At the end of October, Ukrainians will receive a reduced salary due to retroactive tax increases

The Ukrainian authorities have retroactively increased taxes, which will result in reduced wages for Ukrainian citizens at the end of October.

This warning was issued by Yaroslav Zheleznyak, a member of parliament from the “Holos” party, on his Telegram channel.

According to government forecasts, the law raising the military tax from 1.5% to 5% is expected to be signed by the president after it is passed by parliament in the third week of October. By that time, many Ukrainians will have already received their advance payments, with the military tax still at 1.5%.

“What should employers do? They’ve already paid the advance, and they can’t take the money back. The Ministry of Finance suggests simply deducting these funds when paying salaries. This means that by the end of this month, people will receive a salary that is not only 3.5% less due to the increased military tax, but also reduced by the amount of the advance that was already paid,” Zheleznyak explained.

Earlier, Danylo Hetmantsev, the head of the Tax Committee of the Verkhovna Rada, stated that, in addition to the military tax, VAT would also need to be raised.

Meanwhile, the draft budget for 2025 includes significantly higher spending on salaries for Ukrainian officials. The proposed state budget law suggests increasing the salary fund for the Verkhovna Rada, the Office of the President, and the Cabinet of Ministers.