The bill (Reg. No. 2063) suggests temporarily reduce the income tax rate for individuals and employers of enterprises, subjects of software industry, to 5 % and introduce for these enterprises and their employees a special scheme for calculation and payment of a single contribution to mandatory state social insurance. 

It is suggested supplement article 8 of the Law “On Collection and Calculation of a Single Contribution to Mandatory State Social Insurance” with a provision establishing temporary procedure (from July 1, 2013 to January 1, 2023) for calculation of a single contribution to mandatory state social insurance. The bill establishes the amount of such contribution for different categories.

Committee members believe that the suggested mechanism shall significantly restrict existing possibilities of respective citizens in implementation of their right to social protection (article 46 of the Constitution of Ukraine) and will contradict the provision of article 22 of the Constitution of Ukraine, which prohibits adopting new laws or amending current ones, if they restrict the existing laws and freedoms.  

The Committee decided to recommend the Verkhovna Rada to reject the bill following the results of the first reading and to refer the decision to the Committee on Taxation and Customs Policy, which is set to be responsible for elaboration of the bill.

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