Agribusiness has always accounted for a significant share of Ukraine's GDP. Even after the full-scale invasion, when the country's farmers lost most of their land, elevator capacities, machinery, and faced large-scale logistical problems, the state budget continues to be largely replenished at the expense of the Ukrainian farmer. It would seem that working conditions for agricultural workers in such difficult times should be most attractive. Instead, agribusiness is always under the scrutiny of the tax authorities. Moreover, it's not just about ordinary tax control, but about real obstacles deliberately created by the tax authorities.
One of the major players in the market, grain trader PROMETEY, is no exception. The company announced the blocking of tax invoices for more than UAH 150 million. This blocking affects not only the company, but also small farmers across the country who are unable to export on their own. "We will not be able to pay for the goods to small farmers. This will entail a serious economic blow to the agricultural sector," the agricultural holding said. Monthly tax audits have turned into an official racket, when instead of regular control, civil servants are looking for new reasons not to refund VAT to businesses. For example, a carrier with whom the company had just cooperated violated weight control, and it was PROMETEY that did not receive a VAT refund.
The company reports that even after the inspections, which were supposedly successful, the company does not receive the money. This is 4 million hryvnias that the state owes to the grain trader PROMETEY. And for almost half a year now, it has not paid it, without any legal grounds for doing so. Back in August last year, the company filed a VAT refund declaration. The tax authorities found no violations, and the state was supposed to refund one and a half million VAT. However, the company has not yet received a single hryvnia of this money. And the debt has only grown. In September, the situation repeated itself. This time, the debt amounted to almost 2.5 million hryvnias. The money was supposed to be credited to the company's account in November-December 2023, but so far, the tax office has only sent us a letter. They say they have a technical error in the system. This has been going on for six months.
Nevertheless, the company complies with all agreements with farmers. It pays its bills on time and, moreover, continues to provide financial support to the Armed Forces of Ukraine and territorial communities affected by Russia's armed aggression.PROMETEY is constantly trying to resolve disputes with the tax authorities in the legal field. In particular, dozens of cases are currently pending in courts of various instances. However, litigation greatly complicates the process of doing business, which is already going through hard times. That's why PROMETEY turned to the Business Ombudsman Council. They are aware of the problem on a large scale. Perhaps, by working together, we will be able to convince the government authorities that it is necessary to protect the interests of Ukrainian agribusiness, not to hinder its existence.
