On 16 January 2020, the Parliament of Ukraine passed the law "On Amendments to the Tax Code of Ukraine Purposed to Improve the Administration of Taxes, Eliminate Technical and Logical Inconsistencies in the Tax Legislation" (Anti-BEPS Law).

Among other important novelties, the definition of "beneficial owner" was amended. It is now specified that the recipient of an income would not be qualified as the beneficial owner but rather as an agent, nominee or intermediary with respect to the income when: (i) the recipient does not have the right to dispose such income; and/or (ii) the recipient merely forwards the income further along the chain and performs no substantial functions in the transaction; and/or (iii) the recipient has no relevant resources (personnel, fixed assets, sufficient equity, etc.) necessary to perform the functions and manage the risks of the transaction. The Anti-BEPS Law is currently pending its signature by the President of Ukraine and further promulgation into law.

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