
Ukrainian businesses have long suffered from unequal competition because of tax favors for foreign marketplaces. This problem not only harms domestic entrepreneurs, but also significantly decreases the revenue to the State Budget of Ukraine. The Retailers Association of Ukraine (RAU) along with other business associations has requested the authorities to resolve the situation.
The Telegram channel announced the submission of the registration of the relevant legislative bills. These legislative bills are developed in conjunction with business associations such as RAU, ACC, EBA, FIA, APITA, URB, CCI Ukraine, and propose amendments to the Customs and Tax Codes.
The legislative bills propose to define that:
- Citizens can receive without taxation of VAT goods valued up to 45 euros conditions, that such goods are sent to their address by individuals without any payment and without commercial purpose;
- Goods purchased by citizens on marketplaces or other similar platforms are subject to Taxation of VAT regardless of their value. With this import duty on such goods will be taxable only if their value is more than 150 euros.
- In order to ease the administration of VAT and accelerate the processing of parcels at Customs it is proposed:
- By similarity to the IOSS mechanism in EU countries, to introduce the opportunity to pay VAT directly by the vendor of goods or a marketplace or another similar platform, with the assistance of which supplies the such goods.
- Enact a new new Customs declaration for goods with insignificant value with a data set similar to the Customs H7 declaration existing in EU countries. Thus, the existing now forms of documents for the declaration of parcels will be used in the future.
- Payment of VAT by the supplier of the goods or the marketplace will eliminate the need for additional customs payments from the buyer’s side in customs clearance and will help accelerate customs procedures.
Also Hetmantsev called on Colleagues to support the business initiative and signtheproposedlegislative bills(maps1783273,1783307).This is animportantsteptocreateequalconditionsforUkrainianandforeigncompanies,whichwillprotectdomesticbusinessesandprovidestablerevenuestothebudget.