16:12 08.07.2020

Premier: introduction of tax per ha of land premature

1 min read
Premier: introduction of tax per ha of land premature

Prime Minister of Ukraine Denys Shmyhal considers it premature to introduce a tax on each hectare of agricultural land, as proposed by bill No. 3131.

"I think this idea for today is premature. To increase rents in times of crisis, in conditions when farmers ask for support from the state, is not entirely correct," Shmyhal said during a government meeting.

"Through the relevant ministry and the relevant committee, we will ask to convey this idea to parliamentarians so that we don't make this decision prematurely during the crisis and difficulties in the agricultural sector," the prime minister explained.

Earlier, professor of the Kyiv School of Economics (KSE) Oleh Nivievsky called bill No. 3131 unacceptable from the point of view of the development of the industry and the rural economy. The bill, in particular, proposes the implementation of a tax liability per hectare (5% of the normative monetary value, or approximately UAH 1,400/ha). If personal income tax on salary/rental, war tax, land tax, income tax, single tax of the fourth group are less than tax per hectare, then the difference is charged to the local budget.

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