Oleksiy Lyubchenko and representatives of the alcohol beverage industry discussed steps to improve operation of alcohol market

How to improve functioning of the alcohol beverage industry and what steps need to be taken to un-shadow this area was discussed today by the Chairman of the State Tax Service Oleksiy Lyubchenko and representatives of the alcohol-beverage companies in Ukraine.

During the meeting, business representatives had the opportunity to hear answers from the leadership of the Tax Service to topical questions. They also made suggestions that will help to increase the productivity of alcohol production and support domestic producers, which, in turn, will provide additional funds to the budget.

“At present, the State Tax Service is building a new working strategy that will allow us to create the necessary conditions for business through effective tax administration and development of electronic services. To identify the main problematic issues in a particular area, we decided to hold meetings with business community. This format of direct communication will allow us to build partnerships and quickly resolve all issues. Moreover, during such meetings we will be able to find joint optimal solutions that will satisfy both business and the state.” – emphasized Oleksiy Lyubchenko. 

According to him, the STS specialists analyzed the activity of alcohol-beverage market, effectiveness of implementation of the latest legislative changes, outlined a number of issues that need to be addressed as a priority matter. Significant suggestions from market participants will be a great help.

Important attention during the meeting was paid to the introduction of electronic excise mark, which is expected by both business and the state. Thus, the State Tax Service has already developed a concept for implementing a comprehensive system of electronic excise mark, which provides additional elements: excise mark life cycle accounting system, excise mark logistics control module (without unique and expensive equipment and third-party services) using aggregation QR codes and excisable products sales control module for the alcohol group by scanning the excise mark. Currently, a brand implementation plan is being developed in cooperation with the Ministry of Finance.  

The un-shadowing of excisable product market will be one of the results of introducing the electronic excise mark. It should be noted that un-shadowing the market and elimination of the shadow turnover of alcohol beverages was topical emphasis from business representatives during the meeting. Thus, one of the steps, in their opinion, is to strengthen control over the compliance with the Tax Code, which envisages the transfer of information from meters installed in production facilities to the server of the State Tax Service. This will prevent the turnover of illegal products.

An interesting suggestion from the business was the idea of affixing the excise tax import marks on products directly at customs warehouses in Ukraine. This will help to create new working places and attract additional funds to the budget. Oleksiy Lyubchenko suggested to submit a draft project developed by the business for elaboration and suggestions to the State Tax Service.

“STS is open to communication and implementation of those ideas and legal norms that will allow us to simplify the work of business and at the same time contribute to the creation of additional working places. In the legal sphere, we will support positive ideas and help to implement them” – stated Oleksiy Lyubchenko.

To maintain a constructive dialogue, the participants agreed to hold such meetings more often, which, in turn, will help to resolve misunderstandings between business and taxpayers.

During the meeting, attention was also paid to the analysis of payments to the budget per 1 dal of alcohol.