G7 ambassadors familiarized with draft tax reform

According to Ukrinform, this was reported on the President's website.

"Shurma began a series of meetings with the ambassadors of the Group of Seven countries to familiarize them with our state's plans to improve the business environment for investors and increase the level of investment attractiveness of Ukraine," the statement reads.

One of the measures is tax reform, the draft of which was presented to the ambassadors of the G7 countries.

According to Shurma, there are three main reasons why this reform is essential for Ukraine.

"The first reason is that our country is competing for investors with our neighbors: Poland, Slovakia, Hungary, Romania, and Bulgaria. Therefore, we have to offer tax conditions no worse than in these countries," explained the deputy head of the Tax Office.

Shurma emphasized that Ukraine has chosen a course of total fight against corruption, and taxes are one of the most problematic areas in this area faced by business. The reform will help to fight corruption in the tax area."

According to him, "in addition, Ukraine has suffered significant losses during the war and has the right to create special conditions, including tax conditions, to facilitate the recovery process."

"We have to offer both local and international investors a set of incentives. And competitive tax rates are one of these incentives," the deputy head of the Tax Office emphasized.

Shurma emphasized that the current tax system has a negative impact on every Ukrainian citizen.

As an example, he cited the VAT rate on food, which is one of the highest in Europe.

The Deputy Head of the Tax Office highlighted four positive examples of tax reforms carried out by Slovakia, Bulgaria, Cyprus and Ireland.

"In particular, Cyprus and Ireland implemented such reforms after wars or armed conflicts on their territory and were able to overcome the existing problems and achieve economic growth. In Slovakia and Bulgaria, the reforms took place despite the post-Soviet mentality of business in these countries and the reluctance to voluntarily pay taxes," Shurma said.

In his opinion, "by reducing taxes, Slovakia and Bulgaria achieved these goals, significantly increasing budget revenues, and were able to bring business out of the shadows."

As Ukrinform reported, in March, the head of the President's Office, Andriy Yermak in his address to the Ukrainian tax reform and anti-corruption summit that after the victory over the Russian aggressor on the battlefield, one of the key tasks would be to rebuild the country, and that favorable tax conditions should be created for this.