FOREIGN CURRENCY AND FOREIGN-CURRENCY TRANSACTIONS UNDER THE NEW TAX CODE OF UKRAINE | UBC

Tax accounting for foreign-currency transactions was brought as close as possible to the accounting rules.

How to Start Business in Ukraine

One of the innovations of the Tax Code of Ukraine was a rule under which, when foreign currency is purchased, the positive or negative difference between the rate at which the currency was purchased and the rate used to determine its carrying value, that is the official exchange rate, is included respectively in the expenses or income of the reporting period.

Company Incorporation in Ukraine

Section III of the Tax Code provided that exchange differences from the remeasurement of transactions denominated in foreign currency, debts and foreign-currency balances are determined in accordance with accounting standards.

Related Tax Code materials

• Taxable object
• Income (gross income)
• Expenses (gross expenses)
• Operating expenses
• Other expenses
• Expenses not taken into account when determining taxable profit
• Fixed assets and depreciation
• Procedure for applying ordinary prices
• Tax differences
• Procedure for carrying forward losses
• Dividends
• Tax accounting during reorganisation
• Securities and securities transactions
• Foreign currency and foreign-currency transactions
• Leases and lease transactions
• Asset management transactions
• Accounting for doubtful debts
• Tax reliefs and exemptions
• Tax holidays
• Corporate profit tax rate

International Trade and Market Entry