VAT Implications for Warranty Repairs: No Tax Obligation on Return of Repaired Goods

• No VAT obligation arises when returning a product to the owner after warranty repair.
• The mechanism for warranty repair or replacement of complex household goods is established by a government resolution.
• Manufacturers or sellers fulfill warranty obligations through free repair or replacement during the warranty period.
• Warranty service is provided free of charge if a defect is found due to the manufacturer or seller.
• Relationships between manufacturers, sellers, and service centers are defined by contracts.
• VAT applies to the supply of goods and services within Ukraine’s customs territory.
• Returning a product after warranty repair is not considered a supply of goods, so no VAT obligation arises.
• Services for warranty repair are subject to VAT, based on the cost of services paid by the manufacturer.

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.

---

---