ON WEDNESDAY, THE 24TH OF DECEMBER THE VERKHOVNA RADA OF UKRAINE CONTINUED ITS WORKING IN THE PLENARY REGIME.
At the beginning of the morning meeting, the Chairman of the Verkhovna Rada of Ukraine, Volodymyr Lytvyn has informed on the results of the Verkhovna Rada´s work during the meetings on 23rd of December.
The People´s Deputies presented their applications and propositions.
The first to be scrutinized was the Bill on Amendments to the item 3 of the Law "On Patenting of certain Kinds of Entrepreneurship". The Vice-Minister on Finance, Denis Fudashkin, was the reporter. He explained that the Bill concerned petroleum products. The Government recommends that the rate range should be determined from 300 to 2000 UAH for each fuel dispenser, concrete rate of the tax should be established by the local councils as it will increase the income of the local councils for 700 mln UAH and those funds would be used for the construction of roads.
The Committee on Industrial and Regulatory Policy and Entrepreneurship upholds the Bill. However, the Bill was rejected (224 votes for).
Then the Bill on Amendments to certain Legislative Acts of Ukraine concerning Tax imposed on the Owners of Vehicles was presented. Denis Fudashkin, the Vice-Minister on Finance, informed that pursuant to the Bill, submitted by the Cabinet of Ministers of Ukraine, the tax imposed on the owners of vehicles should be transferred from the composition of the national taxes and duties to the structure of local taxes and duties. The local self-government bodies are authorized to add extra coefficients to the legislatively defined tax rates. Moreover, the Bill increases the rate of tax as regards motor cars and vehicles for transportation of at least 10 persons by 3 times. Adoption of the said Bill will secure adequate funding of the construction of motor roads.
The Committee members believe that the Bill "fails to present any calculations or argumentation concerning reasonability of raising rates of tax imposed on the owners or vehicles and other self-propelled machines by exactly three times". The Bill also lacks estimations of socio-economic consequences of adoption of the said proposal and will lead to the decrease in income of the State Budget. The Committee on Taxation and Customs Policy recommends that the parliament rejects the Bill.
Then the Parliamentarians scrutinized Bill on Amendments to the Law "On Amendments to certain Legislative Acts of Ukraine" (re rates of rent for natural gas). Since 1 January 2009, the Bill (Reg. No.3423) increases the rate of rent for natural gas that is not sold for the public needs (from 200 to 300 UAH for 1000 cubic meters and from 100 to 200 UAH for 1000 cubic meters of natural gas extracted from the deposits at the depth of more than 5000 meters). The Bill also establishes correcting coefficient to the rates of rent.
Moreover, in 2009, the Bill envisages "application of the coefficient 1, 439 to the basic standards of payments for the extraction of mineral resources and norms of duties for the special water-use in part of the use of surface and ground waters mentioned in the Law "On Amendments to certain Legislative Acts of Ukraine".
The Bill was adopted as a basis by 230 votes.
The Verkhovna Rada of Ukraine adopted the Bill "On Amendments to certain Laws of Ukraine" (re Rates of Excise Duty on Petrol and Diesel Fuel"). The Bill increases the rates of excise duty on petrol (from 60 EUR to 110 EUR for 1000 kg), and on heavy distillates (diesel fuel). Relevant amendments are introduced to the Law "On the Rates of Excise Duty and Import Duty on certain Goods (Production)". The amendments to the Law "On Amendments to certain Laws of Ukraine regarding Promotion of Production of Hybrid Motor Petrol" cancel reduced rates of excise duty on hybrid motor petrol with additives on the basis of bioethanol. The amendments also cancel the regulation, pursuant to which, the rate of excise duty on hybrid motor petrol should not exceed 70% of the rate of excise duty on petrol till year 2010, in case the rate of excise duty of petrol is altered.
The Bill on Local Taxes and Charges was introduced by the First Vice-Prime Minister, Oleksandr Turchinov. He declared that the Bill was aimed at the simplification of taxation system. It will not be profitable for the Budget but under the conditions of the global crisis, the obligations of the tax payers should be lessened and the amount of the taxes should be reduced so that the system of their administration is easier. According to the Bill, five governmental and ten local taxes should be canceled. At the same time, the tourist charge should be administered depending on the local conditions.
The Bill was adopted as a dasis by 235 votes.
Yaroslav Suchyi, the People´s Deputy, reported on the Bill on Amendments to certain Laws of Ukraine (re Reduction of the Influence of the Global Financial Crisis on the Employment of Population). The Bill envisages amendments to certain Laws of Ukraine "aimed at the lessening of the influence of the global financial crisis on the labour-market of Ukraine, suspension of the dismissal of the workers from the enterprises, balancing budget Fund of compulsory state social insurance of Ukraine in case of unemployment in years 2009-2010".
The alternative Bill was introduced by the Cabinet of Ministers and presented by the Minister of Labour and Social Policy, Ludmyla Denisova. The Bill introduced by the People´s Deputies was adopted by 256 votes.
The Verkhovna Rada of Ukraine rejected the Bill on Amendments to certain Laws of Ukraine ( re Prevention and Counteraction to the Legalization of illegally obtained Income). The People´s Deputies have earlier adopted two Bills that regulated more issues than the suggested Bill.
The Bills on Amendments to certain Legislative Acts of Ukraine in accordance with the adoption of the Law "On the State System of Biological Safety during the Formation, Testing, Transportation and Use of genetically modified Organisms" and to Law "On Compulsory State Insurance" (re the Payment of Debts before the Pension Fund) were presented.
The Verkhovna Rada has adopted the Bills on Amendments to item 20 of the Law "On Compulsory State Retirement Insurance" and on Amendments to Law "On State Social Aid for the low-income Families".
Then the plenary meeting was closed.
Next plenary meeting will be held on Thursday, 25th of December.