President Volodymyr Zelensky has not signed the tax increase bill for over 40 days.
The publication “Economic Truth” reported, citing sources, the reasons behind the president's delay in signing.
The publication recalls that during the preparation of tax amendments, the president distanced himself from the issue, failing to mention this decision in his addresses or while speaking with the media.
“The president delayed signing until the last moment. In meetings with the Ministry of Finance and deputies, he questioned several times whether these taxes needed to be raised, given the funds from frozen Russian assets,” one participant from such a meeting informed the publication.
Sources from “Economic Truth” within the government and parliament cite several reasons for the delay. Among them is dissatisfaction with how the government communicated the tax increases. Zelensky believes that “Ukrainians should clearly understand that the government is taking this step because it feels a lack of resources to fund military operations.”
As a result, he insisted on increasing the military levy, rather than VAT, as business leaders and the public had wanted: VAT is more challenging to associate with the military.
The bill also contains other provisions that displeased Zelensky, such as higher taxes for gas stations and increased royalties for resource extraction.
German officials, the publication reports, complained to the Office of the President about the increased royalties on kaolin (one of the German companies extracts it in Ukraine). “The president viewed the addition of this provision as a breach of agreements with the government and parliament,” added a source in the Cabinet.
Another reason for Zelensky's delay in signing is his reluctance to make unpopular decisions. “People often procrastinate when they need to do something they do not want to. The president is human too,” says the source.
It is worth noting that the tax increase bill was submitted to Zelensky for signature on October 15. Media sources from the President's Office previously reported that Zelensky has not yet decided whether he will sign the law.
According to calculations by “Slovo i Delo,” Volodymyr Zelensky has delayed signing nearly fifty laws during his term. He has particularly abused the practice of ignoring legislative proposals during the full-scale war.