Football Club Dynamo Kyiv paid about Hr 85 million, or $3.03 million at the current forex rate, in taxes to the budget of Ukraine in 2017.
In particular, about Hr 44 million in taxes was paid by football players and personnel “from foreign incomes,” FC Dynamo Kyiv said in a statement at the request of the Large Taxpayers Office of the State Fiscal Service. The statement is dated August 29, the request was sent on August 13.
About Hr 14 million was paid as land tax, Hr 12 million was paid as single social security tax, payments of tax on individual incomes exceeded Hr 10 million, VAT payments totaled about Hr 2.5 million. Payments of other taxes (transport, ecological, property tax, military tax, rental payments) amounted to more than Hr 2 million.
In its statement, FC Dynamo Kyiv says that players and the staff of the club are paid salaries and bonuses (foreign income). The amount of received foreign income is included in the total annual taxable income of the taxpayer. The recipient of such income is obliged to submit an annual assets declaration before May 1 of the year following the reporting year.
“The club’s players mentioned income for 2017 in the annual declarations of property status and income,” the club noted.
FC Dynamo Kyiv also explained that foreign income to the club’s employees was paid in accordance with contracts with a subsidiary, Dynamo Kiev (Cyprus) LTD, which is registered in accordance with the jurisdictions of Ukraine and Cyprus.
As reported early in August, the State Fiscal Service reportedly started verifying tax reports by FC Dynamo Kyiv.
