The Bill (Reg.4104) envisages the implementation of the land tax on land areas that areas (within the cities) in constant use by land users (except those that according to the Land Code have the right for the constant use) at the rate of the rental determined by the article 21 of the law "On Land Lease".
According to the Law "On Land Charge" the land tax is calculated at the rates of one per cent of the normative monetary value of the land area or if the monetary value of the land is not held at the rate of 0,075 to 1,05 UAH per one square meter.
S. Teriokhin stressed that the principles of the Bill do not envisage the increase of the land tax rate if the land area is purchased at the competitive basis. According to him the suggested approach contradicts with the norms of the Law "On Land Charge".
The law "On Land Lease" implements that the ground for the calculating of the rental is the treaty on land area of state or public property the rate of which should not be lesser than the rate of land tax for the agricultural lands and three-fold for the other land categories. Year rental for the land areas that are in state or public property should not be more than 12 per cent of their normative monetary value.
According to the members of the committee such principle needs the conciliation of the Constitutional Court Resolution from the 22.09.05. According to the Resolution, item 6 of the part X of the transitional provisions of the Land Code from 25.10.2001 they are recognized as those that does not correspond to the Constitution of Ukraine.
As a result of scrutiny the committee came to the conclusion that the increase of the rates of the land code under the conditions of the finance crisis may lead to the strengthening of the tax pressure hence it is inopportune.