Ukraine Tax Agency Clarifies Taxation of Real Estate Inherited From Extended Relatives

The Ukrainian State Tax Service April 29 clarified the taxation of real estate inherited from extended relatives. The clarification includes that: 1) resident individuals who inherit real estate from extended relatives are subject to a 5 percent individual income tax rate, and a 5 percent military tax; 2) the payment obligation arises once ownership of the real estate is transferred; 3) the resulting tax liability can be paid at notarial registration, or by filing an electronic or manual tax return by May 1 of the next year and paying by Aug. 1; and 4) penalties and interest will be assessed ...