Lawyer blog - Law firm Finance Business Service: offshore registration, tax planning, legal services

List of organizational and legal forms of non-residents is approved, with which operations will be controlled according to rules of tp

Published: 14.09.2017 |

Tags:

#Accounting #De-offshorization #Investments #Legislation #Tax planning

On July 27, the list of organizational and legal forms of foreign counterparties on the countries / territories was officially published (and therefore entered into force), operations with which can be recognized as controlled for the purpose of control of transfer pricing (TP). This list was approved by the Resolution of the Cabinet of Ministers of Ukraine No. 480 of July 4 of this year (hereinafter - the List) for the implementation of the provisions of the Tax Code of Ukraine on TP, namely the clause "d" 39.2.1.1 art.39, and it is another criterion for the recognition of the operation as controlled one. If we look more widely, this can be seen as the next step of our government within the framework of global campaign on de-offshoring, namely to fulfill the commitments to implement the BEPS plan (its minimum standard), which Ukraine assumed with the acquisition of an official BEPS membership from 1 January, 2017. The list includes more than 90 organizational and legal forms from 26 countries and territories. The absolute majority of organizational and legal forms on the list are partnerships (about 80% of total amount). There were also some forms of investment funds and...

How and when you can apply to business ombudsman?

Published: 14.09.2017 | blog

Business Ombudsman as Additional Argument in Tax Disputes How and When You Can Apply to Business Ombudsman? We got used to the fact that the administrative consideration of the tax disputes is carried out by the head or commission of the controlling body and, as a rule, does not lead to positive results. At the end of 2016, the Ministry of Finance of Ukraine amended the Order No. 916 of 21.10.2015 "On approval of the order of registration and filing of complaints by the taxpayers and their consideration by the regulatory authorities". After adopting these changes, a fundamentally new mechanism of administrative appeal against the decisions of tax authorities has appeared. The novels were: the consideration of complaints in open and closed sessions, as well as the involvement of an authorized representative of the Council of Business Ombudsman. It should be reminded that the Council of Business Ombudsman was established in Ukraine on the basis of the Resolution of the Cabinet of Ministers of Ukraine No. 691 of 26.11.2014 and it is a permanent advisory body of the Cabinet of Ministers of Ukraine. Among other things, the Council of the Business Ombudsman was established...

New requirements of czech legislation to relations of parties before conclusion of m&a contracts

Published: 13.09.2017 |

Tags:

#Czech Republic #Legislation

Pre-contractual liability regarding M & A deals in the Czech Republic If you are going to start negotiations on mergers and acquisitions of the companies, or you are already such party, you should pay attention to our next material. The new complex pre-contractual obligations of the parties are applied in the Czech Republic. As we can understand from the title, pre-contractual obligations usually arise from the relations of the parties before the conclusion of the formalized contract. In case of mergers and acquisitions deals, they arise before the conclusion of a contract of sale or other similar contract. Until then, the mutual rights and obligations of the parties are often governed by a simple contract of intentions or an agreement on the non-disclosure of confidential information. As a result, the important aspects of the relationship between the parties before the conclusion of a sales contract or a similar contract may be consequently governed by the applicable legislative provisions on pre-contractual liability. Taking into account the importance of this phase of the preparation of M & A deals, as well as the costs incurred by the parties (for example, for legal and...

Pay attention to administrative appeal of decisions on refusal of registration of tl

Published: 13.09.2017 |

Tags:

#Tax disputes

Since July 1, 2017, the program for the suspension of the registration of tax invoices and adjustment calculations in the Unified Register of Tax Invoices has been launched. The taxpayers faced two problems from the very first days: the first problem is actually the suspension of the registration of tax invoices; the second problem is the refusal to register the tax invoices after the submission of the documents to the SFS Commission by the taxpayer confirming the legitimacy of the formation of tax indicators. The subparagraph 201.16.3. of clause 201.16. article 201 of the Tax Code of Ukraine provides for the possibility of appealing against the decision of the SFS Commission on the refusal of the registration of a tax invoice, in the administrative or judicial procedure. In accordance with par. 56.23.2. cl. 56.23. art. 56 of the Tax Code of Ukraine, the Cabinet of Ministers of Ukraine adopted a Decree No. 485 of 04.07.2017, which approved the "Procedure for considering complaints against decisions of the State Fiscal Service Commission on refusal to register the tax invoice / adjustment calculation in the Unified Register of Tax Invoices." The experts of the Finance...

Questions regarding suspension of registration of tax invoices

Published: 07.09.2017 |

Tags:

#Tax disputes

IT HAS BEGUN!!! SUSPENSION OF REGISTRATION OF TAX INVOICES Questions regarding suspension of registration of tax invoices And again back to the registration of the tax invoices, namely concerning the grounds for the suspension of their registration. As the representatives of the Ministry of Finance of Ukraine assured us, that the percentage of suspended tax bills will be minimal, but on the seventh day of work of the system of blocking, the first "victims" have appeared. And the first "victim" was the producers. Why? Because the monitoring system, in fact, compares the amount of the purchased goods with the amount of the goods sold in the context of its nomenclature. Certainly, there are certain questions" to the manufacturer in the program of blocking " - one product was purchased and another sold. But it should be understood that this is quite logical, because the manufacturer does not resale the goods but he creates a new product from the purchased components (raw materials, etc.). The experts of the Finance Business Service were considering how the issue of blocking the registration of tax invoices was solved and if it does not have any contradictions. The clause...

Improving investment climate in Ukraine

Published: 07.09.2017 |

Tags:

#Investments #Legislation #Reforms #Residence Permit

At the end of June, the President signed a law on removing the barriers for the foreign investors, which amends a number of existing legislative norms. In this publication we try to understand what it means for the investors themselves. So, the main achievements of the law are the establishment of the procedure for obtaining the work permit for a foreign investor at the legislative level, as well as determination of the possibility to obtain a residence by the investor (hereinafter - residence), not only permanent but also temporary. As for the work permit: the law clearly stipulates the procedure, all the necessary documents and requirements. Among the main documents are only four: 1. Application of the employer in the prescribed form 2. Copies of the passport of a foreigner with the translation 3. Color photo of a foreigner 3,5x4,5 4. Draft employment contract with a foreigner The additional documents (listed in the law) are required only for certain categories of the foreigners. It is also important that the law explicitly prohibits authorities demanding any other documents not provided for by law from the foreigners or their employers (both when...

Not all tax invoices will be monitored

Published: 06.09.2017 |

As it has been repeatedly noted by the experts of the Finance Business Service, the Law of Ukraine No. 1797-VIII of 21.12.2016 made numerous changes to a number of provisions of the Tax Code of Ukraine. The significant changes were made in the paragraph 74.2. art. 74 of the Tax Code of Ukraine, and no less significant addition was by the paragraph 201.16. of the article 201 of the Tax Code of Ukraine. So, the main concepts of the made changes in pp. 74.2. art. 74 of the Tax Code of Ukraine were: - implementation of the constant automated monitoring of the compliance of tax invoices / adjustment calculations (hereinafter referred to as "tax invoices" in the relevant cases), criteria for assessing the degree of risks that are sufficient to stop their registration in the Unified Register of the Tax Invoices; - entrusting the central executive authority that provides the formation and implementation of the state financial policy the obligation to determine the criteria for assessing the degree of risks that are sufficient to stop the registration of the tax invoice in the Unified Register of Tax Invoices. The changes in the paragraph 201.16. art. 201 of the...

New rules of financial services licensing: simplified conditions of the license

Published: 22.12.2016 |

New licensed conditions of implementation of economic activity on provision of financial services (except professional activity in the security market) were approved by the Order of the Government No. 913 of December 7 and came into force on December 10, 2016. The license on provision of financial services can be obtained quickly and cheap. Unless, of course, all documents are in order. According to Licensed conditions, the licensing authority issues licenses for such types of financial services: providing of borrowed money, including credit and financial conditions; attraction of financial assets with an obligation to follow their return; services in the sphere of insurance regarding carrying out the specific types of insurance determined by the legislation; services in system of accumulative provision of pensions regarding administration of non-state pension funds; property management for the financing of construction projects and / or implementation of real estate transactions in accordance with the Law of Ukraine "About financial and credit mechanisms and management of property under construction housing and real estate transactions"; trust management of financial...

The Council of Europe approved the Directive on access to information about beneficial owners

Published: 19.12.2016 |

On December 6 at a meeting of the EU Council on financial and economic questions the Directive of the EU Council concerning access of tax authorities to information on counteraction to money-laundering was approved. This document obliges EU Member States to provide access to information on beneficial owners of the companies, which dispose the authorities responsible for counteraction to money-laundering. It will allow tax authorities to perform monitoring of application of the rules of automatic exchange information established by the Directive 2014/107/EU, and finally will contribute to the prevention of tax evasion and tax fraud. The new Directive is one of a number of measures developed by the Commission in July 2016 in response to the Panama scandal. Its adoption by the need to ensure wider access to the tax authorities information about the beneficial owners of the intermediary organizations, and also other information of complex legal evaluation of clients. Let's remind that according to the Directive 2015/849/EU in the event that the owner of the financial account is an intermediary structure, financial institutions should conduct an audit and to identify its beneficial...

The new Law about International business companies on the Seychelles came into force

Published: 28.11.2016 | Без категории

Tags:

#Legislation #Seychelles

Within the Global forum FATF and OECD on transparency and exchange of information in the tax sphere, on July 26, 2016 in Seychelles the new law about International business companies was adopted (further in the text – "The new law"). The new law offers tough, but at the same time the attractive regulatory base promoting development of competitiveness and continuation of a strong growth of popularity of the Seychelles as the international center of financial services. Fixing of regulatory aspects of the law, for the purpose of compliance to international standards, reflects interest and observance of Seychelles Republic advanced international experience, in particular, concerning an international initiative on improvement of information openness that will affect reputation of the Seychelles in the opinion of the international community positively. From the moment of adoption of law about International Business Companies, 1994 (further – "The law of 1994"), international business companies have become very successful in the Seychelles in the sector of non-bank financial services. Despite success of the 1994 Law the Republic of Seychelles has noted the need to improve the...

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