"The main issue is that all entities engaged in entrepreneurial activities operating under a simplified taxation system have been excluded from the program as sellers, along with the manufacturers collaborating with them. In most instances, the program functions through large and medium-sized retail chains, distorting the competitive conditions in the retail market, where such chains already possess significant market power," said the expert.
According to Hetman, "The National Cashback" is marketed as a program to support national producers, yet it distorts competition and grants unjustified advantages to large retail chains, bypassing the interests of small and micro businesses. This occurs because the conditions for participation in the program exclude businesses operating under a simplified taxation system.
This approach, in Hetman's view, is not only unfair to small entrepreneurs but also economically unjustified and detrimental.
"Recently, a myth has been spreading in the Cabinet of Ministers that the simplified taxation system is an 'internal offshore.' However, the figures and calculations debunk this myth – as the tax indicators show that, in most cases, the simplified system outperforms the general system," he noted.
The expert pointed out that in the fuel sales sector, which operates under the general taxation system, taxes collected from turnover amounted to 2.15% in 2023, while sales of technology and electronics reached 2.3%. During the same period, payers of the single tax of the third group paid 5%, and starting in 2025, an additional 1% military tax.
Hetman concludes that the approaches applied by the government in the "National Cashback" program are counterproductive and harmful to competition, business conditions, and the economy as a whole.
The benefit to the national economy from "National Cashback" has proven to be minimal, he noted.
"According to the Ministry of Economy's calculations, the implementation of the project ensured a GDP growth of 0.001% in 2024," Hetman quoted official data.
Such results of the program, in his opinion, can be attributed to the low participation of national producers. Only 1,665 producers joined the program, and collectively they received less than 400 million UAH in additional revenues, which is a negligible amount compared to the turnover of the companies.
The expert believes that the effectiveness of "National Cashback" would increase if the discriminatory conditions were removed.
"It is essential to reintegrate entrepreneurs operating under a simplified taxation system into the program, who utilize RRO/PRRO and are willing to comply with all its conditions. The sale of goods solely with a special barcode, through RRO/PRRO, from the relevant list of categories of Ukrainian-produced goods would eliminate the possibility of so-called gray schemes and contribute to the formalization of trade and enhanced competition, positively impacting the recovery and development of the economy," Hetman stated.
He also called for increasing the maximum monthly cashback amount from the current 3,000 UAH to 6,000 UAH, as he believes this would encourage consumers to participate in the "National Cashback."