Ukraine’s Parliament has adopted two draft laws reforming the taxation and customs treatment of international postal and express shipments. Draft Law No. 16051-1 amends the Tax Code to introduce specific VAT rules for distance sales of goods, while Draft Law No. 15460 amends the Customs Code to regulate customs formalities for these shipments.
Key VAT and Customs Changes
Finance Minister Serhiy Marchenko said the laws create a modern e-commerce taxation framework aligned with EU approaches and designed to ensure fair competition for domestic businesses. He added that the reform is part of Ukraine’s cooperation program with the International Monetary Fund (IMF) and a condition for EU macro-financial assistance, so timely adoption is key to securing the next tranche of international support for the state budget.
The draft laws introduce special VAT rules for goods sold remotely through online marketplaces when the total invoice value does not exceed EUR 150, while applying VAT to imported goods in international postal and express shipments from the first euro. The obligation to calculate and remit VAT to the state budget will fall on the marketplace or electronic interface operator.
Non-resident marketplaces will be required to appoint one or more intermediaries in Ukraine, who will be jointly and severally liable for VAT settlements with the budget. The standard 20% VAT will be included automatically in the product price at the time of purchase, meaning that the existing parcel collection process will remain unchanged.
The legislation also provides for the possibility of VAT relief for goods intended for security and defence purposes, including refunds of VAT paid by individuals purchasing eligible goods through distance sales. Existing exemptions will remain in place for non-commercial parcels valued at up to EUR 45 and goods transported across the customs border as unaccompanied baggage valued at up to EUR 150, covering personal belongings or other goods transported separately from the individual.
Next Steps and Expected Impact
The President of Ukraine must now sign the laws, after which preparations for practical implementation will begin. The new rules are scheduled to enter into force in July 2027. The reform is expected to generate approximately UAH 10 billion (around EUR 195 million) in additional annual revenue.
