Ukrainian MPs set to raise military tax to 5%
Source: Danylo Hetmatsev/Telegram
On Wednesday, a working group in Ukraine’s parliament has green-lit a plan to increase the military levy from 1.5% to 5% on the income of Ukrainians so that more funds could go to d to the armed forces through a special fund. Additionally, a 1% levy will be introduced for ‘third-group’ individual entrepreneurs.
By contrast, a 1% military levy for legal entities has been dropped from the proposal as well as an increased corporate tax for banks as the latter drew a blowback from the Ministry of Finance and the National Bank of Ukraine.
Danylo Hetmantsev, the Verkhovna Rada’s financial committee chair, said that “the finance ministry has approved these changes but the prjojected revenue has melted going down from an anticipated 125 billion hryvnas to just 30.1 billion hryvnas. And we haven’t had its second reading in parliament yet”.
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