The Verkhovna Rada of Ukraine has adopted the bill, suggesting a number of amendments to the Tax Code, which minimize corruption risks in the bodies of the State Fiscal Service and improve Ukraine`s investment climate.
240 MPs, with the required minimum of 226 votes, supported the corresponding bill On Amendments to the Tax Code of Ukraine (concerning the improvement of the investment climate in Ukraine) [No.5368] with revisions by the Rada`s tax committee.
Presenting the bill in parliament, head of the Committee on Taxation and Customs Policy Nina Yuzhanina noted that by the second reading, the committee had received 356 proposals, of which 95 were taken into account partially or essentially.
”I think that most of the regulations contribute to the simplification of tax administration, reduction of corruption challenges in the fiscal sector, and creation of a favorable tax environment. This is a huge step we can make,” she said.
At the same time, the government-proposed version of the bill involved the transfer of management of SFS databases to the Ministry of Finance, while such proposal was deleted in the committee`s amendments.
First deputy head of the Committee on Taxation and Customs Policy Andriy Zhurzhy during the debate noted that this amendment was actively supported by businesses.
”The government has approached seriously and presented the reform, which was called the transfer of databases from the SFS to the Ministry of Finance in order to avoid abuse and manipulation of information, including the VAT refund. But, as it turned out, all that the people were saying was good was destroyed by the MPs. It turned out that they don`t wish to transfer databases to anyone,” said Zhurzhy.
In turn, Yuzhanina said that at the moment, the transfer of the databases cannot be implemented.
”This is the only way to carry out a technical audit of databases and information systems by July 1. Last week we have received the IMF ban on the transfer of databases, because it is technically impossible to perform. But we have now taken the first step – we have laid many articles that will gradually lead to this,” said Yuzhanina.
According to her, the bill includes an amendment, providing for the intention to carry out a technical audit of SFS databases and establish control over them.
In addition, the law will introduce a full-fledged tax payer`s e-office, which minimizes contacts between taxpayers and the SFS officials. Besides, a single register of tax consultations on the SFS website will be set up, tax breaks for small business will be introduced, and a public register of VAT refunds will be created instead of the current two.
As UNIAN reported earlier, the Cabinet of Ministers of Ukraine had proposed the Verkhovna Rada to transfer the control over the databases of the State Fiscal Service to the Ministry of Finance, create the Financial Police, and create and implement a public register of Vat refunds.
The introduction of a single registry of statements on VAT refunds will make the agency responsible for treasury servicing of public funds will automatically transfer the funds supposed to to be reimbursed from the budget.
The project also introduces a number of clarifications with regard to transfer pricing, income tax, VAT, personal income tax, single tax, excise tax, fees for the land, the rent for the use of water and mineral resources, as well as in terms of taxation on the temporarily occupied territories.
