The exclusion of poultry farmers from the list of payers of the Group IV single tax, which is stipulated by the bill №5600, makes the industry unattractive – few people want to invest in its development.

The exclusion of poultry farmers from the list of payers of the Group IV single tax, which is stipulated by the bill №5600, makes the industry unattractive – few people want to invest in its development.

This opinion was expressed by Serhiy Karpenko, executive director of the Association "Union of Poultry Breeders of Ukraine", commenting on the norm of the draft law "On Amendments to the Tax Code of Ukraine and some legislative acts of Ukraine regarding the balance of budgetary receipts," Agravery reports.

“I know a dozen businesses today that are being sold – people want to get out of this business. It's just that no one buys, because they know that this is an unprofitable business. "Adoption of bill No. 5600, firstly, will increase the share of shadow production, the use of cash in settlements to reduce the tax base," the expert said.

Secondly, the administration of taxes will become more complicated, since some of the poultry farms have land in cultivation and activities on them will remain on a single tax, so that some part of production is profitable, and a simplified taxation system will be maintained. They will simply have to separate the poultry industry into a separate legal entity, and thus disrupt the production structure, Karpenko notes.

“Thirdly, I am not sure that tax revenues from unprofitable poultry farming will increase. But the reduction in revenues from the single tax in local communities is for sure.” – the expert notes.

According to him, the exclusion of the poultry industry from the list of single tax payers of the IV group primarily harms small and medium-sized enterprises, since they are not so effective in administering taxes.

Read also: the main consumers of Ukrainian chicken were named.

Agro-business