Business news from Ukraine

Government proposes to Parliament to update Customs Tariff of Ukraine to improve foreign trade

The Government on Friday approved a bill that brings the Customs Tariff of Ukraine in line with the requirements of the International Convention on the Harmonized Commodity Description and Coding System in the 2022 version, the Ministry of Economy reported.
The agency explained that the current Customs Tariff of Ukraine is built on the basis of such an international system of the 2017 version, while most countries of the world (China, the USA, the EU, Turkey, Switzerland) have already switched to the 2022 version.
In this regard, there are a number of complications associated with differences in commodity codes in the customs clearance of imported products or when comparing the customs statistics of Ukraine and trading partner countries.
“Ukraine is adapting to international standards for the classification of goods. We need this in order to increase our own exports, enter new markets, strengthen competitive advantages in world trade,” First Deputy Prime Minister Yulia Sviridenko, Minister of Economy, said in the release.
The Ministry of Economy clarified that if the bill is adopted, more than 350 changes will be made to commodity codes, mainly in relation to agricultural goods, chemical, forestry, textiles, non-ferrous metals, engineering, transport, etc.
The report clarifies that the new customs tariff does not provide for changes in the rates of import duty on goods.

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PARLIAMENT ADOPTED IN FIRST READING BILL ON INTRODUCTION OF BIM TECHNOLOGIES IN UKRAINE

The Verkhovna Rada adopted in the first reading and as a basis bill No. 6383, which provides for the introduction of building information modeling (BIM-technologies) at all stages of the life cycle of objects.
“In most developed countries, BIM technologies are already actively used in the design of construction projects. In particular, for state orders, their use is mandatory. The Ukrainian construction industry still does not have a very high level of digitalization, and BIM technologies are still used in their activities of only a few organizations. Finally, we will change this and our construction will become modern,” Elena Shulyak, deputy head of the Verkhovna Rada Committee on the organization of state power, local self-government, regional development and urban planning, said on Facebook.
According to her, thanks to BIM technologies, it will be possible to gain access to any information about the construction site, control construction work at all stages, rationally use resources and significantly reduce construction costs.
As reported, the draft law also provides for the mandatory use of BIM technologies in the development of project documentation for the construction of facilities with the involvement of budgetary funds. In this case, a transitional period of five years is established.
Earlier in February 2021, the Cabinet of Ministers of Ukraine approved the concept for the introduction of BIM technologies.

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VERKHOVNA RADA (PARLIAMENT) SHOULD SOON CONSIDER APPOINTMENT OF OMBUDSMAN

The Verkhovna Rada may at the next plenary session consider the issue of appointing its Commissioner for Human Rights, Chairman of the Ukrainian Parliament Ruslan Stefanchuk said.
“I think that personnel issues will be raised there (at the next meeting of the Verkhovna Rada), in particular, I hope that the parliament will be able to appoint a new ombudsman… and Ukraine will get a normal and full-fledged ombudsman,” the speaker said on air of the #UA national telethon on Saturday.
At the same time, he noted that there is no other candidate in the parliament, except for the head of the parliamentary committee on human rights, de-occupation and reintegration of the temporarily occupied territories, national minorities and interethnic relations, Dmitry Lubinets (deputy group “For the Future”).
“The chairman of the Verkhovna Rada or 118 people’s deputies has the right to nominate (the candidature of the Ombudsman). Only I have exercised my right to nominate a candidate, so it will be entered into the hall, ”Stefanchuk specified.
Earlier, First Vice Speaker Alexander Kornienko explained that, according to legislative procedures, the Rada could vote for the appointment of a new Commissioner for Human Rights no earlier than the beginning of July.
As reported, the Verkhovna Rada dismissed Lyudmila Denisova from the post of her Verkhovna Rada Commissioner for Human Rights. The corresponding decision was supported by 234 people’s deputies at the plenary session on Tuesday. The Rada appointed her to this position on March 15, 2018.
Chairman of the Verkhovna Rada Ruslan Stefanchuk announced on June 21 that he proposed to appoint People’s Deputy Dmytro Lubinets (for the Maybutne group) to the position of Commissioner for Human Rights.
Dmitry Lubinets is a Ukrainian politician and lawyer, People’s Deputy of Ukraine of the 8th convocation (from the Petro Poroshenko Bloc) and the 9th convocation (outside parties). In 2019, he entered the Verkhovna Rada as a non-partisan self-nominated candidate in constituency No. 60 (Donetsk region) and became a member of the For the Future parliamentary group, which became a party on June 2, 2020.

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PARLIAMENT SIMPLIFIES FINANCING MECHANISM OF UKRAINIAN CULTURAL FOUNDATION AND ITS EXPERTS

The Verkhovna Rada has simplified the mechanism for financing the current activities of the Ukrainian Cultural Foundation (UKF) and its experts during martial law.
The adoption of the relevant bill No. 7417 as a basis and in general was supported by 313 people’s deputies at the plenary session on Sunday, Yaroslav Zheleznyak, a member of the Voice faction, said in his telegram channel.
According to the explanatory note, in connection with the introduction of martial law in Ukraine, the fund’s expenses in 2022 were reduced by 90%. The authors of the document note that the bill provides for the removal of the current restriction on financing the activities of the UKF in 16% of the annual income of the fund.
This will ensure the proper organization and stabilization of the activities of the UKF, will prevent the dismissal of employees and a complete halt in the activities of the fund, which plays an important role in the development of culture and creative industries in Ukraine. In particular, it is required to simplify the mechanism for financing the current activities and logistics of the UKF, the activities of its expert councils during martial law.

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PROFILE COMMITTEE OF PARLIAMENT OF UKRAINE RECOMMENDS ABOLISHING BENEFITS FOR IMPORT OF GOODS

On Thursday, the Verkhovna Rada Committee on Finance, Tax and Customs Policy recommended that the parliament adopt as a basis and in general government bill No. 7418 on the abolition of duties and VAT on imported goods, including cars, from July 1.
The draft document was supported by 19 committee members, four abstained.
In addition, the bill will provide for a provision allowing the government to provide mirror benefits for duties on foreign goods, where zero duties are set for similar Ukrainian items. We are talking about mutual recognition of the liberalization of the terms of trade, in particular in the EU.
As Yury Draganchuk, Deputy Minister of Finance, noted during the discussion, the government is developing a draft law on simplified customs clearance of cars through Diya.
As reported, bill No. 7418 amending the Tax Code and other laws on the return of all customs duties and VAT on imported goods, including cars. He also proposes to resume taxation, which was abolished by law No. 2142, for goods imported by single tax payers of the first and third groups, since on average the budget loses about UAH 3 billion in import duties on this benefit per month.

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UKRAINIAN DEPUTIES PROPOSE TO PARLIAMENT TO ABANDON DUTY-FREE IMPORT OF CARS

A group of people’s deputies propose to the Parliament to refuse exemption from import duties, excise tax and VAT on car imports, bill No. 7311, the text of which is posted on the website of the Verkhovna Rada, testifies. the budget received less than 350 million hryvnia, and now the daily amount of benefits is 100 million hryvnia.
At the same time, not isolated cases of the importation of premium cars were recorded, the authors of the bill note, among them is the head of the Verkhovna Rada Committee on Finance, Tax and Customs Policy Daniil Getmantsev.
The bill also proposes to return taxation for goods imported by single tax payers of the first or third group.
The authors of the bill point out that during the week of such relaxations, the budget received less than UAH 417 million.
As reported, on March 24, 2022, the Verkhovna Rada of Ukraine, in order to stimulate important imports for the country, among a number of goods for the period of martial law, exempted the import of vehicles by citizens from taxation (cars, motorcycles, trucks and buses).
According to the State Customs Service, over the month, Ukrainians have issued more than 19,000 cars on preferential terms, which created problems and delays for the import of humanitarian aid.

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