The Cabinet of Ministers of Ukraine by its Resolution “Certain issues of payment for labour of public employees in 2016” of 06.04.16, № 292 increases the salaries of public employees from May. The government defined the conditions of their salaries in accordance with the Law of Ukraine “On public service”, which to be effective 1 May 2016. In particular, there were established the official salary rates, the sizes of additional charge for occupational status, and also there were defined the belonging of public service positions to relevant groups of payment for labour.
The salary size will increase. Thus, the salary of a district specialist will be UAH 1 723, and the salary of a region specialist – from UAH 2 412. The additional charges for occupational status vary from UAH 200 (for the first status) to UAH 1 000 (for the ninth status).
The State Fiscal Service of Ukraine in its letter “On the simplified system of taxation, accounting and reporting” of 08.04.2016, № 8481/10/26-15-12-04-18 reminded: the dividends received by the unified tax payer - legal entity from other taxpayers to be not included in the income of the unified tax payer (hereinafter - unified tax payer) (sub-para.10 of 292.11 of the Tax Code of Ukraine, hereinafter - TCU).
However, the issuer of corporate rights, which makes the decision to pay dividends to its shareholders (owners), accrues and pays the advance payment of income tax to the budget (sub-para. 57.1¹.1 of TCU).
Thus, the legal entity - unified tax payer does not include dividends received from other taxpayers to the income, in addition, the legal entity (the issuer of corporate rights) in the case of a decision to pay dividends to its shareholders (owners) is required, in the manner determined by para.57.1¹ of TCU, to accrue and pay to the budget the advance payment of income tax when the payment of dividends, calculated from the entire amount of such payment.
The State Fiscal Service of Ukraine in its letter “On determination of incomes in the form of funds transferred to the current account of the bank, which to be liquidated” of 25.03.2016, № 6574/6/99-99-19-02-02-15 considered the mentioned complicated issue.
The SFS stated that transactions on receipt of funds for provided services on the current account of the bank under liquidation, which remained in the bank should be reflected according to the accounting rules in the formation of financial result before tax.
The State Fiscal Service of Ukraine in subcategories 101.17 “ZIR” explained how to fill in the requisite “Supplier (seller)”/ “Recipient (buyer)” in tax invoice (hereinafter - TI), if the supplier or the recipient to be a branch (structural unit), which to be delegated the right to issue TI by the main company.
Thus, referring to para.1 of the Procedure of filling a tax invoice, approved by the Ministry of Finance of Ukraine of 31.12.2015, № 1307, controllers emphasize that:
- when the preparation of TI by the branch or other structural subdivision of the taxpayer in column “Supplier (seller)” of TI, firstly it should be indicated the name of the main company registered as a taxpayer, defined by statutory documents, and separated by a comma - the name of this branch (structural subdivision);
- in case of supply of goods/services to the branch (structural subdivision) of the taxpayer when TI preparation in column “Recipient (buyer)” firstly it should be noted the of the main company, registered as a payer of value added tax (hereinafter - VAT), and separated by a comma – the name of this branch (structural subdivision), which on behalf of the main company (buyer) is actually a party to the contract.
The State Fiscal Service of Ukraine reported on its official website about such reference-books updated as of 01.04.2016:
- № 78/1 reference-book of tax benefits, which are losses of budget revenues;
- № 78/2 reference-book of other tax benefits.
There are provided in the reference-books the list of benefits of income tax, taxation of non-profit institutions and organizations, land fee, VAT, state duty, etc., and the period of validity of privileges.
The State Fiscal Service of Ukraine on its official website released the draft order of the Ministry of Finance “On Amendments to certain legislative acts of the Ministry of Finance of Ukraine”.
It provides for to make amendments to:
- the Procedure of filling a tax invoice, approved by the Ministry of Finance of 31.12.2015, № 1307;
- the form of tax return of VAT, approved by the Ministry of Finance of 28.01.2016, № 21;
- the Regulations on registration of VAT payers, approved by the Ministry of Finance of 14.11.2014, № 1130.
Thus, with the adoption of such an order, the Annex to the Registration application of VAT payer - Reasons for registration by the payer of value added tax or the criteria by which the taxpayer meets the requirements of section V of the Code – should not be submitted to the supervisory authority.
Separately there will be determined the compilation of consolidated tax invoices for continuous and rhythmic supplies by the VAT payers, which carry out deliveries (including wholesale), transfer, distribution of electricity and/or thermal energy, the supply of coal and/or products of enrichment of commodity items 2701, 2702, 2703 00 00 00, 2704 00 according to UCC FEA and which determine the date of the tax liability and the tax credit on a cash basis (para. 44 of subsection 2 of sec. XX of TCU).
There will be set out a new version of Annex 2 to the VAT declaration – the certificate of the amount of the negative value of the reporting (tax) period, which is included in the tax credit of the next reporting (tax) period (A2) and Annex 3 - Calculation of the budgetary compensation (A3).
The Ministry of Finance of Ukraine by its Order “On Amendments to the Ministry of Finance of Ukraine of September 28, 2015, № 841” of 10.03.2016, № 350 approved a new form of the report on the use of funds granted for a business trip or on account.
The form was not significantly amended, only calculation of the amount of money spent in excess was clarified. Now, there will be one line to reflect not returned amount of money spent in excess. In particular, the amendments in the form of advanced report caused by the use in 2016 of 18% tax rate on personal income tax (hereinafter - PIT) to the amount spent in excess (not returned) funds.
The National Bank of Ukraine officially informed that today only revenues of the following origin are counted on the foreign exchange current account of an individual:
- interests accrued on rest of the money on own or deposit accounts;
- funds received from another personal account of the individual;
- funds paid in cash by the owner of the account.
Crediting of other revenues within Ukraine (with some exceptions) on the current account in foreign currency has not been implemented before. These revenues should be sold in the interbank currency market of Ukraine and credited to the account in hryvnia equivalent.
The National Bank by its Resolution of 12.04.2016, № 256 (comes into force from the day following the day of its official publication) expanded the opportunities to credit funds in foreign currency from other sources within Ukraine on current individual account. In particular:
- funds received from relatives in non-cash form;
- funds received by a court decision or by the decision of other agencies (officials), which is the subject to enforcement;
- funds received from transactions in securities of foreign issuers that admitted to circulation in Ukraine in the prescribed manner, including the payment income under such securities (dual listing).
The Supreme Court of Ukraine in its Resolution of 16.02.2016, № 2а/2370/2588/2012 supported the position of tax authorities on responsibility of agricultural company - VAT payer, which submitted the clarifying calculation about understatement of tax liability and did not paid a fine of 3%.
In court procedure there was considered a situation when the agricultural company – subject to special tax treatment when submitting the tax returns of VAT in July 2011 – March 2012 made a mistake that led to overstatement of the tax credit of VAT amount to be accrued.
According to special tax treatment, the VAT amount accrued by the agricultural company on value of its set agricultural goods/services, is not the subject to be paid to the budget and fully remains at its disposal to compensate the tax amount paid (accrued) to the supplier on the cost of production factors, at the expense of which the tax credit is formed and if such a tax amount remains - for other industrial purposes.
