Co-financing of projects with EU partners has been settled

Ukraine will be able to provide co-financing for projects for which European partners are ready to allocate funds.

Law No. 2515-VIII “On Amendments to Certain Laws of Ukraine on Cross-Border Cooperation”, which entered into force on October 11, created legislative grounds for the activities of associations of euro regional cooperation, European associations of territorial cooperation.

According to the Law, the unification of Euro-regional cooperation is defined as a form of cross-border cooperation with the status of a legal entity in accordance with the national legislation of the state in which it is located, the purpose of which is to promote cross-border and inter-territorial cooperation between actors and participants of such relations in the interests of the population areas of joint competence and in accordance with the powers established in accordance with the national legislation of the relevant state.

At the same time, the European Association of Territorial Cooperation is an association of the subjects of cross-border cooperation of Ukraine and the corresponding subjects of the neighboring member states of the European Union with the status of a legal entity in accordance with the national legislation of the EU member state in which it is located.

The order of formation and activity of such associations is regulated.

The union of euroregional cooperation is formed on the basis of an agreement on the establishment of a non-business society in organizational and legal form, which is not intended to generate income (profit) for its further distribution among the founders (participants), members of employees (except for their labor, charging a single social contribution) members of governing bodies and other related persons.

The main activity of the Euroregional cooperation association is the development and implementation of joint initiatives, activities, projects, programs and strategies for cross-border cooperation.

The association of Euroregional cooperation operates on the basis of a budget approved for each subsequent year by the relevant management body of the association. Sources of financing the association can be:

(a) one-time or periodic contributions, deductions of the founders and members;

(b) funds and other property are received in accordance with the programs of international technical, charitable assistance;

(c) funds from the conduct of the unification of the Euroregional cooperation of the main activities;

(d) passive incomes;

(e) other income that does not contradict the law.

The taxation of the association is carried out in accordance with the provisions of the Tax Code regarding the taxation of non-profit institutions and organizations.

State financial support is provided to projects (programs) of cross-border cooperation that have sufficient arguments for effectively solving actual problems and have been selected on a competitive basis for goals, priorities, necessary resources and duration of their implementation in accordance with the procedure approved by the Cabinet. Priority is given to those programs that have received funding through international technical assistance programs.