government-improves-compensation-to-communities-for-pit-shortfall

Government approves additional assistance to communities affected by the war and improves compensation for PIT shortfall

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The Cabinet of Ministers has adopted a resolution on additional assistance to de-occupied communities and communities affected by the war, and improved compensation for reverse subsidies for October-December and compensation for personal income tax shortfalls. The changes were announced by Prime Minister Denys Shmyhal in a speech during a government meeting on Tuesday, UNN reports.

Today we are adopting a resolution on additional assistance to de-occupied communities and communities affected by the war. We are improving the compensation of the reverse subsidy for October-December and the compensation of the PIT shortfall

- Shmyhal said.

The Prime Minister indicated that local governments would use the funds to pay salaries to state employees and to pay for utilities.

According to the government's representative in parliament, Taras Melnychuk, the amendments are about the changes made to the Procedure and Conditions for Providing in 2023 an additional subsidy from the state budget to local governments for the exercise of powers of local governments in the de-occupied, temporarily occupied and other territories of Ukraine that have been negatively affected by the full-scale war of the Russian Federation.

The Procedure was also supplemented with a new clause on compensation to local budgets transferring a reverse subsidy to the state budget in 2023, which was transferred in October and is scheduled to be transferred in November-December 2023; and compensation for the shortfall in personal income tax (excluding personal income tax on cash benefits, remuneration and other payments received by military personnel and rank-and-file and senior officers) in October-December 2023 compared to the same period in 2022.

Зеленський підписав законопроєкт щодо перенаправлення військового ПДФО до держбюджету17.11.23, 14:23 • [views_10560]

Shmyhal also noted that as of mid-December, the state had provided over UAH 178 billion in transfers to local budgets. As well as almost UAH 10.6 billion in subventions for the implementation of projects in the social sphere and housing and communal services.

"In general, in the first 11 months of this year, revenues to local budgets, excluding transfers, increased by 15% compared to 2022. Account balances have increased by almost 58% since the beginning of the year and amount to about UAH 182 billion. The financial base of communities remains strong," Shmyhal said.

In total, he said, over 11 months, state budget expenditures amounted to UAH 2.6 trillion, half of which was spent on defense. "This is the most important thing today. And it will be our priority in the future," he said.

According to him, the second priority is social security. "More than UAH 473 billion, or 18% of all expenditures, were allocated for pensions and assistance to our people who need it most. We are financing these items in full," Shmyhal said.

Україна з початку року акумулювала майже 2 трлн грн у держбюджет – Шмигаль06.12.23, 02:20

Julia Shramko

Economy

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