September 21, 2016 Ukrainian Bar Association within the Committee on the Telecommunications, Information Technology and the Internet and Intellectual Property Committee organized an event on a popular among lawyers topic of the use of software.
More than 50 lawyers gathered in the IDF Reforms Lab (Kiev) to discuss problematic issues of contractual model of global software licensing agreements and the tax consequences of their use.
Viktoriia Ostapchuk, managing partner of Synergy Agency and the deputy head of the UBA Committee on Intellectual Property, told the participants about the tax issues of using software with a global license.
It is a very common practice of foreign companies to sign global licensing agreements, under which the right to use certain software is granted not only to the licensee but also to all of its subsidiaries and affiliated companies. Victoriia told the audience in detail, what tax risks for the Ukrainian companies this entails.
The event was in a discussion format. Recognized experts in the field of intellectual property rights and IT law shared their experiences and opinions on the issues of tax audits, VAT exemptions, forms of licensing agreements and judicial practice.
It was especially interesting to hear the opinion of the judges of the administrative courts – Sergei Karakashyan and Andrei Volkov about disputes with fiscal authorities in respect of models of contracts for software, which urged participants to creatively approach to the definition of contractual models for the software use and to remember that the essence of the operation is more important than the form of the contract.
As you know, truth appears in a dispute! We hope that the event helped participants to identify for themselves solutions to various problems related to the global software licensing.
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