In Re (#01-02 January-February 2014)

Tax Planning of Foreign Investment into Ukraine

by Valeria S. Tarasenko

As in any other jurisdiction Ukrainian legislation contains a number of tax specifics and limitations that foreign investors should keep in mind when structuring their investments in Ukraine.

Investment in Ukrainian companies can be structured either as (i) an equity or as (ii) a debt investment.

Equity investment sets forth establishment of new companies or purchase share capital in existing entities. Upon structuring of equity investment a foreign investor shall consider following tax issues applicable in Ukraine to the return of investment…

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