Booking, business trips abroad, and tax exemption. It Ukraine Association appeals to the government with proposals

The IT Ukraine Association has sent proposals to the Ministry of economy on measures that will help increase the export of goods and services by Ukrainian IT companies.

The Association calls for:

1. provide opportunities for men liable for military service, who are founders, managers or employees of IT companies, as well as IT specialists-fops, to temporarily travel abroad during martial law for at least 14 days for the needs of doing business within the framework of "e-business".

2. as soon as possible, introduce a mechanism for booking those liable for military service who work in IT companies or provide services to such companies as sole proprietors.

The association offers to book those liable for military service who are hired as employees or engaged under a contract as fops or as gig specialists in accordance with the law of Ukraine "on stimulating the development of the digital economy in Ukraine".

"Not only legal entities (enterprises, institutions and organizations), but also individual entrepreneurs should be critical for the functioning of the economy and ensuring the life of the population during a special period. Therefore, such entities should be "business entities and non — profit organizations"," the IT Ukraine Association noted.

The association has also prepared a draft resolution of the Cabinet of Ministers of Ukraine on establishing criteria for identifying business entities and non-profit organizations that are critical during a special period.

The following criteria are proposed::

the average monthly remuneration for employees involved in each calendar month is not less than 20 thousand hryvnias;the number of employees is not less than 10 persons;the legal entity does not have a tax debt, the total amount of which is more than 10 minimum wages (based on the minimum wage established on January 1 of the current calendar year)."

3.it is also proposed to extend the validity of the value-added tax exemption for operations involving the supply of software products until 2028 to support businesses that work for the benefit of Ukrainian customers. Such customers are not only businesses, but also state and municipal enterprises, institutions and organizations.

The Association believes that the abolition of the current norm will lead to an increase in the tax burden on IT companies that are focused on the Ukrainian market, as well as to an increase in the cost of developing software and software products by 20%, and, accordingly, to a decrease in the competitiveness of companies with development centers in Ukraine.

On September 8, under the chairmanship of Prime Minister of Ukraine Denys Shmyhal, a government meeting was held on measures that will increase the export of Ukrainian goods and services.

The prime minister confirmed that the government will allow a 2-month extension of the booking of employees who have already been booked by enterprises, institutions and organizations. At the same time, the mechanism of "bailout" is currently being finalized, since the provision of the resolution on making a deposit in the amount of 200 thousand UAH caused a significant negative public response.