- IMF requires mandatory VAT for individual entrepreneurs (FOPs) in Ukraine starting 2027, with legislation to be passed by March 31.
- Yaroslav Zheleznyak highlights three main risks: questionable effectiveness of the new 4 million UAH threshold, significant technical and administrative burden, and risk of new tax evasion schemes.
- The higher threshold may not prevent business splitting, the system may be overwhelmed by new VAT payers and paperwork, and large businesses could exploit FOPs for tax fraud.
- Authorities are aware of these issues, but the reform is still under discussion with international partners.
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.
Latest Posts in "Ukraine"
- VAT Refund: Is It Possible on the Cost of Aid to the Armed Forces?
- VAT Credit When Supplier Registers for VAT Mid-Month
- Blocked VAT Invoice: When to Write Off Tax Credit as Expenses
- VAT Budget Refund in 2026: Who Qualifies, When, and How Under the Tax Code
- VAT Exemption for Supplies Under International Technical Assistance Projects
