Tax reforms after war are unification with EU norms – Hetmantsev

Danylo Hetmantsev, the head of the parliamentary committee on finance, taxation and customs policy, again warned against populism on the issue of post-war tax reform and stressed that its main task is Ukraine's integration with the EU.

"There is a problem. And this problem is treated according to a clear recipe, but this recipe needs to be applied as soon as possible, and, in fact, I call on the prime minister to do it … I would start the customs reform by leadership reshuffle and holding an open competition with the participation of international experts," he said in an interview with Interfax-Ukraine.

According to him, the prototype of the National Revenue Strategy, the development of which is discussed in the Memorandum of Ukraine with the IMF, is part of the Ukraine Recovery Plan, developed a year ago and concerning public finances.

"It clearly defines what steps should be taken. This is the integration of Ukraine into the European Union. And the introduction in Ukraine of a taxation system unified with the EU taxation system," Hetmantsev explained.

He noted that within the framework of this process, one can speak of a significant liberalization of income taxation – a reform with reduced rates and with the expansion of incentives for declaring income by individuals.

The head of the committee added that the environmental tax and local taxes should also be brought into line with EU legislation.

As for the simplified taxation system, he pointed out it exists in the vast majority of EU countries.

"But not a single civilized country in the world allows the use of a simplified system for medium or large businesses – that's the whole difference. … no one .. is against a small business create jobs for themselves and their families to have simplified accounting and a reduced or even symbolic tax burden. But one cannot agree that a huge store or even a chain operates under the system for individual entrepreneurs," the deputy stressed.

He specified that the committee would be awaiting proposals on how to implement such changes in the simplified system from the Ministry of Finance.

Hetmantsev also pointed out that during the war he did not see the possibility of changing the simplified taxation system, with the exception of the abolition of the 2% tax.

Source: www.en.interfax.com.ua