The VAT rate for agricultural producers propose to reduce to 7%

2017-12-26 13:10:43
Machine translation
The VAT rate for agricultural producers propose to reduce to 7%

the deputies from the party "Block of Petro Poroshenko" offer to reduce the VAT rate from 20% to 7% for producers of agricultural products.

 

the bill "On amendments to the Tax code of Ukraine regarding reducing the rate of value added tax for agricultural enterprises" (№7420) registered in the Verkhovna Rada on 19 December 2017.

 

As noted in the explanatory Memorandum to the bill, from 1 January 2017 has been canceled, the special VAT regime for agricultural enterprises. In connection with the abolition of the special regime producers who are registered as subjects of the special tax regime, translated into a common system of VAT taxation.

 

"despite the fact that agriculture is more than 12% of GDP, Ukrainian farmers were left not only without adequate state financial support, but also have to pay VAT for high stakes in the domestic market. The use of high VAT rate of 20% on the sale of agricultural products led to a rise in food prices ", - said in a note.

 

According to the authors of the bill, the bill will increase the working capital of agricultural producers for production and investment activities, and also to prevent due to the abolition of a special regime of VAT falling demand and production, ensure a fair taxation of agricultural producers.

 

it is Also expected that the VAT reduction will ensure not only transparent 100% implementation of budget in terms of tax revenue, but it will allow you to control the dynamics of GDP.