The Verkhovna Rada of
Ukraine adopted first laws of the reform package that had been agreed by the
Government of Ukraine and the coalition of the parliamentary factions.
The Parliament has
adopted amendments to the Tax Code of Ukraine and certain laws of Ukraine
regarding a tax reform; a law on measures to stabilize the balance of payments
of Ukraine in accordance with article XII of the General agreement on tariffs
and trade 1994;a law on amendments to the Customs Code of Ukraine to stabilize
the balance of payments; amendments to the Budget Code of Ukraine concerning a
reform of interbudgetary relations, as well as amendments
to the Tax Code to improve tax control over transfer pricing.
While presenting the
agreed bills in the Parliament, the Prime Minister of Ukraine stressed that
changes to the Tax Code would enable, on the one hand, to introduce a fair taxation
system, on the other - to fill the budget, "It will not bear a corruption component
and won’t do any problems for small and medium business".
The amendments to the
Tax Code reduce the number of taxes from 22 to 9, as well as tax rates for
small and medium business are cut and a moratorium on inspections of small and
medium business is introduced for two years.
The Head of
Government stressed that the law still contains high rates, "in effect
nowadays concerning taxation of rents on oil, gas and other minerals".
also emphasized that the current legislation “provides an opportunity to avoid
paying taxes for the most profitable businesses."
Instead, the offered
by the Government and agreed by the coalition the law on transfer pricing
"imposes taxes and brings out from the shadows principal oligarchic
The law also envisages
"a serious financial responsibility of those who violate the tax law"
- a fine for undeclared operations in the reports and for the failure to submit
the reports is increased, "If you have not filed a report, you have a
penalty - 200 minimum wages. But if you avoid, then you have a penalty of 5% of
the transaction amount".
The PM informed that
the law introduces to apply on a permanent basis a method of comparative
uncontrolled price for each controlled operation of export and import of goods
with stock quoting. "A list of stock exchanges for each group of goods -
and these should be international stock exchange markets - is determined by the
The Budget Code was
adopted, with certain refinements, which were submitted by the profile VR Committee and agreed
by the Government. Arseniy Yatsenyuk addressed to
instruct the Budget Committee in synergy with the main legal Department of the Verkhovna Rada to make the necessary
editorial changes taking into account
the points, which the Prime Minister read as the transcript.