ukraine-exchanges-financial-account-data-for-the-first-time-what-it-means

Ukraine exchanges financial account data for the first time: what it means

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For the first time, Ukraine has conducted an international automatic exchange of information on financial accounts, the Ministry of Finance reported on Friday, UNN reports.

Details

"Ukraine has made an important step towards increasing the transparency of financial transactions and combating tax evasion and has successfully carried out its first international automatic exchange of information under the Common Reporting Standard (CRS)," the Ministry of Finance reported.

As noted, within the framework of this exchange, the State Tax Service of Ukraine transferred information on financial accounts of non-residents to the tax authorities of the partner jurisdictions, and also received data on accounts of tax residents of Ukraine from foreign competent authorities. "The subject of the exchange was information on financial accounts maintained by financial institutions (banks, insurance and investment companies, etc.) and owned by residents of partner jurisdictions," in particular, "account data: balance as of the end of the reporting period, total amount of dividends, interest or other income," the ministry said.

"This step is part of Ukraine's commitments in the process of integration into the EU and is aimed at increasing the transparency of the tax sphere. Thanks to the exchange, Ukraine will be able to fight tax evasion more effectively, which will contribute to additional tax revenues and thus to the country's economic stability and development," the Ministry of Finance explained.

For reference

As of January 2024, about 110 jurisdictions are participants in the international multilateral automatic exchange of financial account information, including all EU member states. 

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