Ukraine to step up fight against money laundering in offshore zones

"The Cabinet of Ministers decision of March 3 has approved a plan of measures to prevent the evasion of taxes and fees by business entities and to prevent money laundering in offshore zones," the report said.

The plan envisages the following measures: ensuring the updating of the Ukrainian list of offshore zones taking into account the EU legal norms and the data of the Global Forum on Transparency and Exchange of Information for Tax Purposes and the OECD; preventing the illegal withdrawal of funds abroad, including to offshore zones, the illegal movement of goods on the basis of forged invoices; submitting to law enforcement agencies generalized materials formed as a result of monitoring financial transactions, and determining those that may be related to the legalization of income from tax crimes; introducing the automatic exchange of information with tax authorities of other countries, in particular in accordance with the Common Reporting Standard (CRS).

In addition, the Action Plan on Base Erosion and Profit Shifting is to be further implemented through the adoption of relevant regulations. Another point of the plan is aimed at applying tax control measures to prevent the risks of the unjustified formation of value added tax by taxpayers, taking into account the risk category of business entities - participants in tax evasion schemes.

op