Page 45 - UKRRptAug22

decision-making, it does require some mutual integration in selected areas. This directly concerns the tax authorities.
Tax authorities of all member states cooperate to exchange information , carry out joint control measures and facilitate the collection of tax debts. Their close cooperation is crucial to detect and reduce tax fraud. At this stage, the creation of a legal and administrative framework for the automatic exchange of information on financial accounts is of fundamental importance. EU4PFM supports the implementation of the standard of automatic exchange of information both from the point of view of the preparation of draft laws and the development of the necessary IT solutions.
Full implementation of the EU administrative cooperation framework will require further legislative changes, including imposing certain obligations on business to collect and provide data for further exchange between competent authorities of member states. This data includes information from state registers, information on wages and incomes of residents of other member states, data on transactions provided by payment companies, information from electronic platforms on the income of sellers.
Ensuring proper application of implemented EU legislation
But in the end, it will not be enough just to develop and adopt the provisions of EU tax legislation. It is necessary to develop the administrative potential of the tax administration for the application of such norms. In addition, certain IT solutions must be put in place. In particular, the State Tax Service of Ukraine is obliged to connect to:
· CCN/CSI special protected network — a joint IT platform for exchange of tax information by competent EU authorities;
· IT systems for automatic collection and exchange of tax information : data from state registers about wages and incomes of residents of other member countries, data from financial institutions about accounts, data from payment companies about transactions, information from electronic platforms about incomes of sellers, etc.;
· VIES ( VAT Information Exchange Systems) to confirm the identification numbers of VAT payers of economic operators registered in the EU for cross-border operations;
· E-commerce and One-Stop Shop ( OSS), which simplifies up to 95% of VAT obligations for cross-border sellers online, as it allows them to register as a VAT payer electronically in one Member State;
· VAT refund;
· Monitoring systems for the movement of excise goods control (
EMCS) is a control system for the movement of excise goods ( alcohol, tobacco and energy). More than 100,000 economic operators use the system today, and it is an important tool for information exchange and cooperation between EU member states.
45 UKRAINE Country Report XXXX 2018 www.intellinews.com