President has Signed the Law Channelling the Proceeds from Rendered Administrative Services to the Budgets of the Amalgamated Communities

On 3 October 2016, President Petro Poroshenko signed Law of Ukraine No. 1509-VІІІ "On Amendments to the Budget Code of Ukraine with respect to Paying Separate Administrative Fees to the Local Budgets".

Within the framework of decentralisation, amendments to the Budget Code of Ukraine are made and the matter of exercising by the communities of powers of local self-government bodies is streamlined, which communities have amalgamated within the framework of decentralisation.

From now on, separate types of the fee for administrative services rendered will be paid to the general fund of budgets of the amalgamated territorial communities which are established in accordance with the law and the prospective plan of formation of territories of communities.

The point at issue is

  • the administrative fee for the state registration of estates in real property and encumbrances thereof;
  • the administrative fee for the state registration of legal entities, individual entrepreneurs and public formations;
  • the fee for the reduction of the time frames for rendering services in the area of state registration of estates in real property and encumbrances thereof and the state registration of legal entities, individual entrepreneurs and public formations, as well as the fee for rendering other fee-based services related to such state registration.

The administrative fee for the state registration of legal entities, individual entrepreneurs and public formations, which registration is carried out by the executive bodies of village, town, and city councils, will also be paid to the local budgets at the location where such services are rendered.

The Law shall become effective on the next day following the date of its publication.

As it was reported, on 8 September of this year, the Verkhovna Rada (Parliament) of Ukraine passed the law with respect to the payment of separate administrative fees to local budgets whereby it amended the Budget Code.

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