Proceeds from the payment of social security tax in January-December 2014 amounted to UAH 179.6 billion, which is 1.28% higher than in the corresponding period of 2013, the press service of the State Fiscal Service of Ukraine has stated.

According to the report, social security tax is automatically distributed by the State Treasury Service of Ukraine by types of compulsory state social insurance in accordance with certain proportions and transferred to accounts opened in the State Treasury Service for the funds of compulsory state social and pension insurance.

As reported, in late 2014 the Verkhovna Rada adopted the law on the reform of compulsory state social insurance and the legalization of payroll, assuming the reduction of current rates of social security tax for all businesses by 40% from 2016. In addition, the law allows the reduction of the rate of social security tax in 2015 if companies meet certain requirements: increase payroll by at least 30% compared to its average size in 2014; the average payment per insured person should be not less than UAH 700 per month; the average salary at the company should exceed three minimum wages (UAH 3,654 per month).