In Ukraine, in January, nearly 129 ths private entrepreneurs closed; however, nearly 112 ths out of them did not conduct any activities and pay any taxes and contributions to the Pension Fund, Prime Minister of Ukraine Volodymyr Groisman said, according to Finance.UA.

“During this period, in January, nearly 129 ths private entrepreneurs closed. Out of them, 112 thousand did not conduct any activities. Someone registered some day and then did not do anything. And what does the legislation say to us? The legislation stipulates that if you are an entrepreneur, then please pay, at least, contributions to the Pension Fund. Because when you terminate your activities – you come in for pension. And why should you take workers’ pension from the one who paid contributions?”

In the meantime, Groisman reminded that a total of 2 mln enterprises and entrepreneurs work in Ukraine. “There is not any tragedy here”, the Prime Minister noted, commenting on the figures of closed enterprises.

“The enterprises are closing and opening. Here are the figures: within the last period, 16.8 ths enterprises closed, more than 23 ths opened. There are no negative trends, but all the time somebody tries to make us think that all is lost”, Groisman said.

As reported, since January 1, some certain categories of individual entrepreneurs, in particular, of the second and third groups, will pay the unified social tax, amounting to UAH 704 per month, even if they do not have any profit temporarily; in the meantime, the first group of “simplified tax system” has the possibility to pay a half of the minimum insurance fee, amounting to UAH 352 per month.

The experts name this regulation counterproductive, as it can shadow those entrepreneurs, who conducted entrepreneurial activities episodically and paid taxes, when they had profit.