The first Forum of municipality financial experts: almost UAH 132 billion – the record state support for municipalities for 2022

There is a political will to solve the issue of proportions and a mechanism of setting off personal income tax (at the place of residence or work, or both options) to municipality budgets. However, all the interested parties have to be more active to find a necessary solution in 2022. It was highlighted by Deputy Minister of Development of Communities and Territories of Ukraine Vyacheslav Nehoda during the first Forum of municipality financial experts.

According to Nehoda, the issue has been discussed for a long time. Some municipalities are interested in personal income tax being set off exclusively at the place of work, whereas others are for doing it at the place of residence.

«Local self-government bodies must be more active in solving the issue. In 2022 it is necessary to search for a compromise solution and to calculate well what part of personal income tax can be set off at the place of residence as a person obtains most services there, and what part has to be set off at the place of work as another municipality creates conditions for the person to earn money. There is a political will to solve the issue», - said Vyacheslav Nehoda.

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budget V.Nehoda

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