The Changes to the Tax Code Come Into Force on January 1

The Changes to the Tax Code Come Into Force on January 1

The Law on Amendments to the Tax Code and other legislative acts of Ukraine on the Administrative Improvement and Revision of the Rates of Certain Taxes and Fees No. 2628-VIII of November 23, 2018, is officially published and comes into force on January 1, 2019, with the exception of certain law provisions.

The following changes to the Tax Code are the most important:

(a) single taxpayers selling drugs and medical devices are excluded from the list of business entities allowed to use no cash registers;

(b) the taxpayer can not abandon the use of the tax rebate on VAT or suspend it;

(c) the environmental tax rate for carbon dioxide emissions will be UAH 10 per 1 ton;

(d) The VAT exemption period for the electric vehicles imported in Ukraine is extended until 2022. In addition, the equipment for solar and wind power plants is exempt from VAT;

(e) The drugs import operations,  based on international contracts   are exempted from VAT  until December 31, 2020;

(e) Postal operators and express carriers are recognized as tax agents. In addition, from January 1, 2019, to June 30, 2019, VAT is imposed on parcels that cost more than the equivalent of 150 euros, and from July 1, 2019, to 100 euros. In this case, the “three parcels” rule is abolished.