Bill approved by the Cabinet

At today's meeting the Cabinet of Ministers of Ukraine has approved the bill by the Ministry of Social Policy on expanding the list of categories of pensioners- entrepreneurs exempt from single social contribution, informs the press service of the Ministry of Social Policy.

«This bill extends categories of pensioners-entrepreneurs who may be exempt from paying a single social contribution. While previously only retirement pensioners and disabled could get exemption from compulsory payment of a single social contribution, now all types of pensioners of retirement age are included in the category of privileged recipients, under Article 26 of the Law of Ukraine «On Mandatory State Pension Insurance», said the Minister of Social Policy Natalia Korolevska.

Under the current law private entrepreneurs subject to simplified taxation system shall be exempt from paying their single contribution if they are retired upon old age or disability and receive pension or social assistance in accordance with law. Such persons may be payers of single payment only on condition of their voluntary participation in the system of compulsory social insurance.

«The Ministry receives numerous applications for the exemption from the single contribution of pensioners-entrepreneurs who receive a pension for years of service and have reached the retirement age. To eliminate discrepancies the Ministry of Social Policy has drafted a bill to that will clearly define the conditions of exemption from single contribution», said the press service.

There are 164 436 pensioners and disabled people today who are exempt from paying the single contribution. The sum of the single contribution to be underpaid resulting from the bill, will make 51.6 million UAH annually (based on 10,746 of pensioners who are individual entrepreneurs subject to simplified taxation system and receive a pension for years of service and reached the age referred to in Article 26 of the Law of Ukraine «On Mandatory State Pension Insurance»).