290.5 million UAH of financial sanctions were accrued for violations of rules upon the turnover of excisable goods in 2019

Financial sanctions totaling 290.5 million UAH were accrued to violators of rules upon the turnover of excisable goods during last year. This is 92.9 million UAH more than in 2018. At that time, 197.6 million UAH was additionally accrued for such violations.

In particular, according to the results of 2019 the total amount of sanctions for unlicensed activities has amounted 182.3 million UAH – this is 145.1 million UAH more than in 2018 (37.2 million UAH). 22.4 million UAH was accrued for storage, transportation, sale of the counterfeit, alcohol beverages and tobacco products without the excise duty stamps or with fake excise duty stamps -– this is 6.6 million UAH more than in 2018 (15.8 million UAH).

In addition, tax officials exposed 3239 cases regarding the sale of alcohol beverages at prices below the set minimum wholesale or retail prices. Financial sanctions of 35.3 million UAH were applied for such violations.

In 433 cases, the taxpayers were carrying out the retail sale of tobacco products at prices higher than the maximum retail prices for tobacco products set by the manufacturers or importers of such tobacco products. Sanctions amounting 6.1 million UAH were applied to violators.

Sanctions amounting 6.9 million UAH were accrued for storage of excisable goods in places not entered in the Unified State Register.

Also, in 2019 the STS in cooperation with the law enforcement agencies identified 923 cases of violation of the law regarding the sale of alcohol beverages and tobacco products to individuals under 18 years old.

Since the beginning of 2019, Fuel production and turnover control department of the STS has identified 139 business entities that carried out operations on the purchase and sale of the product “Hydrocarbon Blend. Petrol-ligroin fraction”. Total turnover of such product has reached 296194 thousand liters for 11 months of 2019.

Including 58 business entities were missing by location. Information about such business entities has been submitted to the operational units for search. According to the results of the audit, 11 more business entities received sanctions amounting 18510.3 thousand UAH. 63 business entities were included in the Register of risky enterprises.

On the basis of collected materials, criminal proceedings were initiated regarding the scheme of minimization and evasion of the excise tax during the production and further sale of the gasoline-ligroin fraction.

“Government chose direction on elimination of the “black” and “gray” markets. That is why un-shadowing market of excisable goods is one of the main challenges for the new Tax service. Jointly with the law enforcement agencies, local authorities, we have already started to regulate the fuel, alcohol and tobacco market and its turnover. It is very important not only in terms of budgetary interests. Because the outlaws carry out sale of the counterfeit and not only steal from the budget but also neglect our and our children’s health” – stated Chairman of the STS Serhii Verlanov.