The expansion of the taxation base with single social security tax that the Social Policy Ministry proposes threatens with the increase in backdoor salaries, Head of the parliamentary committee for tax and customs policy Nina Yuzhanina has said.

"The large business will oppose it, because they have large salaries. Does Minister of Social Policy Andriy Reva see this as justice? Let him prove it. I see that big salaries will go to the shadow," she said in an interview with Interfax-Ukraine.

According to her, if the idea to liquidate the upper border, from which single social security tax is collected at a rate of 22%, in the amount of 15 minimum wages (now UAH 55,800), is realized, large business will use a simplified taxation system to optimize the payment of taxes. At the same time, the head of the parliamentary committee on tax and customs policy does not rule out the Ministry of Social Policy has arrangements regarding this idea with large business.

"But if they agreed with large business that the wage fund will not decrease or there are fuses in the bill, [expansion of the single social security tax base] is possible. I did not hear serious criticism from large business. Maybe, there is some kind of arrangements," she said.

As reported, the Ministry of Social Policy is drawing up a bill that provides for an expansion of the tax base for single social security tax, due to which it is planned to receive up to UAH 5 billion of additional revenues to the budget of the Pension Fund. According to the fund, 68,000 citizens receive a salary above UAH 55,000.