Land market reform increases focus on Urkaine's agro-potential

With its vast fields of wheat and barley, sunflower, beets and other grain and oil crops, it is easy to understand how Ukraine gained its nickname of the breadbasket of Europe.

Ukraine is responsible for 60 per cent of world sunflower exports. It is the world’s top exporter of barley, a major supplier of wheat and also exports significant quantities of milk and meat.

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Pursuant to Article 199 of the Tax Code of Ukraine ("TCU"), VAT payers are required to perform annual recalculation of VAT credit incurred on purchases of goods/services used in both VATable and non-VATable transactions.

In accordance with section two of Article 199.4 of the TCU, calculation of the portion of fixed assets used in VATable transactions (and, accordingly, VAT credit on fixed assets) should be done following 12, 24 and 36 months of the use of such...

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