Parliament adopted the new Law on determining the base amount for Personal Income Tax and Unified Social Contribution

PwC, Kyiv, Ukraine, 
Wed, May 20, 2015

On 19 May 2015, Parliament adoptedthe new Law* on determining the base amount for Personal Income Tax and UnifiedSocial Contribution.

The key changes are the following:
  •  Income subject to 15% personal income tax will be applied to 17minimum salaries, instead of the current 10 minimum salaries.
  •  Personal income which exceeds 17 minimum salaries is taxed atthe 20% rate.
  •  The coefficient for USC calculations, which will come into forceon 1 January 2016, was reduced from 0.6 to 0.4.

The Law is effective starting from the first day of the month following themonth when the Law is published.

*The draftLaw "On Changes to the Tax Code of Ukraine regarding the fair taxation ofpersonal income between 10 and 17 minimum salaries", dated 07 April 2015(Reg. No. 2576).

 
Contacts:

Slava Vlasov, Partner, Tax and Legal Services, slava.vlasov@ua.pwc.com
Yury Zakharchenko, Manager,Tax and Legal Services, yury.zakharchenko@ua.pwc.com
Kristina Kochetkova,Manager, Tax and Legal Services, kristina.kochetkova@ua.pwc.com