Application peculiarities the provisions of the Law of Ukraine № 3050as of 11.04.2023-ХХ "On amendments to the Tax Code of Ukraine and other legislative acts of Ukraine regarding exemption from payment...

Application peculiarities the provisions of the Law of Ukraine № 3050as of 11.04.2023-ХХ "On amendments to the Tax Code of Ukraine and other legislative acts of Ukraine regarding exemption from payment of the environmental tax, land tax and tax on immovable property other than land plot for destroyed or damaged real estate"

Submission of information to controlling authorities regarding decisions on the establishment of tax benefits for payment of local taxes and/or levies adopted on the basis of taxpayers' applications to recognize land plots as unsuitable for use due to the potential threat of their contamination by explosive objects

Sub-paragraph 12.4.6 Paragraph 12.4 Article 12 of the Tax Code of Ukraine (hereinafter – Code) stipulates that powers of village, township, city councils (hereinafter – Councils) particularly include providing information to the controlling authorities at the location of land plots regarding decisions on establishing tax benefits for payment of local taxes and/or levies adopted on the basis of taxpayers' applications to recognize land plots as unsuitable for use due to the potential threat of their contamination by explosive objects (hereinafter – Decision, contaminated land plots). Such information is provided in the electronic form in manner and in form approved by the Cabinet of Ministers of Ukraine within 10 calendar days from the date of adoption of relevant decision with obligatory indication of cadastral numbers of land plots in respect of which respective decision was made.

In territories where Councils temporarily do not exercise their powers, Decisions have a right to make relevant military administrations and military-civilian administrations according to procedure provided for by the Code for Councils (Paragraph 12.3 Article 12 of the Code).

Decisions must be made for each calendar year separately, subject to the availability of relevant applications from taxpayers, and for a period not longer than until the end of current calendar year (Sub-paragraph 12.3.7 Paragraph 12.3 Article 12 of the Code).

Decision regarding contaminated land plots is a basis for non-assessment and non-payment of the minimum tax liability, land tax, single tax for single tax payers of Group IV (Paragraph 38¹.2 Article 38¹, Paragraph 283.2 Article 283, Paragraph 283¹.3 Article 283¹, Paragraph 288.8 Article 288, Paragraph 292¹.1 Article 292¹ of the Code).

Procedure for submitting information regarding Decisions and form of providing information to controlling authorities are approved by Resolution of the Cabinet of Ministers of Ukraine № 1333 as of 19.12.2023.

Payment of land tax, environmental tax, tax on immovable property other than land plot (hereinafter – Taxes) on the territory of active hostilities, where state electronic information resources function

State Tax Service of Ukraine informs that by Resolution of the Cabinet of Ministers of Ukraine № 485 as of 30.04.2024 "On amendments to Paragraph 1 of Resolution of the Cabinet of Ministers of Ukraine № 1364  as of 06.12.2022" (hereinafter – Resolution № 485) amendments were made to Paragraph 1 of Resolution of the Cabinet of Ministers of Ukraine № 1364 as of 06.12.2022 "Some matters of formation of the list of territories where which hostilities are (were) conducted or temporarily occupied by the Russian Federation."

Resolution № 485, which entered into force on the day of its publication, namely 03.05.2024, established that for taxation purposes, territories of active hostilities are included in the list of territories of active hostilities, territories of active hostilities, where state electronic information resources function.

Therefore, Sub-section 3 "Territories of active hostilities where state electronic information resources function" of Section I "Territories where hostilities are (were) conducted" of the List of territories where hostilities are (were) conducted or temporarily occupied by the Russian Federation to territories active hostilities, approved by Order of the Ministry for Reintegration of Temporarily Occupied Territories of Ukraine № 309 as of 22.12.2022 (with changes) (hereinafter – List of territories), is used for taxation purposes according to peculiarities of tax administration during the martial law on the territory of Ukraine, provided for by Sections VIII, XII, Sub-paragraphs 69.14, 69.16, 69.22 Paragraph 69 Sub-section 10 Section XX "Transitional Provisions" of the Tax Code of Ukraine (hereinafter – Sub-paragraphs 69.14, 69.16, 69.22 of the Code).

Sub-paragraphs 69.14, 69.16, 69.22 of the Code stipulate that starting from 01.01.2023, any Taxes are accrued or paid for a period from the first day of month in which beginning date of active hostilities or temporary occupation was determined for relevant territories, until the last day of month in which hostilities or temporary occupation of the respective territory was completed. Dates of the beginning and end of active hostilities or temporary occupation are determined according to data from the List of territories.

At the same time, extension of action of Sub-paragraphs 69.14, 69.16, 69.22 of the Code in territory of active hostilities, in which state electronic information resources function, begins on the first day of month in which Resolution № 485 (05.03.2024) entered into force.

As follows, Sub-paragraphs 69.14, 69.16, 69.22 of the Code, taking into account norms of Resolution № 485 for taxation objects located on the territory of active hostilities, where state electronic information resources function, stipulate that Taxes are not accrued and paid, starting from 01.05.2024 until the last day of month in which hostilities or temporary occupation ended in the relevant territory.