Hetmantsev offered an alternative to the VAT — details

Mandatory redemption of military bonds could become an alternative to personal income tax. Such a mechanism could be effective for financing the army, allowing citizens to invest in defense with the return of funds with interest.

This was reported by the MP Danylo Hetmantsev in a comment for Novyny.LIVE on Friday, November 29.

Prospects of military bonds

Recently, Hetmantsev has proposed discussing the possibility of mandatory redemption of military bonds as an alternative to personal income tax.

"It seems to me that if we perceive this as an alternative to income taxation, then this is a great tool that Israel used in the 1970s. This tool has proven itself in the context of accumulating the state budget for the army," the head of the Ukrainian Parliament Committee on Finance, Taxation and Customs Policy emphasized.

He added that a person who invests part of his income in financing the army will definitely get his money back.

"He will not lose the value of this money, he will receive interest on this money and will be interested in ensuring that the country wins," Hetmantsev noted.

According to him, this proposal is not currently being considered at the government level or as a draft law, only discussions are ongoing.

Previously, Hetmantsev stated that as of the second half of November 2024, economic reservation had already begun to be applied in Ukraine. However, this program is not widespread yet.

Previously, Danylo Hetmantsev reported that instead of the planned VAT increase, the authorities chose to increase the military levy due to its lesser impact on inflation and the economy.