KYIV, Sept 20 – The International Monetary Fund (IMF) believes that raising the bank profit tax from 25% to 50% in 2024 is unlikely to be effective and suggests the government consider raising broader taxes such as value-added tax (VAT), excise taxes, or environmental taxes, as outlined in the National Revenue Strategy (NRS).

Long-term, broad-based taxes with minimal distortions, like VAT, excise, or green taxes, represent tax reforms that can generate substantial revenue both now and in 2025 and over the medium term, an IMF representative said in response to a query from Interfax-Ukraine.