Bridge to Europe: Ukraine discusses its Tax Euro-Integration path with the EU and Member States
5 February in Kyiv, Ukrainian and European policymakers, business representatives and international experts gathered in Kyiv for the Forum “Bridge to Europe: Ukraine’s Tax Euro-Integration Path” to discuss progress, challenges and next steps in aligning Ukraine’s tax system with European Union standards organised under support of the EU-funded “Public Finance Management Support Programme” (EU4PFM) implemented by the Central Project Management Agency (CPMA) in cooperation with the Ministry of Finance of Ukraine and the State Tax Service of Ukraine.
The Forum brought together senior representatives of the Verkhovna Rada of Ukraine, the Government of Ukraine, the European Commission, EU Member States and the business community. The Forum opened with a high-level strategic panel of key decision-makers shaping Ukraine’s tax euro-integration agenda, including Taras Kachka, Deputy Prime Minister for European and Euro-Atlantic Integration; Svitlana Vorobei; Deputy Minister of Finance of Ukraine; Henrik Huitfeldt, Head of Section at the EU Delegation to Ukraine; and Kristupas Vaitiekūnas, Minister of Finance of the Republic of Lithuania. The discussion focused on political priorities, accession expectations and the sequencing of tax reforms.
Henrik Huitfeldt, Head of Section for Public Finance, Business Support, and Social Policies at the EU Delegation to Ukraine underlined the broader importance of tax reform for Ukraine’s European path:
“EU tax rules provide a stable and well-tested framework that protects honest taxpayers, ensures equal treatment, and ensures fair competition and equal conditions for all businesses. Ukraine’s progress on the National Revenue Strategy and preparations for EU accession demonstrate a clear understanding that accession is not only about legal alignment, but about effective implementation. Modern tax administrations should be seen as partners, not adversaries, and continued investment in digital solutions and alignment with EU standards will be key as Ukraine moves forward on its European path.”
Taras Kachka, Deputy Prime Minister of Ukraine for European and Euro-Atlantic Integration, noted that Ukraine is technically well-positioned to align its tax legislation with EU standards. He highlighted that the main challenges lie in implementation and in improving everyday interactions between businesses and the tax system. He also stressed the importance of supporting small and micro-enterprises, strengthening tax administration — particularly in the area of VAT — and promoting an open public discussion on tax reforms as part of Ukraine’s EU integration efforts.
The Forum also featured panels on tax policy and administration. Experts including Valeria Michelini, DG TAXUD, European Commission; Janusz Kizeniewicz, Deputy Minister of Finance, Lithuania; and Svitlana Vorobei, Deputy Minister of Finance talked about the challenges, sequencing, and roadmaps for aligning Ukrainian legislation with EU standards while ensuring a stable business environment. The discussion also joined Danylo Hetmantsev, Head of the Verkhovna Rada Committee on Finance, Taxation and Customs Policy, who shared insights on legislative priorities and the Parliament’s role in supporting Ukraine’s EU-aligned tax reforms.
“Our task today is not only to draft and submit to the Verkhovna Rada laws harmonized with EU legislation, but also to prepare society, businesses, and regulatory authorities for their practical implementation. If we aspire to become an equal part of the European community, we must build a tax and customs system where strict yet fair European standards are combined with high-quality service-oriented administration, modern IT tools, and a risk-based approach to enforcement. This will make compliance with EU rules as straightforward as possible for diligent taxpayers while ensuring efficiency for the budget,” – said Svitlana Vorobey during the discussion.
During the panel, participants, including Lesya Karnaukh, Acting Head of the State Tax Service of Ukraine, Edita Janusiene, Head of the State Tax Inspectorate of the Republic of Lithuania, Baiba Šmite-Roķe, Director General of the State Revenue Service of Latvia, and Anka Feldhusen, Business Ombudsman, discussed shaping the strategic vision of the State Tax Service, modern solutions to improve and simplify tax administration, and the importance of building trust and partnership with taxpayers. The participants highlighted administrative reforms, strengthening institutional capacity, and implementing digital solutions aimed at simplifying tax compliance and fostering trust between business and the state.
From the business community, Svitlana Mykhailovska, Deputy Director of the European Business Association, stressed the importance of stability and early communication during the reform process, noting that Ukrainian and international companies support Ukraine’s European tax integration, but successful implementation depends on predictability and sufficient time for adaptation. Businesses need early visibility of future rules, clear timelines and ongoing dialogue with policymakers to adjust internal processes, IT systems and contractual arrangements without undermining competitiveness.
During the closing session, Paulius Majauskas, EU4PFM Key International Expert on Taxation, summarized the key achievements and priorities on Ukraine’s path toward tax integration with the EU:
“The EU4PFM program helps Ukraine effectively align its tax legislation and practices with EU standards, while also implementing relevant global tax tools. The EU tax system is not just about legislation—it’s about interaction between administrations and businesses, information exchange, and everyday partnership. By drawing on the proven experience of European countries, Ukraine is building a modern, transparent, and stable tax system that provides legal certainty, simplifies tax compliance, and strengthens taxpayer trust. A reliable, fraud-resistant system supports economic growth and ensures that tax revenues are used for the benefit of citizens. EU4PFM’s support in this process is essential for the consistent implementation of reforms.”
The Forum confirmed a strong convergence of views among Ukrainian authorities, European partners and the business community on the direction of Ukraine’s tax euro-integration. Participants agreed that successful reform requires more than legislative alignment with the EU acquis. It depends equally on effective implementation, institutional capacity and sustained cooperation between the state, business and international partners. Participants highlighted the shared objective of building a tax system that supports sustainable growth, competitiveness and Ukraine’s successful integration into the EU Single Market.
For additional information, please contact:
- EU Delegation to Ukraine: [email protected]
- EU4PFM Programme: Iryna Nefed/[email protected]
