The Verkhovna Rada of Ukraine approved the Law “On Amendments to the Code of Administrative Offenses to Strengthen the Protection of Business Entities against Unlawful Actions or Inactivity by Permitting Authorities” (bill 0889)
During the plenary session of the Verkhovna Rada of Ukraine 299 MPs voted for the respective decision.
The Law is aimed at strengthening the administrative responsibility of permitting bodies officials for violating the requirements of the legislation on permitting documents issuing by amending Art. 16610 and 255 of the Code on Administrative Offences of Ukraine in compliance with provisions of the Law of Ukraine “On the Permit System in the Field of Economic Activity” in and the Law “On Administrative Services”.
The Law provides for:
- specification of the content of certain administrative offenses in view of changes in the current legislation;
- determination of new content of administrative offenses in the specified field, which are deduced from the legislation on issuance of permits, and thus expanding the grounds for bringing enforcement officials of the permitting bodies to law;
- determination of the powers of the administrative service centers administrators for recording of administrative offenses, which are defined by Art. 16610 of the Code of Administrative Offenses, in accordance with the tasks of the administrator, laid down in i. 8, p. 4 of Art. 13 of the Law of Ukraine “On Administrative Services”.
The Law will promote:
1) the reduction of cases of unlawful and/or unjustified refusals to issue (re-issue, annul) the permit documents or register a declaration of compliance of material and technical base of an entity with the requirements of the legislation;
2) the eleboration for business entities of new enforcement mechanisms to influence the permitting bodies officials in case they violate the requirements of the legislation concerning permit documents;
3) the increasing of the level of discipline of the permitting bodies officials the during the exercise of their duties in view of the risk of being brought to administrative responsibility;
4) the expansion of the ability of administrators to respond effectively and promptly to violations by the permitting authorities of the requirements of the legislation concerning the permitting system in the sphere of economic activity;
5) the ensuring of a balanced and transparent relationship between the permitting authorities and the business entities;
6) the strengthening of the public control over the activities of the permitting bodies officials during the exercise of their duties and speeding up the terms of consideration of complaints by business entities on the illegal actions of such officials.
The State Fiscal Service of Ukraine in its individual tax advice “On VAT taxation of transactions to provide access to relevant content and/or permission for reinstallation (pre-installation) computer program» No. 408/6/99-00-07-03-02-15/ІПК of September 26, 2019, has clarified that the procedure for taxation of value-added tax (hereinafter – VAT) of transactions to provide access to the relevant content and/or permission for reinstallation (pre-installation) of a computer program depends on the conditions of civil and legal contract.
Indeed, in accordance with civil and legal contract the access may be given to the relevant information and/or permit may be given to reinstall (pre-install) the computer program. And enjoying such access/permit, the taxpayer (buyer) obtains software products or right to use such software products. For the purpose of VAT taxation of transactions to provide access to the relevant information and/or permit to reinstall (pre-install) computer program is considered as transactions to provide software product or right to use such software program.
Such transaction is not subject to VAT in accordance with i. 261 subchapter 2 chapter XX of the Tac Code of Ukraine (hereinafter – TCU) and subi. 196.1.6 TCU (subject to the provisions of civil and legal contract).
It may also be the case that under the civil contract the right to search, process and receive (download) information and other similar actions, carried out using such content without actually delivering to the payer (buyer) the software product or without giving the right to use software product.
The transaction to provide such access is regarded as the operation to provide a service for searching, processing, receiving information and other similar activities, which is subject to VAT in the standard manner, with a VAT rate of 20%.
The State Fiscal Service of Ukraine in its individual tax consultation “Concerning the drawing up of excise tax invoices” No. 363/6/99-00-04-02-05-15/ІПК of September 26, 2019 gave recommendations on what to do in the situation when the extra excise tax was prepared (hereinafter – ETI).
The tax department specialists have indicated that the law does not provide for the cancellation of extra ETI. But there is a way out of the situation in case of registration of extra ETI in the Electronic Administration System of fuel and ethanol sale.
According to the controllers, the taxpayer can correct the false ETI, indicating in the form “P” adjustment calculation of the ETI the type of correction “1” and/or “2”.
In this case, one should fill in the first line of the ETI adjustment calculation. In columns 4, 5 it is necessary to enter the index of adjustment (decrease) of the volume of sold fuel with the corresponding sign (-). The reduction in volumes should be the same as the volume of sold fuel indicated in the ETI, which is canceled (taking into account the adjustment indices to such invoice, registered in the Unified Register of Excise Tax Invoices).
The National Bank of Ukraine in its letter “On consideration of the appeal” No. 57-0007/26039 of May 16, 2019 explained the money transfer mechanism and indicated when the payments are considered cash and when – non-cash.
Different methods can be used to transfer money to the traders’ accounts, in particular:
1) to transfer money from one account to another;
2) to deposit cash for further transfer through the payment devices.
The NBU emphasized that both of these payment options for the recipient of funds are cashless payments.
At the same time, for the payer, the second payment option will be cash.
The National Bank of Ukraine informs on its website that with regard to the request of the State Treasury to ensure full implementation of budget programs, the National Bank has decided to extend the possibility of filling a couple of details in the documents for transfer of funds until January 12, 2020.
That means, that until January 12, 2020, the banks will accept documents for the transfer of funds that contain Bank Code and Account details or an IBAN account, and starting January 13, 2020, only an IBAN account.
This decision is envisaged by National Bank of Ukraine Board Resolution “On Amendments to Resolution of the Board of the National Bank of Ukraine No. 162 of December 28, 2018” No. 118 of September 26, 2019, which entered into force on October 2, 2019.
The Ministry of Social Policy of Ukraine in its letter “On the amount of quarterly premium when calculating the average salary to pay business days” No. 1288/0/206-19 of September 9, 2019 stated that the average monthly salary should be calculated on the basis of payments for the last two calendar months of work preceding the event to which the corresponding payment is related (paragraph 2 of Procedure for calculating average wages, approved by the Resolution of the Cabinet of Ministers of Ukraine No. 100 of February 8, 1995; hereinafter – Procedure No. 100).
Payments that are taken into account when calculating the average salary in all cases of saving it include:
- basic salary;
- premiums and allowances;
- non-one-off bonuses;
- year-end and long-service award;
- indexation.
In this case, bonuses are included in the salary of the month for which they are calculated according to the payroll. Bonuses paid for the quarter and longer period of time are included in salary in proportion to the number of months in the accounting period.
Therefore, when calculating the average salary for two months, the quarterly premium paid during the accounting period is taken into account in 2/3 parts of the amount accrued, namely, by adding to each month of the accounting period 1/3 of the accrued amount of the quarterly premium.
