Сергей Панов, Author at Finance Business Service

IT law conference of the Lawyers Association of Ukraine

Published: Sergey Panov | 28/04/2016 | news

The first conference on IT law in Ukraine was held on 8 April, 2016 which was attended by lawyers of our company. This unique event was devoted to the legal aspects of the activities of IT companies, as well as the various issues faced by the business. Leading experts of these sectors act as rapporteurs - lawyers who lead the practice in IT, as well as managers and heads of IT companies. Also at the conference attended by representatives of Ukrainian and foreign companies that are interested in the development of the segment of information technology. Such issues were discussed during the conference: Structuring of the business of information technology in Ukraine and in the world Electronic money, cryptocurrency Actions before, during and after the rummage? Contracts with customers IT and fiscal policy Solutions for domain disputes Author: Sergey Panovmanaging partner Finance Business...

Exchange corporate tax return in Europe

Published: Sergey Panov | 28/04/2016 | news

The Committee on Economic and Monetary Affairs of the European Parliament voted in favor of the proposal for automatic exchange of country-by-country reports. MEPs approved a report on the proposal by 45 votes, with 11 abstentions. Dariusz Rosati, who prepared the report, said that the initiative is "an important step in the fight against harmful tax practices within the EU. This should increase transparency and reduce harmful tax competition." Under the proposal, multinational companies with total consolidated revenues of EUR 750 million or more will need to submit statements of EU countries. This rule will apply to all countries with which the company operates. The report stresses that the Commission should have full access to the information exchanged between the tax authorities of the countries to give the opportunity to assess whether they practice in accordance with the rules of state aid. This is especially important for small and medium-sized companies who work in one country only, as they "usually pay an effective tax rate which is much closer to the official rates than multinational firms." The Commission also added that "the domestic companies do not...

Norway simplify VAT registration for non-residents

Published: Sergey Panov | 27/04/2016 | news

Foreign companies in Norway will be able to choose to register or not to register for VAT through a representative in accordance with the amendments to the Law on VAT proposed by the Government. In a statement, the government said the proposed changes are designed to simplify the process of VAT registration and therefore reduce administrative costs for non-resident companies which carry out taxable supplies in Norway. As well as the use of a local representative is required for registration. Under the current VAT rules companies that do not have a permanent establishment in Norway but making taxable supplies worth more than $ 5,400 per year must register for VAT. However, the government intends to abolish this requirement and instead to allow non-resident companies to choose whether they want to register a VAT through a local representative. The new rules will apply to companies established in the European Union area. The Government has yet to decide when they introduced the proposed changes. Author: Sergey Panovmanaging partner Finance Business...

Gramegna confirmed corporate tax cut in Luxembourg

Published: Sergey Panov | 26/04/2016 | news

Luxembourg's finance minister Pierre Gramegna confirmed that the government will gradually cut the corporate tax rate but the proposed changes to the restrictions on loss carry rules. Gramegna said that corporate tax will be reduced from the current rate of 21 percent to 19 percent in 2017 and further decline to 18 percent by 2018. Luxembourg's finance minister Pierre Gramegna confirmed that the government will gradually cut the corporate tax rate but the proposed changes to the restrictions on loss carry rules. Gramegna said that corporate tax will be reduced from the current rate of 21 percent to 19 percent in 2017 and further decline to 18 percent by 2018. In addition, the corporate tax rate for annual income of small businesses which do not exceed $ 28,000, will be reduced to 15 percent. Also Gramegna announced the adjustment of the proposed restrictions on transfer in front of past losses of the company. Initial proposals would allow loss carry forward for 10 years and used to compensate for a maximum of 80 percent of the profits. However, Gramegna informed Parliament that the losses will be "more strictly controlled" in 2017. And under the current rules the...

Britain fights against the regime of money laundering

Published: Sergey Panov | 25/04/2016 | news

The UK government has set out an action plan for the implementation of measures to combat money laundering and counterterrorist finance regime. The Action Plan defines three main steps. First, strengthen law enforcement response to the threats faced by the United Kingdom. This step will include improved law enforcement capacity and the creation of new legal powers to disrupt the activities of criminals and terrorists. Second, the reform should help to keep track of those companies that promote or allow to launder money. And, thirdly, to increase the international reach of law enforcement agencies and international exchange of information. Within the framework of the action plan, the government will hold a six-week consultation on a number of proposed measures. Interior Minister Theresa May said: "The world's leading financial system of Great Britain is threatened and undermined by money laundering, illegal financing and the financing of terrorism and laundering of proceeds from criminal activities Our plan of action sends a clear signal that we will not tolerate this type of activity in our financial institutions. We will create a new partnership that will...

New steps of the deoffshorization in Ukraine

Published: Sergey Panov | 25/04/2016 | news

The Verkhovna Rada registered draft law "On the tax sovereignty of Ukraine and offshore companies" № 4380 (hereinafter - the "Project number 4380") and the Draft Law "On Amendments to the Tax Code of Ukraine in connection with the adoption law of Ukraine" About tax sovereignty of Ukraine and offshore companies "» № 4381 (hereinafter - the "project number 4381") on 12 April, 2016. According to the explanatory memorandum to the draft decision number 4380 of this law aims to determine the content of the tax sovereignty of Ukraine, as well as the content of the sovereignty of foreign states. Besides this, lawmakers plan to minimize the use of offshore companies to evade taxes in the territory of Ukraine or to deal with corruption offenses and money laundering from crime, terrorist financing or other socially dangerous criminal offenses, including those committed by politically exposed persons - Ukrainian residents. Also Project number 4380 is assumed a definition of concepts which have not yet been enshrined in the legislation of Ukraine, in particular, "the anonymous company", "anonymous account", "offshore company", "offshore zone", "offshore country" and many...

Canada-EU, trade agreement

Published: Sergey Panov | 22/04/2016 | news

Minister of International Trade of Canada, Chrystia Freeland held talks on the comprehensive economic and trade agreement (CETA) between Canada and the European Union in Brussels last week. In February, Canada and the EU announced the conclusion of the legal expertise of the English version of the text of the agreement. They confirmed that the CETA signed in 2016 and entered into force in early 2017. On April 20, Chrystia Freeland met with EU Trade Commissioner Cecilia Malmström. Also, discussions were held with the Government of Belgium and the European Commission, European Parliament members, as well as representatives of the EU business community. Freeland, said: " when agreement entries into force it will deepen our trade and investment ties with EU and will also offer significant opportunities for citizens and for both sides of the Canada-EU. The agreement should come into effect as soon as possible it allows Canadians and Europeans to take full advantage of its benefits. " It is assumed that an agreement could encourage bilateral trade by more than 20 percent. Author: Olena Kutova senior lawyer of the Finance Business Service...

Parliament of Ukraine proposed to impose a tax on transactions from offshore jurisdictions

Published: Sergey Panov | 21/04/2016 | news

The Parliament of Ukraine once again registered the Draft Law on Amendments to the Tax Code of Ukraine on April 13, 2016 on introduction of a tax on transactions from offshore jurisdictions number 4413, by N. Korolevskaya and Y. Solod (hereinafter - the "Project number 4413 "). A memorandum to the Project number 4413 proposeto introduce a tax on transactions from offshore jurisdictions from 1 January 2017. The rate of the tax is set at 15% of the payment amount payable to non-residents that have offshore status. According to the memorandum to the Anti-offshore law, taxpayers are entities who pay for goods (works, services) to non-residents with offshore status, or perform calculations by such non-residents or their bank accounts (including opened in banks of Ukraine), regardless of whether such payment is made directly or through other residents or non-residents. To ensure the tax on transactions from offshore jurisdictions the banks will be banned to accept vouchers to perform conversion of funds to non-residents with offshore status without simultaneous offshore tax payment to the state budget of Ukraine. Initiators stated that these changes will allow to...

The third international business forum in Kharkiv

Published: Sergey Panov | 21/04/2016 | news

Attorneys of our company attended the third international business forum in Kharkiv which was held on 7 April this year. This forum is a response of Ukrainian business community to the situation in our country. Each year, this event is visited by more than three hundred and fifty directors and managers of different companies. Forum raised topical issues of the transformation of the Ukrainian business. Key issues of the forum - best practices for attracting investment, obtaining grants, development of business in crisis and access to the European market. Business Forum provided two program’s format in the usual forms, it is the speech of speakers and discussions, as well as have been introduced two new formats - "Investment Salon", where Ukrainian companies asked questions about raising grants and "projects Battle", where entrepreneurs present their startups. Also Ivan Miklos delivered a speech for the first time in Kharkov - he is the ex-finance minister of Slovakia and one of the authors of the "Slovak economic miracle". Its main purpose of a speech was a desire to share its experience and help Ukrainian businesses to successfully adapt to the economic...

Canada adopted the latest tax transparency standard

Published: Sergey Panov | 20/04/2016 | news

The Government of Canada released draft legislative proposals to implement common standards of tax reporting, which will enter into force on 1 July 2017. As of this date, Canadian financial institutions are required to have procedures to identify accounts belonging to non-residents. Then they must report certain information to the Agency of Canada revenue. Canada is one of more than 90 jurisdictions that are committed to the implementation of accounting standards. Agreement on the exchange of statements from other jurisdictions will strive to ensure that each jurisdiction has adequate capacity and guarantee for the exchange of information. Department of Finance said that the information received from the tax returns of the partners jurisdictions, will help Canada to better fight against tax evasion and ensure tax compliance and protect the integrity of the tax system. Consultations will be closed July 15, 2016. These consultations will announce new measures to combat tax evasion. The government also stated that it will establish an advisory offshore committee which will develop a strategy to help alleviate and prevent offshore non-compliance with tax...

Author: Сергей Панов