What tax and currency benefits will the US-Ukrainian investment fund have? The lawyer of Anastasia Luke tells

The Agreement between US and Ukraine Governments on the establishment of the US-Ukrainian Investment Fund opens new opportunities to attract foreign investment in Ukrainian economy. Thanks to tax benefits, monetary freedom and guaranteed stability, the Fund will receive privileged access to important infrastructure and extractive projections that should facilitate the restoration and development of the country after the war. Seven important nuances for his effective work are told by Anastasia Luhyuk, a co -inspiring partner

Draw a subscription On 6 forbes Ukraine numbers with meaningful interviews, ratings and analytics, now with a 50% discount.

The agreement between US and Ukraine governments on the establishment of the US-Ukrainian Investment Fund (Fund) provides for a number of exceptions for its work on the tax legislation of Ukraine and new mechanisms of budget financing.

Release of income from taxation As a general rule, income received by non -residents with the source of their origin from Ukraine is subject to taxation at the rate of 15%. The agreement establishes an exception: all income of the Fund, its partners, as well as any payments, contributions and transfers in connection with its activities are not taxed in Ukraine.

Popular Rating Category Date yesterday 50 the best employers of the country

It is a complete exemption from all fiscal obligations, including taxes, fees, deductions and deductions. Such an exception has a norm of direct action, does not depend on Ukrainian laws and does not require additional acts.

Guarantees of stability conditions are tougher than in “action.city” The agreement establishes a rule according to which no new norm of Ukrainian legislation can change the conditions for the Fund. In the event of a conflict between Ukrainian laws and the provisions of the Agreement, the agreement itself has a priority. The state cannot refer to its domestic right to avoid obligations.

To understand business: it works as a guarantee of stability in the mode of “Action.City”, but much tougher-with international legal status and without urgent restrictions.

Budget revenue redistribution – Changes in conditions for some companies The agreement does not change the rules of taxation for enterprises, but influences the distribution of budget revenues.

50% of rent payments and new licenses (or not yet operated) Ukraine will transfer to the Fund through a special mechanism. Companies still pay taxes to the budget, but the state transfers some of these funds to the Fund.

Existing licenses and related revenues remain at the disposal of the budget.

Currency Liberty for the Fund The Fund receives the right to freely convert the hryvnia into dollars and translate abroad without taxes, fees or restrictions.

In case of introduction of currency control, the state undertakes to compensate for the fund any loss or delay. It is something unusual for Ukrainian business, which is used to working in conditions of rigid currency control.

The need for changes to the legislation In order to implement the provisions of the Agreement, it is necessary to amend the Budget and Tax Codes of Ukraine, in particular for the introduction of a mechanism for transferring part of rent payments and ensuring the tax immunity of the Fund.

The agreement creates a tool for attracting long -term foreign investments in the restoration and development of Ukraine, with transparent rules and clearly fixed financial guarantees. The goal is clear and strategically justified.

At the same time, businesses should be prepared for the emergence of a new player on the market – a fund that will work with exceptional conditions and will have priority access to individual projects, in particular in the mining and infrastructure.

The gun