Hetmantsev reports on the de-shadowing of the Internet services market: providers pay more and more taxes
6 July 2025 16:03
In the first five months of 2025, Ukrainian internet providers paid UAH 2.55 billion in taxes to the budget. This is 50% more than in the same period in 2024.
This was announced by the chairman of the parliamentary committee on finance, Danylo Hetmantsev, on his Telegram channel. This was reported by "Komersant Ukrainian".
The largest growth was demonstrated by the personal income tax (PIT): revenues increased by 80.4%, namely from UAH 0.4 billion to UAH 0.7 billion. Value added tax (VAT) increased by 56.1% to UAH 1.4 billion. Corporate income tax also added 29.4% (UAH 0.3 billion versus UAH 0.2 billion in 2024).
The structure of VAT is particularly notable for progress: its payment rate rose from 8.7% to 9.35%, indicating partial de-shadowing of payments.
The trend toward legalization of salaries is also being recorded. In the first quarter of 2025, the average salary in the industry amounted to UAH 17,160, compared to UAH 12,020 in the first quarter of 2024. At the same time, according to the tax authority, another 14.7% of companies declare salaries below the minimum wage, which is a reason for further inspection.
The situation with 5573 taxpayers who were on the simplified taxation system in 2024 was also analyzed. Among them:
- 3662 voluntarily changed their KVED and remained on the simplified taxation system;
- 1423 lost their taxpayer status due to revocation by the State Tax Service, with only 60 cases (18.9%) where the court ruled in favor of the taxpayers;
- 350 entrepreneurs refused to use the simplified taxation system on their own, while the rest ceased operations.
As noted, the market is showing positive changes, but a significant number of players are still operating in the gray zone. That is why the most problematic of them are now being actively worked on by the Bureau of Economic Security (BES).
The Internet services market in Ukraine has traditionally been a highly shadowed segment. Due to a wide network of small local providers and cash payments, a significant portion of revenues was not included in official reports.
Earlier, Hetmantsev said that ISPs should stop splitting their businesses into individual entrepreneurs (IEs). This split leads to significant losses for the state budget due to the shortfall in taxes and the unified social tax.