Peculiarities of the first submission of Report on the controlled foreign companies
State Tax Service of Ukraine informs that from 18.04.2023 – form of Report on the controlled foreign companies (hereinafter – Report) for individuals in the form F0108701 has appeared in payer’s Electronic cabinet.
Requirements for preparation and submission of Report are established by Paragraph 392.5 Article 392 Section I of the Tax Code of Ukraine (hereinafter – Code).
Legislation provides for two forms of Report, namely: full and abridged.
It must be remembered that Report is submitted for each controlled foreign company separately.
Procedure for filling out Report on the controlled foreign companies, the abbreviated form of Report on the controlled foreign companies and submitting it to the controlling body was approved by Order of the Ministry of Finance of Ukraine № 254 as of 25.08.2022.
The first reporting (tax) year for Report is 2022.
Herewith, according to Paragraph 54 Sub-section 10 Section XX "Transitional Provisions" of the Code for controllers of controlling foreign companies a certain transition period is established for preparation of reporting, which provides for the opportunity to submit reports for 2022 to the controlling body simultaneously with submission of the annual property and income declaration or the corporate income tax declaration for 2023 year, i.e. in 2024.
The last day for submission of Report for individuals-taxpayers in 2023 is May 1, 2023.
Penalties and/or interest to Report, in case of incorrect filling out for 2022, are not applied, provided that the taxpayer subsequently submits clarifications with correction of deficiencies.
In addition, please note that work of experts on the draft law № 8137 "On amendments to the Tax Code of Ukraine on improving taxation of controlled foreign companies" has also been renewed, which provides for simplification of some norms for controlled foreign companies, which will make procedures for the administration of controlled foreign companies simpler and perfect.
