Cabinet approves bill on raising taxes - MP Zhelezniak

The Cabinet of Ministers has approved bills proposing to raise taxes by a total of UAH 140 billion by the end of the year, and increase spending on defense and security forces by UAH 495.3 billion.

Member of Parliament Yaroslav Zhelezniak (Holos) announced this on his Telegram channel, the Ukrainian News agency reports.

The government made the relevant decision at a meeting on Thursday, July 18.

The government proposes to reduce from EUR 150 to EUR 45 the cost of goods that are sent in postal items from abroad and are not subject to taxation.

At the same time, even with a reduced limit, such goods should not have signs that they are imported for any commercial purpose.

In addition, in terms of tax increases, it is proposed:

- to increase the rate of military levy on incomes defined by Article 163 of the Tax Code (total monthly income, including salary) to 5%;

- establish the obligation to pay a military levy by legal entities in the amount of 1% of income from any activity for corporate income tax payers and single tax payers of groups 3 and 4;

- establish a military levy in the amount of 5% at the rate of two minimum wages per month for individual entrepreneurs paying the single tax of groups 1, 2 and 4;

- establish a military levy in the amount of 1% of the income of an individual entrepreneurs by payers of the single tax of group 3;

- establish a military levy of 5% for operations on the purchase of bank metals by legal entities and individuals from banks;

- to establish a military levy in the amount of 30% of the value of sold jewelry by enterprises, institutions and organizations and non-profit organizations that carry out retail trade in jewelry made of gold, platinum and precious stones (including those made from raw materials);

- establish a military levy in the amount of 15% on the purchase of new cars by enterprises, institutions and organizations, individuals, except in cases of providing cars to persons with disabilities;

- establish a military levy in the amount of 5% of the income from the sale of real estate by individuals who sold one real estate object during the tax year;

- establish a military levy of 5% for payment of mobile communication services;

- establish a monthly advance payment of income tax for gas station networks in the amount of 0.5 of the minimum wage per 1 cubic meter of tanks for storing gasoline and diesel fuel and liquefied gas;

- establish an excise tax of EUR 0.1 per 1 liter for drinks with a high sugar content.

The Cabinet of Ministers also approved the bill on amendments to the state budget for 2024, which provides for an increase in spending on defense and security by UAH 495.3 billion.

It is proposed to increase spending on:

- wages with accruals - by UAH 77.9 billion;

- military, special equipment - by UAH 256.1 billion;

- construction of military engineering-technical and fortification facilities – by UAH 40.4 billion;

- other expenses – by UAH 120.7 billion.

As the Ukrainian News agency earlier reported, Dmytro Razumkov, the former chairman of the Verkhovna Rada and head of the inter-factional association Rozumna Polityka (Smart Politics), believes that the increase in taxes will lead to the collapse of the economy.

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