The Chairman of the Finance Committee of the Verkhovna Rada, Danylo Hetmantsev, shared details about the future taxation of digital platforms.
The Chairman of the Finance Committee of the Verkhovna Rada, Danylo Hetmantsev, shared details about the future taxation of digital platforms.
«There are electronic platforms that provide certain services. For example, ordering a taxi, delivering food, searching for contractors and various specialists. According to current tax legislation, all such performers and contractors (taxi drivers, couriers, etc.) who are registered on these platforms must independently declare their income and pay taxes on it — 18% personal income tax and 5% military levy. Practically no one does this, and the State Tax Service’s capabilities to control such taxpayers are extremely limited. However, this does not mean that every taxpayer who receives income but does not report it and does not fulfill tax obligations is not under constant threat of liability,» he noted in an interview with Mind.ua.
According to Hetmantsev, the Ministry of Finance has developed and published a draft law that provides for a reduced rate for such income, and will also inherit the European practice of regulating the activities of such platforms. «Namely: they will withhold personal income tax at a rate of 5% and 5% military duty from the income of self-employed persons and will report this to the State Tax Service. That is, online services will become tax agents. And regardless of whether they are registered in Ukraine or abroad,» he noted.
The deputy added that there are currently no critical comments on this project. «Business generally agrees with it. Therefore, I predict that it will be approved in the next three to four months,» Hetmantsev said.
According to his estimates, the state budget will be able to receive an additional up to UAH 10 billion per year after digital platforms receive the status of tax agents. «Although this figure is very conditional and in reality the revenues may be much higher,» predicts Hetmantsev.
