The People´s Deputies scrutinized
the chapters on the excise duty; the charge for the first registration of a
motor vehicle; environmental tax; rental payment for the transportation of oil
and oil products through the major pipelines, transit pipeline transportation of the natural
gas and ammonia across the territory of Ukraine; rental payment for oil,
natural gas and gas condensate produced in Ukraine; the charge for the use of
mineral resources; most clauses of the chapter on the special tax treatment.
Chapter VI. On Excise Duty
The Chapter harmonizes the laws of Ukraine on excise duty with the EU standards, and supports effective implementation of the tax legislation by the tax payers and supervisory bodies. The Chapter lists the excisable goods, the taxable activities and assets and the taxable basis of the excise duty, the specificity of excise duty administration. To support the fiscal function of the excise duty, indexation of rates in hryvnias is introduced. As the applicable legislation presupposes indexation of rates for alcoholic beverages and tobacco goods, this provision is extended onto beer.
The following goods are excisable: ethyl alcohol and other alcohol distillates, alcoholic beverages, beer; tobacco goods, tobacco and commercial tobacco substitutes; oil products, liquefied gas; cars, car bodies, car trailers and semitrailers, motor cycles.
Chapter VIІ. Charge for the First Registration of a Motor Vehicle
The Chapter abolishes the tax on the motor vehicles payable by a regular motor vehicle inspection, registration and re-registration of motor vehicles. The tax is payable only by the first registration of a motor vehicle in Ukraine.
Chapter VIІІ. Environmental Tax
Environmental tax (instead of the charge for the environmental pollution) is payable by the economic entities and individuals (citizens of Ukraine, foreigners, stateless persons) polluting the environment.
The Chapter alleviates the order of calculating the environmental tax, unifying the system of increasing coefficients and incorporating them into the basic tax rates; administers the tax from the moveable pollution sources with the assistance of the tax agents (wholesale and retail sellers of fuel).
Chapter ІХ. Rental Payment for the Transportation of Oil and Oil Products through the Major Pipelines, Transit Pipeline Transportation of the Natural Gas and Ammonia across the Territory of Ukraine
Rental payment is payable by the economic entities rendering services on the transportation of production through the pipelines of Ukraine. The Chapter was drafted in compliance with the applicable law. The rates of rental payment are fixed on the basis of the effective ones.
Chapter Х. Rental Payment for Oil, Natural Gas
and Gas Condensate produced in Ukraine
The Chapter is based on the applicable order of rental payment administration for oil, natural gas and gas condensate produced in Ukraine. It enlists the payers, the taxable activities and assets and the rates of taxation, the order of calculation and payment of rent.
The rates of rental payment differ depending on the depth of hydrocarbon field. As to the natural gas, the rates of rental payment also depend on the purpose of its sale or use (for the public needs or with other purpose).
Chapter ХІ. Charge for the Use of Mineral Resources
The Chapter unifies two tax charges (the charge for the use of mineral resources for the extraction of minerals, and the charge for the budget-funded exploration works) into a single charge for the use of mineral resources for the extraction of minerals.
Chapter ХІІ. Local Taxes and Charges
The Chapter introduces the real estate tax for the immovable property other than a land plot. The tax is payable by the individuals and legal entities, including non-residents, real estate owners.
The following assets are exempt from tax: housing facilities in the ownership of the state or territorial communities (in the common ownership); housing facilities in the zones of alienation and compulsory resettlement; the premises of the family child care homes; garden houses (not more than one for one taxpayer); the housing facilities in the ownership of families with three and more children (including the children adopted); hostels.
The tax rates are fixed by the village, township or city council for 1 sq. m. of the total floor area of the real estate object.
Twelve local taxes and charges are abolished.
Chapter ХІІІ. Land Tax
Land tax is payable by the owners of land plots and land shares, and land users.
The taxable activities and assets include land plots in the ownership or use; land shares in the ownership.
The taxable base is the normative pecuniary valuation of the land plots with the account for the indexation coefficient; the area of land plots not subject to the normative pecuniary valuation.
Chapter ХІV. Special Tax Treatments
Section 1. Simplified System of Taxation, Registration and Accountability of the Small Business Entities
The tax is payable by the sole proprietors who met the following criteria during the fiscal year preceding the transition onto the simplified taxation system: the number of employees does not exceed 4 persons (8 persons for the restaurant business) (including the family members of the proprietors); the income rate did not exceed UAH 600 000, provided the payments are effected in the cash or non-cash form with the use of the cash registers or UAH 300 000 without using the cash registers.
Individuals performing several types of economic activity subject to the different tax rates obtain one taxpayer certificate and pay tax at the higher rate. Individuals performing economic activity in the place of state registration and in the other settlement of Ukraine obtain one taxpayer certificate and pay tax at the rate of UAH 600 per month.