President of Ukraine Petro Poroshenko submitted draft law “On tax on the capital” today during a meeting with representatives of business, transfers “112 Ukraine”.
“This room supports the introduction and submission by the President of the law on the tax on capital is derived taking into account the positions of the relevant budgetary compensations?” he said, signing the document. Hall said approvingly.
The President stressed that the adoption of the law on the tax on the capital instead of the current profit tax should be a common cause.
“When we fight together, to spend this tax, this law is not just a matter of the President. This must be the work of our United team. We will win just as we won during the voting and adoption of the law on the currency,” he said.
Earlier Poroshenko already proposed to the Parliament the draft law on the tax on the capital, but was forced to withdraw it, noting that doing it “because of the position of the international partners.” As a compromise, the President suggested at the first stage to impose a tax on the derived capital for small and medium businesses.
The tax on profit differs from the tax on the capital (distributed profit) tax base, i.e. the fact that it is taxed. Now it’s operating profit – income minus expenses.
After the introduction of the tax on capital derived to optimize costs or to withdraw profits to offshore will no longer have meaning. Therefore, the company will show real financial results.
In addition, the law will attract foreign investors – taxation for them will be a fixed 15%, while the tax load can reach 25%.
Earlier during the meeting, Poroshenko signed a new law on currency.