In Ukraine, after the signing of the tax law by President Volodymyr Zelensky, the process of closure of individual entrepreneurs (PEOs) has gained a significant scale. In the first days after signing the document, the number of closed FOPs reached more than 1,000 every day. In general, since the beginning of the year, 254,288 FOPs have ceased their activities in Ukraine. This process becomes one of the important indicators of the impact of new tax initiatives on Ukrainian business.
Opendatabot analysts noted that in the early days, the number of closures reached more than 1,000 per day, although approximately 700 FOPs are closed per day. At the same time, they do not provide data on how many FOPs were opened during this period.
In total, since the beginning of the year in Ukraine, a total of 254,288 FOPs have ceased their activities. At the same time, the largest number of closures occurred in March – 28,690, but spikes in activity were also observed at the end of reporting periods. It is noted that this trend is explained by the desire of entrepreneurs to avoid unnecessary tax obligations and to simplify accounting reporting.
At the same time, it is noted that the adoption of the law on increasing taxes played a significant role in the surge in the closure of private sector enterprises in the fall. Some entrepreneurs consider the new taxes unfair, while officials emphasize the low rates compared to the EU.
It is worth paying attention to the fact that there are no reliable reasons for the mass closure of FOPs in Ukraine.
The work of the FOP in Ukraine - the latest news
Earlier, Opendatabot analysts reported that almost 194,000 new FOPs were opened by Ukrainians in 8 months of 2024. Over the same period, slightly more than 120,000 FOPs were closed. More than a third of new cases are closed in the first year of operation.
The largest number of new cases were opened by entrepreneurs in Kyiv - 26,303 or 13.6% of the total number. Actively registering new businesses in Dnipropetrovsk (18,025), Lviv (14,459), Kyiv (14,428) and Kharkiv (12,954) regions.
A third of new cases are opened in trade, and the IT sector attracts 7.6% of new entrepreneurs. At the same time, the share of women among newly minted businessmen became a record - 60%, and in 2023 this indicator was 55.6%.
