LAW ON TAX CHANGES TO FINANCE DEFENCE FORCES AND ENSURE FINANCIAL STABILITY SIGNED
The President of Ukraine signed Law No. 4015-IX dated 10 October 2024 amending the Tax Code of Ukraine to provide financial support to the Defence Forces and ensure financial stability.
Key innovations of the Law:
The change in the military tax rate for individuals on wages, income from bank deposits, real estate lease, winnings and other income increases from 1.5% to 5% and becomes effective from 1 December 2024.
For individual entrepreneurs of the first, second and fourth groups of single tax payers, the obligation to pay the military fee will be introduced from 1 January 2025.
Single taxpayers of the third group (sole proprietors) will pay the military tax in the amount of 1% of their turnover based on the results of the first quarter of 2025. The military tax for single taxpayers is set temporarily for the period of martial law.
The Law provides for an increase in the corporate income tax rate for financial companies to 25% starting in 2025, and a 50% corporate income tax for banks in 2024. The Law also introduces monthly reporting of personal income tax and unified social tax instead of quarterly, which is necessary to ensure transparency of the existing booking system.
More detailed information is available here.
