▲ A drone factory in Ukraine
Ukraine, which has been at war with Russia for over four years, has turned its attention to the online adult entertainment industry to secure tax revenue.
The U.S. Wall Street Journal (WSJ) reported on the 5th (local time) that the Ukrainian parliament is deliberating a bill to ease criminal penalties for the production of adult content.
Unlike other European countries, the production, distribution, and possession of adult content are illegal in Ukraine, carrying penalties of up to seven years in prison upon conviction.
However, a large-scale adult industry actually exists in practice, with some businesses thriving under the protection of corrupt police.
Controversy recently erupted as Ukrainian tax authorities demanded that adult content producers pay taxes.
This is because reporting income generated from adult content production essentially means notifying authorities of one's own participation in illegal activities.
Yaroslav Zheleznyak, head of the Ukrainian parliament's finance committee, said, "If you don't pay taxes, you are punished for tax evasion, and if you pay taxes, you are punished for violating laws related to adult content," calling it a "tragicomic situation."
Previously, tax authorities obtained data regarding the earnings of Ukrainian models from Fenix International, the UK-based parent company of the adult online platform OnlyFans.
In 2023, it was reported that 7,900 Ukrainian citizens earned more than $131 million (approx. 180 billion won) on OnlyFans.
Following tax notices from authorities, some Ukrainian adult models are relocating their operations overseas.
Some are moving abroad entirely, while others cross the border every few weeks to broadcast online from neighboring countries.
The WSJ pointed out that taxes on income generated from such activities are paid to other countries rather than Ukraine.
Consequently, the Ukrainian parliament pushed for a bill to legalize adult content.
According to Zheleznyak's estimates, legalization could secure up to $25 million (approx. 33.7 billion won) in annual tax revenue.
Although a meager amount compared to astronomical war costs, it is enough to purchase 30,000 drones.
The bill co-sponsored by lawmaker Zheleznyak passed the parliament's first reading last July and is currently awaiting a second reading.
Recently, President Zelenskyy responded to a public petition calling for the legalization of adult content by stating that the parliament would review it.
Svitlana Dvornikova, an adult model who led the public petition, is a popular creator with 1 million subscribers on OnlyFans.
In her petition, Dvornikova stated, "Instead of branding me a criminal, the government should thank me for the $900,000 (approx. 1.2 billion won) in taxes I paid," adding, "With that money, you can buy 100 military trucks or 2,000 drones."
(Photo: AP, Yonhap News)
※ Please note: This article was translated by AI and may contain errors.
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