Legal and accounting services for importers

 YOUR GOAL

How to formalize contractual relations with foreign partners and payment documents, and complete customs clearance of goods?

You plan to import goods into Ukraine and want to organize your business as efficiently and safely as possible. The goal is to properly register the company, ensure compliance with legislation, maintain accounting records, and avoid problems with customs authorities.

However, there is a high probability that not everything will go quickly and smoothly, especially if the company has just started its operations and lacks sufficient experience and knowledge of all the nuances of running such a business.

You may encounter the following situations:

• Lack of understanding of which provisions must be included in the supply contract.
• Unwillingness of the counterparty to provide documents required to conclude the agreement.
• Inability to meet all bank requirements for transferring funds under the contract.
• Incorrect documentation and the risk of fines, confiscation of goods, and suspicion of smuggling.
• And many other surprises related to imports.

To avoid these problems and ensure peace of mind in your business, it is better to turn to professionals.

 OUR OFFER

For companies that have decided to import goods into Ukraine, we provide a list of stages that goods usually go through before the company can receive them.

It should be understood that when importing goods, problems may arise at every stage, and there are many of them:

1. Preparatory stage

• Company registration. An incorrectly chosen legal form (sole proprietor instead of LLC or vice versa). The business activity code does not correspond to the imported goods, which creates risks during customs clearance and tax audits.
• Electronic digital signature (EDS). The key has not been obtained or has expired at a critical moment. Technical issues with the key storage device arise. Changes in tax authority records lead to EDS blocking.
• Foreign currency account. The bank refuses to open an account due to failure to pass compliance checks. High fees for foreign currency transactions. Payment blocking due to internal financial monitoring. Long processing times for foreign currency payments.
• Determination of the HS code. An incorrectly selected code leads to the application of a higher customs duty rate, additional charges, and disputes with customs authorities. The goods may fall under bans or restrictions due to incorrect classification.
• Licenses and permits. Lack of information about the need for a license results in goods being stopped at customs. The process of obtaining permits may take months and require fulfillment of additional conditions (availability of a warehouse, equipment). High processing costs.
• Product certification. Failure to consider mandatory certification requirements. The supplier did not provide the necessary documents. The goods do not comply with Ukrainian standards. Certification in Ukraine is lengthy and expensive, often requiring laboratory testing.

2. Contract conclusion

• Agreement of contract terms. Unrealistic delivery deadlines. Fixed price with a changing exchange rate. Lack of clear product quality standards and dispute resolution procedures.
• Selection of Incoterms. Incorrectly chosen delivery basis (for example, EXW — all costs are borne by the buyer). Unclear allocation of risks. Under DAP, the supplier may choose an expensive carrier. Under FOB, logistics must be arranged independently without sufficient experience.
• Contract currency. The contract is concluded in one currency, while settlements are made in another. Exchange rate differences reduce profits. Sanctions against the supplier’s country block foreign currency payments.
• Payment terms. 100% prepayment carries the risk of non-delivery of goods. Deferred payment requires guarantees that the supplier does not trust. A letter of credit is a complex and costly instrument. Exceeding the period between payment and delivery beyond 180 days.
• Liability and force majeure. Weak penalty clauses allow the supplier to delay deliveries. Vague force majeure provisions cause disputes. Military actions in Ukraine often become grounds for foreign partners to refuse cooperation.
• Contract signing. Different versions of the contract held by the parties. The document is signed by an unauthorized person. The seal does not match the specimen. The electronic signature is not recognized by the foreign party. A long period of inactivity of the company before concluding a major deal may raise questions from tax authorities.
• Registration of the contract with the bank. Failure to register leads to NBU fines (up to 100% of the violation amount). The bank may refuse due to the suspicious nature of the transaction. Submission deadlines missed (5 business days). Incomplete document package or lack of a Ukrainian translation of the contract. The bank requires additional explanations and documents.

3. Foreign currency operations

• Contract registration. The bank reviews documents for weeks. Requires a notarized translation of the contract. Refuses due to the “suspicious” nature of the transaction. After registration, contract terms change, requiring re-registration.
• Contract accounting by the bank. The contract is tied to one bank, making it difficult to change. Monthly reporting under the contract is required (missing deadlines leads to fines). The bank blocks transactions due to inconsistencies in the settlement schedule.
• Settlement deadlines. Violation of the 180-day settlement period entails a fine of 0.3% for each day of delay. Supplier delivery delays or late customs clearance do not stop the running of the deadlines. The NBU may extend the period, but only with proper justification.

4. Payment

• Foreign currency transfer application. The bank rejects the payment due to compliance checks. Errors in details lead to funds being “frozen.” Insufficient account balance. The bank requires additional supporting documents.
• Supplier invoice. The invoice amount exceeds the contract amount. The invoice is issued by another company. Mismatch of product items. The bank refuses to accept the invoice due to improper formatting.
• Funds transfer. Funds pass through correspondent banks within 3–5 days. High fees of intermediary banks. Payment is frozen due to sanctions. Funds are returned without explanation. Loss of SWIFT message.
• Exchange rate differences. Between payment and goods recognition, the exchange rate changes sharply. Negative exchange rate differences reduce profits. Tax accounting of exchange differences is complex and requires professional support.

5. Documentation from the supplier

• Commercial invoice. Data does not comply with contract terms. The declared value of goods is clearly understated and not accepted by customs. Mandatory details are missing. Incorrect or incomplete description of goods.
• Packing list. Mismatch with invoice data. Lack of information on weight or dimensions. Actual discrepancies in goods are discovered during unpacking.
• Certificate of origin. Incorrect document form (for example, a declaration provided instead of EUR.1). Expired validity period. The document shows signs of forgery. The country of origin does not provide customs preferences. Absence of the certificate leads to payment of full customs duty.
• Quality and safety documents. Certificates are not issued in Ukrainian or English. Non-compliance with Ukrainian standards. Outdated or forged documents. Absence of quality and safety certificates.
• Transport documents. The original CMR was not received on time. The bill of lading is not issued to the consignee, making it impossible to receive the cargo. The air waybill contains errors. A “dirty” Bill of Lading with notes about cargo damage.

6. Logistics

• Selection of a logistics company. A low price means low quality of services (delays, cargo damage). The logistics company has no experience handling your type of goods. Lack of liability insurance. The logistics provider disappears from the market during delivery.
• Route and transportation conditions. The cheapest but longest route is chosen. Border congestion is not taken into account. The route passes through countries under sanctions. Cargo transshipment increases the risk of damage.
• Logistics services agreement. Vague wording of the parties’ liability. Limited liability cap (lower than the value of the goods). Hidden surcharges and fees. Unilateral right to change tariffs.
• Transfer of documents. An incomplete set of documents is provided — customs clearance is delayed. Copies of documents are illegible. Documents are lost. The freight forwarder requires originals earlier than they are actually available.
• Cargo insurance. The cargo was not insured and was damaged or lost. Insurance does not cover the relevant type of risk. Excessively high deductible. Complicated and lengthy procedure for obtaining insurance compensation.
• Cargo tracking. No cargo tracking system is available. Information is updated with delays. The cargo is “lost” in the system. It is impossible to plan goods receipt.

7. Customs clearance

• Selection of a customs broker. Broker incompetence leads to errors in the declaration. Overpriced services. Delays in clearance. Use of “grey” schemes creates serious risks for the importer.
• Preliminary information. Preliminary information is not submitted — the goods are stopped at customs. Submitted with errors — the goods are sent for inspection. Technical system failures at the time of submission.
• Customs declaration. Errors in HS codes. Incorrect determination of customs value. Mandatory fields are not completed. The “Inspector-2006” system rejects the declaration.
• Customs value. Customs does not accept the invoice price. Requires additional proof of value (price lists, contracts with other counterparties). Application of the fallback method increases customs value and results in additional customs duty and VAT.
• Calculation of customs payments. Errors in calculations lead to underpayment (penalties and additional charges) or overpayment (a complicated refund procedure). Not all components of customs value are taken into account. Change in customs duty rate after contract conclusion.
• Customs duty. The actual duty rate turns out to be higher than calculated. Anti-dumping duty is applied without prior awareness. Preferential duty is not applied due to documentation errors. The country of origin is subject to a special duty.
• Value Added Tax (VAT). 20% VAT calculated on the increased customs value leads to significant freezing of funds. VAT refund takes months. Tax authorities refuse refunds. Cash flow gaps arise.
• Excise tax. Failure to consider that the goods are excisable. High excise tax rate. Requirement to obtain a special license to trade in excisable goods.
• Payment of customs charges. Payments are not made on time. Errors in details result in funds not being credited. Insufficient account balance. Failures in the electronic payment system.
• Customs control. “Red corridor” — mandatory inspection and delay. Detection of discrepancies in documents. Goods sent for expert examination with long waiting periods. Constant requests for additional documents. Corruption pressure.
• Release of goods. Refusal to release the goods. Confiscation due to counterfeit or prohibited products. Seizure of cargo due to a dispute with the supplier. Delayed release leads to deterioration of goods in the warehouse.

8. Additional inspections

• Sanitary and epidemiological control. The goods fail inspection. Additional laboratory tests are required, resulting in time and cost losses. Non-compliance with sanitary standards leads to destruction of the goods. The permit expires during transportation.
• Veterinary control. Diseases are detected. The exporter’s country certificate is not recognized. Quarantine results in additional expenses. Possible complete destruction of the goods batch.
• Phytosanitary control. Pests or diseases are detected. The goods are placed under quarantine. Fumigation is required with additional costs. Destruction of a batch of plant products.
• Radiological control. Radiation levels exceed permissible limits. The goods are not released into free circulation. The need to return the goods to the supplier and disputes over who bears the costs.
• Permit issuance. Lengthy issuance procedure. High cost of laboratory services. Refusal to issue a permit. The permit should have been obtained prior to import, but this was discovered too late.

9. Receipt of goods

• Notification of customs clearance. Notification not received — storage penalties accrue. Notification arrives with a delay. SMS or email is lost.
• Removal of goods from the warehouse. No freight transport available. The warehouse operates on a limited schedule. Queues for loading. Additional warehouse fees.
• Inspection of goods upon receipt. Actual quantity does not match the documents. Damaged packaging. Mis-sorting or defects. Absence of an acceptance report makes further claims impossible.
• Waybill (TTN). Errors in documentation. Incorrect weight or number of packages. The carrier refuses to sign documents if issues are detected.
• Delivery to own warehouse. Vehicle breakdown en route. Theft of goods. Damage during transportation. The warehouse is not ready to receive the cargo.

10. Payment for logistics

• Service invoices. The invoice amount exceeds preliminary agreements. Unexpected cost items appear. Invoices are issued by different companies. Lack of service breakdown.
• Verification of logistics costs. Demurrage due to container delays leads to significant penalties. Additional port and terminal fees. Storage at customs warehouses. Payment for services that were not actually ordered.
• International transportation. Cost changes due to fuel surcharges. Extra payment for urgency. Increased cost due to a complex route. Additional insurance premiums.
• Customs broker services. Inflated tariffs. Unofficial payments for “expediting” procedures. Unexpected additional charges.
• Terminal services. Loading and unloading costs significantly exceed expectations. Storage beyond standard limits. Payment for special equipment.
• Warehouse services. Forced storage due to delays in cargo release. Daily storage fees. Security services. Penalties for late removal.
• Payment for services. Requirement to pay in foreign currency under a hryvnia contract. Cash gap and lack of funds. The provider blocks the next shipment until full payment for logistics of the previous one.
• Closing documents. Acts do not correspond to the services actually provided. Original documents are missing. Waybills are completed with errors. Documents for tax authorities do not meet requirements.

11. Accounting

• Inventory recognition. Quantity does not match documents. Different units of measurement (pieces/kg/liters). Impossible to recognize inventory without a customs declaration. Accounting software does not accept the data.
• Initial cost. Incorrect allocation of expenses. Missed costs = understatement of cost. Inclusion of irrelevant costs = overstatement. Errors in indirect expenses.
• VAT input tax credit. Blocking of VAT invoice registration by tax authorities. Errors in the customs declaration affect VAT invoices. Risk of VAT non-refund. Refusal to refund.
• Exchange rate differences. Complex accounting under national standards and the Tax Code. Negative differences reduce profit. Temporary differences = deferred taxes. Errors lead to penalties.
• Currency control. Missed submission to the bank. Report with errors. Deadline violations = penalties. Data discrepancies.
• Contract reporting. Monthly report “Information on the status of contract performance.” Missed submission deadlines. Errors cause bank refusal to accept the report. Inconsistent data in reports.

12. Contract closure

• Reconciliation of payments and deliveries. Part of the goods not delivered. Overpayments/underpayments. Supplier failed to fully fulfill obligations. Different data between you and the supplier.
• Confirmation of performance. Supplier does not provide closing documents. The bank requires documents that are unavailable. Force majeure — the contract is not fulfilled, but not due to your fault.
• Deregistration. Contract partially fulfilled — the bank does not deregister it. Outstanding debt remains. Deadline violations = NBU fines. Explanatory notes and justifications required.
• Archiving. Documents lost. Incomplete set. Needed after 3 years but unavailable. Tax audit results in penalties.

13. Reporting

• VAT tax declaration. Errors result in fines. Discrepancies with VAT invoices in the Unified Register. Blocking of VAT invoice registration. VAT refund triggers tax audit.
• Intrastat. Missed submission deadlines. Errors in product codes. Statistical penalties.
• Financial statements. Foreign economic operations reflected incorrectly. Not all liabilities accounted for. Exchange rate differences not reflected. Auditors identify errors.

Common problems at all stages

• War in Ukraine. Suppliers refuse to work due to risks. Logistics routes are closed. Delays at the borders. Goods destroyed due to shelling. Issues with "war risk" insurance.
• Lack of experience. Unknown nuances — errors. No specialized staff. Trusting unreliable advisors. Learning from own mistakes = financial loss.
• Financial problems. Large sums frozen in customs payments. Cash gaps. Currency risks. Supplier demands prepayment, but funds are not available.
• Legal risks. Changes in legislation. New requirements and restrictions. Sanctions against counterparties. Legal disputes.
• Reputational risks. Supplier damages goods — you lose reputation. Delivery delays. Low-quality goods. Loss of clients.

None of these problems can be solved by a single businessman or a regular accountant. Only a company with a full team of specialists and experience can sequentially or simultaneously handle all these issues. This way, your business can generate significant income, while trying to do it alone or with an accountant/lawyer lacking experience will almost certainly lead to purchase delays, fines, and bankruptcy.

 PRACTICAL EXAMPLE

• Situation: The importing company planned to purchase goods. However, the accountant and lawyer had no experience with import procedures. As a result, they could not complete the financial monitoring procedure to buy foreign currency.
• Problem: The struggle with bank requirements lasted 8 months, and the company's expenses on rent, salaries, and taxes had already exceeded 50% of the investment.
• Our solution: Our specialists quickly conducted a comprehensive audit of the documents, identified all deficiencies, and promptly prepared a complete package of correct documents in accordance with Ukrainian law. We provided professional company representation during financial monitoring, purchased and transferred currency to the supplier, organized delivery of goods, customs procedures, and other necessary operations.
• Result: The company emerged from the crisis, and subsequent deliveries ensured a confident profit growth.

Looking for a reliable partner for legal and accounting support of imports? Our specialists will ensure safe customs clearance, accurate accounting, and risk minimization — choose professionals for your business!

 DOCUMENTS

For full-scale operations of an importing company in Ukraine and to ensure legal, accounting, and customs security, it is necessary to prepare and arrange a range of documents. We have structured them by categories.

I. Documents for company registration

II. Documents for legal support

III. Documents for accounting

IV. Documents for customs clearance

Important: All documents must comply with legislation, currency control, and settlement deadlines. Professional preparation reduces the risks of fines, blockages, and reputational loss.

 PRICE

Legal and Accounting Services for Importers — Terms and Service Fees

Legal and accounting support for importing goods into Ukraine is provided based on the conclusion of a business legal-accounting service agreement.

The final cost is determined after assessing the scope of the business needs.

@  ADDRESS

LAW COMPANY EUROVECTOR