The Verkhovna Rada of Ukraine has adopted in the second reading a draft law on increasing taxes, which concerns the peculiarities of taxation during martial law. This was reported by People's Deputy Yaroslav Zheleznyak in Telegram. The draft law “On Amendments to the Tax Code of Ukraine Regarding the Peculiarities of Taxation During the Period of Martial Law” (No. 11416-d) received the support of 247 deputies.
According to the adopted bill, the military tax rate remains at 1.5% for the military, but new rates are being introduced for other taxpayers. The main changes include:
- Increase in military levy : the rate will increase from 1.5% to 5% for the period until December 31 of the year in which martial law is terminated or abolished.
- New rates for individual entrepreneurs : the military levy for single tax payers of the third group will be 1% of income, while for entrepreneurs from the first, second, and fourth groups - 10% of the minimum wage, which is currently 800 UAH per month.
- Changes in bank taxation : the profit tax rate for banks for 2024 is set at 50%.
- Basic rate for non-bank financial institutions : for these enterprises, the income tax rate will be 25%.
- Improving the advance payment model : this applies to businesses engaged in fuel retailing.
- Change in tax period : the tax period for reporting by individuals is changing from quarterly to monthly.
These changes are aimed at increasing tax revenues in times of war and supporting the Ukrainian economy. The adoption of the law was an important step in adapting the tax system to new realities.
