Fines for financial violations could increase severalfold: what the bill proposes
13 March 17:39
The Cabinet of Ministers of Ukraine has proposed significantly increasing penalties for violations of financial legislation. These changes are outlined in government bill No. 15043, which has been registered with the Verkhovna Rada of Ukraine, according to [Komersant].
The document calls for increasing fines severalfold, as well as changing the time limits for bringing administrative charges.
Which fines are proposed to be increased
The bill proposes amendments to the Code of Ukraine on Administrative Offenses, specifically to Article 164-2, which governs liability for financial violations.
The government proposes:
- increase the fine for a first offense from 136–255 UAH to 850–1,190 UAH;
- increase the fine for a repeat violation from 170–340 UAH to 1,020–1,360 UAH.
Thus, the amount of penalties could increase severalfold.
They also want to change the time limits for bringing charges
In addition to increasing fines, the government proposes to extend the statute of limitations for administrative liability.
Currently, these timeframes often prevent violators from being punished, as financial violations are frequently detected only during audits or government inspections.
The new bill provides for:
- up to one year to bring charges from the date the violation was committed.
What violations are subject to fines
Article 164-2 of the Code of Ukraine on Administrative Offenses covers a wide range of violations that are typically detected during audits or inspections.
These include:
- concealment of income or losses in accounting records;
- failure to maintain accounting records or maintaining them with violations;
- entering false data into financial statements;
- failure to submit or late submission of financial statements;
- violation of rules governing the inventory of funds and tangible assets;
- obstructing audits by state financial control authorities.
Separate liability is provided for the late submission of financial plans by state-owned enterprises.
Why the government decided to increase penalties
The explanatory notes to the bill state that the current fines have not been revised since 1996.
As a result, the government believes their amount has lost its deterrent effect and does not influence financial discipline.
The Cabinet of Ministers of Ukraine believes that increasing penalties should:
- strengthen control over state finances;
- reduce the number of violations;
- increase the accountability of officials.
Who might be affected by the new rules
If the bill is passed, the new fines could directly affect:
- accountants;
- CFO;
- company executives;
- public sector officials.
The document stipulates that the new rules will take effect the day after the law is officially published, provided it is approved by parliament.
Sanctions have also previously been imposed on certain government agencies in the area of financial control. In particular, in 2025, the National Bank of Ukraine issued a written warning to Ukrposhta for violating payment services legislation.
