The Verkhovna Rada of Ukraine has adopted in the first reading bill No. 15111-d, which provides for the automatic exchange of information about income earned on digital platforms and their taxation. The document was accepted as a basis with the condition of further refinement.
This is reported by Finway
First Step Towards Legalizing Income from Platforms
234 members of parliament voted in favor of the bill, while 22 opposed it and 23 abstained. The parliament emphasizes that these changes align with Ukraine’s international obligations under the Memorandum on Economic and Financial Policy with the International Monetary Fund.
As noted by Finance Minister Serhiy Marchenko, there is currently no specific legislation in Ukraine regarding the taxation of digital platforms, although this issue has a significant impact on the country’s economy. Approximately 400,000 Ukrainians, mainly couriers and drivers, earn income through platforms such as Glovo, Uklon, Bolt, and Uber; however, due to the lack of legal regulation, these earnings remain in the shadows.
“Currently, there is no specific legislation in Ukraine for the taxation of digital platforms, which has a systemic impact on the entire economy of the country. Today, around 400,000 Ukrainians, mainly couriers and drivers, earn income on platforms like Glovo, Uklon, Bolt, and Uber. Due to the absence of a legal mechanism, these individuals operate outside the tax field, and their income remains in the shadows,” said Finance Minister Serhiy Marchenko before the document was reviewed in the Rada.
Main Provisions of the Bill
The bill proposes to establish requirements for accountable platform operators and sellers who earn income through these platforms starting January 1, 2027, as well as to introduce mandatory reporting on such income. It is planned to implement a fixed personal income tax rate (PIT) of 5% for income earned through digital platforms.
According to Marchenko, the adoption of this bill will legalize the activities of self-employed citizens, provide them with official status, increase tax revenues, and reduce the shadow economy. It is expected that as a result, around 14 billion hryvnias will flow into the state budget.
The Cabinet of Ministers clarifies that the law applies to all Ukrainian and foreign companies that provide digital services in the domestic market. This includes services such as Bolt, Uklon, Airbnb, Glovo, Uber, as well as other platforms engaged in providing services, selling goods, or renting out real estate or transport.
According to the new rules, income earned by individuals through digital platforms will be taxed under a special approach. For transactions involving the sale of goods through platforms, a tax-free limit of 2,000 euros per year will be established. This means that one-time sales of personal or used items are not subject to taxation.
The bill is planned to be refined before the second reading in the relevant committee of the Verkhovna Rada on finance, tax, and customs policy.