The State Tax Service of Ukraine – to issue a letter of explanation on the transactions having no re…

The State Tax Service of Ukraine – to issue a letter of explanation on the transactions having no reasonable economic reason (no business purpose): i. provide detailed explanations about criteria employed for identifying transactions having no reasonable economic reason (business purpose); ii. provide examples demonstrating tax authority’s approach employed while proving the lack of a reasonable economic reason (business purpose) in certain commercial transactions.

The Ministry of Finance of Ukraine – issue a letter of explanation or a generalized tax consultation clarifying methodology of application of the TCU’s provisions on the foregoing matters.