Child of the night. What you need to know about the budget-2017

Дитя ночи. Что нужно знать о бюджете-2017

The main provisions of the draft state budget of Ukraine for the next year.

4:53 – that’s how much the Verkhovna Rada adopted the draft state budget for next year.

The government of Vladimir Groisman for a long time told me that this year the country expects a unique occasion when the budget will be adopted by the full procedure and at the time, but night meetings to avoid and failed.

MPs again complained about what I didn’t see the final version of the budget, but Groisman advised them to learn the materiel.

In Radu came Poroshenko in order to control the voting members. learned everything important about this budget.

A long tradition

The 2015 budget was adopted in the New year – December 29 at 4:24.

The budget for 2016 voted a little earlier, on December 25, but in 4:04.

Now the budget is adopted on December 21, but by the time deputies confidently strive for 5:00.

The overall figures

The document provides for revenues of the budget for 2017 in the amount of 721,398 billion hryvnia, including General Fund revenues – 669,409 billion hryvnia and special Fund revenues – 51,989 billion.

The expenditure budget for the following year provided in the amount of 790,393 billion UAH, including expenditures of the General Fund – 735,378 billion hryvnias and expenses of special Fund – 55,015 billion.

The maximum volume of deficit of the budget is 77,547 billion hryvnias, including limiting amount of deficit of the General Fund – 62,338 billion hryvnias and limiting amount of deficit of special Fund – 15,208 billion.

The new budget is approved macroeconomic indicators, which include GDP growth in 2017 at 3-4%, inflation at the level of 8.1%, unemployment 8.6 per cent, the forecast level of debt is 66.8% of GDP and the rate of hryvnia at the level of 27.2 hryvnia for 1 dollar.

Social standards

In 2017 the subsistence minimum on one person counting on a month is proposed to be set at 1 January 2017 1,544 thousand hryvnias, from may 1 – 1,624 thousand hryvnia, from December 1 – 1.7 thousand.

The minimum wage is proposed to be set in 2017, in monthly terms from January 1 – 3,2 thousand UAH, and in the hourly rate from January 1 of 19.34 of the hryvnia.

As noted, for these purposes, the budget provides for additional spending of around 28.3 billion hryvnia, which will provide for the payment of increased salaries to workers of budgetary sphere.

Excise taxes up

Before adopting the budget the Parliament adopted a number of key for its formation of laws that included amendments to the Tax and Budget codes.

So, Parliament has increased the excise tax on alcoholic beverages by 20%, on fortified and sparkling wine – 12%. The rate for natural wines remains unchanged.

Also will increase the specific rate of excise duty on tobacco products by 40%.

Rents down

Parliament has reduced the size of the rent charged for mining of minerals. So, for the extraction of oil from deposits up to 5 thousand meters, the rent is reduced from 45% to 29% of the cost of commercial products, for deposits over 5 thousand meters, from 21% to 14%.

Along with this, the rate of rent for the extraction of gas condensate has not changed and remained the same at 45% of deposits up to 5 thousand meters, and 21% of deposits in excess of 5 thousand meters.

Excise taxes on fuel

Parliament abolished the collection of excise tax from the retail sale of petroleum products, but increased the basic rate of excise.

From 1 January 2017, introduces new excise rates for gasoline in the amount of 213,5 EUR per 1000 liters (in 2016 – 171 Euro per 1000 l) LPG – 52 Euro per 1000 l (today – 31 Euro per 1000 l).

The excise tax on diesel fuel is proposed to establish from 1 January to 31 March, 2017 in the amount of 125 Euro per 1000 l as from 1 April 2017 – 139,5 Euro per 1000 liters (in 2016 97-125 per 1,000 l).

No fee on purchase of foreign currency

Parliament abolished the 2% pension levy on currency exchange.

As you know, in 2015 the Verkhovna Rada has increased duty on obligatory state pension insurance on transactions of foreign currency purchase by individuals from 0.5% to 2%.

Pension duty on purchase of foreign currency (interest rate 2%) pay only individuals who carried out the purchase of foreign currency solely in cash (except for physical persons who bought foreign currency to repay loans).

The legal entity for all operations on purchase and sale of foreign currency, both in cash and cashless forms, from 2015, the pension levy is not paid.