Work flow chart upon declaration of dividends
1 June, 2020
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The Client applied to Interlegal upon tax issue. As the Ukrainian citizen and resident, the Client received dividends from the foreign company and desired to declare his income in compliance with the law.
Before adoption of so-called Law 1210, the foreign company owner (unless (s)he was a public officer) was not obliged to declare the fact of such ownership at the Ukrainian tax authorities. However such obligation occurred in case of receiving foreign income (dividends) to the account opened either in Ukraine or abroad.
Interlegal lawyers provided for the Client a work flow chart, i.e. explained the procedure for declaration of received dividends, jointly with tax payment procedure.
Following changes to legislation, tax declaration got a new sense for the foreign business owners. Starting from 2022, the Ukrainian residents shall submit to tax authorities, apart from the tax declaration of natural person, the report on controlled foreign companies.
