OREANDA-NEWS. July 12, 2010. Imperfection of the first version of the Tax Code depends on lack of time and the desire to start the procedure of its adoption, even at the current session of the Parliament. The Deputy Prime Minister Serhiy Tigipko said, answering questions from opposition MPs during the hours of the Government in the Parliament.

"The government boosts the reforms required by the country. This dynamic process has led to some errors of the initial phase of work on the Code. But, it is a living work. Now the working groups are studying all contentious issues. The ideology is simple - we need a tax code for businesses and not for taxes" - the Deputy Prime Minister said.

Serhiy Tigipko noted that finalizing of the draft Code is attended by representatives of business associations, employers, experts of the world's leading consulting and auditing companies. According to Vice Prime Minister, none of the conditions of business in Ukraine will not be degraded. The official also stressed that the new Code will use fiscal instruments to encourage investment and stimulate economic development. "We plan to reduce rates of key taxes - VAT and income tax. This should help entrepreneurs to overcome quickly the consequences of the crisis and save the working capital for investment in production. The total number of taxes will be reduced by 40%" - Serhiy Tigipko said.

Turning to the deputies from the opposition, Vice Prime Minister assured them that till the fall the country will have a clear and efficient tax code. "Previous government, which has worked for previous five years, has done nothing constructive and concrete in the direction of tax reform, it only increased the overall tax and regulatory burden on the economy. That is why we remain on the 181st rate out of 183 countries on tax legislation. Staying in such a situation, I think, is inappropriate. We need to attack this problem and not to be afraid of it" - Serhiy Tigipko said.