Reduction factor for social security tax to be retained from Jan 1, 2016 – Rada tax committee

16:49, 23.10.2015 1 min read

The reduction factor for the social security tax which will enter into force on January 1, 2016 will be retained, chairperson of the Verkhovna Rada Committee on Taxation and Customs Policy Nina Yuzhanina has announced.

"There won't be the cancellation of the reduction factor for a social security tax: no businesses will stand the load on the payroll of 56% - it is a dead end," she said in an exclusive interview with Interfax-Ukraine.

According to Yuzhanina, if the option developed by the working group under the leadership of the committee on taxation and customs policy is not adopted, then the option developed by the Ministry of Finance won't be passed as well.

"Then we'll continue working in the old system, with old taxes and only with the reduction factor for a social security tax," she said.

Yuzhanina said the option of the tax reform developed by the Finance Ministry is unsustainable.