The State Tax Service of Ukraine (STS) plans to implement new changes aimed at supporting mobilized individual entrepreneurs (IEs) who have already accumulated debts amounting to nearly 30 million hryvnias. STS Head Ruslan Kravchenko noted that these debts arose not from negligence, but due to the shortcomings of the current tax exemption mechanism during mobilization.
This is reported by Finway
IEs of groups 1-2, as well as individuals engaged in independent professional activities, are required to pay a single tax and military levy monthly. According to current legislation, mobilized entrepreneurs are entitled to tax exemptions only if they submit an application within 10 days after demobilization. However, in reality, fulfilling this requirement is very difficult due to communication issues, lack of information, and constant psychological pressure during service.
STS Plans for Changes
Ruslan Kravchenko acknowledged the existence of these problems and announced a set of operational measures to support mobilized entrepreneurs. The plans include:
- preparing amendments to legislation to extend the deadline for submitting applications for tax exemptions;
- signing a protocol with the Ministry of Defense, which will allow for the automatic receipt of current data on mobilized IEs;
- inventorying complaints and appeals from mobilized entrepreneurs regarding the cancellation of debts that have accrued since the time of mobilization;
- providing regions with lists of IEs who are being taxed, even though they are unable to fulfill their obligations;
- creating working groups and hotlines in regional offices to inform entrepreneurs and their families;
- conducting an information campaign through Administrative Service Centers (ASC), communities, military administrations, and territorial centers for recruitment and social support.
Expectations from the New Changes
In the near future, the proposals developed by the STS will be submitted to the Ministry of Finance, allowing for amendments to the Tax Code. It is expected that the new rules will enable:
- an extension of the deadline for submitting applications after demobilization;
- the automatic suspension of tax assessments for IEs during their period of service;
- the simplification of the process for recognizing the fact of mobilization for fiscal authorities.
Furthermore, starting from December 1, 2024, an updated list of taxes and levies from which mobilized IEs and individuals engaged in independent professional activities are exempt will already be in effect. At the same time, the need to improve the mechanism remains critically important.
During a meeting with business representatives in Khmelnytskyi, one veteran who personally faced this issue shared that he was unable to submit his application on time because he was constantly at the front. Such cases number in the thousands in Ukraine, which is why the STS emphasizes that each situation will be considered individually so that entrepreneurs do not suffer due to system shortcomings.