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LETTER OF STATE TAX ADMINISTRATION OF UKRAINE

of April 2, 2010 No. 3702/5/15-0716z

Concerning the questions connected with payment for the earth

The State Tax Administration of Ukraine considered your letter of 01.03.2010 of N A-47-03, which arrived from Committee of the Verkhovna Rada of Ukraine concerning tax and customs policy (c) the letter of 23.03.2010 N 04-27/163, concerning the questions connected with payment for the earth and reports.

Collection of payment for the earth in Ukraine is performed according to the Law of Ukraine of July 3, 1992 N 2535-XII "About payment for the earth", with changes and amendments (further - the Law N 2535).

By preamble of the Law N 2535 it is determined that this Law determines the sizes and procedure for payment for use of land resources, and also the directions of use of the means which arrived from payment for the earth, responsibility of payers and control of correctness of calculation and collection of the land tax, and also the rent for the parcels of land of the state-owned and utility property.

According to article 14 of the Law N 2535 payers of the land tax (except citizens) independently estimate the amount of this tax and annually as of January 1 and till February 1 of the current year represent to relevant organ of the State Tax Service on the location of the parcel of land the tax declaration the current year in the form established by the central tax authority with breakdown of the annual amount equal shares on months. Submission of such declaration exempts from obligation of submission of monthly declarations.

The taxpayer has the right to represent monthly new reporting tax declaration which does not exempt it from obligation of submission of the tax declaration till February 1 of the current year, within 20 calendar days of the month following reporting.

Charge to citizens of the amounts of the land tax is carried out by bodies of the State Tax Service which issue to the payer till July 15 of the current year the payment advice about payment introduction.

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