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The Law introduces Diia City, a special legal regime for Ukrainian IT companies, for at least 25 years. The Law also introduces a number of important changes and clarifications applicable not only to the Residents but to all Ukrainian companies.
The individuals will be released from liability for tax and currency control infringements for the assets reported in special returns. The also may benefit from reduced liability for infringements of Ukrainian merger control rules.
For companies with sophisticated corporate structures such disclosure obligations create a burden to collect many documents from various jurisdictions.
The Law introduces VAT on digital services supplied by non-residents to Ukrainian individual customers and abolishes 20% withholding tax on advertising services.
Nowadays, LLC shareholders may use such well-known instruments, as the right of first offer (ROFO), the right of first refusal (ROFR), tag along, drag along, deadlock resolution mechanisms, voting arrangements, option agreements, etc.