September 28, 2015
WTS Consulting LLC became a partner of IV Tax Forum of the Ukrainian Bar Association, which took place on September 25, 2015 in Kyiv. The forum gathered more than 100 lawyers, among which there were advocates, specialists in tax law, legal advisers, judges, and representatives of the governmental authorities.
The program of the forum included 5 sessions. Senior Partner of WTS Consulting Alexander Minin presented a report on topic “Taxes: too many and too much” in the first session titled Panel discussion “Tax revolution”. In particular, Alexander Minin pointed out that the reform of taxation system shall ensure the optimization of gross domestic product (GDP) redistribution across the state. During the discussion regarding the reform of taxation system Mr. Minin emphasized that threshold level of tax burden, including contributions to the Pension Fund of Ukraine, shall not exceed 30 – 35 % of GDP. Currently, in fact, such burden makes 53 %.
Understanding of the necessity to decrease the “state burden on GDP” existed in previous periods – periods aimed to economy growth. Thus, with regard to taxation policy, in the latter half of 90s official documents of the Verkhovna Rada assigned the objective to restrict this indicator to 40 – 45 %. As well Alexander proposed particular measures to realize this direction of taxation reform.
All slides and other supporting materials to the presentation are available by the link.
It should be noted that expressed thoughts and proposals in speech regarding restrictions of GDP redistribution through the state are rather common for expert community and proposals regarding tax system reform. For example, similar considerations and proposals are introduced in project works of Civic Platform “Nova Kraina” (New Country) and supported by the Coalition of Authors (see. presentation material “Tax Reform: concept that unites the society” slide 8, “Tax Reform“, slide 13) that were repeatedly discussed on various forums. Among the latter ones: All-Ukrainian Forum on Tax Reform, which was held August 20 in Kiev, and “Tax reform in concepts of RPR and GP “Nova Kraina” (New Country). The discussion among coalition of authors and representatives of small and medium enterprises”, June 19, 2015.
Further during the forum in the second session – International tax planning – the discussion was devoted to the main trends of international planning, transfer pricing, offshores and free zones.
During “onstage” third session – Interlude “Tax court or rough justice” – the participants had an opportunity to observe stage version of legal proceeding in common tax dispute.
Topical issues of tax and court practices were viewed during the fourth and fifth sessions.
Complete forum materials are available by the link.