"We must build new efficient tax system in European manner, both in form and in substance," he said.
According to Yanukovych, a number of key solutions will enable Ukraine to challenge the world crisis. The President noted that appropriate steps have already been taken: corresponding changes have been made in the legislation, there is a movement towards simplification of relations between businessmen and tax officers, mutual responsibility is being achieved, etc.
"Next steps are gradual lowering of income tax and value added tax," the President said.
The President noted that in the new system a tax officer must become a partner for tax payers in filling state budget. "Explanations, consultations, assistance in preparing the report should become, according to European principles, the main form of work of the tax service," he said.
President Yanukovych emphasized that particularly it must be reflected in the work with small business, farmers, individuals that "should become reliable foundation of state economy".
The head of state also added that Ukraine needs to toughen control over national natural resources. "Unfortunately, we still lack proper tax legislation on economic activities regarding the exploitation of natural resources," he said and added that corresponding tax revenues in European countries make from 4 to 15% of GDP, while in Ukraine the rate hardly exceeds 1%.
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