Finance Ministry denies tax increases for sole proprietors

This was reported on the Ministry's website, according to Ukrinform.

"Anonymous Telegram channels spread information and clickbait headlines claiming that the Ministry of Finance is already planning to increase taxes for sole proprietors. This information is not true and is manipulative in nature," the statement says.

The ministry clarified that legislative changes concerning elements of the simplified taxation system will begin to be developed only after the preconditions for such a reform are met — no earlier than the year following the completion of measures related to the security of data use and access to information on the volume and circulation of funds of taxpayers in their bank accounts.

"This process will take place publicly and will require discussions with the public, businesses, and all branches of government, as well as involving international partners. Only after public discussions will the legislative changes be considered and adopted by the Verkhovna Rada of Ukraine," the Ministry emphasized.

As reported by Ukrinform, the last tax increase was passed on November 28, 2024, when Ukrainian President Volodymyr Zelensky signed a law (Bill No. 11416-d) on tax increases, including the military tax. The tax changes came into effect on January 1, 2025.

Among the key changes adopted by the Parliament: an increase in the military tax from 1.5% to 5% (but maintaining the military tax at 1.5% for military personnel); an increase in taxes for sole prprietors of groups 1-2; the introduction of a 1% tax for all forms of sole prprietors in group 3, and more.