The Verkhovna Rada of Ukraine approved amendments to the Tax Code of Ukraine in part of war tax exemption of money allowances for military (the proposed law № 2980).
The law provides for war tax exemption of money allowances for law enforcement officials, military personnel and employees of the Armed Forces of Ukraine, the National Guard of Ukraine, Security Service of Ukraine, Foreign Intelligence Service of Ukraine, the State Border Guard Service of Ukraine, rank and file and command staff, military personnel, employees of the Ministry of Internal Affairs of Ukraine, the State Guard Department of Ukraine, State Service of Special Communication and Information Protection of Ukraine, and other military formations established under the laws of Ukraine and other people who are directly involved in the ATO during the period of its conduction.
The Cabinet of Ministers of Ukraine promulgated the Resolution “On the procedure for notification of the State fiscal service and its territorial authorities of worker employment” of 17.06.15, № 413. The document enters into force from the date of its official publication.
The norm, under which the employee should not be allowed to work without notification of the fiscal body, appeared in Art.24 of the Labour Code of Ukraine since 01.01.15. However, its practical implementation is possible only after the entry into force of the mentioned Resolution.
The notification procedure is provided for under the prescribed form in one of the following ways:
- means of electronic communication using a digital signature of responsible persons in accordance with the legislative requirements in field of electronic document management and electronic signature;
- in hard copies together with a copy in electronic form;
- in hard copies, if labour contracts are made with not more than five persons.
The Cabinet of Ministers of Ukraine by its Resolution “On amendments and invalidation of certain Resolutions of the Cabinet of Ministers of Ukraine” of 17.06.15, № 419 abolished the state financial audit of budgetary institutions activity.
At the same time, the role of internal audit of budgetary institutions is strengthened, which is oriented to provision to the managing director of objective and independent conclusions and recommendations regarding the effective functioning of internal control.
Also, the amendments made to the Procedure of Presentation of Financial Statements approved by the CMU of 28.02.2000, № 419, and the Procedure of Planning Control and Auditing work by the State Financial Inspection and its territorial authorities approved by the Resolution of the CMU of 08.08.01, № 955.
In particular, the requirement of submission of audit report with conclusion of its authenticity, drafted by the State Financial Inspection or its territorial authority, together with the annual financial statements by the budget funds administrators is abolished.
The State Fiscal Service of Ukraine in its letter “On clarification provision on the income tax” of 09.06.15, № 11999/6/99-99-19-01-01-15 reminded that the expenses should be determined in tax accounting according to accounting rules. In other words, it is not necessary to confirm their connection with economic activity. So, for example, expenditures for bottled drinking water for general use should be included in tax expenses according to accounting rules.
The same applies to the purchase expenses for fuels and lubricants (hereinafter - FL). Today it is not needed to confirm connection of traffic route according to the waybill with business activity when depreciation of FL according to the expenses norms. According to general rules, depreciation of fuel and lubricants is conducted based on data for mileage and norms of fuel and lubricants usage for vehicles, approved by the Ministry of Transport of Ukraine of 10.02.98, № 43.
However, since the current legislation does not provide the standard form of waybill of a passenger car, the company could use primary document form suitable for accounting approved by the order on corporate accounting policy subject to the availability of all characteristic features of the primary document.
In case of over-fueling over the linear rate, their depreciation should be conducted according to accounting rules on basis of the relevant document approved by the company order.
Thus, the adjustment of financial result before taxation in the amount of over-fueling over the linear rate is not provided for by the paragraph III of the TCU.
The State Fiscal Service of Ukraine in its letter “On clarification provision on the income tax” of 09.06.15, № 11999/6/99-99-19-01-01-15 clarified the issue, in what reporting period the buyer should recognize the VAT credit if:
- a seller transferred the goods to a carrier and issued a tax invoice (hereinafter - TI) on the date of transfer;
- a buyer received the goods in the next month.
If the date of goods shipment by the supplier and the date of their receipt by the buyer are not the same (as provided by the contract) the buyer should focus on moment of transfer of ownership under the contract.
The property acquirer obtains the ownership right under contract at the moment of transfer of property (unless otherwise provided by contract or law) (Art. 334 of the Civil Code of Ukraine).
The transfer of property is considered to be its delivery to acquirer or carrier.
Thus, the buyer has the right to recognize the tax credit only after the TI drafting by the supplier, particularly at the moment of shipment of goods and TI registration in URTI (unified register of tax invoices), but not before obtaining of ownership rights for the goods.
The Ministry of Justice of Ukraine in its letter “On application of provisions of the Law of Ukraine dated 5 March 2015 № 247-VIII “On Amendments to certain Laws of Ukraine on specification of the authority of notaries and registration peculiarities of secondary property rights for the Agricultural Land Plots” of 02.04.15, № 13-32/114 clarified what should be done to register the property right for the Agricultural Land Plots derivative of property rights, right of ownership for which arose and documented before 01.01.13. For this purpose a person should submit only one application for state registration of rights and their encumbrances (on other property rights).
Then the state registrar or notary via software of the State Register of rights to immovable property forms two statements: on the state registration of property rights and on the state registration of other property rights.
Because the applicant submits a single application for state registration of rights and their encumbrances (on other property rights), he/she should pay only for the services of state registration of other property rights.
