Rada amends Tax Code in support of revenues of national budget 2019
Ukraine's Verkhovna Rada passed at second reading bill No. 9260 with amendments to the Tax Code that increase some excise duties in support of increasing revenues of the national budget for 2019. The increase is assessed by the Finance Ministry at UAH 5.9 billion.
The bill with some amendments from lawmakers was backed by 236 members of parliament, an Interfax-Ukraine correspondent has reported.
The Finance Ministry said in a press release after the adoption of the bill that the document cuts the duty free limit for international parcels from July 1, 2019 from EUR 150 to EUR 100, and the requirement about three parcels is abolished, as postal operators are not ready to administration of this limit.
The ministry said that the bill increases rates of enlivenment tax from January 1, 2019. The rate for carbon dioxide emissions will grow from UAH 0.41 per tonne to UAH 10 per tonne. This is aimed at stimulating enterprises to pollute environment and reaching the rates for greenhouse emissions in the EU countries.
The document also provides for the indexation of excise tax rates on tobacco products by 9% from July 1, 2019. It also increases the royalties for using subsoil for oil and condensate production by 2 percentage points (p.p.): from 29%/14% to 31%/16% (depending on the depth of extraction) and iron ore by 0.8 p.p. - from 8% to 8.8%.
In addition, the law improves the electronic system of control over the flow of fuel from July 1, 2019, which will increase payments of the excise duty on fuel, the Finance Ministry said.
The deputies during the vote also supported the amendment to the bill, which extends the preferential value-added tax rate for electric vehicles until 2022. "Deputies of all factions submitted amendments on electric vehicles," Head of the parliamentary tax committee Nina Yuzhanina said.
Parliament Chairman AndriyParubiy several times put the bill to a vote, but only after a break and consultations with the heads of the factions the document got the necessary number of votes, which allowed beginning discussion of the draft national budget for 2019 at 5 a.m.
