The Minister commented on the thesis that due to rising taxes, the cost of goods will increase and business services.
Minister of Finance Sergei Marchenko commented on the government’s plans to increase taxes in Ukraine, in particular, transport tax. To the remark that with rising taxes prices for goods will rise, the minister replied that cars and apartments are not an urgent need now.
Marchenko spoke about this in an interview with RBC-Ukraine.
Let us recall that the government proposes to raise taxes and introduce some new ones. We are talking about a military tax on conditional luxury goods – the purchase of cars, the sale of real estate, a tax on jewelry, etc. The Minister of Finance commented on the thesis that due to the increase in taxes, the cost of goods and services of businesses will increase, and that in certain categories, prices will increase due to the introduction of a military tax.
“Price increase for what? Cars? Apartments? How urgent is this need now?Once again, I will emphasize – we have a security problem, a house is burning, and you say that we don’t need to buy fire extinguishing equipment, but rather buy a car. No problem, buy a new car, but also support the Armed Forces,” Marchenko said.
“Firstly, buying a car is not an urgent critical need right now. Secondly, cars for the security and defense sector are imported duty-free and without paying VAT,” he added.
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The minister said he sees a lot of criticism from car dealers who say that introducing a military tax on car purchases will lead to the shadow market. Marchenko admitted that this is partly possible, “but then this is a question for law enforcement agencies, which must fight the shadow market.”
Recall that the Cabinet of Ministers is preparing proposals for changes to the Tax Code, so Ukrainians should prepare for higher taxes. In particular, it is proposed to increase the military tax rate to 5%, but other taxes and fees will also increase.
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