On 13 January 2009, several changes to payroll taxes came into force.
Employers must now pay an amount equal to:
- 1.6% of monthly salaries to the Unemployment Fund
- 1.4% of monthly salaries to the Temporary Disability Fund
- between 0.56% and 13.5% of monthly salaries to the Accident Insurance Fund, depending on the trauma risk level attributable to a particular industry sector
- 2.2% of the value of any civil law contract entered into with an individual to the Unemployment Fund
Employees (including foreign employees) must now pay:
- 0.6% of their monthly salary (up to UAH 10,035) to the Unemployment Fund
The monthly cap for payroll taxes in 2009 per employee is UAH10,035 (c. €950 at current rates), thus, no payroll tax applies on any monthly salary in excess of the cap.
Law:
- Law of Ukraine “On Insurance Tariffs on Obligatory State Social Insurance against Accident at Manufacture and Professional Disease resulted in Disability” No. 2272-III dated 22 February 2001
- Law of Ukraine “On Amount of Payments for Certain Types of Obligatory State Social Insurance” No. 2213-III dated 11 January 2001.
