Ukraine’s finance ministry proposes to remove tax relief schemes for IT businesses
Source: Nina Yuzhanina
Ukrainian senior MP Nina Yuzhanina revealed that the Ministry of Finance has proposied that the country’s IT professionals should be stripped of a tax relief scheme.
The recent debate in the tax and customs committee revolved about raising taxes, focusing on the Diia.City scheme. According to Yuzhanina, businesses who signed up for from Diia.City tax relief asked that the military tax rate for their sector remain unchanged, citing government promises to maintain the current regime for 25 years.
They argued that the tax hike could see the state budget ending up with the loss in revenues as IT professionals might shift to the third group of private entrepreneurs (FOP) that grangts lower taxes.
“There was a suggestion to raise the military tax rate for the third group of FOPs beyond 1% of turnover (as outlined in the proposed legislation). The reasoning is clear: with 5% PIT and 5% turnover tax, the playing field is level. But if the military tax rises from 1.5% to 5% and FOPs remain at 1%, many will switch to the FOP system,” Yuzhanina explained.
In my previous column, I wrote about social innovations in Ukraine. Those innovations are part of civic resilience and the democratization of security, which Europe is paying close attention to right now. The EU is trying to work out how to spread responsibility for its own security across society as a whole, rather than leaving it to institutions alone. It is looking for concrete ways to bring ordinary people into the work of defense and resistance.
Petro Poroshenko’s lawyers have appealed to the High Anti-Corruption Court demanding that NABU be obligated to register proceedings regarding the fact of exerting influence on the court and to recognize Petro Poroshenko as a victim in the case of the Deputy Head of the Office of the President, Iryna Mudra, due to her pressure on Supreme Court judges who were considering a lawsuit to overturn sanctions.
Internationally recognized brands and financial institutions should direct capital to Ukraine now, not waiting for the hostilities to end. This was emphasized by Rinat Akhmetov, president of FC Shakhtar, during a working visit to UEFA headquarters in Nyon, Switzerland, where he met with UEFA President Aleksander Čeferin.
In recent days, Moscow’s official rhetoric has been dominated by hysteria over the decision of…
In 2025, the deadliest year yet for civilians, Ukraine’s three largest charitable foundations raised a record 105.9 billion hryvnias. It is more than the years 2022–2024 combined. According to the UN, humanitarian aid in Ukraine was delivered by more than 450 organisations, reaching five million people over the course of the year. Civic foundations hold licences to purchase lethal weapons, which is a function states have monopolised for centuries. These record sums were underwritten by international government grants, which means foreign states now channel billions directly through Ukrainian civic funds, bypassing inter-state channels. It is hard to imagine a stronger institutional trust in civil society.