The President of Ukraine signed the Law “On temporary measures for the duration of the anti-terrorist operation” of 02.09.14, № 1669-VII.
The temporary preferences for business and citizens from the ATO area are established by the Law.
In particular, it is not allowed to charge penalty and/or fines on the loan principal and borrowings to the business entities and citizens from 14.04.14 (starting date of the ATO). If they were charged, they would be canceled.
The moratorium on the penalty charging to the citizens for failure to pay for the housing and public utility services is imposed. And for those who have already paid such amounts, which are accrued from 14.04.14, they would be credited to the future payments for these services.
The State supervisory bodies of the business activities are banned from the inspection of the business entities (except the entities with high risk).
The license validity period and approval documents would be automatically renewed until the end of the ATO for those business entities whose licenses term and permits have expired during the ATO.
The operating companies in the territory of ATO are entitled not to pay the land tax and rent for the use of land plots owned by the state and communal property.
During the period of operation of the law, the mortgage holder could not to purchase and sell the real property to be mortgaged, which is located in the ATO and belongs to the citizens (including entrepreneurs), or to the legal entities - small and medium-sized business entities. It is prohibited to evict such persons.
The social security tax payers located in the ATO area are exempt from this tax starting in 14.04.14. The penal and financial sanctions for failure to perform the obligations of social security tax payers are also not applied (or are canceled) for this period.
The law comes into effect from the day following the day of the promulgation and expires six months after the ATO termination, except p.4 Art.11 “final and transitional period provisions”.
The Cabinet of Ministers of Ukraine by the Resolution “On peculiarities of realization of the rights on the obligatory state social insurance of certain categories of persons” of 10.10.14, № 531 determined that the employees moved from the Crimea and the ATO area or voluntary insured persons are entitled to financial security and social services, if the insured event occurred prior to the time of movement of the insured person.
This aid would be provided to them at actual residence (stay). It is possible to get the financial security and social services if to submit the documents confirming the right of insured persons on their provision. If there are no such documents, the aid would be provided on the basis of information from the State register of the obligatory state social insurance.
If there is no any necessary information in the Register, such persons wouldn’t be leaved to fend for themselves and they would be granted the minimum amount aid. After the receipt of the documents confirming the right of insured persons on its provision, the aid amounts should be transferred.
The State Fiscal Service of Ukraine in sub-category 116.10 ZIR provided the explanation: whereas the delivery of goods, which have the Ukrainian customs status, from mainland Ukraine in the FEZ “Crimea” are equated with the export customs regime, excise goods delivering to the FEZ “Crimea”, should be marked if it is prescribed by the conditions of export agreement.
In addition, the taxmen noted that export operations of the excise goods (products) beyond the customs territory of Ukraine are not the subject to the excise duty. At that, the goods are considered to be exported if their export is certified by the duly executed custom declaration.
The State Fiscal Service of Ukraine in sub-category 116.10 ZIR explained the peculiarities of tobacco and alcohol delivery to the FEZ “Crimea”. The delivery of goods, which have the Ukrainian customs status, from mainland Ukraine in the FEZ “Crimea” are equated with the export customs regime, excise goods delivering to the FEZ “Crimea”, should be marked if it is prescribed by the conditions of export agreement.
In addition, the agency reminded that the export operations of the excise goods (products) beyond the customs territory of Ukraine are not the subject to the excise duty. At that, the goods are considered to be exported if their export is certified by the duly executed custom declaration.
The State Fiscal Service of Ukraine in its letter “On taxation of value added tax” of 09.10.14, № 6875/7/99-99-19-03-02-17 explained when the 7% VAT is used on the delivering of the medical devices.
Therefore, it should be medical devices specified in the resolution of the Cabinet of Ministers “On approval of the list of medical devices, delivery operations within the customs territory of Ukraine and importation into the customs territory of Ukraine which are the subject to the value added tax at the rate of 7 per cent” of 09.03.14, № 410 (hereinafter -the List), and the medical devices that are properly marked for the commodity headings established in the List.
The medical devices, which are not included in the List, are taxed at the VAT rate of 20% irrespective of whether they are delivered within the customs territory of Ukraine or imported in it.
The Ministry of Internal Affairs of Ukraine issued the Order “On approval of the sample and the Procedure of certificate issuing, which confirms the residence of the citizens of Ukraine who live in the temporarily occupied territory or moved from that territory, and the sample of written statement” of 26.09.14, № 997. To certify the forwarding address, the citizens of Ukraine who live in the Crimea or moved from the territory should apply to the any department of the migration service to receive the certificate.
Currently, the issuance procedure of the certificate is determined. The following should be submitted to execute the certificate:
- a written application;
- the passport of a citizen of Ukraine or other document, which includes the information of the registration details of place of residence.
The forms of the specified application and certificate are also determined.
The Ministry of Social Policy of Ukraine approved the application form for the registration of a person who moves from the Crimea or the anti-terrorist operation area by the Order “On approval of the application form for the registration of a person who moves from the temporarily occupied territory of Ukraine or area of the anti-terrorist operation” of 08.10.14, № 738.
The in-migrants should apply to the local social protection departments, district state administrations in Kyiv, executive department city and district councils with this application and the passport (or any other identification document). All of this is necessary for the obtaining of the relevant certificate of the registration, which allows the in-migrants to receive the financial aid (but not longer than 6 months) to pay accommodation expense and public facilities until the in-migrants get the job.
