"Round table" in the Verkhovna Rada: "Peculiarities of taxation of operations on import into the customs territory of Ukraine and supply on the customs territory of Ukraine of vehicles equipped with electric motors"

Information Department
09 June 2016, 15:41

The event was attended by invited people’s deputies, representatives of relevant ministries and experts.

The objective of the event: to discuss the prospects of the draft law  on the temporary exemption of VAT, its influence on the growth market of electric vehicles and indicators of the state budget, as well as the experience of foreign countries on this issue.

People’s deputy Leonid Yemets opening the meeting, said that if the Ukrainian citizens will be able to enjoy cheap affordable electric cars, they this will only get better, because they will suffer no losses on fuel and maintenance expenses.

L. Yemets called the market expansion of electric vehicles in Ukraine a positive process. He also noted that enterprises and persons related to selling and servicing vehicles, which have no electric motor, suppliers of gasoline, diesel fuel, owners of gas stations and more would be against it.

People’s deputy said that the problems with the implementation of the law are evident to the naked eye. But on the side of the initiators of the law social public support should be.

He also said that such a draft law has already been developed with the participation of all interested parties: people’s deputies, representatives of the Cabinet of Ministers, several ministries, inter-factional deputy association "Deputy’s Control" and field  associations.

General Director of Ukrainian Association of auto importers and dealers Oleg Nazarenko noted that the market for electric vehicles in Ukraine today is the most dynamic - in May of last year were imported five electric vehicles, in May of this year - 13%; for five months last year imported 29, for five months of this year - 103 electric cars, which is 255 percent. He stressed that it is economically important market and it is necessary to develop, to think about energy independence of Ukraine from external supplies.

O.Nazarenko also noted that Ukrainian is not lagging behind the others, buying the most popular models for today in the world of electric cars. He supported the need for the draft law, which will allow to develop this segment of the market and the infrastructure.

The adoption of the draft law on the specifics of taxation of operations on import into the customs territory of Ukraine and supply on the customs territory of Ukraine of vehicles equipped with electric motors were also supported by other members of the "round table".

In particular, increasing the number of electric vehicles and reduction of  their cost, as it will provide measures to protect the environment, reduce the unit cost of travel will facilitate the introduction of new technologies, was supported by the representative of the Ministry of Infrastructure. He also supported measures at reducing the tax burden when imported electric cars and promoting this type of transport.

The speakers also underlined the need to unite, to double their efforts towards this, in order to convince the parliamentarians, who are against the adoption of such a law, in its necessity.

The event drew attention to the fact that Europe, USA, China and most other developed countries actively introduce government programs to support electric vehicles, such as free refills, possibility of free parking, traffic lane designated solely for public transport, and most important - state compensation for the acquisition of electric vehicles.

People’s deputy Leonid Yemets added that in addition to the powerful anti-lobby there is a misunderstanding of some people’s deputies. "If it is hard to fight anti-lobby, where there is a misunderstanding of People’s deputies, we can speak with them, we have a lot of arguments and they are strong enough" - he said.

Participants also noted that the draft law has no disadvantages: small budget losses not comparable with the future benefits. Indeed, it is proposed  a norm on exemption from excise taxation of operations on  import into the customs territory of Ukraine of vehicles equipped with electric motors just for  few years, such situation will be an incentive to attract investment to the country, will help create the infrastructure for the market. When this development reaches the state level, the rules of this law will come to an end and taxes again begin to fill the budget.

The speakers also stressed the need for active public participation to ensure that the law would pass.