of Ministers of Ukraine, at its meeting on Wednesday, will consider a draft Law
of Ukraine On amendments to the Tax Code of Ukraine. After approval by the Gov’t members the anti-corruption bill will be submitted
for consideration to the Verkhovna Rada of Ukraine.
document was presented and discussed during a meeting chaired by Prime Minister
of Ukraine Volodymyr Groysman on Monday, with the participation of members of
the Government, regulatory bodies, MPs of Ukraine from line committees of the
Verkhovna Rada, entrepreneurs, business associations and public organizations.
A joint anti-corruption
bill of tax changes is aimed to simplify life for businesses and to remove the
obstacles that hamper entrepreneurs to work and to develop. In particular, the document
provides for the simplification of tax administration that will enable to reduce
costs and time for entrepreneurs. Another goal is to lessen the potential for
manipulation by the SFS and, consequently, the pressure on businesses, to create
equal and clear rules for business, and to provide conditions for the
changes include the introduction of a tax holiday of five years for newly
established small businesses, transparent VAT refunds through a single registry
and transfer of databases from the State Fiscal Service to the Ministry of
in the tax law are called to change the situation regarding doing business in
the country for better, said the Prime Minister opening the meeting to discuss
draft amendments and added to ensure the ease of doing business is a key task
for the Government.
Groysman stressed that business and investment "come" where there are
common rules for everyone, predictable environment, while all contacts with
authorities regarding licensing procedures, fiscal issues and tax
administration are open, transparent and understandable for all participants of
the process. In this context, one of the essential objectives to be addressed is
changes in the tax law – the establishment of uniform "rules of the
game" for everyone, urged the PM.
the Prime Minister emphasized that changes in tax law should encourage de-shadowing
of the economy. According to minimal estimates, the sum worth about a trillion hryvnyas
is currently in the informal economy in Ukraine.
need to create proper tools allowing to get the resource out of the shadows to
make it work for the benefit of our state and most importantly, that we have
provided an opportunity to develop [businesses]", said Volodymyr Groysman.
reforms in the tax sector were also designed to trigger the economic growth in
the country and preserve a balance of interests of businesses and the Government,
said the Prime Minister. Besides, simplifying taxes should be connected simultaneously
presentation of the bill the Minister of Finance stressed that the proposed tax
changes would create normal conditions for businesses and improve
the investment climate, what is viewed as the basis for economic development of
joint package of anti-corruption tax changes doesn’t just solve the ambiguity
of tax legislation, but constitutes a very important part of the reform of the
SFS, as it actually eliminates the tools for systemic corruption and abuse in
the tax field", stressed Olexandr Danyliuk.
participants discussed main provisions of the proposed changes, put forward
their proposals and comments. During the event, all business associations and NGOs
experts agreed on the anti-corruption bill to improve the tax system. Earlier the
elaborated changes have already been publicly supported by leading business and
public associations, such as: American Chamber
of Commerce in Ukraine, the Ukrainian Union of Entrepreneurs of SMEs
the Fortress, European Business
Association, Ukrainian Entrepreneur Union (UEU), Ukrainian Business
Association, Chamber of Commerce and Industry of Ukraine, Chamber of Tax
Advisers, the Business
Ombudsman Council of Ukraine, the Ukrainian League
of Industrialists and Entrepreneurs, a public platform "Taxes for
economic freedom”, which consists of 17 associations, the Coalition For a
liberal tax reform," which includes 15 associations, as well as the Union of
public experts of the Reanimation Reform Package, which includes leading
research centers and NGOs.
present at the meeting accentuated an "unprecedented" level of
openness of the Ministry of Finance while elaborating the amendments in tax
legislation in the working groups.
the Prime Minister noted that the work on the tax changes had been open and
transparent. Everyone could participate, submit proposals,
which were considered by relevant working groups.