- From July 01, the Subsistence Rate Has Increased in Ukraine
- The National Bank Has Taken over the Supervisory Functions over Non-Bank Financial Services Markets
- Entry into Force of a new Law on the Customs Tariff
- Entry into Force of the Law on the Non-imposition of Penalties and Fines on Credits During the Quarantine Period
- A New Construction Activities Register to be introduced in Ukraine
From July 01, the Subsistence Rate Has Increased in Ukraine
According to Article 7 of the Law of Ukraine “On the State Budget of Ukraine for 2020”, from July 01 the subsistence rate per person per month has increased to UAH 2,118.00.
For the main social and demographic groups of the population this indicator is now as follows:
- children up to 6 years: UAH 1,859.00;
- children aged 6 to 18 years: UAH 2,318.00;
- able-bodied persons: UAH 2,197.00;
- persons with disabilities: UAH 1,712.00.
From July 01, 2020, the minimum pension is UAH 1,712.00. The maximum amount of unemployment benefits has increased to UAH 8,788.00 (4 subsistence rates).
The minimum amount of alimony for children under 6 years has also increased and now may not be less than UAH 929.50 (previously – UAH 889.50), and for children between 6 and 18 years — not less than UAH 1,159.00 (previously – UAH 1.109.00).
In addition, the amount of assistance to single mothers has increased: for children under 6 years it now amounts to UAH 1,859.00, for children from 6 to 18 years — UAH 2,318.00, for children from 18 to 23 years (if the child is studying full-time in an institute of higher education) — UAH 2,197.00.
Starting from July 01, the provision was also made to increase the minimum assistance to people who care for a sick child, low-income families, disabled people from childhood and low-income people who care for a person with a disability of group I or II.
The National Bank Has Taken over the Supervisory Functions over Non-Bank Financial Services Markets
Starting July 01, 2020, the National Bank of Ukraine and the National Securities and Stock Market Commission shall act as the regulator of non-bank financial services markets. This novelty is provided for by the Law of Ukraine «On Amendments to Certain Legislative Acts on Improving Functions in State Regulation of Financial Services Markets» (the so-called “Split Law”).
From now on the National Bank shall perform the supervisory functions over financial, insurance, leasing, factoring companies, pawnshops and credit unions. The NBU begins to accept and process citizens’ requests about the work of these institutions.
A response to a standard request is provided within 30 days. However, if the request does not require additional study and verification, the response is provided within 15 days. In certain complex cases, the review period may be extended to 45 days.
The Integrated Information System has been opened on the official website of the National Bank, where the registers of financial institutions taken over from the National Securities and Stock Market Commission have been uploaded.
Entry into Force of a new Law on the Customs Tariff
July 03, 2020 the new Law on the Customs Tariff has entered into force.
The Law has brought the Ukrainian Classification of Goods for Foreign Economic Activity (UKTZED or UCGFEA) into line with the current version of the Harmonized Commodity Description and Coding System of the World Customs Organization (latest version dated 2017). Prior to the adoption of the new Law, the Customs Tariff of Ukraine was based on the Harmonized Commodity Description and Coding System version 2012.
The new law provides for the customs clearance of goods in Ukraine with the application of modern international customs law in terms of classification of goods.
The Law does not change the import duty rates for goods, but it does provide for changes, additions, clarifications of the codes and descriptive parts of individual goods, and notes to product groups. In total, 233 amendments have been made to the latest edition of the Harmonized System of 2017.
The modern UKTFEA is expected to simplify the comparison of customs statistics, facilitate the analysis of trade flows at the customs border of Ukraine and speed up customs clearance.
Entry into Force of the Law on the Non-imposition of Penalties and Fines on Credits During the Quarantine Period
The Law “On Amendments to the Commercial Code of Ukraine and the Civil Code of Ukraine Concerning the Prevention of Penalty Sanctions on Credits (Loans) During the Quarantine Period Established to Prevent the Spread of Coronavirus (COVID-19) in Ukraine” No. 691-ІХ adopted by the Verkhovna Rada on June 16, 2020 came into force on July 04, 2020.
The law was officially published in the “Holos Ukrainy” (Voice of Ukraine) newspaper on July 03, the day after it was signed by the President of Ukraine.
The law is aimed at protecting borrowers from imposition of fines and penalties on credits during the quarantine period and during the 30-day period after the end of the quarantine.
Thus, pursuant to the Law, during the quarantine period established by the Cabinet of Ministers throughout Ukraine and/or within thirty days after the end of the quarantine, in case of late fulfillment of the monetary obligation under the agreement, according to which the borrower was granted a credit by a bank or other creditor, the borrower shall be relieved of the obligation to pay the creditor a penalty, fine or charge for such a delay.
A New Construction Activities Register to be introduced in Ukraine
On July 01, the Government approved the draft resolution “On the Implementation of a Pilot Project to Introduce the First Stage of the Unified State Electronic System in the Construction Sector”. The adoption of the resolution provided for launch of the third stage of urban planning reform in Ukraine.
The adoption of the resolution is intended to create conditions for the beginning of the introduction of the Unified State Electronic System in the construction sector as part of the urban planning cadaster.
The resolution specifies the legal basis for launching the Construction Activities Register, which is the main element of the System. The new electronic register will ensure the creation, collection, accumulation, processing, protection, recording of information about construction objects and participants and the relationship between them.
In addition to the introduction of the new Construction Activities Register, the resolution provides for the gradual introduction of urban planning terms and restrictive guidelines, as well as construction passports into the E-system as of September 01.