The Verkhovna Rada abolished fines for failure to submit reports on controlled foreign companies (CFCs) until the end of martial law.
The MP from the "Voice" party Yaroslav Zheleznyak reported this.
The corresponding amendment was in draft law No. 10168-2. It was supported by 232 votes.
In general, today the parliament supported the draft law No. 10168-2 on the fight against "black grain" and the non-return of foreign exchange earnings to the second reading. 236 MPs voted for him.
The document gives the Cabinet of Ministers the right to launch mechanisms that minimize opportunities for abuse in the export of agricultural products. This should ensure greater foreign exchange revenues for the state and positively affect the stability of the national currency.
For example, the government can introduce an export support regime for certain types of goods, mostly agricultural products.
Within the framework of this regime, it will be prohibited to export goods to foreign economic operators who are not VAT payers. It is also prohibited to export such goods at prices lower than the minimum permissible export prices (prices will be determined by Ministry of Agriculture). Such changes should take effect six months after the draft law enters into force.
Before exporting such goods, the payer must register a tax invoice at the following rates:
- 0% — payers whose amount of unreturned currency revenue does not exceed 20% (the order of calculation of such an indicator will be determined by the Cabinet of Ministers);
- 14 or 20% (at the rate for domestic supply of the relevant product) — all other payers. Such payers will be able to adjust the VAT rate by 0% only after the tax office receives information from the bank about the completion of calculations for the relevant export operation.
"Black grain" refers to products that traders bought from farmers for cash and exported abroad. If grain is bought for cash, no taxes are paid during its production. In addition, such grain is often sold through fictitious one-day firms.
A controlled foreign company (CFC) is one that is registered in a foreign country or on its territory and recognized as being under the control of a resident of Ukraine.
In Ukrainian laws, there are certain features of the application of the provisions on CIC taxation during the transition period and the right for taxpayers to submit a CIC report for 2022 simultaneously with the submission of the annual declaration on property status and income or the tax declaration on corporate income tax for 2023 is defined.
The law made it possible to postpone the submission of the CIC report for the 2022 reporting year for another year without the application of fines and/or penalties, provided that the adjusted CIC profit is included in the relevant declarations for 2023 and submitted by the specified deadline: for individuals — by May 1, 2024 year, for legal entities — until March 1, 2024.
On May 1, the chairman of the financial committee of the Verkhovna Rada Danylo Hetmantsev announced that according to the results of reports on controlled foreign companies (CFCs), the state budget of Ukraine will receive 1.78 billion hryvnias.