The UAC welcomes the signing by the President of Ukraine Volodymyr Zelenskyi of the Law “On Amendments to the Tax Code of Ukraine on the Value Added Tax Rate on Transactions for the Supply of Certain Types of Agricultural Products” № 1115-IX, adopted by the Verkhovna Rada on December 17, 2020.

The VAT rate reduction for farmers is one of the initiatives that the UAC has been working on, as the law is too important for the agricultural sector and the economy of Ukraine.

The document provides for the VAT rate from 20% to 14% on transactions for the supply and import of certain types of agricultural products into Ukraine, in particular: cattle, pigs, whole milk, wheat and rye, barley, oats, corn, soybeans, sugar beets, seeds of flax, sage or rapeseed, sunflower and other oilseeds.

The law will help to save working capital for farmers. This will provide an opportunity to invest them in the development of farms and legalization of all agricultural sectors. In addition, to reduce the effectiveness of fraudulent schemes (so-called "twists") through which the most part the grain is exported, and fraudsters illegally receive VAT refunds from the state budget.

The UAC - for the legalization of all parts of the agricultural sector of Ukraine.