Ukraine 2015 anti-fraud VAT changes

August 21st, 2014

The Ukrainian VAT code is to be updated from 1 January 2015 largely in an attempt to reduce extensive fraud. The changes include: Input VAT recorded from services provided under the reverse charge (e.g. import of services from outside of Ukraine) may be declared in the same month as the output – instead of the …


Crimea transitions to Russian VAT

April 27th, 2014

Following the Russian annexation of the Crimean region of Ukraine on 18 March 2014, a decree has been issued to start the process of transitioning to the Russian VAT regime. Phased implementation of Russian VAT Crimea will switch to the Russian tax code from the start of 2015. However, the following changes will be implemented …



April 16th, 2014

Value Added Tax (VAT) was introduced into Ukraine in 1993. Since January 1, 2011 it has been administrated by the Ukrainian State Tax Administration in accordance with Chapter I and Chapter V of the Tax Code of Ukraine VAT refund There is no mechanism for foreign entities to be registered as VAT payers. Therefore, it …


Ukraine in fresh VAT cut promise

February 13th, 2014

Ukraine has declared that it will attempt to re-introduce a VAT (Podatok na dodanu vartist (PDV)) cut alongside plans to cut the corporation tax rates. Latest 2015 VAT decrease plans The latest commitment includes a reduction in the Value Added Tax rate from 20% to 17% in 2015.  Plans to implement a similar Ukrainian VAT cut in 2014 were …


Ukraine updates VAT registration procedures

January 22nd, 2014

The Ukrainian government has issued further guidance on the new procedures for a Ukrainian VAT registration that came into place on 1 January 2014. The new guidance covers the processes and rules for voluntary VAT registrations for businesses operating below the current compulsory annual registration threshold. There is no lower turnover limit to the voluntary …


Ukraine issues Promissory Notes for VAT refunds

June 17th, 2013

Hard-pushed Ukraine may shortly start issuing tradable promissory note instruments to companies it owes Value Added Tax refunds to. The measure comes as many local and foreign businesses are owed substantial sums, especially exporters who incur input VAT on their local purchases, but cannot offset this against the exports they make as they are VAT …


Ukraine VAT cut and compliance reform

December 7th, 2010

In November 2010, the Ukrainian Finance Minister issued an announcement of future planned cuts to the Ukrainian VAT rate and other compliance changes. This came as part of a range of VAT compliance changes in the new Ukrainian Tax Code. Below is a summary The VAT rate will be reduced from 20% to 17% with …