What does the law say about the legal force of e-documents?

The use of electronic documents is gradually replacing paper documents in various industries. This is facilitated by the government, in particular at the legislative level.

For the first time, the legal force of electronic document workflow was discussed in 2003, when the Law “On Electronic Documents and Electronic Document Workflow” was adopted. This article describes how Ukrainian legislation currently legalizes electronic documents in various industries.

Electronic documents in Ukraine — legislative regulation

The legal force of electronic documents is enshrined in the Law of Ukraine “On Electronic Documents and Electronic Document Workflow” No. 851-IV (hereinafter referred to as “Law No. 851”). In particular,

The legal force of an electronic document cannot be denied solely because it is in electronic form.

Article 8. of Law No. 851

Article 7 of Law No. 851 defines an electronic counterpart of a document with mandatory details, including an electronic signature of the author or a signature equivalent to a handwritten signature in accordance with the Law of Ukraine “On Electronic Identification and Electronic Trust Services” (hereinafter referred to as “Law No. 2155”), as an original electronic document.

A qualified electronic signature has the same legal force as a handwritten signature and is presumed to be equal to a handwritten signature.

Part 6 of Article 18 of Law No. 2155

If the author sends an electronic document to several addressees or stores it on several media, each of the counterparts is considered an original electronic document. Documents in paper and electronic formats that are identical in content and details are considered originals and have the same legal force.

Accounting documents in electronic form

It is also common in accounting to use electronic documents. The Law of Ukraine “On Accounting and Financial Reporting in Ukraine”, dated July 16, 1999, No. 996-XIV (hereinafter referred to as the “Law No. 996”), allows for the preparation of primary documents in both paper and electronic forms.

It is the responsibility of any employee who prepares electronic primary documents to comply with the requirements of the legislation on electronic document workflow, in particular Laws No. 851, 2155 and 996. This rule is also set forth in the Regulation on Documentary Support of Accounting Records, dated May 24, 1995, No. 88 (hereinafter, “Regulation No. 88”).

Consequently, the Ukrainian legislation has created the necessary framework for the introduction of electronic document workflow in the business environment. It is of the utmost importance to utilize this framework in accordance with all applicable legal norms. In particular, prior to implementing ODE within a company, it is necessary to issue a regulation on electronic document workflow.

Electronic documents workflow with state regulatory authorities

The experience of Vchasno’s clients demonstrates the efficacy of electronic document workflow in a number of business sectors. Today, Ukrainian legislation expands the possibilities of exchanging electronic documents with government agencies, including during tax audits and court proceedings, etc.

Electronic documents in tax reporting

The State Tax Service accepts electronic reporting documents. In 2011, the State Tax Service issued a letter to taxpayers informing them of the recognition of electronic primary documents by the State Tax Service.

Since that time, and to this day, the tax authorities have consistently emphasized in their explanations that the legal force of an electronic document cannot be denied solely because it is in electronic form. In particular:

• – Letter of the State Tax Service of Ukraine No. 10406/7/18-4017;
• – Letter of the Ministry of Finance of Ukraine No. 31-34000-20-17/31818;
• – Letter of the SFS No. 30/6/99-99-15-02-02-15, etc.

Since 2020, taxpayers have been exchanging electronic documents with the tax office in accordance with the Tax Code of Ukraine without entering into an agreement, as was the case before.

Electronic document workflow between the taxpayer and the controlling authority is conducted in accordance with this Code, the Laws of Ukraine “On Electronic Documents and Electronic Document Workflow” and “On Electronic Identification and Electronic Trust Services,” without the need for a contract.

Clause 42.6. of the TCU

The procedure for submitting documents in electronic form during such an audit has been approved by the Ministry of Finance (Order No. 1393, dated November 7, 2011). The Tax Service will verify the documents in accordance with the Procedure for the Exchange of Electronic Documents with Controlling Authorities.

Use of electronic documents in court

In the event of a court dispute, electronic documents may be presented as electronic evidence in accordance with Article 96 of the Commercial Procedure Code of Ukraine. In court proceedings, they have the same evidentiary value as paper documents.

The admissibility of an electronic document as evidence cannot be denied simply on the grounds that it exists in digital form.

Article 8. of Law No. 851

All electronic evidence must be submitted in the form of documents bearing a qualified electronic signature. In addition, the law may provide for an alternative procedure for certifying an electronic copy of electronic evidence (Article 96.2 of the Commercial Procedural Code of Ukraine).

The manner in which the court qualifies electronic evidence is dependent on the correct certification of such evidence. This is evidenced by court practice, in particular:

• Resolution of the Supreme Court of Ukraine dated July 07, 2021 in case No. 587/2051/18;
• Resolution of the Supreme Court of Ukraine dated March 16, 2020 in case No. 910/1162/19;
• Resolution of the Supreme Court of Ukraine dated June 21, 2023 in case No. 916/3027/21.

As of 2024, private legal entities involved in civil and administrative cases are required to register an electronic cabinet in the Unified Judicial Information and Telecommunication System. This is in accordance with the Law of Ukraine No. 3200-IX. The registration process is outlined in the User Manual of the UJITS Electronic Court.

Electronic documents legislation in Ukraine: what’s next?

Since 2023, Law No. 2801-IX has been in force in Ukraine. Its objective is to align Ukrainian legislation on electronic document workflow with the norms of the European Union.

The new law introduces amendments to legislative acts in various sectors. The government plans to:

• expand the list of electronic trust services,
• introduce remote identification of individuals,
• clarify requirements for electronic signatures and seals.

The recent changes in legislation will enable the use of Ukrainian qualified electronic signatures in the European Union.

In 2023, the European Commission included Ukrainian qualified electronic signatures (QESs) on its list of trusted third-country signatures. The list includes five Ukrainian providers. Vchasno is among the providers on the approved list. In the EU, Ukrainian QESs are recognised as advanced electronic signatures.

Vchasno assists businesses in implementing electronic document workflows and provides guidance at all stages of this process. We enable the efficient and secure automation of your business operations.