The necessity of Ukraine in the fight against the shadow economy

Russia's full-scale invasion of Ukraine caused destruction, suffering and human tragedy. Ukrainian defenders continue the brave fight for freedom and independence, and the business community, despite the challenges, supports the country's economy, pays taxes and provides employment.

According to the American Chamber of Commerce in Ukraine, 32% of companies lost employees due to violence, and 30% suffered damage to their property assets. 84% of enterprises have employees who simultaneously serve in the Armed Forces of Ukraine.

In connection with the war, the priorities of public spending changed significantly, in particular, the financing of the army became the main priority.

The American Chamber of Commerce expresses its gratitude to international partners for their unity and support in the struggle for the survival of Ukraine. The chamber calls on Ukraine's international partners to help unfreeze and transfer Russian sovereign assets so that Russia can compensate for the damages and take responsibility for its actions.

In the context of discussions on raising taxes on transparent business, the Chamber calls on the government to start an effective fight against the shadow economy. The huge losses of the state budget from illegal markets, in particular the trade in tobacco products, emphasize the need to eliminate shadow sectors to ensure a level playing field and attractiveness for investment.

The Chamber emphasizes the importance of business participation in the formation of tax policy, stressing the need for predictability and transparency in this process. This is important to maintain trust in the tax system and protect honest taxpayers.

In order to finance the fight for victory, Russia must compensate for the damage caused, and the shadow economy must be stopped. The American Chamber of Commerce stands by Ukraine on the road to recovery and victory.

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