REUTERS
Resolution No. 7 comes into force today, January 17.
The National Bank of Ukraine (NBU) has abolished the norm prohibiting the use of current accounts of individual entrepreneurs for their own needs and obliging them to transfer or withdraw funds from such accounts only after taxes and fees have been paid.
Relevant NBU Resolution No. 7 comes into force on January 17, the regulator said on its website.
According to the document, the NBU has canceled the clause of instruction on opening and use of accounts, saying that all transactions may be carried out in individual entrepreneurs' accounts except for those related to their own needs.
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The said clause also provided that funds from such accounts shall be transferred to individual entrepreneurs' accounts for their own needs after taxes, fees and other liabilities have been paid.
The requirement caused misunderstanding with the business community, therefore, the regulator decided to listen to the opinion of banks and their clients, the NBU said.
Before the publication of the resolution, Governor of the National Bank of Ukraine (NBU) Yakiv Smolii said the National Bank and the State Tax Service would coordinate their positions on the issue soon.
"The National Bank's stance remains unchanged. The norm stipulating that individuals' current accounts shall not be used for conducting transactions related to business activities has been in force since 2003. Since the banking system should be protected from risks of conducting financial transactions with signs of fictitiousness, the National Bank and the State Tax Service will discuss the mechanisms for minimizing such risks," the NBU added.
UNIAN memo. In early January 2020, the National Bank issued an explanatory statement for banks to remind them about the ban on using individual entrepreneurs' accounts for their needs and obliged financial institutions to clarify the fact of lack of tax debt before transferring funds from such accounts.