Tax amnesty on capital - should you take an opportunity that comes only once every 30 years?! Yes, if you don’t want to regret it later … 3 March 2021
03/03/21
On Thursday, 25 February 2021, a package of Draft laws on tax amnesty on capital was registered in the Verkhovna Rada of Ukraine. These drafts propose to legalize Ukrainain and foreign assets acquired with income from which taxes and duties were not paid as of 1 January 2021.
Such income will be taxed at the rates:
- 5% - currency values placed on accounts in banks of Ukraine and other assets located (registered) in Ukraine
- 9% - currency in foreign bank accounts and other assets abroad, monetary claims against non-residents
- 2.5% - domestic government bonds purchased in the period from 1 January 2021 to 20 June 2022 before submitting a special declaration.
Warning! The tax amnesty provisions are not applicable to cash.
Deadline for submitting a special declaration: from 1 July 2021 to 1 July 2022.
Form of submission: electronic, personal; there is a possibility for submitting an impersonal special declaration (when submitted through a notary, the declarant is personified through a special code).
Important! State guarantees provide for an exemption from criminal liability for certain types of criminal offenses related to tax evasion or the violation of foreign currency legislation. Special declarations, as well as the information contained therein, cannot be used during investigations and / or inspections against the declarant, as well as evidence in criminal proceedings, cases of administrative offenses, or civil and administrative cases.
PwC experts are ready to provide more detailed information on the capital tax amnesty. Please feel free to contact us!
