational issues.
The service is not provided for advice on legal issues.
The Kyiv City Council at the plenary session made amendments to Kyivrada decision “On establishment of local taxes and fees in Kyiv city” of June 23, 2011, № 242/5629. The size of the tax of the normative evaluation of the land plot, where residential house is situated, is established at 0.03% rate. Accordingly, the amount of payment for land under the housing facilities was reduced 3.3 times.
In addition, it was proposed to exempt organizations of disabled people from the land tax during consideration of the draft decision. And that proposal also was supported by Kyivrada.
