Lviv Budget 2015;comments and advices of experts

During a long period of time, experts stated that the Ukrainian economy is waiting for financial decentralization. As a result of reforming local self-government and territorial organization of power in Ukraine significant changes are made to the budget and tax system.
 
As a result of redistribution of tax revenues in Lviv, in regional budget were absent a significant part of the tax on personal income (40%) and fees for vehicle registration (100%).
 
"In fact, a predictable and productive for local budgets revenues were taken from our region.
For example, I do not understand why in this case it was necessary to touch the taxation system.
 
If so, if to make some reforms and to take a part of the tax on personal income, then, first of all, it had to be tied to the place of residence of such individual, and parallel restore municipal tax. Because today we have "rich" city and even more depressed areas ", - said the expert Andrian Fityo.

The profit tax to the regional budget in the version of January 2015 is extremely scarce, but according to experts it could be 5-6 times more. Based on these circumstances, the question arises about the quality of the development strategy of Lviv region and, as a consequence, the quality of the target program.
 
Lviv expert AndrianFito notes: "We need to demand at the legislative level, leaving on the ground part of the value added tax, as it was envisaged in the Concept of local government reform in 2006. Abandonment of a part of income tax and part of the value added tax increase control over these revenues in Ukraine as a whole and make them transparent, and for regions this will be an additional stimulus to create jobs and attract investments".

Andrian Fityo