The Ukrainian Ministry of Revenue and Duties has recently released public guidance on the taxation of interest-free loans received by Ukraine corporate taxpayers.
If the lender is a corporate taxpayer in Ukraine and is not entitled to corporate tax benefits, the borrower must include in its taxable income at the end of the tax period an amount equal to computed interest on the loan using the interest rate of the Ukrainian National Bank for each day of the loan. If the borrower repays the lo…