Tax residency

Tax residency determines in which country or countries we are obliged to report income and pay taxes.

Correct determination of residency will help avoid financial losses due to double taxation, fines, and tax disputes.

Our team assists clients with complex issues related to tax residency, taking into account Ukrainian legislation, international treaties, and the practice of tax authorities.

Criteria for determining tax residency

Staying in the country > 183 days

Center of vital interests

Citizenship of the state

Permanent residence

Residential real estate

Special taxation

Our team assists clients with complex issues related to tax residency, taking into account Ukrainian legislation, international treaties, and the practice of tax authorities.

Let’s determine your tax residency

This will take a few minutes, and you will receive a general summary at the end.

When a tax residency lawyer Is needed?

Residing in 2-3 or more countries

Changing country of residence or business operations

Relocation of the owner or key employees

Having income in several jurisdictions

Working with foreign companies or holdings

Tax audits and disputes with regulatory authorities

Issues of double taxation

Application of special tax regimes

Need a consultation on tax residency?

Every situation is individual, and there are different approaches to determining tax residency status. Contact us to receive a professional analysis of your situation and a secure legal solution.

FILL OUT THE FORM, AND OUR LAWYERS WILL CONTACT YOU TO CLARIFY THE DETAILS.

FAQ

What is tax residency?

How is tax residency determined in Ukraine?

Is it possible to be a tax resident of two countries?

How to avoid double taxation?

What documents confirm tax residency?

What is the center of vital interests?

What are the criteria for determining the center of vital interests?

Is it possible to renounce the status of a tax resident of Ukraine and obtain a certificate confirming this?

What are double taxation treaties?

Can entrepreneurs change their tax residency?

What is a tax residency certificate?

What risks arise from incorrect tax residency status?

Do tax residents need to declare foreign income?

Why is tax residency important for international business?

What is tax residency?

Tax residency is a legal status that determines the country where an individual or company must pay taxes. In many jurisdictions, tax residents are required to declare and pay taxes on their worldwide income.

How is tax residency determined in Ukraine?

Tax residency is determined by the place of permanent residence, the center of vital interests, or actual presence in Ukraine for more than 183 days per year.

Is it possible to be a tax resident of two countries?

Yes, such a situation is possible, but international conventions on the avoidance of double taxation are applied to resolve it.

How to avoid double taxation?

Double taxation is eliminated by applying international tax treaties and correctly determining tax residency.

What documents confirm tax residency?

The primary document is a tax residency certificate (confirmation) issued by the tax authority of the respective country.

What is the center of vital interests?

The center of vital interests refers to the country with which a person has the strongest personal and economic connections, such as family, employment or business activities.

What are the criteria for determining the center of vital interests?

The permanent place of residence of family members, registration as an individual entrepreneur (FOP), employment, being a participant and/or the ultimate beneficial owner (UBO) of a company, etc.

Is it possible to renounce the status of a tax resident of Ukraine and obtain a certificate confirming this?

No, in Ukraine, there is no procedure for renouncing this status or a certificate form that would confirm it.

What are double taxation treaties?

Double taxation treaties are international agreements between countries designed to prevent the same income from being taxed twice. They also define tax residency rules in cross-border situations.

Can entrepreneurs change their tax residency?

Yes. Entrepreneurs may change their tax residency by relocating their place of residence or shifting their center of economic interests to another jurisdiction.

What is a tax residency certificate?

A tax residency certificate is an official document issued by tax authorities confirming that an individual or company is a tax resident of a particular country.

What risks arise from incorrect tax residency status?

Incorrect determination of tax residency may result in double taxation, tax penalties, regulatory disputes and compliance issues with international tax authorities.

Do tax residents need to declare foreign income?

In many jurisdictions, tax residents must declare income earned both domestically and abroad, depending on the tax system of the country of residence.

Why is tax residency important for international business?

Tax residency determines where taxes must be paid and affects international tax planning, compliance obligations and financial reporting for businesses operating across borders.