The Verkhovna Rada at its meeting on December 17, lowered the value added tax rate for farmers. The corresponding decision was backed by 255 votes. A preferential tax rate of 14% was set on operations for the import of agricultural products into Ukraine. It is expected that the rate cut will not lead to large-scale distortions in the structure of VAT revenues/losses for any of the interested parties (government / enterprise).
According to the bill, it is proposed to establish a preferential tax rate of 14% for operations for deliveries in the customs territory of Ukraine and for the import of agricultural products into Ukraine. In particular, whole milk, cattle, live pigs, wheat and a number of other products.
“This list contains only those goods that are not sold at retail, that is, those that cannot be taxed by the VAT rate. VAT for goods such as grain or crude oil is just a deposit, which is then either refunded or converted into other goods at a rate of 20% VAT,” said the People’s Deputy Maryan Zablotsky.
The authors of the bill argue that processing enterprises will be able to save 6% in purchasing costs due to lower tax obligations of the manufacturer.
Подписывайтесь на telegram-канал journalist.today
