Order of the Ministry of Finance of Ukraine as of 08.02.2021 № 62 “On approval of Amendments to the Accounting procedure of taxpayers” (hereinafter – Order № 62) registered at the Ministry of Justice of Ukraine on 16.03.2021 № 340/35962 entered into force on 19.03.2021.
Purpose of Order № 62, first of all, is to bring the Accounting procedure of taxpayers approved by Order of the Ministry of Finance of Ukraine as of 09.12.2011 № 1588 and registered at the Ministry of Justice of Ukraine on 14.05.2014 № 503/25280 (hereinafter – the Procedure) in compliance with amendments to the Tax Code of Ukraine by the Law of Ukraine as of 16.01.2020 № 466-IX “On Amendments to the Tax Code of Ukraine to improve tax administration, eliminate technical and logical inconsistencies in tax legislation” and the Law of Ukraine as of 14.07.2020 № 786-IX “On Amendments to the Tax Code of Ukraine on functioning of the Electronic cabinet and simplification of work for individuals – entrepreneurs”.
Comments on changes related to the fulfillment by non-residents and their separate divisions of accounting and registration obligations as taxpayers are detailed in the Newsletter № 19 “Taxation of non-residents and their permanent establishments according to the results of 2020 and taxpayers’ registration from January 1, 2021” posted at the link:
https://tax.gov.ua/podatki-ta-zbori/informatsiyni-listi/452561.html
Order № 62 amended registration procedures of non-residents (foreign law firms, organizations) operating in Ukraine through separate divisions, including permanent establishments, or acquire real estate or obtain property rights to such property in Ukraine or open accounts in banks of Ukraine in accordance with Article 6 of the Law of Ukraine “On payment systems and funds transfer in Ukraine”.
Specifically, it is established that the main registration place of non-resident is the controlling body where the non-resident is registered as a taxpayer, and in the absence of such registration – the controlling body where the non-resident is registered according to norms of Paragraph 64.5 Article 64 Section II of the Code.
Annex 6 to the Procedure is set out in new edition. This Annex instead of the application form for registration of a permanent establishment of non-resident in Ukraine as income tax payer (form № 1-RPP) introduces the application form for registration of non-resident or its separate subdivision (form № 1-OPN).
List of documents submitted to the controlling body for registration of non-residents, separate subdivisions of non-residents, including permanent representations of non-residents with the application № 1-OPN has been clarified.
Section V of Order is set out in new edition:
regarding the procedure for registration and accounting of non-resident as a taxpayer at the controlling bodies;
regarding the procedure of deregistration of non-resident as income tax payer in due to termination of economic activity by non-resident through permanent establishment(-s) if there are appropriate grounds (conditions) for such termination.
In addition, the list of grounds for deregistration at the controlling bodies of individuals involved in independent professional activity has been amended. In particular, it is noted that such individuals are deregistered also after termination of independent professional activity or change of organizational form of the relevant activity from independent (individual) to another, in the presence of documented information of the relevant register or authorized body registering such activity or issuing documents verifying involvement in such activities (certificates, permits, certificates, etc.) and submitted to the controlling body at the main registration place.
Text of Order № 62 can be found at the following links:
https://mof.gov.ua/storage/files/%D0%9D%D0%B0%D0%BA%D0%B0%D0%B7%2062.doc