In Ukraine, there may be problems with paying salaries to the Armed Forces fighters: Hetmantsev justified the tax increase.

Hetmantsev: aggravation of the situation with military payments is possible at the end of September

The head of the Budget Committee of the Verkhovna Rada, Danylo Hetmantsev, warns of a possible aggravation of the situation with military payments at the end of September. In his Telegram channel, he notes that Parliament has limited Time to increase the budget and adopt the necessary tax changes.

According to the estimates of the Budget Committee, the situation with the current maintenance of the army, including the payment of monetary allowances to the military, may become critical by the end of September. Hetmantsev emphasizes that although there is an understanding regarding the receipt of international aid until the end of 2024 to finance non-military expenses, the second half of the current year regarding military expenses is less certain.

The Cabinet of Ministers has estimated the potential budget deficit for 2024 at 500 billion hryvnias and proposed raising the military levy to cover it. However, Hetmantsev considers this proposal suboptimal and in need of revision.

"Nevertheless, the increase of certain taxes to cover the deficit in the financing of military expenses, unfortunately, cannot be avoided. Parliament's task now is to find a broad societal compromise on this issue regarding an optimal set of tax initiatives, budget financing through domestic loans, and additional budget expenditure cuts," wrote Hetmantsev.

Marchenko: readiness for a compromise with the Rada on taxes

Finance Minister Serhiy Marchenko declared a critical situation with the budget until the end of the year and readiness for a compromise with the Rada on taxes. The Cabinet's bill proposes to increase the military levy from 1.5% to 5%, extending it to sole proprietors and specific transactions, such as the sale of jewelry, real estate, the purchase of banking metals, or new cars.

It is worth noting that Russia has already raised taxes to finance the war against Ukraine by introducing a differentiated income tax rate and raising the profit tax.