The Rada voted on first reading of a bill proposing an increase in general excise tax on at 2.5 times. The project took almost did not analyze its impact. And in vain, as well creates a dangerous precedent. First, the excise duty on cigarettes increased for the third time in the past year. Smoking, of course, a weakness which must be fought, but within the framework adopted by the State rules. One of them just said about the stability rules of the game in a market economy. Today, giving ?tabakofarms?, and tomorrow at their place could be any other industry, ?because the crisis in the country?.



Secondly, the law in no way was negotiated with the companies, manufacturers, which are major investors, taxpayers and employers. For example, Priluky tobacco factory, feeding the entire city. And if manufacturers are not considered to be at least minimally, then tomorrow they may respond, for example, cut jobs again, - ?because the crisis?. Not coincidentally, the People's Deputy faction of the Bloc Lytvyn Sergei Tereshchuk during the adoption of the bill said: ?Today, the most difficult - is the preservation of jobs. I am also against smoking, but if we raise the price of cigarettes, we do not solve this problem ?. Already we can say that is unlikely to fewer smokers, but the blow to the legally employed business that pays taxes will be seriously.

The third draft is written legally illiterate. It contradicts and the Budget Code, and the Government Decree ?On excise? 26.12.1992 of the city and also the authors failed to take into account that a sharp increase in excise duty would lead to an increase in smuggling cigarettes into Ukraine from neighboring states. Moreover, the cost in Ukraine and Russia on the production of cigarettes about the same, but prices in Russia are already lower than Ukrainian.

It is no coincidence that MPs economists even different political views agreed that the bill should not be taken. As people's deputy Mykola Azarov, ?during economic recessions to raise taxes and excise duties - this is bad of the possible policy options. His support and constant opponent, the chairman of the Rada on tax and customs policies Sergei Terekhin: ?The proposed mechanisms in the bill is unlikely to reduce the number of smokers?. If the bill is still up, the price disparity for tobacco products have with Russia will be 3.2 times, and Moldova - all six times. This bill will only lead to increased investment in the smuggling of cigarettes from our neighbors ?.

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