Amendments to the Tax Code of Ukraine. Details of the innovations, what to expect resellers, how much tax will have to pay.
Starting from May 23, 2020, amendments to the Tax Code of Ukraine regarding the sale of cars came into force. So the bill No. 1210 proposed on August 30, 2019 came into force. The law speaks of making amendments regarding the improvement of tax administration and the elimination of logical shortcomings in tax legislation. The new amendments also provide for an increase in the tax on car sales in Ukraine. The Verkhovna Rada adopted such amendments in the second reading, back in January 2020.
These amendments to the code apply to all vehicles: cars (cars, trucks), agricultural machinery, trailers, mopeds, scooters, motorcycles and other vehicles.
If we talk about the details of the innovations, then after the sale of the 3rd unit of the vehicle per year (including the 3rd vehicle), for one individual, the tax will be 18% of the declared price of the vehicle.
The amendments to the Tax Code also provide that there is no tax for the purchase or sale of 1 unit of a passenger car. For the sale of the second unit of a passenger car, the tax will be 5% of the assessed value. As for special equipment, trucks, agricultural equipment or other vehicles, here the tax will have to be paid 5% on the first unit sold. Thus, the government wants to limit or bring the resale of vehicles out of the shadows.
Amendments to the Tax Code of Ukraine. Details of the innovations, what to expect resellers, how much tax will have to pay.
|| rss | Starting from May 23, 2020, amendments to the Tax Code of Ukraine regarding the sale of cars came into force. The Verkhovna Rada adopted such amendments in the second reading, back in January 2020.
These amendments to the code apply to all vehicles: cars (cars, trucks), agricultural machinery, trailers, mopeds, scooters, motorcycles and other vehicles.
If we talk about the details of the innovations, then after the sale of the 3rd unit of the vehicle per year (including the 3rd vehicle), for one individual, the tax will be 18% of the declared price of the vehicle.
The amendments to the Tax Code also provide that there is no tax for the purchase or sale of 1 unit of a passenger car. Thus, the government wants to limit or bring the resale of vehicles out of the shadows.
