VAT Exemption for Payment System Services for Sole Proprietors, Regardless of Provider’s Residency

• FOP does not need to charge or pay VAT on commission for using payment systems.
• This applies regardless of whether the service provider is a resident or non-resident.
• For VAT purposes, the place of service provision is the provider’s registration location.
• If services are provided by resident payment service providers, the place of provision is within Ukraine’s customs territory.
• Such services are not subject to VAT taxation.
• If services are provided by non-residents, the place of provision is outside Ukraine’s customs territory.
• These operations are also not subject to VAT taxation.

Source: news.dtkt.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.

---

---