Document from CIS Legislation database © 2003-2019 SojuzPravoInform LLC

LETTER OF THE MAIN STATE TAX AUTHORITIES OF UKRAINE

of August 14, 1996 No. 14-310/13-228

About the value added tax

The main state tax authorities of Ukraine about the taxation on value added of international shipping services, on loading, unloading, overload of the exported goods, and also forwarding services...

According to Item 63 of the Instruction on procedure for calculation and the tax discharge on value added and the excise duty for the goods imported because of limits of customs borders of Ukraine, and the goods (works, services) exported out of limits of customs borders of Ukraine approved by the order of the Main state tax authorities of Ukraine of 31.05.94 N 44 and registered in the Ministry of Justice of Ukraine 29.06.94 N 140/349, the value added tax do not collect for realization as with payments in foreign or national currency, and by exchange or transfer for export out of limits of customs borders of Ukraine of goods (works, services), including accomplishment of international carriages of goods and passengers by vehicles, and also services in loading, unloading, reloading of goods (them exporting) and transit of foreign freights, including services in transit of freights through the territory of Ukraine.

According to the subitem "v" of the same Item international shipping services consider exported if they are performed according to the transportation contract or the broker agreement on transportation of both goods, and passengers from Item in the national territory of Ukraine to Item abroad, from Item abroad to Item in the national territory and en route through the national territory of Ukraine, and also between two Items within the country as parts of the international airborne and water hauls. At the same time one of conditions of provision of privilege is direct provision by the payer of services in transportations.

According to the Rules of implementation of forwarding activities during transportation of the foreign trade and transit cargoes approved by the resolution of the Cabinet of Ministers of Ukraine of 21.09.93 N 770, participants of forwarding process the freight forwarders providing forwarding services, and separately - the transport enterprises transporting are separately.

Forwarding services consist in range of services, connected only with preparation and sending freights, carrying out settlement, control of passing and receipt of freights (item 2 Governed).

They do not include international shipping service. Cargo delivery to destination, ensuring timely loading and unloading of vehicles performs transport enterprises as 4 above-mentioned Rules are stipulated in Item. These companies according to the subitem 11 of Item 1 of the Regulations on procedure for issue by the subject of business activity of special permissions (licenses) for implementation of separate types of activity approved by the resolution of the Cabinet of Ministers of Ukraine of 17.05.94 N 316, provide international shipping services of passengers and freights by air, river, sea, railway and road transport, to agency service and chartering of sea merchant marine fleet in the presence of the license granted by Ministry of Transport of Ukraine.

I.e. forwarding services and international shipping services are different types of services which are provided mainly by various companies. Tax exemption on value added of forwarding services is not provided by the current legislation.

If forwarding services are provided directly by contractors of services in complex with international carriages, is their part (the intra factory address), with cargo delivery by vehicles which consist on balance of these companies, in that case in the presence of the license for implementation of international carriages exempt them from the value added tax.

 

First deputy Nachalnika of O. Shitr

Full text available with active License only!

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info

Effectively work with search system

Database include more 38000 documents. You can find needed documents using search system. For effective work you can mix any on documents parameters: country, documents type, date range, teams or tags.

Get help

If you cannot find the required document, or you do not know where to begin, go to Help section.

In this section, we’ve tried to describe in detail the features and capabilities of the system, as well as the most effective techniques for working with the database.

You also may open the section Frequently asked questions. This section provides answers to questions set by users.

Search engine created by SojuzPravoInform LLC. UI/UX design by Intelliants.