The Cabinet of Ministers of Ukraine adopted a Resolution “On Approval of Procedure for the functioning of electronic procurement system and conducting of authorization of electronic trading platform” of 24.02.2016 № 166, which approved a corresponding document.
The Procedure determines:
- requirements for the functioning of electronic procurement system, including requirements for the operator of electronic trading platform;
- conditions for connecting/disconnecting of the electronic trading platforms to/of “PROZORRO” procurement system and conditions of their authorization;
- procedure of access providing and amount of payment for access to the electronic auction module and database of the web portal of the Ministry of Economic Development;
- requirements for methods of identification used in electronic document exchange system.
Registration in the electronic procurement system should be carried out by one of the ways of identification/authorization with the help of:
- the use of digital signature according to the Law of Ukraine “On electronic digital signature” (high level of confidence (in case of using of intensive Public Key Certificate) or medium level of confidence (in case of using of public key certificate);
- the use of identification services, which are to be provided by the banking institutions according to the legislation (the average level of confidence);
- the identification through receiving of bank’s payment by authorized electronic trading platform from the user. The operator of an authorized electronic trading platform provides an account for payment to the user. After the verification, the operator of authorized electronic trading platform can either return the payment to the user or enter it in the form payment for registration under the terms of the agreement between the user and the operator of an authorized electronic trading platform (the average level of confidence);
- the identification through mobile communication operator under the legislation (medium or low level of confidence);
- the identification through signing of the agreement between the user and the operator of an authorized electronic trading platform (the average level of confidence).
The user is responsible for the content of the information published in the electronic procurement system. Authorized electronic trading platform has the right to exercise control over information posted by the user, and to report the user who posted information with inappropriate content as well as the commission about such cases.
The State Fiscal Service of Ukraine in its letter “On the possibility of payment of value added tax when importation of goods into the customs territory of Ukraine from account of the payer in the system of electronic VAT administration” of 25.02.2016 № 4178/6/99-99-19-03-02-15 considered that problematic issue. It is stated in the letter that the transfer (crediting) of money, paid to the electronic account of the payer, towards payment of VAT when the goods importation into the customs territory of Ukraine, is not provided by the tax law.
The State Fiscal Service of Ukraine in its letter “On consideration of the appeal” of 09.03.2016 № 2458/Г/99-99-17-02-03-14 explained some nuances of taxation of transactions of assignment of rights to real estate.
This scheme is often used by developers to minimize taxation of transactions on residential property sale. In particular, the letter states that property rights are recognized any rights related to property other than the property rights, including rights that are a part of the property right (right of ownership, property settlement, use) and other specific rights and right to claim.
Property right, which can be defined as “the right expectation” (which will be a claim for the property in future), is a part of the property as the object of civil rights. At the same time, Art.331 of CCU establishes a general rule, under which the ownership of the newly created real estate arises from the moment of state registration of rights to immovable property after completion of construction and its acceptance into operation.
A person is considered to be the owner of materials, equipment, etc., which were used during the construction (property development) before the completion of construction (property development).
Thus, in view of the fact that according to Art.328 of CCU acquisition of property rights − is a legal structure with which the law associates occurrence of subjective ownership of some facilities in the person, the purchase and sale of property rights – is occurrence of legal conditions necessary for acquiring of the claim transfer of ownership of the facility construction in the future.
At the same time the letter emphasizes: property rights for construction in progress are limited real right, but not the article of movable property.
Thereby tax officers suggested that investing in the construction with the future possibility of obtaining legal claim to the property was not in fact the acquisition of materials and equipment that were used during construction (property development). That is Art. 173 of TCU and 5% “preferential” rate of personal income tax do not apply to such a transaction.
The SFS considers the income, earned by the taxpayer as a result of the assignment of property rights, to other incomes (sub-para. 164.2.10 of TCU). This income is the subject to the personal income tax at a rate of 18% and the war tax - at a rate of 1.5% in 2016.
The State Fiscal Service of Ukraine on its official website posted a draft order of the Ministry of Finance “On Approval of Amendments to form of tax return on the company income tax”. The draft order is prepared in connection with the adoption of the Law of Ukraine “On Amendments to the Tax Code of Ukraine and some legislative acts of Ukraine to ensure the balance of budget revenues in 2016” of 24.12.2015 № 909 by the Verkhovna Rada of Ukraine. The Law made amendments to the TCU, in particular, on:
- removal of regulations on payment of monthly advance payments on company income tax at a rate of 1/12 of accrued tax amount for the previous reporting (tax) year;
- determination of advance payment of income tax in the amount of 2/9 of the income tax, which is subject to the payment before 31 December 2016;
- introduction of quarterly declaration of the income tax;
- prediction of new differences to adjust the financial result before taxation for the period of effect of the law on financial restructuring.
In addition, the adoption of this regulation will ensure the coordination with the Law of tax return of company income tax, approved by the Ministry of Finance of Ukraine of 20.10.2015 № 897.
The Ministry of Social Policy of Ukraine in its letter “Regarding the annual additional leaves for work in hazardous and difficult working conditions or the special nature of work” of 29.01.2016 № 26/13/116-16 reports that according to the para. 2 sec. 1 of Art.9 of the Law of Ukraine “On leave” of 15.11.1996 № 504/96-ВР (hereinafter − Law № 504), the work experience, which gives right to the basic an annual leave, is to be counted when the employee did not actually work, but job (position) preserved for him/her under the laws and salaries in full or in part (including paid time of the forced truancy, caused by unlawful dismissal or transfer to another position).
The letter notes that sec. 2 of Art. 9 of the Law № 504 clearly provides for time that gives the right to leave for work in hazardous and difficult working conditions and for the special nature of work. Due to the absence in relevant norm of warnings on mobilized workers, it could be concluded that the periods, in which workers dismissed because of military conscription when mobilization, are not counted into the work experience that gives right to an annual additional leave for work in hazardous and difficult working conditions or for special nature of work.
