Tax and accounting insights for Ukraine
21.02.24
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The government does not see the point of the tax service!

The head of the Ministry of Digital Transformation, Mykhailo Fedorov, gave an interview to Forbes in which he said that he sees no point in the existence of the State Tax Service.

"Thelaunch of E-Residency will lead us to this picture. We are testing the model of transaction taxes there. For example, I see no point in the existence of the Tax Service. The tax should be transactional. That is, it should be written off immediately, without thousands of people, invoices, etc." the official said.

"In particular, in Diia.City, we are testing a model of reducing applications, but making them transparent. This is how the structure of the economy is changing and companies that previously worked in the gray zone are being whitewashed," the minister said.

Speaking about the possible cancellation of Diia.City, the official said that he was sure that nothing would happen to Diia.City.

"No one can stop this project. First, I know that the president will do everything to support the project. As long as Volodymyr Zelenskyy is president, the project will definitely develop.

Secondly, there is already a critical number of companies in this mode. That is, the idea has already defeated any documents. No conservative official will be able to stop Diia.City," M. Fedorov emphasized.

The minister also spoke about the issue of pressure on business by law enforcement agencies: "Together with the Rada, we are working on solutions that will monitor the number of cases opened against entrepreneurs, the number of searches, etc. There will also be a separate information system where you can complain and evaluate the actions of law enforcement agencies," said Mr. Fedorov.

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