Accounting that makes it clear how the representative office uses its funds. UHY Prostir provides bookkeeping, HR administration and payroll services for representative offices of foreign companies in Ukraine.
We provide bookkeeping, tax accounting, HR administration and payroll services in line with Ukrainian law for all types of representative offices of nonresident companies — whether or not they have permanent establishment status.
We prepare financial statements, tax returns and statistical reports, as well as information at the head office’s request.
We provide full outsourced accounting or act as your chief accountant, while your own staff enter source documents and transactions into the accounting software.
How we can assist you
- Outsource accounting for a representative office that is starting operations in Ukraine, or change accounting service providers for an office that is already operating.
- Fully or partly outsource the representative office’s accounting in line with the head office’s requirements.
- Hand over payroll and HR administration to an external team at the head office’s request or on your own initiative.
- Get advice from a tax consultant or accountant on specific matters when your accounting is already in place.
Tell us about your situation, and we’ll propose an appropriate scope of accounting services.
Our services
Full outsourced accounting
We provide accounting services for the representative office in line with Ukrainian law and Ukrainian national accounting standards (P(S)BO). Our services usually include:
- accounting for assets, liabilities and funding, including by office, and providing accounting information at the head office’s request;
- analyzing the transactions of a representative office that doesn’t meet the definition of a permanent establishment for signs under which it may be recognized as a permanent establishment;
- preparing payment orders in online banking in line with the payment procedure agreed with you;
- preparing required tax reports;
- preparing financial statements and statistical reports;
- preparing documents in response to requests from tax and other government authorities;
- payroll calculation;
- HR administration.
Outsourced chief accountant services
We act as the representative office’s chief accountant. Our services usually include:
- organizing and controlling accounting;
- preparing required tax reports;
- preparing financial statements and statistical reports;
- preparing documents in response to requests from tax and other government authorities.
We agree on the processes you handle in-house when we sign the agreement.
On-demand services
In addition to our regular services, we provide the following at your request:
- accounting, tax and HR advice, including on head office employees who are non-residents and on visa matters;
- written explanations and official responses to requests from government authorities;
- assistance during tax inspections and audits: preparing documents and explanations, analyzing the tax audit report and preparing objections to it;
- taking over the accounting records from your previous accountant and the initial accounting setup, including preparing the accounting policy;
- preparing reporting packages in the head office’s format, including under IFRS;
- monitoring the implementation of the representative office’s budget;
- monthly reconciliation of management and accounting records;
- assistance with closing the representative office.
Service fees
We set our fees for accounting services on a case-by-case basis. We set out the scope of services, fees and timeline in our proposal and record them in the relevant agreement.
Our fees for full outsourced accounting are based on:
- a base monthly fee — a fixed monthly payment for services within the base volumes set in the agreement, for example, the number of documents and bank payments;
- a fee for payroll calculation and HR administration, which depends on the number of employees;
- an additional charge for exceeding the base volumes — the number of documents, payments or employees — calculated monthly or quarterly;
- a fee for preparing required reports — tax returns, financial statements and statistical reports; VAT administration for representative offices registered as VAT payers is charged separately;
- a one-time fee for the initial accounting setup;
- a one-time fee for the handover of accounting records;
- payment for on-demand services, including advice, reporting packages in the head office’s format and assistance during inspections, based on the hours spent or a separate agreement.
Outsourced chief accountant services are charged by the hour.
Fees may also include services not directly related to accounting, such as:
- a fee for hosting and storing your databases on our servers;
- reimbursement of license costs for accounting and other software;
- customizing accounting software to the representative office’s needs.
Getting started
- Tell us what you need
Submit a request or contact us. Tell us what task you need to solve and from what date you need our services. If your head office has accounting or reporting requirements, please send them to us. - Provide information for a proposal
We’ll send you a questionnaire and, if needed, discuss the details in a call: the representative office’s activities, whether it’s a permanent establishment and a VAT payer, accounting software, number of documents and employees, and how accounting areas will be divided between our team and your specialists. This helps us define the service format and fees. - Review our proposal
You’ll receive a list of services, base volumes, fees and a start date. We’ll discuss your questions and agree on the terms. - We sign the agreement
We send you a draft accounting services agreement with the agreed terms, in Ukrainian and English if needed. You review it and return it with comments or confirmation of your approval. We agree on the final version, sign the agreement and move on to planning our cooperation.
Our process
After the agreement is signed, we provide our services in the following stages:
- Introducing the teams and planning our cooperation
Our team gets to know your team. We plan the handover of accounting records. - Handover of accounting records
We receive documents, accounting databases, reports and the necessary access. We reconcile the balances handed over against the documents and accounting data (without carrying out an inventory count) and check the status of period-end closing. We record unfinished tasks and matters to clarify with the previous accounting team. - Initial accounting setup
If your representative office is starting operations, we set up accounting from scratch: we fill in master data in the accounting software and set up the document workflow in line with the agreement. - Setting up collaboration between the teams
On our side, we appoint responsible persons and define which processes each of them is responsible for. You also appoint responsible persons on your side and tell us which processes they are responsible for. We set up communication channels, the document transfer procedure and the reporting calendar in line with the agreement. With the head office, we follow the format and timing of accounting information set out in the agreement. - Maintaining the accounts
We exchange documents and information with your team: we process documents, get clarifications and answer questions. We prepare information for calculating and paying salaries, payment documents and other agreed calculations. - Period-end closing
We close the month, quarter and year, organize source documents for archiving and answer your questions about the results. - Preparing and filing reports
We prepare and file tax returns, financial statements and statistical reports by the required deadlines. We provide accounting information at the head office’s request. If needed, we prepare additional reports and explanations on matters agreed with you.
If our cooperation ends, we hand over the accounting records to the specialist or team you designate on an agreed schedule and explain unfinished tasks and open issues.
What you can expect
Depending on the agreed services, you’ll receive:
- Access to the accounting software where the representative office’s business transactions are recorded.
- Monitoring of the signs under which a representative office that doesn’t meet the definition of a permanent establishment may be recognized as a permanent establishment.
- Accounting registers: journal orders, trial balances and summary statements.
- Filed required reports: tax returns, financial statements and statistical reports, with receipts confirming their acceptance.
- Accounting information at the head office’s request.
- Reporting packages in the head office’s format, if you order this service.
- Payroll calculations and HR documents: payroll statements, payslips for employees, HR orders, timesheets and income certificates for employees.
- Organized source documents, processed and prepared for archiving.
- An agreed division of processes and responsibilities between your team and ours.
- Answers to your questions and advice on accounting, tax and HR matters when you request it.
- Information and documents prepared at the request of auditors or inspectors during an audit or tax inspection.
Why clients choose UHY Prostir
We combine our experience in Ukraine with the international experience of the UHY International network to serve Ukrainian and international clients.
- Independence, integrity and objective professional judgment.
- In business since 2003.
- A member of UHY International, a global network of specialists in audit, tax and consulting: 340 offices in 95 countries and over 10,000 professionals.
- Doing business abroad: if you already have a business in another country or plan to open and grow one, we can assist by connecting you with our UHY International office in that country, where you can discuss registration, accounting, tax and audit matters.
- Remote collaboration where the nature of the engagement allows.
- Communication and document preparation in Ukrainian and English.
