Is it necessary to submit the one-time (special) voluntary declaration if an individual owns funds placed on the deposit (deposit) bank account?
Paragraph 1 Sub-section 94 Section XX “Transitional provisions” of the Tax Code of Ukraine as of 02.12.2010 № 2755-VI with changes and amendments (hereinafter – TCU) stipulates that 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, if such individual’s assets were received (acquired) by 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 not in full amount according to legislative requirements on taxation and / or international agreements, binding nature of which was approved by the Verkhovna Rada of Ukraine and / or which were not declared in violation of tax and currency legislation, the control over which is entrusted to the supervisory authorities during any of the tax periods that occurred before 01.01.2021.
Herewith, Sub-paragraph 14.1.280 and 14.1.281 Paragraph 14.1 Article 14 of the TCU stipulates that objects of the one-time (special) voluntary declaration may be individual’s assets owned by the declarant (including joint partial or joint common ownership right) and are (registered, 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, specifically currency values (bank metals, except for those not placed on accounts, national currency (UAH) and foreign currency, except for cash and monetary claims (including deposit), funds borrowed from third parties for loan agreement) compiled in writing form with a legal entity or notarized in case of the declarant’s right claim against another individual (Sub-paragraph “a” Paragraph 4 Sub-section 94 Section XX of the TCU).
Given the above specified, if an individual owns funds placed on the deposit bank account and from which taxes and levies were not paid or not in full amount according to requirements of tax legislation, such individual has opportunity to declare such funds by submitting the one-time (special) voluntary declaration and pay levy at appropriate rate for the one-time voluntary declaration.
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