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of September 24, 2010 No. 11969/5/15-0316

Concerning explanation of some provisions of the law of Ukraine of 28.12.94 No. 334/94-BP "About the taxation of profit of the companies"

By Article 97 of the Civil code of Ukraine it is determined that control of society is exercised by its bodies: general meeting of participants and executive body if other is not established by the law.

General meeting of members of society has the right to make decisions on all questions of activities of society. Including [on] those which are transferred by general meeting to competence of executive body.

"Board", "directorate", etc. can be the name of executive body of society according to constituent documents or the law (the Art. 99).

Provisions of Article 101 determine management of organization. In organization the board to which provisions of Art. 99 of Civil Code of Ukraine are applied is surely created. Observation of activities of organization performs its supervisory board. The supervisory board performs observation of property management of organization, observance of the purpose of organization and of its other activities according to the constituent act.

Control is exercised by execution organizational and administrative or administrative type duties.

Subject to the foregoing the executive body of the company, general meeting for joint-stock companies and the supervisory boards of the companies treat governing body of the company if other is not provided by the law or constituent documents.


Vice-chairman A. Lyubchenko

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