Average debt of a large company is 470 times higher than the national average, while cartel fines are mere pocket change
Statistics hide an interesting paradox: the larger the company, the smaller its share of turnover it pays, but the heavier the burden of absolute figures.
Billions for the chosen ones
The average debt of one large taxpayer is 470 times higher than the national average. For comparison, a typical Ukrainian business owes the state about 1.2 million UAH. This is money enough for several years of utility services for a middle-class family or for a full reconstruction of a school cafeteria. Large businesses, however, have accumulated debts that can be counted in billions.
In the Eastern Interregional Tax Administration, the average debt per legal entity reaches 561.2 million UAH. The Western Administration records a slightly lower, yet still colossal figure — 478.8 million UAH per company. Thus, one such firm owes the state as much as an entire small business industrial zone earns over several years.
Names remain a secret
Although the figures are loud, the names of the largest corporate debtors remain closed to the public. The reason is simple: restrictions on publishing part of the open information of the State Tax Service introduced after the start of the full-scale war. Citizens see the total amount but do not know who specifically accumulated this debt. Whether it is metallurgical giants or energy monopolies — the data is classified.
The main part of the total state debt, which amounts to 263.32 billion UAH, falls on a significantly wider group of small and medium enterprises. They pay less individually, but there are thousands of them, so together they form the bulk of debts. Large players, having access to resources, demonstrate the highest indicators of average debt per entity.
Fines for conspiracy: playfully cheap
While large business accumulates debts, the Antimonopoly Committee of Ukraine (AMCU) actively catches those who collude on prices. The Temporary Administrative Collegium of AMCU adopted six decisions on violations of competition law. Companies received fines totaling over 133 million UAH for collusion during public procurement and auctions.
Collusion was detected where the state buys goods. For example, ROMANTS LOGISTICS LLC and ALBAT LLC coordinated actions during the purchase of meters for KHMELNYTSKIBLENERGO in 2022. The expected cost of the tender was almost 29 million UAH, and the fine for collusion was 1.26 million UAH. This is less than 5% of the contract value.
Cables and alcohol as subjects of collusion
Another episode concerned the procurement of cable products during 2021–2024. MEGANOM UKRAINE LLC and CABLESVIETOTECH LLC participated in 11 tenders with a total expected value of over 40.5 million UAH. For collusion, the companies received fines totaling 6.75 million UAH. Again, the fine amount looks like a small surcharge to the cost of goods.
The Antimonopoly Committee also considered cases regarding privatization of state property. Felicity Torg LLC and Myshkovetskyi Vodka Plant LLC colluded at an auction for the sale of vodka production in the Ivano-Frankivsk region. The contract was concluded for 27.6 million UAH, and the fine was 4.2 million UAH. Similarly, with Bucha Maltoznyi Zavod: a contract for 42.4 million UAH, a fine of 4.6 million UAH.
Land and landowners
The smallest scale of collusion, but no less cynical, concerns land auctions. Shepetivka City Council conducted an auction for the sale of non-agricultural land in 2023 through the Prozorro system. Sellers MENDYK ANATOLIY OLEKSANDROVICH FPH and NYVA RIDNOHO KRAYU FG agreed on the results of the trade. They were also fined, although the specific fine amount in the AMCU report is not detailed as thoroughly as in cases with large corporations.
The paradox of the situation lies in the contrast of scales. The tax debt of large business is tens of billions, hidden behind wartime restrictions. Fines for anti-competitive behavior are hundreds of millions, perceived as a light price for the opportunity to manipulate the market. Small business pays debts, large business accumulates them, and everyone together plays chess with the state budget, where the stakes are always different.
Illustrative photo: الهام خزائی / CC BY-SA 4.0
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