New taxes for businesses in 2025
The President of Ukraine has signed a new law (No. 11416-d), which introduces important changes to the tax legislation. It concerns the taxation of dividends, income of controlled foreign companies (CFCs) and entrepreneurs working through foreign companies. Let’s analyze how this will affect business.
More taxes on dividends
Shareholders of foreign companies and companies on the simplified taxation system will now pay 14% tax on dividends instead of 10.5%.
What does this mean for you?
If you receive dividends from foreign companies or have a business on the simplified taxation system, the tax burden will increase.
This is worth considering when planning your income for the coming year.
Changes for CFC owners
If you have a controlled foreign company (CFC), you will now pay tax at a rate of 14% to 23%.
Why is this important?
Previously, the rate was lower, but now control and responsibility have increased.
If you own a business or assets abroad, you need to file a return and calculate new taxes.
Transition period without penalties
There is good news. Taxpayers are exempt from penalties for violations related to the CIT if they correct their reporting within six months after the end of martial law.
What to do?
Check that you have all the necessary documents.
If something is wrong, there is time to correct the errors without financial losses.
How will this affect business?
The new law increases the tax burden, especially for those who receive income abroad. This forces Ukrainian businesses to operate transparently, but it also adds new challenges.
What we recommend:
Analyze your income. Find out how the changes will affect your financial situation.
Prepare your reports. Make sure that your documentation meets the new requirements.
Contact experts. We are ready to help you understand your reporting, optimize your tax burden, and plan your next steps.
Summary
The new tax rules will affect many entrepreneurs and foreign business owners. But if you prepare in advance, you can avoid problems and find ways to effectively manage your taxes.
Leave your questions here, and we will be happy to help you!
