The amendments to
the Tax Code halved single social security tax, abolished additional import
duty, reduced tax rate for companies that honestly produce natural gas and
increase our energy independence, emphasised Prime Minister of Ukraine Arseniy
Yatsenyuk in Ten Minutes on Sunday, 27
stressed that single social security tax was halved from 41% to 22%. It means
that, for example, if salary makes up UAH 4 500 the employer will be able
to save UAH 900.
out the Government took a liability that despite the reduction of the tax, the Pension Fund would receive its funds.
State Budget will provide additional UAH100 billion to the Fund, as the smaller
single social tax is, the less income to the Pension Fund. “As
the state must, on the one hand, encourage entrepreneurs, on the other, - ensure
full payment of pensions. And we
will do this,” highlighted the Prime Minister.
appealed to entrepreneurs: "The radical reform of single social security
tax needs your understanding, your responsibility and your position. We halved single
social security tax, this gave an additional resource. As
a result, I ask each Ukrainian businessman to pull out of the shadows, stop
paying salaries in envelopes."
"You got the
additional resource for developing your own business and the increase of real salaries
for each employee. The
tax reduced by half gives business an opportunity to develop their business and
pay more to their employees. So I count on reciprocity. Only
mutual trust and mutual responsibility will enable us to further build up a stable
Ukrainian economy," the Prime Minister emphasised.
He stressed that
mutual trust must be built between the employer and the fiscal service authorities
as well. That
is why the Government has begun a wide-ranging reform of the State Fiscal
Service: "This is the reduction in both the number of employees and the
number of units of the State Fiscal Service. This
is the reduction in the number of inspections and the main thing – the change
of reimbursement order of value added tax."
Minister pointed out that the manual mode would be lifted, just transparent and open approach to the refund
of value added tax for all businesses.
He added that it
was necessary to further work on amendments to the state budget and on a new
version of the Tax Code as it was a process of constant reform and constant
addition, he highlighted that additional import duty was canceled: "This
means that the import price will also go down."
we’ve dramatically changed the royalty policy during the natural gas extraction.
halved the tax rate for companies that honestly and transparently produce gas and
increase our energy independence. Our
goal is to make Ukraine fully energy independent within 10 years. And
our tax policy is aimed at achieving this," Arseniy Yatsenyuk underlined.