“Increasing taxes on luxury items is the most justified option when choosing a tax supplement of budget revenues.”, — write: www.epravda.com.ua
Increasing taxes on luxury items is the most justified option when choosing a tax supplement of budget revenues.
Such an opinion expressed EBRD regional economist and ex-head of the Central Bank of the Republic of Macedonia Dimitar Bogov in an interview with the Interfax-Ukraine agency.
“The most justified is the increase in taxes on some goods, which in the conditions of war have the characteristics of luxury items. Those that are not so necessary could be taxed with higher taxes,” he said.
The economist added that the state of war justifies a temporary expansion of the standard definition of luxury goods.
Commenting in general on the debate on the expediency of raising taxes in Ukraine today, Bogov noted that external financing currently almost completely covers the needs of the budget, but Ukraine’s efforts to increase internal revenues as much as possible are correct.
“This is an extraordinary situation, and it is clear that everyone should bear part of the burden,” he explained.
According to the EBRD economist, the introduction of a tax on excess profits of banks in the form of an increase from 25% to 50% may be justified, but should be well balanced with the sustainability of banks.
We will remind:
The draft law on raising taxes was considered possibility taxation of luxury items (military levy), but this proposal was removed.