The Expert Revealed Details of Upcoming Changes in Sole Proprietorship Taxation.

From January 1, 2025, Ukrainian entrepreneurs will face significant changes in the tax system.

This was reported by accountant Olena Kistrytsia during a broadcast with Yuriy Romanenko, analyzing draft law No. 11416.

According to the expert, all sole proprietors will be obliged to pay a unified social contribution (USC) and a military levy. "The first group will pay 800 hryvnias in USC and 800 hryvnias in military levy. For a moment, the first group will pay approximately 2000 hryvnias," Kistrytsia noted.

For the second group of sole proprietors, the tax burden will increase even more. "The second group sole proprietor used to pay 1420 hryvnias and nothing else. Now he will pay 1600 hryvnias in a single tax, plus 800 hryvnias USC, plus 800 hryvnias in military levy. In total - 3200 hryvnias," explained the accountant.

The third group of sole proprietors, in addition to the existing 5% turnover tax, will have to additionally pay 1% in military levy. "This is quite a lot. Since the turnover of the third group is not profit, but turnover. If a person has 10% profit, he gave 5% to the state, 1% to the bank for withdrawal. And kept 4% for himself. Now he will keep 3% for himself," Kistrytsia emphasized.

The expert expressed concern that the new taxes could negatively impact small businesses, especially in times of economic crisis. "Sole proprietors are not liked here, regardless of what we say," concluded Olena Kistrytsia.

It is worth noting that the draft law has not yet been adopted, but, according to Kistrytsia, it is stated in it that it should come into force on October 1, 2024. "It feels like they will adopt it under the Christmas tree, and we will be paying taxes from October 1," the expert suggested.