Tax Changes that will apply during the war

*as of 03/17/2022, these changes are valid until 04/24/2022


On March 15, 2022, the Verkhovna Rada voted for bill No. 7137-d dated March 14, 2022, amending the Tax Code. In particular, on tax rates, mandatory payments such as ERUs and other regulations.


These tax changes were announced on March 14, 2022 by President Volodymyr Zelensky, according to him, the purpose of these changes is to support the Ukrainian economy, in particular medium and small businesses, during the war.


Here are some of the rules that introduce this draft law:


  • There is an opportunity for individuals and enterprises with a turnover of up to UAH 10 billion to pay a single turnover tax in the amount of 2% according to the rules established for the 3rd group of single tax payers, that is, with exemption from income tax, VAT and other payments.
  • For individuals-entrepreneurs (FOP) of groups 1 and 2, the payment of a single tax is voluntary.
  • VAT on fuel is reduced to 7%, excise on it is reduced to 0.
  • Penalty for untimely budgetary VAT refund will not be charged if the late refund occurred due to force majeure circumstances.
  • The transfer of fuel through expropriation or seizure of property for the needs of the state, the transfer of the Armed Forces and others, as well as the provision of fuel as humanitarian aid, is not considered a supply (ie not taxed).
  • Charitable assistance provided to participants in hostilities and persons residing in the territory of hostilities is not subject to personal income tax. Also, all non-targeted charitable assistance provided to persons affected by the armed aggression of the Russian Federation is not subject to personal income tax.
  • It is allowed to include in the VAT tax credit amounts for which tax invoices have not yet been registered, but the necessary primary documents are available. Such waybills must be registered within 6 months of the end of martial law.
  • From March 2022 until the end of the year, payers whose land is located in the territories where hostilities are taking place are exempted from paying for land.
  • Sanctions for violating the PPO law do not apply until the end of martial law, except for sanctions for violating the sale of excisable products.
  • From March 1 until the end of martial law FOPs, self-employed individuals and members of a farm do not pay ERUs for themselves.
  • Simplified groups 2-3 are allowed not to pay ERUs for mobilized workers. Such amounts will be paid from the state budget.
  • For the period of martial law and within 3 months after its end, fines and penalties on ERUs are not applied, and no checks are made.
  • Business checks may be carried out to ensure the ability to pay by card. For violation – a fine of 8500 UAH and other norms.


We also leave a link to all adopted bills from 02/24/2022: United international partners always take care of you.


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