CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Ukraine Agrees New Tax Code

Ukraine Agrees New Tax Code

by Tatiana Smolenska,, Moscow

08 December 2010

Changes to Ukraine’s tax code have been approved by parliament, ending two weeks of protests by small business owners.

Protests and strikes began on November 16, before parliament approved the previous tax code two days later. Despite the protests, the code, approving a 2% year-on-year reduction in corporation tax until 2014, but limiting the numbers of self-employed able to claim a flat rate of income tax, won approval in parliament.

The about turn by President Viktor Yanukovych sees the restoration of the flat rate tax for the self-employed, and will allow the 2011 state budget to be adopted by December 20, paving the way for the country to receive the next USD1.6bn instalment of its bailout funding from the International Monetary Fund.

Bowing to pressure, the President met protesters in person at Kiev’s Independence Square on November 27, before his decision to veto the November 18 parliamentary decision. He said:

"I share the concern of the people about the tax code restricting the rights of the entrepreneurs and disproportionately expanding the role of the tax administration. I am absolutely against such approaches; and through exercising the right of veto I return the Tax Code to the Parliament."

The revised code was approved on December 2 by 268 of the 450 seat legislature.

TAGS: tax | small business | business | entrepreneurs | budget | corporation tax | Ukraine

To see today's news, click here.


Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »

Stay Updated

Please enter your email address to join the mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.

To manage your mailing list preferences, please click here »