The President of Ukraine Volodymyr Zelensky signed the law No. 11416-d on the historic increase in taxes, for which parliamentarians voted on October 10.
The law will enter into force the day after its publication.
It is expected that the stateʼs income from taxes in 2025 will amount to 141 billion hryvnias. As for 2024, they initially said that the tax law would bring 58 billion hryvnias. But due to the fact that the president signed it 44 days later, according to the deputy head of the committee on finance, tax and customs policy Yaroslav Zheleznyak, 8 billion hryvnias will go to the state budget this year.
The draft law on tax increases provides for:
- the introduction of a military levy for private enterpreneurs of the I, II and IV groups at the level of 10% of the minimum salary established on the 1st of the reporting month. From October 2024, it is 800 hryvnias per month;
- private enterpreneurs of the III group will pay taxes in the amount of 1% of income in the form of a military levy;
- 50% tax on bank profits;
- increase of the minimum tax liability for land (MTLL) in the amount of UAH 700 and UAH 1 400 per hectare. In the latter case, it refers to situations where the share of arable land in the land area is not less than 50%;
- 25% income tax for all financial companies except insurance companies. Previously, the tax rate for them was 18%;
- exemption of "national cashback" from taxation in 2024-2025;
- monthly reporting on the personal income tax of the military levy and the UST will begin on January 1, 2025. This is required to implement economy booking;
- Gas stations, depending on the type, will pay different monthly income tax advance payments (this is about 30, 40, 45, 60 or 80 thousand hryvnias for each);
- currency exchange offices will pay an advance payment of income tax. The amount will depend on the population in the city. In Kyiv, it will be €700 (in hryvnia equivalent, but linked to the euro exchange rate), in cities with a population of more than 50 000 people — €600, in all other settlements — €200.
At the moment, it is not clear how taxation will work, because it was previously noted that part of these norms will be introduced "retroactively" — from October 1. But the president signed the law only on November 28.
Therefore, in order to correct inaccuracies and adjust the terms, the specialized tax committee approved an amendment to the current tax law No. 9319.
It provides that the beginning of the payment of the military tax for private enterpreneurs — from January 1, 2025, and the military tax of 5% of salaries — from December 1 of this year. Now the MPs must vote for this amendment — the next plenary meeting will take place next week.
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