Government identifies priority steps to curb the shadow economy

Together with government officials, members of parliament, and the heads of the Economic Security Bureau of Ukraine (ESBU), the National Police, and the tax and customs services, we identified priority measures to eliminate or reduce the shadow sector of the economy, Prime Minister of Ukraine Sergii Koretskyi announced.

"The priority measures include combating the illegal production and circulation of tobacco products and taxing e-cigarettes and e-liquids, as well as tackling smuggling, dismantling tax evasion schemes, gambling fraud, and more," the Head of Government said.

Particular and detailed attention was given to stronger oversight of the import, accounting, and intended use of humanitarian aid brought into Ukraine. There are reasonable grounds to suspect that the term "humanitarian aid" is being used for criminal schemes. The Ministry of Social Policy, Family and Unity, together with the relevant government agencies, will prepare the necessary amendments to regulations.

"We considered introducing electronic contracts and invoices for executing agreements and bills and for automatic data exchange. We will prepare the necessary legislative changes for this," the Prime Minister said.

Specific tasks, deadlines, and responsible officials have been set for each area.

"The goal is to prevent and block illegal schemes, secure additional revenue for the state budget, and ensure a level playing field for businesses that operate legally and pay taxes," the Head of Government stressed. "We will report on progress every month."