In Ukraine, 40% of agricultural products are made by private households, of which there are 689 thousand. But only 4.5% of them are willing to register as taxpayers, according to survey results published by APK-Inform.
One-third of villagers who have home farms are not against registering with fiscal bodies as legal entities, 53% would register as physical entities.
As for physical entities, it will be much more difficult for villagers to get government support, because subsidies are charged on a hectare of land, cost or unit and volume of goods produced, and this requires complete reporting.
Anyway, all business entities can apply for state support, Elena Kovaleva, Deputy Minister of Agrarian Policy and Food of Ukraine, promises. The subsidies should be provided regardless of the amount of income or revenue.
For example, the EU charges subsidies to its farmers on the basis of social and environmental, rather than economic aspects of rural development, gradually abandoning the principle of allocating money “per hectare.”
As we wrote earlier, 22% of surveyed Ukrainians who have farm animals require an expansion of the program to reduce the cost of keeping cows. And Maxim Martynyuk, First Deputy Minister of Agrarian Policy of Ukraine, answered them that the ministry was considering such an option.