Ukrainian metallurgists will try to force more taxes

The Ministry of Revenue and Collection of Ukraine has prepared a bill on transfer pricing that the entrepreneur obliges the entrepreneur to report transactions with related persons and residents of foreign low -jurisdiction jurisdictions (offshores) exceeding UAH 50 million per year according to one counterparty. A large business, in addition to this, will be required to document the market level of prices in such transactions.

However, the bill provides for the opportunity to use certain weakening in the state control system before January 1, 2018. This was in an interview with the “Mirror of the Week” by the PWS Ukraine partner Vyacheslav Vlasov.

“Until January 1, 2018, businesses that carry out foreign trade transactions with related persons in foreign low -grain jurisdictions will have the right to choose. This business will be required to use market prices from sources determined by the state. For tax purposes, it will be allowed to leave a margin of no more than 5%abroad. If the business is not satisfied, it is satisfied with the full reporting of transfer prices, To substantiate the market value of the prices used, as well as provide information on the further implementation of the unrelated person of goods delivered from Ukraine at this stage.

"If the law is adopted at the beginning of the current year, in accordance with the Tax Code, it can enter into force only from January 1 of the next year. In this case, both the tax ministry and the business will have enough time to prepare for its use. If the law comes into force on January 1, 2014, then the business will submit reports on transfer prices by May 1, 2015 for the first time, and the verification of this reporting will begin after May 2015 almost two from May 2015 from almost two from May 2015. A half of the year is a sufficient period to prepare, ”added Vyacheslav Vlasov.

Recall that on January 16, the Minister of Revenues and Gathering, Alexander Klimenko, submitted at the Cabinet's meeting a bill on transfer producing, which was prepared by tax authorities together with PWS experts. The document was approved by the government.

The bill should contribute to the fight against one of the largest ways to minimize taxation through which about 100 billion UAH is withdrawn from Ukraine from Ukraine. annually (data from GNSU). As a result, the state budget does not receive UAH 20-25 billion. This is carried out, first of all, through the sale of domestic products at low prices related to persons (that is, mainly within the framework of one financial and industrial group) to countries with a lower tax burden than in Ukraine.

Source: ​​