The Cabinet of Ministers of Ukraine has prolonged its resolution defining a list of scrap ferrous and nonferrous metal, the transactions with which, in particular imports, are exempt from value added tax (VAT) until January 1, 2017.

The amendments are stipulated in cabinet resolution No. 136 of March 25, 2015 which amended resolution No. 15 of January 12, 2011, under which scrap metal transactions were exempted from VAT in 2011-2013.

The cabinet in resolution No. 43 of February 5, 2014 also amended resolution No. 15 of January 12, 2011, exempting scrap metal transactions from VAT in 2014.

As reported, cabinet resolution No. 15 defines the list of scrap metals, which includes scrap cast iron, stainless steel and alloyed steel, which are exempt from VAT. Ferrous scrap metal is also exempt from VAT.

In addition, scrap non-ferrous metal, in particular, scrap zinc, copper, copper alloys, plain nickel, nickel alloys, scrap aluminum, zinc and tin, tungsten, molybdenum, tantalum and raw magnesium are exempt from VAT.

The list also include scrap magnesium, magnesium powder, scrap cobalt, bismuth, cadmium, titanium, zirconium, manganese, beryllium, chromium, germanium, vanadium, thallium, and ceramic-metal.

Scrap collecting and metal companies supported the prolongation of the resolution.