Page 55 - CEE Tax Guide 2025

of certain goods and services (electric vehicles,
VAT options in Ukraine Applicable / limits
equipment for renewable energy, etc.). Until the end
Distance selling No of martial law, the import of certain military goods
Call-off stock No is exempt from VAT.
VAT group registration No The other indirect tax in Ukraine is excise tax.
Excisable goods are spirits, beer, tobacco, petroleum,
Cash accounting – yearly
amount in EUR (approx.) cars, trailers, motorcycles, and electricity. Certain
military purpose goods are exempt until the end
Import VAT deferment No
of martial law.
Local reverse charge Imported services.
Option for taxation Personal income tax /
letting of real estate Social security system
supply of used real estate No The flat PIT rate of 18% is imposed on both active
VAT registration Revenue of UAH 1 million income and passive income for residents and
threshold (approx. EUR 23K) over non-residents.
12 consecutive months.
Voluntary registration Ukraine tax residents pay PIT on their worldwide
is available. income. Non-residents pay PIT on their Ukrainian
sourced income.
of pharmaceuticals and some services; 0% for the Dividends are subject to 5% PIT, except for dividends
export of goods and the import of certain goods distributed by Ukrainian CIT payers, which are
and services). subject to 9% PIT.
Under the general rule, the place of the supply There is a temporary military levy at a rate of 5% that
of services is the place where the supplier applies to all income subject to PIT.
is registered. However, there are some exceptions
(e.g. for consulting, marketing, information services, A reduced PIT rate of 5% applies
etc.). The reverse-charge mechanism applies to salaries of individuals employed by DiiaCity,
to services provided by a non-resident. to the remuneration of gig-experts, and to the
A so-called “Google tax” of 20% is imposed on the remuneration of authors.
provision of electronic services by non-residents Most forms of active income fall under the
to individuals within the customs territory of Ukraine. scope of social security contribution (SSC)
Ukrainian VAT is administrated through an electronic with an employer’s contribution of 22%; there
system. The taxpayer is entitled to issue VAT invoices is no employee’s contribution. The minimum
for the amount within a certain cap. monthly SSC is UAH 1,760 (approx. EUR 40),
There are VAT exemptions (tobacco products, the maximum monthly SSC is UAH 160,000
gold) and temporary VAT incentives for the supply (approx. EUR 3,669).

Wage related taxes in Ukraine Minimum wage Average wage in private sector
Exchange rate UAH/EUR 43.60 in EUR in UAH in EUR in UAH

183 8,000 503 21,946
Total wage cost 223 122.00% 614 122.00%
Social contribution tax 40 22.00% 111 22.00%
Gross salary 183 100.00% 503 100.00%
Personal income tax 33 18.00% 91 18.00%
Military tax 9 5.00% 25 5.00%
Net salary 141 77.00% 387 77.00%

Denys Shendryk
Partner, Head of Tax and Legal Services
Phone: +38 044 390 71 07
E-mail: denys.shendryk@forvismazars.com

Central and Eastern European tax guide 2025 Forvis Mazars 55