Global Daily Tax News, Ukraine Progresses Digital Platform Tax Rules Bill, (May 12, 2026)

Legislation to implement the seventh EU Directive on Administration Cooperation in tax matters has passed committee level in Ukraine.

The Finance, Tax, and Customs Policy Committee of Ukraine's unicameral legislature, the Rada, has approved the draft legislation and recommended its adoption at second reading, following its meeting on May 6, 2026.

It also approved draft legislation on Ukraine's participation in the Multilateral Competent Authority Agreement on the Automatic Exchange of Information on Digital Platform Income (DPI MCAA).

The legislation will introduce new reporting obligations on digital platforms, such as websites and mobile apps that allow taxpayers to sell goods, offer online and offline personal services, or rent out immovable property or means of transport.

Under the framework, the platforms must report information about transactions and business users' transactions.

The legislation approved by the Committee would also update the tax rules on individuals receiving income through digital platforms. A single 10 percent income tax rate will be introduced, payable by the platform operator acting as a tax agent. The additional military levy, generally of five percent, will not be payable.

Individuals receiving income from digital platforms will not be required to submit a return in respect of such income, and an annual tax-exempt threshold of EUR2,000 will be introduced for the sale of goods by an individual.

Most of the provisions will come into force on January 1, 2027, while an obligation will be established for platform operators to register with the State Tax Service by the end of 2026.

Taxation of income received through digital platforms, according to the new rules, will begin no earlier than January 1, 2027. Information on income received through platforms for 2026 will not be submitted to the State Tax Service by either platform operators or foreign countries.