The new edition of the Tax Code entered into force

The new edition of the Tax Code contains 21 sections, 71 chapters and 480 articles. It entered into force on January 1, 2020, but sections VI, VII, and chapter 5 will come into force on January 1, 2022.

The turnover on the sale of goods (services) acquired by legal entities through loans (credits), provided by international and foreign government financial organizations under international treaties as part of projects, approved by international and foreign government financial organizations before July 1, 2020, is not subject to value added tax and excise tax.

For the period until January 1, 2022, an order is introduced in accordance with which the tax authorities notify the Business Ombudsman of the appointment of a tax audit in compliance with the procedure.

The taxpayer has the right to carry forward the loss incurred before January 1, 2020, to the future for no more than five years following the tax period. The total amount of the carried forward loss, taken into account in each subsequent tax period, may not exceed 50% of the tax base of the current tax period.

Clause 1 of the first part of Article 40 shall come into force on January 1, 2023. Until January 1, 2023, the controlling person of a foreign company is a legal or individual person, whose share in the foreign company is more than 50%.