- Vehicle repair and maintenance services for the Ukrainian Armed Forces are taxed at the standard 20% VAT rate.
- Zero VAT applies only to goods (e.g., spare parts, batteries, tires, fluids, accessories) supplied directly to eligible military entities under Resolution No. 178.
- If spare parts are included in the price of a repair service, the whole operation is treated as one service and taxed at 20% VAT.
- A 0% VAT rate for spare parts is possible only if they are documented as a separate supply of goods, distinct from the repair service.
- The tax authority’s guidance helps businesses support the military while avoiding VAT penalties by correctly splitting services and goods in contracts and invoices.
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.
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