The National Revenue Strategy defines the state's vision for tax and customs reforms that will provide the necessary budget revenues. NSD foresees changes in taxation for the IT industry, in particular for FOPs and residents of "Diya.City".
NSD and IT
United group of FOPs
According to NSD, it is planned to merge the second and third groups simplified taxation system into one group with a differentiated rate from 17% of income instead of a single 5% or 3%. The specific rate for IT specialists is currently unknown. There is also an obligation to use settlement transaction registers (SRS) and to register as VAT payers based on a specified income threshold.
Changes for "Action.City"
NSD only mentions "Action.City" as a preferential tax regime, without specifying its future fate. There is a risk of revising the terms of the regime, despite the guarantee of stability for 25 years. Income taxation of Diya.City residents (5% personal income tax, 1.5% personal income tax) may also change due to plans to introduce a progressive scale of personal income tax.
Strengthening control
NSD provides for measures regarding international information exchange, digitization of data and possible access tax authorities to taxpayers' bank accounts. This may lead to an increase in the number of inspections, including for non-residents.
Glossary
- National Revenue Strategy (NSD) - a document defining the vision of the state regarding reforms to ensure the necessary budget revenues.
- Natural person-entrepreneur (FOP) - a natural person who has registered as a subject of entrepreneurial activity.
- Unified tax (EU) - a simplified taxation system for sole traders and legal entities.
- "Diya.City" - a special legal regime for the IT industry in Ukraine.
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Answers to questions
What changes are proposed for the taxation of individual entrepreneurs (FPOs)?
How can the taxation regime for Diya.City residents change?
What measures are envisaged to strengthen control in the tax sphere?
What is the "National Income Strategy" (NSS)?
What is Action.City?
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Discussion of the topic – How the National Revenue Strategy will affect the IT industry - column
The National Revenue Strategy (NSD) is a document that defines the state's vision for reforms in the tax and customs spheres. It will have an impact on the IT industry, in particular on the taxation of IT professionals.
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Krystyna
I have mixed feelings about this National Revenue Strategy. On the one hand, it is important to ensure adequate revenues to the budget, but on the other - not to create additional obstacles for the development of the IT industry. 💻 Wondering how freelancers and small IT businesses will be taxed?
Dmytro
Agree @Krystyna, this strategy can be a challenge for many IT professionals. On the one hand, the state is trying to streamline the tax system, but on the other hand, this may increase the tax burden on IT workers. 🤔 I hope that compromise solutions will be found.
Maryna
A friend of mine works as an IT freelancer and she is very worried about the possible increase in taxes. For many freelancers, these changes can be a major challenge. 😕 I understand the need to fill the budget, but wouldn't that be too much of a burden on IT professionals?
Pavlo
In my opinion, the implementation of PRO for FOPs in IT can become a real headache. 💻👎 This can significantly complicate the conduct of business and increase the administrative burden. I hope that more flexible solutions will be found for small IT entrepreneurs.
Oleksandr
I have been working in an IT company for several years, and I am concerned about the possibility of increased government control over the industry. 🕵️♂️ IT has always been a fairly free sphere, and it would be a shame if bureaucracy started to slow down its development. It is necessary to find a balance between regulation and freedom.
Hryhoriy
To be honest, I'm a bit scared of this National Income Strategy. 😨 As a former entrepreneur, I have seen how burdensome taxes and red tape can be. I hope that softer solutions will be found for the IT industry, because it is the locomotive of the Ukrainian economy.
Mykola
You see, I am generally skeptical of all these "strategies" and "reforms". 🙄 A lot of noise, but few results. It would be better for the government to focus on real problems and not try to squeeze more money out of the IT industry.
Oksana
I've heard that one option might be to introduce a flat tax for IT FPOs instead of a percentage of revenue. 💰 This can be both a plus and a minus, everything will depend on specific numbers. But in any case, it is important to consider the interests of IT specialists.
Andrii
It seems to me that the abolition of the simplified tax system for IT FOPs could become a serious problem. 😕 Many chose this path precisely because of the ease of keeping records and paying taxes. Moving to a common system can be intimidating for many IT professionals.
Iryna
On the one hand, I understand the need for reforms and filling the budget. But on the other hand, the IT industry is one of the locomotives of the Ukrainian economy. 🚅 So it is important to find a balance that does not slow down its development. Perhaps it is worth considering preferential taxation for IT companies?