Parcels from abroad will become more expensive: The Cabinet of Ministers has made a decision
18 July 2024 17:09
Government officials want to tax foreign parcels worth more than 45 euros. This was announced by MP Yaroslav Zheleznyak, reports "Komersant Ukrainian".
The MP said that on 18 July, the Cabinet of Ministers approved the Law on Amendments to the Budget 2024 with an increase in expenditures by UAH 500 billion and tax changes by UAH 140 billion.
“By the way, the Government’s draft law on tax increases will include changes to the taxation of postal parcels. This provision says that parcels will not be subject to VAT up to EUR 45 (not EUR 150). And that’s not all,” Zheleznyak wrote.
He also quoted the relevant passage from the document.
“To establish compliance with the Customs Code of the value limits for the importation of goods by citizens without VAT in hand luggage and/or accompanied baggage, as well as to exclude provisions stipulating that operations for the importation of goods whose value does not exceed the equivalent of EUR 150 are not subject to VAT, except for the importation of goods whose total invoice value does not exceed the equivalent of EUR 45, for one individual recipient in one dispatch from one individual sender in international mail or in one express carrier’s cargo from one individual sender in international express shipments, provided that such goods are sent by the sender to the recipient without any payment, are intended for personal or family use by the recipient, their characteristics and quantity do not indicate that they are imported for any commercial purpose,” the draft law states.
In practice, this will mean that even ordering equipment from abroad (such as generators that Ukrainians need) will now become more expensive due to changes in taxation rules.
In turn, Danylo Hetmantsev, chairman of the Verkhovna Rada’s Tax Committee, explained that this is how they plan to cover additional costs from the state budget.
“As for the sources of covering additional state budget expenditures, most of the necessary funds are planned to be covered by increasing the revenue side of the state budget (UAH 214.5 billion), but we will have to borrow UAH 160.2 billion on the domestic market,” the politician said.
