Taxation reforms in Ukraine: What does the «National Revenue Strategy» envisage?

The Ukrainian government has announced the approval of the National Revenue Strategy, an ambitious plan for reforms in the taxation system. This strategic document, adopted on December 27, envisages radical changes aimed at reducing possible abuses in the simplified taxation system.

According to an article published in Ekonomichna Pravda, the strategy defines several key areas of reform:

Prohibition of the use of the simplified taxation system for legal entities, and a gradual increase in the tax rate to 18% over three years.
Combining the second and third groups of the simplified taxation system.
Changing the tax rate for individual entrepreneurs in the second and third groups.
Introduction of an interest rate for individual entrepreneurs in the first group.
Increase in tax rates for the simplified taxation system of the fourth group (agricultural producers) and broadening of the tax base.
Mandatory use of cash registers and accounting for the origin of goods for all simplified taxpayers.

These changes will be implemented in stages from 2024 to 2030. Each point of the National Revenue Strategy will require separate laws to be implemented.

In addition to taxation reforms, the strategy also envisages a revision of the customs service to ensure additional revenues to the state budget, as well as a reform of the system of tax privileges and discounts.

Danylo Hetmantsev, Chairman of the Verkhovna Rada Committee on Finance, Taxation and Customs Policy, outlined the main provisions of the National Revenue Strategy. The project is being developed by the Ministry of Finance and is aimed at strengthening the country's financial independence.

"The National Revenue Strategy is an initiative aimed to increase the fiscal capacity of the state, to adapt the tax and customs legislation to the EU standards and to create incentives for economic growth after the war. The government expects stability and predictability in the economy, as well as increased trust between the government and taxpayers.