- Should an individual entrepreneur pay VAT from the commission amount withheld by a foreign marketplace for the sale of goods/services on its internet platform?
- Should VAT be paid from the commission amount paid by the individual entrepreneur, which includes payment for advertising services provided by the foreign marketplace on its internet platform?
- The main office of the State Tax Service in the Odessa region clarifies the taxation of VAT on services based on the location of the supplier or recipient.
- Electronic services are defined as those provided through the internet, automated, using information technologies, and primarily without human intervention.
- VAT taxation of operations involving the supply of electronic services by non-resident VAT payers to individuals in Ukraine is regulated by Article 2081 of the Tax Code.
- Non-resident individuals supplying electronic services to individuals in Ukraine are subject to VAT regulations.
Source: od.tax.gov.ua
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
