People’s deputies again changed the draft law on raising taxes: what the “servants of the people” propose

The clause on the 50% tax on banks’ profits has been returned to the draft law on a large-scale increase in taxes in Ukraine, which is being prepared for a repeated first reading. This initiative was supported by people’s deputies from the “Servant of the People” party, while the Ministry of Finance and the National Bank of Ukraine expressed their categorical disagreement with this decision. About this reported Yaroslav Zheleznyak, First Deputy Chairman of the Verkhovna Rada Committee on Finance, Tax and Customs Policy (Golos party).

According to him, the main provisions of the draft law remained the same as in the previous version, which was rejected, but an increase in the bank profit tax was added to it. According to preliminary calculations, these changes should bring an additional 58 billion hryvnias in 2024 and 137 billion hryvnias in 2025.

On September 16, the tax committee of the Verkhovna Rada is considering a new version of draft law No. 11416-d. Zheleznyak predicts that the document will be approved for consideration in the repeated first reading in the parliament. The main tax changes include:

• raising the military levy from 1.5% to 5%;
• increase in taxes for entrepreneurs of the 1st and 2nd groups of FOP;
• the introduction of a 1% tax for the 3rd group of sole proprietorships;
• advance payments for gas stations;
• 25% income tax for financial institutions;
• monthly reporting on personal income tax.

Zheleznyak noted that these changes are unlikely to be adopted before October 1. However, new tax rules can be introduced “retroactively”, starting from this date.

We would like to remind you that currently in Ukraine there is a temporarily increased tax rate on the income of banks – from 18% to 25-50%. The 50% rate was introduced only for 2023. Earlier, on September 3, deputies of the Verkhovna Rada could not pass this draft law due to a lack of two votes during the first reading.