Oleh Bereziuk: Budget of the country for 2017 neglects ordinary people

According to the head of the Samopomich Union faction, Oleh Bereziuk, the state budget adopted at night is inherently oligarchic and serves commercial clans by 80%, instead of serving the country’s development.

“The budget would have been adopted in any case, because there is an oligarchic parliamentary coalition consisting not of two, but at least of four factions and oligarchic groups,” notes Oleh Bereziuk.

However, thanks to the work of the Samopomich Union faction, this document still contains important things that will allow the country to develop:

– Samopomich MPs managed to defend the mechanism of direct allocation of excise tax at the local level in order to provide communities and local governments with an opportunity to develop independently;

– Due to the faction, among other things, it was suggested to introduce an alternative to special regimes of taxation for agricultural producers in the form of direct grants to entrepreneurs in the agricultural sector, depending on the amount of VAT paid by them;

– Because of Samopomich amendments the minimum wage raise won’t affect the growth of certain fees or indicators, such as court fees or fines. However, the downside is the fact that the amendments against the growth of the single tax for the self-employed individuals of the 2nd group were rejected.

In addition, on the proposal of the government, a single VAT reimbursement claims registry is introduced in the sphere of taxation, which makes this process transparent and reduces corruption abuses by the State Fiscal Service.

“At the same time, most of the regulations of this budget are serving the oligarchic system, therefore members of the faction mostly did not support it during the voting,” said Oleh Bereziuk.

Some of the most striking drawbacks of the document emphasized by the Samopomich Union faction:

– The Parliament has successfully lobbied the interests of “Ukrnafta” by making the rent for the extraction of oil almost twice as little;

– Changes to the taxation of lottery business were made; these changes will make the revenues from this lucrative industry three times as little;

– Tax Code contains regulations on the payers who are carrying out their activities in the occupied territories, and are possibly financing the terrorists.

This may be the first warning signal of the beginning of the economic reintegration of the occupied territories into the country;

– Suggestions of the faction were ignored and the functions of the State Fiscal Service as a punitive body were extended; it is not allowed to transfer the data bases of the Fiscal Services to the Ministry of Finance. In addition, the government is not putting to vote the bill on establishment of the Financial Police, although the bill is ready and only its entry into force will eliminate the Tax Police;

– Local budgets have been robbed and the financial decentralization has been reversed. Thus, the costs of housing and communal services and wages of the non-core employees of medical and educational institutions must now be covered by local budgets; that will result in a substantial reduction of the budgets of large cities, while small towns, villages and settlements may be left without any funds for development at all.

The chairman of the faction says, “Unfortunately, the country’s budget is a document created in the estates of the oligarchs. And numerous violations of regulations and legislation during the voting for the changes to the Budget and Tax Codes are yet another confirmation of oligarchic fire in which Ukraine is burning,” concludes Oleh Bereziuk.

Oleh Berezyuk
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