The Verkhovna Rada passed the bill on amendments to the Tax Code of Ukraine. This Law also abolishes the so-called “soybean amendments”. These amendments abolished VAT refunds for Ukrainian exporters.

283 MPs voted for the draft Law on amendments to the Tax Code of Ukraine regarding improvement of Tax Administration, removing technical and logical mismatches in the Tax Legislation.

This Law supports local agricultural producers, including soybean and rapeseed exporters. The “Soybean amendments” which were adopted in 2017 created a barrier to trade between Ukraine and the European Union. These amendments deprived producers and soybean and rapeseed exporters of the right to receive state financial support through the VAT refund mechanism. Because of this, the above mentioned exporters lost more than 10 USD per ton of sold soybean and this lead to the inability of small and medium-sized producers of these products to export them. Fortunately, now, there is no such a barrier.

Let us remind you that during the 11-month period of 2019 the biggest export income Ukraine has received from the European Union (41,8% or 19,2 billion USD) and this is 4,4 % more in comparison with the same period of 2018. In general, exports of Ukrainian goods increased by 6,3% during this period.

Reference source: EU-UA