Metinvest has refused tax benefits since the beginning of the war

Since the beginning of the full-scale Russian invasion, Metinvest Group has refused tax breaks because it understands the need to raise funds for Ukraine’s victory. This was stated by the company’s CFO Yulia Dankova in an interview with dsnews.ua.

«Since the beginning of the full-scale invasion, the company has refused tax benefits to which it is entitled by law and pays taxes in full. We understand that communities and the country as a whole need these funds to fight for victory. In the first nine months of this year, Metinvest’s tax payments contributed over UAH 2 billion to the budgets of the six cities where it operates, including UAH 750 million to Kryvyi Rih, UAH  640 million to Zaporizhzhia, UAH 524 million to Kamianske, UAH242 million to Pokrovsk and UAH9 million to Avdiivka,” she added.

In the first half of 2023, Metinvest paid more than UAH 6.3 billion in taxes to the budgets of all levels. At the same time, in 2021, the company paid UAH 52.7 billion in taxes, including UAH 33 billion in income tax. It was the successful year of 2021, in terms of positive production and financial results, that helped the company survive the first months of the war.

«Of course, the current tax volumes are far from pre-war levels. We have lost the Mariupol-based plants, which accounted for almost 50% of Ukraine’s production and metal exports. Avdiivka Coke has also suspended operations. In addition, the port blockades make it extremely difficult to export iron ore. All of this is reflected in the income tax,» Yuliya Dankova notes.

At the same time, according to her, there has been a certain positive dynamic in personal income tax. In the third quarter of 2023, the Group increased its payments by 12% quarter-on-quarter.

«This is because even amid the war, Metinvest has paid partial bonuses to employees for the previous year and implemented a 25% team bonus this summer for employees of production and repair facilities in Ukraine,» added the financial director of Metinvest.

In addition, the company cares about the communities of presence, although with the beginning of a full-scale war, priorities have changed somewhat.

«Now we continue to care about the communities in which we operate. Since the beginning of the war, our priorities have changed somewhat. While we used to allocate funds for social infrastructure, education, sports and culture, now we support the army, provide humanitarian aid, and, of course, take care of our employees and communities,» commented Yuliya Dankova.

Currently, the company focuses on physical and psychological rehabilitation, reintegration into society of veterans returning from war, as well as retraining and employment.

The company also provides comprehensive assistance to the Armed Forces of Ukraine. Almost UAH 4 billion has already been allocated to support the state and citizens, including UAH 2 billion for the needs of the army.

As GMK Center reported earlier, in  January-September 2023 Metinvest paid to the budgets of all levels in Ukraine almost UAH 11 billion in taxes and fees. In 9 months, the company paid UAH 2.4 billion in single social contribution (SSC), UAH 2.3 billion in personal income tax, and UAH 2.8 billion in income tax.