2024 will be the first reporting period for which Ukraine will exchange reports by country
The Ministry of Finance of Ukraine reminds that the Multilateral Competent Authority Agreement on the Exchange of Country-by-Country Reports (CbC) entered into force in July 2024. More than 100 countries have already joined the international system of automatic exchange of reports.
Deputy Minister of Finance Svitlana Vorobey noted that 2024 will be the first reporting period for which Ukraine will exchange reports by country. Ukraine's accession to the international system of automatic exchange of information will contribute to the creation of a more transparent tax environment and enhance the image of Ukraine as a reliable and equal partner in international information tax relations.
The introduction and exchange of country-by-country reports is envisaged by the provisions of Step 13 of the BEPS Minimum Standard, a set of international tax rules aimed at strengthening the tax base, which Ukraine has committed to implement.
Country-by-country reporting will allow the Ukrainian tax authorities to obtain comprehensive information on the activities of international groups of companies in specific jurisdictions, as well as to conduct an effective analysis of the scope of activities, structure of operations and specifics of international groups of companies for the purposes of transfer pricing control.
The said reports are part of a three-tiered system of transfer pricing documentation for international groups of companies, which includes transfer pricing documentation (local file) and global transfer pricing documentation (master file).
For more information
Country-by-Country Report is a report submitted by taxpayers if the total consolidated income of the international group of companies, which includes the taxpayer, for the financial year preceding the reporting year, calculated in accordance with the accounting standards applied by the parent company of the international group (and in case of absence of information - in accordance with international accounting standards), exceeds the equivalent of EUR 750 million and in the presence of one of the circumstances specified in subparagraph
The form of the report by country of the international group of companies and the procedure for its completion were approved by the Ministry of Finance.
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