Ukrainian government reports $81M tax loss from unregulated crypto exchanges since 2013
According to data provided by the Ukrainian government, cryptocurrency exchanges offering services in the country have failed to contribute more than $81 million to the national budget in the last decade.
In an Aug. 2 notice, the Economic Security Bureau of Ukraine reported unrelated crypto exchanges were responsible for at least 3 billion hryvnia in lost taxes — roughly $81 million — from 2013 to 2023. The government body said it had analyzed trading activity of exchanges created by residents of Ukraine which had roughly $55 billion in Bitcoin (BTC), Ether (ETH) and Tether (USDT) volume over the same time period.
"There are different points of view on how these transactions should be taxed, and [the bureau] will act in accordance with the provisions adopted by the deputies,” said Andriy Pashchuk, deputy director of the Economic Security Bureau. “But it is obvious that while the issue drags on, the state continues to lose tens of millions in taxes every month.”
Бюджет втратив 3 млрд грн податків від діяльності криптобіржДеталі https://t.co/9ZyXZjsLOl pic.twitter.com/mXz2fPpPf9
Ukrainian President Volodymyr Zelenskyy signed a piece of legislation called ‘On Virtual Assets’ into law in March 2022, establishing a regulatory framework for cryptocurrencies in the country. At the time, the government said it was working on amending Ukraine’s tax and civil codes to accommodate the legal framework, but no amendments to existing requirements have been implemented as of August 2023.
Many Ukraine-based crypto users on Telegram questioned whether they would be required to provide ‘backpay’ of taxes based on transactions over the last ten years. Some pointed to the government’s failure to adopt the regulations despite the law being passed
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