“After the war ends, the military tax won’t be canceled but will be reduced,” – MP Hetmantsev says

After the war ends, Ukrainian authorities will not abolish the military levy but will reduce it to 1.5%.

This was stated by Danylo Hetmantsev, Chairman of the Verkhovna Rada Committee on Finance, Taxation, and Customs Policy, in a post on his Telegram channel.

According to him, the military levy rate will automatically decrease from 5% to 1.5% after martial law is lifted, as stipulated by current legislation.

He added that after the end of martial law, some taxes will be reduced by two-thirds.

The MP also promised that no other tax increases will be introduced during the current term of the Verkhovna Rada:

“I see no grounds for that under the current parliamentary term,” he said in response to journalists’ questions.

Finally, Hetmantsev addressed recent media reports claiming that the IMF recommended Ukraine raise VAT and introduce higher taxes for the wealthy using a progressive tax scale next year.

In his channel, Hetmantsev insisted that this has not been discussed:

“And if we are talking about the future, I would advise our colleagues in the government (whoever they may be) to first exhaust the potential of combating the shadow economy (including customs and Bureau of Economic Security reforms), cut inefficient government spending (such as the ineffective cashback program), and use reserves from additional placements of domestic bonds, before even considering changes to VAT rates,” he wrote.

Meanwhile, Ukraine is considering introducing new taxes—including taxation on cryptocurrency transactions.