Ukraine looking at imposing tax on foreign trips

Ukrainian state tourism agency is looking at introducing a tax on foreign trips. The Ukrainian Association of Travel Business Leaders said on Tuesday the agency proposed a tax of one percent of a minimum wage on foreign vacations. According to the association, if the tax is imposed, the country’s budget will receive additional revenues of more than 15 million hryvnias (about two million US dollars). According to travel statistics, about 1.3-1.5 million Ukrainians spend their vacations outside Ukraine a year. From April 1, 2013, the minimum official wage in Ukraine is 1,190 hryvnias (about 150 US dollars). It means that each Ukrainian citizen will be liable for a tourism tax of 11.9 hryvnias (about 1.5 US dollars) when buying a foreign tour.