The state should immediately stop the practice of registering tax invoices in Ukraine, including the assessment of criteria for classifying enterprises as those with risky activities, and also replacing value added tax (VAT) with a tax on withdrawn capital.
Dmytro Nikiforov, the owner and founder of AT Market LLC (Kyiv), which is engaged in bottling high-mountainous Carpathian water under the trademarks Voda UA, Goryanka, Karpatska Dzherelna Vysokohirna, expressed such an opinion in an interview with the Interfax-Ukraine agency.
At the same time, he believes that the rate of taxes levied in the country is feasible for business and does not need to be reduced.
“We need to immediately kill this ‘hydra,’ which is called the registration of tax invoices. This is the tool by which thieving tax officials and MP who back them ‘wash out’ the turnover from businesses in the amount of VAT. The state must immediately stop the practice of registering tax invoices, which does not exist anywhere in the world,” Nikiforov said.
According to him, the practice of registering tax invoices and the procedure for determining the criteria for classifying the activities of enterprises as risky harm business, washing out its working capital, and should be stopped immediately.
“There is no need to lower taxes, they are feasible. By and large, VAT should be abolished in principle, and a clear and understandable turnover tax and non-refundable sales tax should be introduced. Because any refundable tax like VAT is a so-called square tax and creates corruption risks, but such people control this issue that it is impossible to move it,” the businessman specified.
“Therefore, the abolition of VAT and income tax with a replacement for a tax on withdrawn capital is what the state should do for business. Without this, business will not be cured, no matter how it is stuffed with loans. All funding is broken down by the fact that in the existing paradigm it simply cannot work,” Nikiforov added.
As reported, Finance Minister Serhiy Marchenko supports restoring the VAT administration system with automatic cash reimbursement, “even if it is painful and requires payment deferral.”
“For some reason, decisions were made that actually broke the current system of registering tax invoices, checking risks and automatic budgetary VAT refunds. In fact, since March, our system for registering tax invoices has not been working … I am a supporter of the system of automatic VAT refunds working, and business receiving funds,” he said in an interview with Interfax-Ukraine.
On February 28, the Cabinet of Ministers of Ukraine established the possibility of automatic registration of tax invoices for certain types of agribusiness and food industry enterprises, which will allow them to submit documentation without bureaucratic delays.
According to Roman Leschenko, who at that time was the Minister of Agrarian Policy and Food of Ukraine, after February 28, tax invoices of legal entities growing crops, farm animals and poultry, engaged in fishing, and processing milk, butter and cottage cheese are automatically registered.
In addition, the list includes all enterprises producing meat, fruit and vegetable juices, vegetable oil, animal fats, edible fats; products of the flour-grinding industry; bread and bakery products, flour confectionery, cakes and pastries; cocoa, chocolate, sugar confectionery; tea and coffee; spices and seasonings; prepared food and dishes; baby and dietary food; prepared feed for animals kept on farms; soft drinks and other bottled waters.
The German Embassy in Ukraine has resumed work in Kyiv.
“We are back! Yesterday, the German Embassy resumed its work in Kyiv. Foreign Minister Annalena Burbock raised the German flag in front of the Embassy building,” the Embassy said on Twitter on Wednesday.
About a hundred Ukrainian schoolchildren will take part in the World Gymnasium 2022 in Normandy (France) from May 14 to 22, said Minister of Education and Science Serhiy Shkarlet.
“Strong in spirit and true to the call of the heart, Ukrainian schoolchildren went to France to participate in the World Gymnasium-2022. This is the largest international multi-sport and educational event for schoolchildren aged 16-18,” Shkarlet wrote in the Telegram channel.
According to him, from 14 to 22 May in Normandy (France) 3.5 thousand participants from more than 70 countries of the world will represent their countries, and 20 sports will be included in the competition program.
“Despite the difficult times in Ukraine, our talented students will take part in priority international competitions. The Ukrainian team will be represented by about a hundred athletes from 17 sports,” the minister wrote.
The government is working to ensure that fuel is available in sufficient quantity and at the same time its price remains adequate to current realities, Prime Minister Denys Shmyhal said.
“Everyone understands that there are objective reasons for this situation (fuel shortage): Russia is purposefully destroying reserves and processing capabilities in Ukraine. Therefore, the team of the Ministry of Economy is working 24/7 to overcome the shortage for all consumers,” Shmyhal said at a meeting of the Cabinet of Ministers in Tuesday.
According to the prime minister, the authorities are simplifying the delivery of fuel to Ukraine as much as possible, expanding the geography of obtaining such fuel.
“In particular, we are talking about the import of fuel from the Persian Gulf countries, from Azerbaijan, from the Middle East. By decision of the government, we are agreeing on the regulations necessary for this today. We are working to ensure that fuel appears in sufficient quantities, while its price remains adequate to current realities,” – stressed the prime minister.
Agrosem LLC (Kyiv), a distributor of agricultural products, seeds and agricultural machinery, has launched a railway route from Ukraine to Austria, which will export batches of Ukrainian corn on a weekly basis.
Agrosem’s Facebook page reported on Tuesday that the first train of 25 hopper cars arrived at the Austrian customer on May 6. Based on the average carrying capacity of grain wagons of 72 tons, the volume of a weekly consignment of corn sent to Austria will be approximately 1.8 thousand tons.
“Customers in Ukraine and Austria are happy with the result, but the process was complicated, especially due to the difference between the width of the tracks in Ukraine and Europe. This required finding stations where it would be possible to transfer from the Ukrainian train to the Austrian one, and it was also necessary to find out the availability free wagons in both countries. But we are confident that the train will run weekly, delivering products to Europe,” the company explains.
According to the director of “Agrosem” Oleksiy Kulik, whose words are quoted by the press service of the company, it is now very important to support Ukrainian farmers and find solutions for the export of grown products. “We must do everything to ensure that Ukrainian farmers can sell their products in Europe at market prices,” he stressed.
Ukrainian Ambassador to Austria Vasyl Khyminets, Minister of Agriculture, Forestry, Ecology and Water Resources of Austria Elisabeth Kostinger, General Director of the Austrian Federal Railways Andreas Matt and Director of Agrosem Kulik participated in the organization of the export route.
“Agrosem” is the official distributor in Ukraine of agricultural machinery and spare parts, seeds, fertilizers and plant protection products. The company offers solutions in the field of precision farming, telematics systems, automated and unmanned vehicles aimed at improving product efficiency and saving resources in the agricultural production process.
According to the Unified State Register of Legal Entities and Individual Entrepreneurs, the ultimate beneficiary of Agrosem LLC is Oleg Zvyagintsev with a 35% stake in the company’s authorized capital, Igor Zvyagintsev (15%), Alexei Kulik (15%) and US citizen Alexander Weiner (35%).
Germany will help Ukraine in demining, said German Foreign Minister Annalena Berbock.
“We, like Germany, will help in demining to a greater extent. Because it is not only about military demining, where we will help you. It is also about demining in cities, villages, and doing it together so that people were able to return home,” Burbock said at a press conference with Ukrainian Foreign Minister Dmytro Kuleba in Kyiv on Tuesday.
