You're reading: Cabinet proposes Rada scraps extra import tax from Jan. 1, 2016

The Cabinet of Ministers has proposed that the Verkhovna Rada should scrap the additional import tax of 5-10 percent from Jan. 1, 2016.

The government registered corresponding bill No. 3533 in the parliament on November 26.

The Cabinet proposes that the parliament should recognize that the law on measures to stabilize Ukraine’s balance of payments in accordance with Article XII of the General Agreement on Tariffs and Trade 1994 expires from Jan. 1, 2016.

This law was adopted by the Verkhovna Rada on Dec. 28, 2014 and introduced an additional import tax for a period of 12 months. However, the law only came into force on Feb. 25, 2015 after the publication of the Cabinet order on the completion of consultations with international financial organizations regarding the introduction of interim measures to stabilize the balance of payments.

On Nov. 24, 2015 the Verkhovna Rada considered the bill on the early abolition of an additional import duty, but this initiative did not collect the required number of votes.

As reported, in October the Cabinet approved a draft law on the abolition of an additional import duty from Jan. 1, 2016.