Income tax reduced to 19 percent

Since the beginning of this month, a new two percent tax rate on additional income from entrepreneurs has been introduced on the territory of Ukraine. Let us remind our readers that, until recently, there was a 21 percent income tax on the territory of the country. This interest rate is provided for by the current Tax Code of the country. However, the Verkhovna Rada decided that all taxpayers who have an income of more than 10 million hryvnia must pay an advance contribution on profit. The amount of such an advance payment is calculated in the amount of one tenth of the tax on the total profit indicator, which was calculated for 9 months of the previous year.

According to available data, the new interest rate of 19 percent will be valid throughout the country until the end of 2013, directly for all enterprises. As an exception, only IT industry companies are present. This industry is the highest priority for the country in terms of the development of the country’s economy. Income tax from 2014 is planned to be reduced to 16 percent. This interest rate will also apply during real estate transactions.