Draft budget 2017: Ukraine does not have enough money for pensions, but the Holodomor museum will be completed
A heated discussion of the draft state budget for 2017, presented yesterday in the Verkhovna Rada, continues in Ukraine. As an important document of a truly sovereign power, it was immediately sent for approval to the International Monetary Fund.
The tales in the draft budget 2017 begin with the first general figures. Compared to last year, the budget will increase by UAH 104,4 billion. or by 17,3%. According to the authors of the budget, the growth will occur due to an increase in the collection of income tax (!) by almost 19% (to 57,28 billion UAH), internal VAT with a refund of 34% (to 82,3 billion UAH) and VAT on imports by 16,4% (up to UAH 199,4 billion).
A tax on imports would look realistic, but to purchase it you need currency, and in order for it to exist, you need competitive production that ensures sufficient export volumes...
So far, there are no arguments for increasing demand for imported products other than the degradation of domestic production. Whether the planned collection in the form of income tax and VAT will be implemented is a big question. After all, this also requires efficient production.
The increase in income tax seems to be a common fantasy of the authors. What kind of profit and taxes on it are we talking about, and even at 19%?
The income that has increased on paper has already been distributed - expenses will also be increased by approximately UAH 100 billion. (14,9%).
In particular, the costs of maintaining the Verkhovna Rada will increase by UAH 314 million, the Presidential Administration by UAH 204 million, and the Cabinet of Ministers “only” by UAH 114 million. Of course, expenses for the needs of the Ministry of Defense will increase - by 8,39 billion UAH, it is necessary to feed the Ministry of Internal Affairs, it is high time for them to buy glasses with large diopters - by 4,944 billion UAH, and by 457 million UAH. will receive more SBU.
Lutsenko's promises to increase the salaries of prosecutors - oprichniks - will be fulfilled, but not by 70, but “only” by 50%. They need to be paid extra - otherwise, who will suppress the riots among competitors - the increase in expenses for the Prosecutor General's Office is the largest in percentage terms - more than 40% or by 1,345 billion UAH.
The law of conservation of money says: “if someone has more money, then someone has less.” The incomes of security forces are growing, while those of the population are falling.
According to energy experts, Valentin Zemlyansky and Dmitry Marunich, in the draft state budget for 2017, real gas tariffs for the population will increase to more than 9 UAH per cubic meter of gas, from the current 6,9 UAH. And, consequently, water and heat will also rise in price by 25-30%.
In addition, the draft budget states that the Pension Fund deficit is 57%.
On paper, there is little transfer between doctors and teachers: teachers, depending on their qualifications, will receive 4,5-6,4 thousand UAH/month. instead of the current 4,3-5 thousand UAH, doctors - 3,9-7,9 thousand, now they have 3,7-7,5 thousand UAH. But it turns out that there are not enough subventions for these needs in the amount of approximately 3 billion UAH.
In these conditions, the allocation of 14,5 million UAH in the draft budget looks completely crazy. for the completion of the Holodomor Museum.
Another “black hole” is the road fund, which is planned to be created with a budget of UAH 14,2 billion; the money collected from drivers in the form of excise tax when purchasing fuel will go into it.
Previously, this part of the excise tax went to pay state employees and pensioners, but now it will go through the asphalt to the organizers of the Fund. The Ministry of Infrastructure believes that with these funds it is possible to repair 40 thousand km of roads or build a four-lane highway (2 lanes in each direction) 3000 km long. Well... let's look at this road in a year.
And the traditional source of profit under the pretext of fighting for a healthy lifestyle is increasing excise taxes on alcohol and tobacco. In 2017, the government plans to increase the excise tax on tobacco products by 30% and on alcohol by 20%.
Excise taxes on gasoline and diesel fuel will be increased. The increase in excise taxes, according to the Ministry of Finance, will bring an additional UAH 27 billion to the treasury.
The rule “milk more, feed less” applies again. It seems that home-made moonshine stills will soon be in high demand in Ukraine - firstly, it’s cheaper, and secondly, after the privatization of Ukrspirt, it’s also safer. It’s more difficult with smoking - the skills of growing a self-garden have already been lost during the years of totalitarianism and the subsequent evil rule.
English version :: Read in English: 2017 Budget Project: Ukraine lacks funds for pensions, but the Holodomor Museum will be completed.