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Ukraine Eyes Pornography Tax to Fund Frontline Drone Fleet

Ukrainian lawmaker Yaroslav Zhelezniak is pushing to legalize the adult entertainment industry, aiming to convert a long-standing legal gray area into a $25 million annual revenue stream. The proposed legislation seeks to fund the production of 30,000 military drones, shifting the focus from criminal prosecution to national defense.

Ukraine Eyes Pornography Tax to Fund Frontline Drone Fleet

Under current law, producing or distributing adult content remains a criminal offense punishable by up to seven years in prison. This prohibition has created a volatile environment where creators face a double-bind: declaring income to tax authorities often serves as a confession of criminal activity. According to data from Fenix International, 7,900 Ukrainians generated over $131 million on OnlyFans in 2023, yet many now operate in fear of police raids and extortion schemes.

Creator Svitlana Dvornikova, who paid nearly $900,000 in taxes, faced a home raid and threats of prosecution despite her compliance. Her experience, shared by many, led to a public petition that secured over 25,000 signatures, forcing the government to address the contradiction. Lawyer Lesia Mykhalenko argues that prosecuting these individuals wastes critical state resources during the war. With the bill having passed its first reading in July, parliament is now weighing whether to formalize the industry as a vital source of military funding or maintain a system that critics say encourages corruption.

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