The Law of Ukraine as of March 23, 1996 No98/96-BP with changes and amendments “0n Patenting of Certain Types of Entrepreneurial Activities” (with changes and amendments, introduced by Laws of Ukraine).

Trade patent is a state certificate testifying the right of a subject of entrepreneurial activity or his/her structural (separated) subdivision to attend to the specified types of entrepreneurial activities in the above mentioned Law.

Special trade patent is a state certificate testifying the right of a subject of entrepreneurial activity to a special taxation procedure in compliance with the stated above Law.

By legal entities and subjects to business activity having not a legal entity status, - residents and non-residents, as well as their separated subdivisions (affiliates, departments, representative offices, etc.) that are engaged in:

• trade activity for cash assets, as well as using other forms of settlement of accounts and credit cards;
• activity on change of cash currency valuables (including operations on cash paying means expressed in foreign currency and in credit cards);
• activity on rendering services in the field of gambling business;
• activity on rendering services in the field of consumer services for cash, as well as using other forms of settlement of accounts and credit cards.

The trade patent is issued in exchange of a payment to subjects of entrepreneurial activity by state bodies nearest to place of location of these subjects of entrepreneurial activity or place of location of their structural (separated) subdivisions, to subjects of entrepreneurial activity engaged in trade activity or render consumer services (except for mobile trade network) - at the location of their trade center or service center, and to subjects of entrepreneurial activity engaged in trade through a mobile trade network - in the place of registration of these subjects.

The value of the trade patent for provision of trade activity is established by bodies of local self-government depending on location of the trade center and assortment list of goods.

The value of trade patent for a calendar month is established within the following margin levels:

-on territory of the city of Kyiv, region centers - from 60 to 320 hryvnias;

-on territory of the city of Sevastopol, cities of region center status (except for region centers themselves) and district centers - from 30 to 160 hryvnias;

-on territory of other settlements - up to 80 hryvnias.

In case when trade centers are located in resort places or on territories adjacent to customs, other points of travel through customs border, the bodies of local self-government to whose budgets the payment for trade patent is directed, can make decision on increase of the amount to be paid for trade patent but it cannot exceed 320 hryvnias for a calendar month.

Cost of a short-term trade patent on carrying out trade activity per a day is set in fixed size 10 HR.

Payment of trade patent cost on carrying out trade activity is made monthly not later than the 15^th of the month that precedes the accounting one.

Payment of a short-term patent cost is made not later than one day to the starting trade activity.

Pending purchasing a trade patent on carrying out trade activity, a subject to business activity makes a one-time payment at the rate of the trade patent cost for a month. Size of payment for trade patent that is to be paid during the last month of its validity is reduced for the sum paid pending purchasing the trade patent.

A subject of entrepreneurial activity can make a pre-payment of the trade patent's value for provision of trade activity for the whole validity term. A subject of entrepreneurial activity has right to buy trade patents for provision of trade activity for the subsequent years but not more than for three years having paid the total value of these patents at the moment of their receiving. Thus, a subject of entrepreneurial activity is exempted from liabilities on additional payments for trade patent's value in case when standard and legislative acts approved after the payment of the total value of trade patents for the subsequent years was made, stipulate increase of the trade patent's value.

The time-frame of trade patent's validity for provision of trade activity constitutes twelve calendar months.

The time-frame of a short-term trade patent's validity for provision of trade activity constitutes from one to fifteen days.

Value of the trade patent on rendering public services is set by public authorities depending on the location of the object that provides public services and on a kind of public services.

Value of the trade patent on carrying out activity on rendering public services for a calendar month is established within the alarm levels mentioned in the previous part referred to carrying out trade activity.

Payment of the value of the trade patent on carrying out activity on rendering public services is made monthly up to the 15^th of the month preceding the accounting one.

Pending purchasing the trade patent on rendering public services a subject to business activity makes a one-time payment at the rate of the value of the trade patent for a month. For the sum paid pending purchasing the trade patent the size of the payment for the trade patent is reduced that is the subject to be paid in the last month of its validity.

A subject to business activity may make a preliminary payment of the value of the trade patent on rendering public services for the whole term of its validity. A subject to business activity is eligible to purchase trade patents on rendering public services for the next followed by the current years, but for not more than three years, having paid the full value of the patents pending their purchasing.

At that a subject to business activity is exempted from the additional payment for the trade patent on rendering public services is the value of the trade patent is increased by adopted legal acts after having paid the full cost of trade patents.

The time-frame of trade patent's validity on rendering public services totals 12 calendar months.

The special trade patent may be purchased by a subject to business activity engaged in trade activity or activity on rendering public services specified in articles 3 and 3-1 of the above mentioned Law. In cases there are several subjects to business activity having trade halls for buyers or rendering public services in one separate premise, building or their parts, except for markets of all forms of ownership, the special trade patent is granted only on the condition that all specified subjects to enterprise activity purchase special trade patents.

Value of the special trade patent is set by public authorities annually after adopting the local budget, and it is not restricted by alarm levels provided by articles 3 and 3-1 of the Law.

Subjects to entrepreneurial activity that purchased the special trade patent, shall not pay the taxes and duties (obligatory payments), determined by article 7 of the Law.

If subjects to enterprise activity are engaged at the same time in other kinds of activity, they are to keep a separate accounting of such an activity and pay taxes and duties (obligatory payments) with respect to the activity on common grounds.

Value of the trade patent on trade in cash currency assets exchange is established at the fixed rate 320 hryvnias for a calendar month.

Payment of the cost of the trade patent on trade currency assets exchange in cash is made quarterly up to the 15^th of the month that precedes the reporting quarter.

The term of the validity of the trade patent on trade in cash currency assets exchange totals 36 calendar months.

The value of the trade patent on the trade patent on rendering services in gambling is set at the fixed rate (for a year):

• for use of slot machine with money or property award – 1400 hryvnias;
• for use of gaming table with roulette wheel– 64000 hryvnias;
• for use of other gaming tables (special tables for casino, except for tables for billiard) – 48000 hryvnias per a table
• for use of skittle-alley that are operated via a token, coin or without them, - 2000 Hr per each gaming slot (alley);
• for use table for billiard performed via a token, coin or without them, except for the tables that are operated for sport amatory competitions, - 600 hryvnias per each table for billiard;
• for performing other kinds of gambling, including drawing with awarding money prizes in cash beyond a bank establishment or in a form of property on the spot, - 2400 hryvnias per each separate kind (place) of gambling.

Payment of the value of the trade patent on rendering services in gambling is made quarterly not later than the 15^th of the month preceding the reporting quarter.

The time-frame of trade patent the trade patent on rendering services in gambling 's validity totals 60 calendar months.

-in the front shop window, and in case of its absence - near the cash register;

-in the front window of a small architectural form [stall/kiosk];

-on a plate - in car trading shops and other types of mobile trade network, as well as on counters and hawkers' trays/stands and other types of trade spots opened in places assigned for trade activity purposes;

-in points of foreign currency exchange;

-in premises assigned for rendering services of gambling business and rendering consumer services. The trade patent must be visible and accessible for examination.

A subject of entrepreneurial activity who has suspended business activity subject to patenting in compliance with the stated above Law, before the 15th of the month that precedes the accounting one, notifies the corresponding state tax body in written form on suspension of such activity. Thus, the trade patent has to be returned to the state tax body that issued it, and the sum of trade patent's value paid in excess is reimbursed to the subject of entrepreneurial activity.