VAT for Individual Entrepreneurs from 2027: Why the Ministry of Finance's Initiative Sparked Protests

According to glavcom.ua: The head of the Association of Frontline Cities and Communities, Kharkiv Mayor Ihor Terekhov, stated at a conference that small businesses should not be used as a quick way to replenish the budget. He emphasized that any decisions regarding the increase of tax obligations for individual entrepreneurs should be made carefully, taking into account the requirements of economic stability in conflict zones.

The most pressing issue at the conference was the potential introduction of VAT for individual entrepreneurs with a turnover of over 1 million hryvnias starting in 2027. Ihor Terekhov underscored the importance of small business for community development, stressing that new tax burdens could have serious consequences for entrepreneurs and the economy of the country as a whole.

According to Terekhov, it is important to consider the real needs and conditions of modern business, especially during wartime. He supported postponing certain obligations for individual entrepreneurs until the end of martial law, which would help preserve and develop small entrepreneurship.