A draft law on amendments to the Law of Ukraine "On Personal Income Tax" has been submitted for consideration at the next session of parliament by People's Deputy S. Slabenko. Thus, Article 5 of the Decree of the Cabinet of Ministers of Ukraine "On Income Tax from Citizens," which ceased to be in force on January 1, 2004, provided for amounts of payments that are not included in the total taxable income of citizens. According to the Information Department of the Verkhovna Rada of Ukraine, one of the types of such income is income of citizens from the sale of crop production and beekeeping products, livestock, rabbits, nutrias, and poultry grown in personal subsidiary farms, on household, dacha, and garden plots, both in live form and in the form of their slaughter products in raw form and in a state of primary processing. Also not included in the total taxable income are citizens' funds from the sale of milk delivered to milk collection points, obtained from subsidiary farming, for its further processing at dairy plants. However, the Law "On Personal Income Tax," which came into force on January 1, 2004, does not provide in the list of incomes that are not included in the composition of total monthly or annual taxable income, the amounts received by citizens from the sale of milk and other products grown in household farming - the main source of raw material supply today. Given the situation that has developed on the food market, the introduction of a tax on income from the sale of products grown in household farming, believes the author, will cause an increase in prices for a significant number of products, including dairy, meat, vegetables, and fruits, which will worsen the social situation and further lower the standard of living of the low-income population. Therefore, it is proposed to introduce corresponding changes to the current law.
For reference: People's Deputy Serhiy Slabenko was elected in the Volodymyr-Volynskyi electoral district and is currently non-affiliated.