Cabinet of Ministers passes bill to cancel preferential single tax rate
In Ukraine, the preferential tax rate of 2% may be canceled (Photo:НБУ \ Flickr)
The Cabinet of Ministers of Ukraine has passed a bill that cancels a preferential single tax rate (2%) from July 1, 2023, the government’s permanent representative in the Ukrainian parliament, Taras Melnychuk, said on the Telegram messenger on Jan. 27.
The bill provides that certain regulations will be in effect until the termination or cancellation of martial law on the territory of Ukraine, but no later than July 1, 2023.
The regulations include the following:
• the possibility for individual entrepreneurs and legal entities to be single taxpayers of the third group with the application of a single tax rate of 2% of the income;
• the possibility for individual entrepreneurs and single taxpayers of the first and second groups not to pay the single tax;
• the suspension of documentary checks;
• the suspension of certain terms defined by tax legislation and other legislation, the control over compliance of which is entrusted to the supervisory authorities;
• the non-application of punitive penalties for violation of tax legislation.
Thus, after the bill is passed as amended and signed by the president, small businesses will lose their tax benefits starting July 1, 2023, even if the war does not end by that time.
In addition, the moratorium on conducting business document checks will also be lifted.
Follow us on Twitter, Facebook and Google News
