EU4PFM and the Ministry of Finance outlined priorities for tax harmonisation with the EU

Paulius Majauskas, EU4PFM International Key Expert on Tax Reform, met with Oleksandr Hrubiian, Deputy Minister of Finance, and key representatives of the Ministry’s relevant departments. The consultations aimed to define strategic priorities for cooperation in taxation over the coming years in the context of Ukraine’s preparation for accession to the EU.

During the meetings, Paulius Majauskas presented the vision for further EU4PFM–Ministry of Finance cooperation. The expert outlined three key areas of support designed to align Ukraine’s tax system with EU legislation, namely:

• Approximation of legislation to the EU acquis. Priority areas will focus on indirect taxation (VAT and excise duties), direct taxation (corporate rules), and administrative cooperation, including the transposition of the DAC directives and the Directive concerning mutual assistance for the recovery of claims.
• Strengthening tax policy. Among other areas – support for developing solutions regarding non-harmonised and optional EU provisions in the area of indirect taxation.
• Enhancing administrative capacity and digitalisation. The planned assistance will focus on building the competencies necessary for implementing EU directives and directly applicable regulations.

The partners also discussed the development of IT systems required for the implementation of EU tax legislation in Ukraine.

Successful implementation of these priorities will not only ensure the harmonisation of Ukrainian tax legislation with EU standards but will also lay the foundation for building a modern, European-style tax system.