Chairman of the Verkhovna Rada Committee on Finance, Tax and Customs Policy, Danylo Hetmantsev submitted for registration in the Verkhovna Rada, two draft laws concerning the taxation of postal shipments to Ukraine with value added tax and customs duties.
The proposed changes mean that all parcels from abroad will be subject to VAT at the rate of 20%, regardless of their value. At the same time, import duty will be charged only if the value of the goods exceeds 150 euros. The exception is parcels worth up to 45 euros, which are sent by individuals free of charge and without a commercial purpose – they will remain exempt from VAT.
Getmantsev noted that these legislative initiatives were prepared with the participation of business associations, such as the American Chamber of Commerce in Ukraine, the European Business Association, the Ukrainian Business Council, the Association of Information Technology Enterprises, the Association of Retailers of Ukraine, and the Chamber of Commerce and Industry of Ukraine.
To simplify the import process, the introduction of the IOSS mechanism (similar to the European one) is planned, which allows suppliers or marketplaces to pay VAT directly. It is also planned to introduce a new customs declaration for goods of low value, similar to the European form H7.
As Hetmantsev explains, payment of VAT by suppliers or marketplaces will eliminate the need for additional payments for buyers during customs clearance, which will speed up customs procedures and make them more convenient.
