February 1 2002, 16:06 APK-Inform

Fixed agricultural tax benefits are not flawless

Ukraine's Vice Premier Kozachenko criticized Jan 30th the conditions under which the fixed tax, adopted for agricultural producers "is utilized by companies that has nothing to do with agriculture."

Only those businesses, says the law, where over 50% of goods sold were agricultural production or agricultural processing are honored to be called "agricultural producers".

As it turned out, amongst those enjoying fixed tax legislation you may find construction companies, machine building plants, fuel and industrial complex enterprises and all this leads to disproportional markets for certain commodities.

Kozachenko believes that this issue should be highlighted and loopholes closed.