The government will analyze the experiment on cutting the single social security tax rate introduced by amendments to the Tax Code of Ukraine in late 2014, Ukrainian Prime Minister Arseniy Yatseniuk has said.

"We should again analyze and discuss if the experiment is positive or it should be changed," he said at a meeting of the National Council for Reforms in Kyiv on Monday.

As reported, the parliament in late 2014 passed the law on the reformation of social security insurance and legalization of the wage fund. The law allows cutting the social security tax rate from 2015 if companies observe certain conditions: the increase of the wage fund by at least 30% compared to its average size in 2014, the average payment per insured person is at least UAH 700 a month and the average wage at the company is higher than three minimum wages (UAH 3,654 per month).

In this case companies could increase the wage fund, actually not increasing payments to the social funds thanks to the proportional decrease in the social security tax rate paid by employers (but no more than 2.5 times). However, individuals' income tax (15-20%), military tax (1.5%) and single social security tax paid by employees (3.6%) will be still collected.

The law also foresees that social security tax rates will be decreased by 40% for all companies from 2016.