Is a residential house that is in joint partial or joint common ownership by several individuals subject to the one-time (special) voluntary declaration?
According to Paragraph 1 Sub-section 94 Section XX of the Tax Code of Ukraine (hereinafter – the Code), the one-time (special) voluntary declaration is a special procedure for voluntary individual’s declaration of assets located on the territory of Ukraine and / or abroad (Paragraph 3 of this Sub-section), if such individual’s assets were received (acquired) at the expense of income that was subject to taxation in Ukraine at the time of their accrual (receipt) and from which taxes and levies were not paid or not in full amount according to legislative requirements and / or international agreements, consent to the binding nature of which is provided by the Verkhovna Rada of Ukraine and / or which were not declared in violation of tax and currency legislation control of which is entrusted to the supervisory authorities during any of the tax periods that took place before 01.01.2021.
According to Sub-paragraph “b” of Paragraph 4 Sub-section 94 Section XX of the Code, objects of the one-time (special) voluntary declaration (hereinafter – the declaration objects), defined in Sub-paragraph 14.1.280 and 14.1.281 of Paragraph 14.1 Article 14 of the Tax Code of Ukraine, are individual’s assets belonging to declarant on the ownership right (including the joint partial right or common joint ownership right) and are (accounted, in turnover, registered, etc.) on the territory of Ukraine and / or abroad as of the date of submission of the one-time (special) voluntary declaration, particularly the real estate (land, residential and non-residential real estate).
Herewith, Paragraph 10 Sub-section 9 Copy 4 Section XX of the Code determines composition and volume of assets, sources of receipt (acquisition) of which in case of the individual’s non-use of right to submit one-time (special) voluntary declaration are considered to be those from which taxes and levies were fully paid according to tax legislation.
Such assets include, in particular, residential real estate located on the territory of Ukraine, which as of the end of a period of the one-time (special) voluntary declaration belonged to individual on the ownership right (including joint common or joint partial ownership), which is confirmed by data of the relevant state registers, in the amount of:
residential house / residential houses registered according to the established procedure in Ukraine, the total area of which does not exceed 240 square meters or a residential house of unfinished construction or houses of unfinished construction, the total area of which does not exceed 240 square meters, provided that such individual has the ownership right of the land plot of a corresponding purpose.
Given the above specified, if object of immovable property in the form of a residential house owned by individual on the ownership right (including joint partial or joint common ownership) and is located on the territory of Ukraine and / or abroad as of the date of submission one-time (special) voluntary declaration was received (acquired) by such individual at the expense of income subject to taxation at the time of their accrual (receipt) in Ukraine and from which taxes and levies were not paid or paid not in full amount according to legislative requirements on taxation and / or international agreements, the binding nature of which has been approved by the Verkhovna Rada of Ukraine, such property may be object of the one-time (special) voluntary declaration.
