Kherson farmers block highway in protest against tax changes

Ukrainian agricultural producers blocked the morning rushhour traffic on a highway near the Antonov bridge in Ukraine’s city of Kherson to protest against changes to the tax system, demanding president’s veto on the newest amendments to the legislation.

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About 150 people were reported to take part in the campaign, blocking the bridge with a 15-minute break each hour, as agreed with law enforcers.

The farmers are demanding that Ukrainian President veto the law, and are set to continue the campaign until their demands are fulfilled.

Activists say they are ready for indefinite protests.

As UNIAN reported earlier, Ukrainian Finance Ministry proposed, in the framework of tax reforms, the abolition of VAT exemptions for all agricultural producers and the increase in excise tax on alcoholic beverages, beer and wine.

Ukrainian farmers and the Agrarian Policy Ministry have repeatedly criticized the initiative concerning the abolition of special regimes earlier than 2018, stressing that the tax changes proposed are too abrupt and will distress livestock production.

Read alsoRada adopts Tax Code with compromise amendmentsOn December 24, the Verkhovna Rada passed bill No. 3688 amending the Tax Code, having reached a compromise between the drafts of the government and of the parliament.

According to the document, the payment of this tax will be split in the following way: producers of grain and industrial crops shall transfer 15% of the tax to special accounts (for further use when they need) and 85% shall be funneled to the national budget. Cattle, meat and dairy producers shall send 80% to the special accounts and 20% to the budget. The model for other producers will be 50% by 50%. The previously suggested model was the same for all agrarian producers: 75% was proposed to be paid to the budget and 25% to the special accounts.

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