You're reading: State Tax Service: New simplified taxation schemes could apply to 22,000 companies

The new fifth and sixth groups of the simplified taxation scheme could potentially apply to over 22,000 companies and individual businessmen, Head of the State Tax Service of Ukraine Oleksandr Klymenko told the press on Wednesday.

He said that the fifth group could include 2,100 individual businessmen, whose gross total income stood at UAH 115 billion in 2011, and the sixth group could include over 20,000 companies.

“The new groups are being introduced so that these companies can do business easily and conveniently… I think that this is a very ambitious goal regarding the development of the medium segment of business, which would trigger the development of medium-sized business,” Klymenko said.

As reported, in July 5, 2012, the Ukrainian parliament passed a law on amendments to the Tax Code of Ukraine (on the State Tax and in connection with administrative reform in Ukraine, No. 10224).

According to the document, the fifth group includes individual businessmen who employ up to 20 people, and the sixth group includes companies that employ up to 50 people.

The single tax rate for the new groups is 7% of revenues if value added tax is paid and 10% if value added tax is added to the single tax.