Wednesday, June 16th, 2010 03:38 am
This Yanukovich, whom the intellectual majority made a president, promised tax reductions for small- and medium-scale businesses in his election program. Yeah, sure. Instead he and his pocket government raised exsice duties on motor fuel, tobacco and alcohol, which hit these businesses hard.
And now control shot: Banditovich and his government are planning to make freelancing illegal, outsourcing market noncompetitive, and kill any internet-startups as well.
They made new tax code project, in which they removed simplified taxation for lot of activities, including:
- Internet business
- foreign economic activities
- advertising
- accounting services
and so on. Whole list here: http://www.pravda.com.ua/rus/news/2010/06/11/5130391/ (text of project can be downloaded from http://ptcc.org.ua/podat2010.html) Taxes increase for these businesses will be up to 50%.
What does it mean for freelancers? 3 choices:
- flee to another country;
- pay no taxes at all;
- or stop being a freelancer.
Same for outsourcing companies. Yanukovich is killing the only economic sector which grows, despite of economical crisis.
What does it mean for online shops? It's simple: they will die. They can compete with big distribution networks because they have minimal costs: no office, no shop, no sales clerks, no accountant and minimal taxes.
And now control shot: Banditovich and his government are planning to make freelancing illegal, outsourcing market noncompetitive, and kill any internet-startups as well.
They made new tax code project, in which they removed simplified taxation for lot of activities, including:
- Internet business
- foreign economic activities
- advertising
- accounting services
and so on. Whole list here: http://www.pravda.com.ua/rus/news/2010/06/11/5130391/ (text of project can be downloaded from http://ptcc.org.ua/podat2010.html) Taxes increase for these businesses will be up to 50%.
What does it mean for freelancers? 3 choices:
- flee to another country;
- pay no taxes at all;
- or stop being a freelancer.
Same for outsourcing companies. Yanukovich is killing the only economic sector which grows, despite of economical crisis.
What does it mean for online shops? It's simple: they will die. They can compete with big distribution networks because they have minimal costs: no office, no shop, no sales clerks, no accountant and minimal taxes.