The Union of Ukrainian Entrepreneurs (SUP), based on the analysis of the main problems hampering the development of business, has formed a list of specific demands to the authorities. The document was unanimously supported at the general meeting of the members of the SUP on April 19.
This list is actually a “road map” for our legislators and reformers. The list includes legislative initiatives regulating tax policy, labor activity, work of state control and regulation bodies, and others. These very demands will be able to give a noticeable effect to the economy of the country and will surely promote the exit of enterprises from the “shadow”.
The quintessence of the document is the replacement of the income tax with the tax on capital withdrawal supported by all Ukrainian business without exception. The introduction of this tax will give an additional GDP growth of up to 2% and will contribute to improving the investment climate – the country’s tax system will become more transparent and understandable, including by reducing the space for reporting manipulations and submission of distorted financial results.
We invite all entrepreneurs and other associations to support this document and express our readiness for an open dialogue.
Top 10 demands of business to the authorities:
- Replacement of the income tax with the tax on capital withdrawal
- Liberalization of the procedure for and instruments of cash transactions, as well as the abolition of fivefold liability for offenses in the field of cash circulation
- Reducing the burden on the wage fund: unified social tax 15% (including compulsory deductions on the accumulation system); personal income tax 10%.
- Adoption of legislative initiatives for a major breakthrough in the Doing Business rating
- the introduction of a connection market and the establishment of a unified procedure for connecting to the electricity grid
- cancellation of share contribution in construction No. 8124
- single point of contact at the customs office No. 7010
- AEO – Authorized Economic Operators No. 7473
- Unified invoice for taxes and duties No. 7034
- abolition of price regulation for notary services
- effective handling of the bankruptcy procedure No. 8060
- mediation No. 3665
- A balanced approach to state regulation and control:
- introduction of a risk-oriented approach in the planning of inspections; the exceptional nature of unscheduled inspections in the event of a threat to the health and well-being of citizens
- increased personal responsibility of the officials for abuse during inspections and issuing licenses
- rejection of coercive methods of financial investigations in favor of an analytical approach
- liberalization of currency regulation, the abolition of special sanctions in the sphere of foreign economic activities
- Modern labor law based on the freedom of employment contract
- Paper free – the rejection of outdated paper atavisms (employment record books, accounting books, etc.) and the transition to e-document management (electronic waybills, etc.)
- Large-scale privatization
- Creation of agricultural land market
- Tax agent – a natural person who will raise the awareness of citizens as taxpayers
