News Share

The Tax Hub

Daily Tax Newsletter

Ukraine

18 January 2022

Responsive image

Ukraine Amends VAT Registration Regulations for Non-Resident Suppliers of Electronic Services

The Ukraine Ministry of Finance has issued Order No. 637 of 7 December 2021, which was registered by the Ukraine Ministry of Justice on 23 December 2021. The order amends the regulations of registration for VAT payers (Order No. 1130 of 14 November 2014).

The main amendments are for the implementation of new registration requirements for non-resident suppliers of electronic services and advertising from 2022, including a new section that defines the procedures for registration, re-registration, and cancellation of registration of non-residents as VAT payers. The provisions of the new section apply for non-residents without a permanent establishment in Ukraine that supply electronic services to individuals, including individual entrepreneurs not registered for VAT (B2C supplies). As previously reported, the requirements to register for and collect VAT were introduced by Law No. 1525-IX of 3 June 2021, which provided new rules for the collection of VAT at the standard rate of 20% on electronic services provided by non-residents.

Among other things, the new section in the registration regulations provides that non-residents subject to the new rules are required to register by 31 March if their supplies in Ukraine exceed UAH 1 million in the previous calendar year. It is also provided that if a non-resident has not exceeded the threshold but deems it appropriate to voluntarily register, they may do so at least 10 calendar days before the beginning of the reporting (tax) period from which such non-resident will be considered a VAT payer. For this purpose, the new section specifies the requirement for the application of registration, with a new specific application form for non-residents attached as an annex. It is also provided that changes must be reported within 10 calendar days, with a specific re-registration form attached for this purpose as well. Rules are also established for the cancelation of registration, with a specific form attached. Lastly, the order sets out the different codes to be used for different electronic service supplies.

The amendments to the VAT registration regulations generally apply from 1 January 2022. Click the following links for Order No. 637 and Order No. 1130 as amended.

Powerful Tax Tools

NEW

FX Rates

Global FX Rates including Tax Year Average FX Rates and Spot Rates for all Reporting Currencies.

NEW

Corporate Tax Rates

Corporate tax rates, surtaxes, and effective tax rates for the current year, as well as historical rates and approved future rates.

NEW

Country Analysis

Detailed tax guidance for companies doing business in over 100 countries, including summaries and snapshots of key tax facts and issues.

NEW

Cross Border Tax Calculator

Calculate total tax costs and benefits of a cross border transaction including withholding tax, participation exemption and foreign tax credit rules.

NEW

Cross Border Tax Rates

Provides Domestic, treaty and EU cross border tax rates for over 5,000 country combinations for 9 different payment streams.

NEW

OECD BEPS Project

Complete overview of the OECD BEPS Project, including daily BEPS news, country adoption of BEPS measures, and an overview of the 15 BEPS Actions.

NEW

Tax Calendar

Customizable calendar tool that tracks corporate income tax, value added tax and transfer pricing obligations by country or entity.

NEW

Tax Forms

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.

NEW

Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.

NEW

Worldwide Tax Planner

Calculates the worldwide tax cost of what-if scenarios based on legal entity structure, taxable income, and cross border transactions.

NEW

Certified Rates Report

Customizable Certified Rates Report providing updated corporate and withholding tax rates at the end of each month for over 100 countries.

NEW

Withholding Tax Minimizer

Enables quick calculation of tax costs and benefits of cross border transactions considering all possible transaction combinations and optimal routes.

NEW

VAT Rates

Provides value added tax (VAT) rates, goods and services tax (GST) rates and other indirect tax rates for over 100 countries.

NEW

NOL Calculator

Country specific calculator to determine how net operating losses can be utilized in carryback and carryforward years.

NEW

Transfer Pricing Calculator

Calculates TP ratios under various TP methods and calculates the difference between target ratios and actual ratios.

NEW

Individual Income Tax Rates

Individual tax rates for over 100 countries.

Play of the Day

FX Rates

Global FX Rates including Tax year Average FX Rates and Spot Rates for all Reporting Currencies.

We’re here to help

We’re here to answer any questions you have about the Orbitax products and services.

Send us a message

Who’s behind Orbitax?

We’re committed to providing high value, low cost tax research and management solutions.

Learn More