Customs Clearance of Foreign Investments in Ukraine

Entering of foreign investment into the charter capital of resident company is regulated by Law of Ukraine "On regime of foreign investment" (the “Law”). According to the Law foreign investments are values which are put by foreign investors in objects of investment activity according to the legislation of Ukraine for the purpose of profit or achievement of social effect. The enterprise with foreign investments is the company of any organizational-legal form created according to the legislation of Ukraine, the foreign investment in which charter capital is not smaller than 10 percent.

The state registration of foreign investments is carried out by the Government of Autonomous republic of Crimea, regional, Kyiv and Sevastopol city state administrations within three working days after their actual receipt of the foreign investments.

The property which is imported into Ukraine as a contribution of the foreign investor in charter capital of the enterprises with foreign investments (except the goods for sale or own consumption), is exempt from customs duty. Thus customs bodies carry out the admission of this property on territory of Ukraine on the basis of the promissory note (draft) given by the enterprise for the sum of the customs duty with a delay of payment no more than for 30 calendar days from the date of registration of the import cargo customs declaration. If the draft is approved by customs, the import customs duties are not collected. Import of goods by the enterprises with foreign investments for sale or own consumption, these goods are cleared without taxation privileges. In case of import of the goods under contracts on joint investment activity these goods (except the goods for own use or sale) are released from duty payment. At alienation of this property before three years from the moment of its transfer on balance of the enterprise the duty is paid in full.

If within 3 years from the moment of transfer of the foreign investment on balance of the enterprise with foreign investments the property which has been imported into Ukraine as a payment of the foreign investor in the charter capital of the enterprise, is alienated, including in connection with the termination of activity of this enterprise (except export of the foreign investment abroad), the enterprise with foreign investments pays the import customs duties from customs value of this property which is accrued in currency of Ukraine at official rate established by National bank of Ukraine at date of alienation of the property.

To perform customs clearance of foreign investments it is necessary to present the following documents to customs authorities:
1. Cargo customs declaration (SAD);
2. Copies of promissory notes, registered by the state tax inspection, for the sum of the customs duties and taxes (except custom charges);
3. Document of the pre-arrival control;
4. Shipping documents:
o CMR, railway waybill, air waybill;
o CARNET TIR;
o Invoice;
o Packing list;
5. The contract for processing of raw materials;
6. The certificate on declaring currency values, incomes and property which belong to the resident of Ukraine outside Ukraine;
7. The certificate of origin of the goods;
8. The articles of association.

The goods, which are imported into Ukraine as the investment into the charter capital of subjects of enterprise activity, subject to obligatory certification.