Rada approves tax increase
Kyiv • UNN
The Verkhovna Rada of Ukraine has passed the draft law No. 11416-d on a significant tax increase. A number of changes were adopted, including the preservation of the 1.5% military tax for the military and amendments regarding notaries.
The Verkhovna Rada of Ukraine has adopted draft law No. 11416-d on a significant tax increase, according to MPs, UNN reports.
Details
"The Rada has adopted (draft law) No. 11416-d on a historic tax increase. "For" 247 in general," MP Yaroslav Zheleznyak wrote on Telegram.
According to him, a number of amendments were adopted in the parliament: amendments No. 563 and 580 on notaries; No. 1149 on leaving 1.5% of the military tax for the military. "And the amendment No. 988 (which was taken into account by the committee) did not receive votes," the MP noted.
What the revised version of the draft law provides for
According to the head of the subcommittee on value-added taxation, MP Oleksiy Leonov, this is a temporary solution that will be in effect until December 31 of the year in which martial law is terminated:
- Increasing the military tax on personal income (wages, dividends, additional benefits, etc.) from 1.5% to 5%;
- Individual entrepreneurs on the single tax of groups 1, 2, and 4 are required to pay a monthly military fee of 10% of the minimum wage;
- For single taxpayers of the third group, the military tax rate is set at 1% of income;
- Introduction of income taxes for the financial sector. The corporate income tax rate for banks for 2024 is with a volume of 50%. For non-bank financial institutions (except for insurers), the corporate income tax rate will be 25%. They will be taxed from January 1, 2025.
Other important innovations, as Leonov noted, include monthly reporting on personal income tax. This, as explained, is necessary for the introduction of an economical booking mechanism. There is also an exemption from taxation of income received under the "Made in Ukraine" program, i.e. cashback will be exempt from taxation.
