TOP – 10 of mistakes in the process of filling out Report on controlled foreign companies

The first campaign for submission of reports by controlling entities on controlled foreign companies (hereinafter – Report) was recently completed.

According to the analysis results of submitted Reports for 2022 and 2023, specialists of the State Tax Service summarized the most common mistakes the process of filling out Report.

TOP –10 included the following mistakes:

- incorrect indication of the control type;

- incorrect indication of the fiscal year;

- incorrect reflection of the country code;

- incorrect reflection of the code and name of reporting currency, weighted average official exchange rate of the National Bank of Ukraine;

- arithmetical mistakes in the calculation of adjusted profit;

- arithmetical mistakes in the calculation of profit;

- non-reflection of operations with non-residents;

- non- reflection of operations with non-resident related entities;

- non- reflection of operations of controlled foreign companies;

- failure to fill in information on the amount of income controlled by foreign companies received from a permanent representative office.

For the convenience, specialists of the State Tax Service created infographic, which contains examples of the most common mistakes in the process of filling out Report.

It is advised for payers to use provided information to avoid technical mistakes in the process of filling out the Report.