The Parliament adopted a range of important resolutions for the business

17/ 03/ 2020

Today, on March 17, given the coronavirus situation, the Parliament has adopted a number of resolutions on the requisite measures, which are vital for this difficult time, for the business to be able to face the crisis with dignity (draft laws №3220, №3219 and №2539). Anna Derevyanko. EBA Executive Director. Obviously, businesses now need government support. Yesterday, on behalf of the European Business Association, we addressed the President, the Government and the Verkhovna Rada with proposals that can currently give the support for the companies. Every day we receive dozens of requests from businesses because the situation with the coronavirus has a great impact on their economic activity. This is especially acute for companies whose activities imply a physical presence of customers and related to store operations and the transportation industry, etc. And in this context, we are grateful for the prompt response of the authorities. The adopted resolutions include the introduction of a moratorium on all audits by tax authorities and other controlling bodies for all categories of taxpayers with a validity period from March 18 to May 31, 2020, and the extension of deadlines to file the income statement for individuals till July 1, 2020. The following measures will also take into effect: the cancellation of punitive sanctions and penalties accrual for violation of tax law (except for violations related to payment of VAT, excise duty, rent) committed within the period from March 1 to May 31, 2020; the extension of the deadline for filing the annual declaration on property and income until July 1, 2020; the right to change the work patterns and the official permit to work from home. At the same time, the fines and penalties for the late filing of the single social security tax are temporarily abolished; the entrepreneurs using a simplified tax system (sole proprietors) are exempted from paying the single social security tax. From 1 March to 30 April 2020, there is no charge and tax payment for non-residential real estate owned by physical or legal entities; the land tax is also canceled for this period. However, unfortunately, some of the proposals previously suggested by the business were not taken into account, namely the items 3 and 4 (filing complaints against decisions of the State Tax Service of Ukraine within the framework of administrative appeal), 6, 7, 10, 12, 13. We hope that all these decisions will be promptly considered. In addition, the business community nevertheless proposes to consider the cancellation of penalties for violating the rules of fuel and ethyl alcohol stock accounting, as well as for violating the terms of accrual, declaration, and payment of VAT, excise tax and rent for the period up to May 31, 2020. The European Business Association will keep up with further business updates.

Anna Derevyanko EBA Executive Director

Obviously, businesses now need government support. Yesterday, on behalf of the European Business Association, we addressed the President, the Government and the Verkhovna Rada with proposals that can currently give the support for the companies. Every day we receive dozens of requests from businesses because the situation with the coronavirus has a great impact on their economic activity. This is especially acute for companies whose activities imply a physical presence of customers and related to store operations and the transportation industry, etc. And in this context, we are grateful for the prompt response of the authorities.

The adopted resolutions include the introduction of a moratorium on all audits by tax authorities and other controlling bodies for all categories of taxpayers with a validity period from March 18 to May 31, 2020, and the extension of deadlines to file the income statement for individuals till July 1, 2020.

The following measures will also take into effect: the cancellation of punitive sanctions and penalties accrual for violation of tax law (except for violations related to payment of VAT, excise duty, rent) committed within the period from March 1 to May 31, 2020; the extension of the deadline for filing the annual declaration on property and income until July 1, 2020; the right to change the work patterns and the official permit to work from home.

At the same time, the fines and penalties for the late filing of the single social security tax are temporarily abolished; the entrepreneurs using a simplified tax system (sole proprietors) are exempted from paying the single social security tax. From 1 March to 30 April 2020, there is no charge and tax payment for non-residential real estate owned by physical or legal entities; the land tax is also canceled for this period.

However, unfortunately, some of the proposals previously suggested by the business were not taken into account, namely the items 3 and 4 (filing complaints against decisions of the State Tax Service of Ukraine within the framework of administrative appeal), 6, 7, 10, 12, 13. We hope that all these decisions will be promptly considered.

In addition, the business community nevertheless proposes to consider the cancellation of penalties for violating the rules of fuel and ethyl alcohol stock accounting, as well as for violating the terms of accrual, declaration, and payment of VAT, excise tax and rent for the period up to May 31, 2020.

The European Business Association will keep up with further business updates.