The revolution of dignity should lead to the Revolution of consciousness.
A presentation and discussion of the draft Law of Ukraine “On Amendments to the Tax Code of Ukraine and Certain Legislative Acts of Ukraine on Stimulation of Citizens’ Tax Responsibility” took place.
The regular meeting of the International Republican Club was held on September 22 in the conference hall of the Salut Hotel.
The theme of the meeting was the presentation and discussion of the draft Law of Ukraine “On Amendments to the Tax Code of Ukraine and certain legislative acts of Ukraine on stimulation of tax liability of citizens”, which introduces an independent payment of personal income tax and a single social contribution on the basis of
the experience of the USA and the leading western countries.
The bill was drafted by a group of experts under the auspices of the International Republican Club and the Ukrainian NGO “Ukrainian Strategy”
The meeting of the Club was attended by members of the board of the International Republican Club, people’s deputies of Ukraine, representatives of the Association of Taxpayers, the Agency “Joint Fulfillment”, other public and business associations.
Independent payment of taxes by citizens is one of the fundamental Republican ideas, which significantly affects the attitude of a citizen towards his country. When people pay taxes themselves, they are more responsible for the issues of their subsequent use.
Introducing the idea of creating a member of the Club’s Board, the People’s Deputy of Ukraine Viktor Romaniuk noted that the independent payment of taxes is a pan-European and American experience, and the bill itself is aimed primarily at changing the consciousness of society, increasing the responsibility and power that society and society themselves hire. ”
President of the Club, and at the same time the head of the group of developers, Anatolii Pinchuk spoke about the main positions of the project. Namely:
– An independent payment is made by a citizen of the personal income tax and the CIT. In order to avoid problems with administration during the implementation of this norm, it is allowed to order the citizen to administer these payments to the employer, but only voluntarily.
– Introducing the possibility of switching to taxation of family income with the introduction of additional preferences for children.
– An integrated PIT rate of 10 + 2% is established, where 10% is an obligatory component and paid to the local community budget at the place of residence (which will increase the capacity of territorial communities in the conditions of decentralization), and 2% – voluntary, from which you can refuse to pay , subject to submission of an application for voluntary exclusion from the Voter Register at the national level.
– The total fiscal burden of the PIT + ECU is reduced to 27%, which in turn corresponds to the data of international studies, which show that for the shadowing it is necessary that the ratio of the total rate
taxes on deviation from payment did not exceed 3 to 1.
– Incentives for personal pension savings are created by reducing the tax base to the corresponding contributions.
The chairman of the Osnova Party, Andrii Nikolaienko, said that the project is quite revolutionary and that he personally does not have high expectations for the approval of his current composition of the Verkhovna Rada. But the positions of the bill should be promoted in society and become fundamental to the overall re-launch of the country on the basis of a new social contract, he said.
Representatives of the Association of Taxpayers headed by the Chairman of the Association Grigol Katamadze supported the main points of the bill and at the same time provided their expert suggestions for its improvement, especially in terms of administration. Mr. Katamadze also suggested uniting efforts to prepare a comprehensive tax reform and the new Tax Code. These proposals were also supported by the meeting participants. Also during the meeting were the proposals on the need to combine tax and social-pension reform and radically change the pension system instead of the simulation changes that are now proposed by the Government. In particular, People’s Deputy Alexander Kirsch joined the government’s criticism, emphasizing the government’s secrecy in preparing for reforms that are important to society and the lack of an integrated approach to reforms.
Summing up the meeting Anatolii Pinchuk offered to all who support the Republican ideas to join the revision of the bill and its further public lobbying.