• Flexi Group

Ukraine stakeholders frustrated at Rada’s lack of urgency on final Tax Bill judgement

The Verkhovna Rada final hearing on the Tax Bill of the Ukraine Gambling Law has been delayed until the end of November.

The final hearing and judgement on tax amendments was meant to be passed by 10 November, however Ukraine stakeholders have seen no precedent take place on the matter.

Though sanctioned last August, the Rada’s failure to settle on the Gambling Law’s tax and technical arrangements has frustrated domestic incumbents, whilst leaving international operators in limbo with regards to entering Ukraine’s re-formed gambling marketplace.

Frustrating legislative progress, the Rada has review all tax proposals propositioned, despite Ukraine’s Committee on Finance support of Tax Code 27/13D – an amendment which received an overwhelming majority approval by MPs during its first reading this summer.

The Committee on Finance has underlined its support for a flat 10% industry tax rate to be applied across all regulated gambling verticals, and for the Gambling Law to eradicate its previous ‘triple lock’ licensing fees.

At this Winter’s SBC CIS Summit, Boris Baum – a councillor for the Ukrainian Gambling and Lotteries Regulation Commission – stated that urgency was needed to resolve outstanding Gambling Law tax and licensing criteria, in order for Ukraine’s market to be attractive to foreign investors.

Observing on the ground developments, Ilya Machavariani CEO and Senior Partner of CIS law firm 4H Agency commented: “It seems that the hearing of the Tax Bill in Ukrainian Parliament is delayed until the week of 29th of November despite previous anticipations that it will be heard before 10th of November.

“Full scope of reasons for this delay is unclear, but at least it seems that the delay is not connected with doubts over the particular Tax Bill; it seems that it is more of a story when the Parliament has diverted its attention to other issues that are now on the top of the agenda.

“Leadership hopes that this is the last delay of this hearing and that soon we will see the Tax Bill adopted.”

sOURCE ; www.sbcnews.co.uk

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