The President of Ukraine signed the Law of Ukraine “On Civil Service” of 10.12 2015, № 889-VІІІ, which comes into force on 1 May 2016 and helps to regulate the status of civil servants, strengthens the personal responsibility of each public official and creates conditions of transparency of public authorities.
Now, the public officials will be divided into several categories.
So, it should be a master’s degree and the total length of service not less than seven years to have “A” category.
The heads of departments of the Cabinet of Ministers, Presidential Executive Office etc. get “B” category.
All the other officials are to be classified as “B” category.
In its turn, each category is divided into ranks. The salary of civil servants will depend on the very ranks.
According to the new Law, it is possible to become a civil servant only under condition of competitive selection process. A special commission will be created for this purpose.
The Cabinet of Ministers of Ukraine by its Resolution “On increasing of labour payment for employees of institutions, establishments and organizations of individual branches of budgetary sphere and amendments to certain resolutions of the Cabinet of Ministers of Ukraine” of 06.04.2016, № 288 approved the following:
1. From 1 May 2016 the official salaries (tariff rates, wage rates) of employees of the institutions, establishments and organizations of individual branches of budgetary sphere are established in the staffing schedule at the following rates:
- wage category 1 − UAH 1 516;
- wage category 2 − UAH 1 521;
- wage category 3 − UAH 1 532;
- wage category 4 − UAH 1 543;
- wage category 5 − UAH 1 612;
- wage category 6 − UAH 1 718;
- wage category 7 − UAH 1 825;
- wage category 8 − UAH 1 943;
- wage category 9 − UAH 2 050;
- wage category 10 − UAH 2 157;
- wage category 11 − UAH 2 334;
- wage category 12 − UAH 2 512;
- wage category 13 − UAH 2 690;
- wage category 14 − UAH 2 868;
- wage category 15 − UAH 3 057;
- wage category 16 − UAH 3 306;
- wage category 17 − UAH 3 555;
- wage category 18 − UAH 3 804;
- wage category 19 − UAH 4 053;
- wage category 20 − UAH 4 313;
- wage category 21 − UAH 4 562;
- wage category 22 − UAH 4 811;
- wage category 23 – UAH 5 060;
- wage category 24 – UAH 5 167;
- wage category 25 – UAH 5 344.
2. The mentioned above increase of official salaries (tariff rates, wage rates) of employees of the institutions, establishments and organizations of individual branches of budgetary sphere should be carried out within the salaries expenses prescribed by the Law of Ukraine “On State Budget of Ukraine for 2016” and the employees of 1-3 wage categories – at unified wage rate scale, including at the expense of payments related to the indexation of allowances, bonuses, premiums.
3. The official salaries (tariff rates) of employees, who established in the staffing schedule at the level of minimum wage as of 30 April 2016, should be increased by 10% from 1 May 2016.
The State Fiscal Service of Ukraine in its letter “On taxation of certain types of incomes by the personal income tax” of 15.04.2016, № 8587/6/99-99-17-03-03-15 noted: if the company at its own expense pays services of travel organization of the individuals that are not related to the performance of their duties of employment or under the civil law contracts (agreements) concluded with these persons, the value of the provided services is included in the total monthly (annual) taxable income of such persons as an additional benefit and should be taxable by the personal income tax on general grounds.
The State Fiscal Service of Ukraine in its letter “On taxation of the personal income tax and accrual of the unified contribution for obligatory state social insurance on the benefits amount due to temporary incapacity for work as a result of illness or injury, which is not related to the work accident” of 13.04.2016, № 8293/6/99-99-17-03-03-15 notes: if the tax agent (legal entity) accrues (pays) to the individuals (employees) temporary disability benefits for the first five days, the amount of such assistance should be included in wages and be taxable by the personal income tax (hereinafter – PIT)and is the base for accrual of the unified contribution.
In addition, if the specified assistance is paid at the expenses of the Fund, which is not the employer of persons transported from the areas of the antiterrorist operation, the amount of such assistance should be included in total monthly (annual) taxable income of the taxpayer as other incomes and to be the subject to PIT and is not the basis of accrual of the unified contribution.
The Ministry of Finance of Ukraine in its letter “On peculiarities of the expenses reflection in the accounting” of 22.04.2016, № 31-11410-06-5/11705 gave the explanation on the peculiarities of reflection in accounting of the expenses that to be not confirmed by the primary documents of counterparties.
The Ministry of Finance concluded in the letter that expenditures, under which there were not received primary documents from counterparties at the moment of preparation of financial statements, should be recognized in the period of income for which they to be implemented, or their actual origin, if the expenses could not be directly linked to the income. At the same time, it is enough before the receipt of the primary documents from the counterparty to use the primary documents prepared by the company independently in any form in compliance with the requirements of the Law of Ukraine “On Accounting and Financial Statements” of 16.07.1999, № 996 – ХІV regarding the mandatory details of the primary document.
Upon receipt of primary documents after the preparation and approval of the financial statements, the actual amount of expenses specified in these documents could be different from calculated amount previously recognized in the period of their origin. These differences are the basis for the adjustments of previously recognized expenses amount, except for the case when such a difference is an error and has a significant impact on the financial statements of previous periods.
The Ministry of Social Policy of Ukraine by its Order “On approval of standard forms of documents” of 13.04.2016, № 391 in order to plan and control effectively over the targeted use of budgetary funds in the framework of the budgetary program КПКВК 2501200 “Social protection of citizens affected from the Chernobyl disaster” approved the following standard forms of documents:
- The report on payment of compensations, allowances and benefits provision to the citizens who affected from the Chernobyl disaster, “ВК 7” (form № 1);
- Passport of the data of company, which employees get compensation and assistance relating to wages or scholarships, according to the Law of Ukraine “On the status and social protection of citizens affected from the Chernobyl disaster” (form № 2);
- Calculation of expenses associated with the payment of compensation and assistance and benefits provision according to the Law of Ukraine “On the status and social protection of citizens affected from the Chernobyl disaster” (form № 3).
The National Bank of Ukraine (hereinafter − the NBU) by its Resolution “On Amendments to the Classifier of foreign currencies and precious metals” of 19.04.2016, № 269 made amendments to the mentioned Classifier approved by the NBU Board Resolution of 04.02.1998, № 34. Therefore, from May 4, 2016 the Classifier of foreign currencies will consist of:
Group 1 − currencies, which are widely used in making payments under international transactions, currencies of countries - EU members and precious metals. Such currencies are recognized as convertible purposes of the application of legislation on foreign investment in Ukraine;
Group 2 − currencies, which are not so widely used in making payments for international transactions;
Group 3 − nonconvertible currencies.
