18:22 06.07.2016

Groysman orders to urgently resume VAT refunding

2 min read
Groysman orders to urgently resume VAT refunding

Ukrainian Prime Minister Volodymyr Groysman has ordered that the State Fiscal Service urgently transfers the register for value added tax (VAT) refunding and resume refunds halted in June 2016.

"The register must be urgently passed to the treasury and close the chapter," he said at a government meeting on Wednesday.

Head of the profile parliamentary committee Nina Yuzhanina said that the situation is linked to doubtful payment of around UAH 7 billion of VAT to agricultural companies in the previous months.

"Legislation is being violated behind our shoulders. Why cannot we oblige the head of the State Fiscal Service to report at a cabinet meeting how VAT is refunded to grain traders who received a zero VAT rate from January 1, 2016, while VAT is refunded for 2015 – VAT that was not paid to the budget," she said.

She said that all 2,000 agricultural producers that received VAT refunded should not be inspected. It is enough to check 20 of them.

"There is Kernel-trade LLC which received UAH 3.6 billion from the budget over this period. It looks like this is too large sum and too grave infringements to pay attention at them and start inspections. AT Cargill – UAH 1.5 billion," Yuzhanina said.

Finance Minister Oleksandr Danyliuk said that he did not know why the State Fiscal Service decided not to pass the register.

"This is violation of law," he said.

Groysman said that he will order that the State Fiscal Service inspects the facts announced by Yuzhanina.

"Let the State Fiscal Service to pass the register and the Interior Ministry to tackle the cases presented here," he said.

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