The Verkhovna Rada Committee on Finance, Tax and Customs Policy amended the government bill number 8401, proposing to postpone from July 1 to August 1, 2023, the abolition of the 2% single tax and other benefits adopted at the beginning of the war for entrepreneurs, said the head of the committee Daniel Getmantsev.
“Business inspections and fines for businesses in Ukraine will be resumed from August 1, not July 1 as previously planned,” he wrote in Telegram on Tuesday.
According to him, the Finance Committee has developed clear rules for the transition from the payment of 2% single tax on other taxes, proposed a moratorium on certain types of inspections (in particular, most inspections of 1-2 groups of single tax payers) and restrictions on the inclusion of taxpayers in scheduled inspections.
It is also planned not to take into account the “technical debt” for the period from April 2022 until July 2023 in determining the ability of single tax payers to remain on the simplified system.
Hetmantsev said that the amendments preserved the possibility of voluntary payment of the single tax and ERU for taxpayers of groups 1-2, which had a tax address in the areas of military operations (including possible hostilities) and the occupied territories.
The updates stipulate that no fines and penalties for late repayment of the tax debt in the case when the debt was corrected by the taxpayer itself to zero. In addition, exemption from financial responsibility for violations in the field of RRO (except for trade in excise taxes), if they are committed in the temporarily occupied territories or territories where military operations are (were) taking place, is proposed by the order of the Ministry of Reintegration.
The head of the committee noted that these are not the last changes and the work on the bill is still ongoing.
Deputy Head of the Committee Yaroslav Zheleznyak said that the number of amendments to this bill has already exceeded 1700, most of them were filed by the faction “Fatherland” – almost 50%.
He also stressed that, given the schedule of the Rada and the number of amendments, we should not expect the adoption of the bill before July 1.
As Ukrainian News earlier reported, draft law number 8401 was adopted by the Rada in the first reading on the eve of the IMF mission – May 29, when it was supported by 226 MPs.
The bill proposes to cancel the possibility for sole proprietors and legal entities to be single tax payers of group III with the application of the single tax rate of 2% of the amount of income and to resume payment of single tax for the I and II groups of sole proprietors.
It also provides for the resumption of documentary inspections, but during martial law they will be held in the presence of safe access to areas, premises and other property used for economic activity and / or are subject to taxation, as well as documents and other information related to the calculation and payment of taxes, fees.
This bill is one of 19 structural beacons of the four-year $15.6 billion Extended Funding Facility (EFF) program for Ukraine, which the IMF Board of Directors approved on March 31. The deadline for its implementation – the adoption of the law – in the program is set until the end of June.
The program’s scheduled schedule calls for three tranches of SDR664 million ($893 million) to be disbursed to Ukraine after the first tranche in mid-June and October of this year and in late February of the following year following the first, second and third revisions, when the fulfillment of obligations is estimated for the end of April, June and December of this year, respectively.
