On 18 December 2017 the Government approved a concept for the abolition of nearly 340 obsolete regulatory acts which were irrelevant and created excessive pressure on business. How can cancellation of these acts influence business in Ukraine?
It is no secret that for the growth of the state’s economy, improvement of its investment climate and facilitating business, it is necessary to minimize all regulatory processes of the state and exclude those that are not related to the provision of services to the private sector.
Thus, on 18 December 2017 the Government approved a concept for the abolition of nearly 340 obsolete regulatory acts. On the same day, Decrees No. 984 and No. 987 were adopted. In particular, amendments were made to Decree No. 1336 of 23 August 2000 on increasing the sum of the annual volume of settlement operations to UAH 500,000 in excess of which it is obligatory to use registrars of settlement transactions.
An important step to stimulate the development of the chemical industry was the adoption of Resolution No. 985 on expanding the list of companies that receive quotas for the receipt and import of chemical raw materials without payment of excise tax.
Changes will affect and simplify the procedure for customs clearance of goods in sea and river ports. From now on, foreign vessels are allowed to enter Ukrainian ports and carry out unloading of goods 24 hours after the provision of electronic information about the cargo on board the ship. Accordingly, it will speed up the customs procedures as earlier a foreign vessel did not have the right to even enter port waters without the prior sending of such information.
Also, the Government approved the amendment of its Resolution No. 146 of 27 February 1995 regarding the simplification of the procedure for opening and operating representative offices of foreign companies and financial institutions in Ukraine. Thus, the above-mentioned representative offices will no longer be required to coordinate issues related to the acquisition, reorganization or lease of premises with a government agency.
In addition, the duty of subsoil users to reassess reserves of mineral deposits every five years, which was set out in Decree No. 865 of 22 December 1994, has been canceled.
It is expected that regulatory pressure on business in Ukraine will decrease, as well as the risks of corruption abuses, and that released funds will contribute to the modernization of existing production.