Ukraine

Ukraine determines individual tax residency through a hierarchical test: a person is resident if they have their place of abode in Ukraine; failing that, if they have a permanent home (domicile) in Ukraine when they also have one elsewhere; failing that, if their centre of vital interests is in Ukraine; failing that, if they are present in Ukraine at least 183 days in the calendar year; and, if residency still cannot be determined, if they are a Ukrainian citizen.

The standard annual individual income tax filing deadline is 30 April of the year following the reporting year, with any self-assessed tax liability due by 31 July of that following year.

Residents are taxed on their worldwide income, while non-residents are taxed only on their Ukrainian-source income; the same tax rates generally apply to residents and non-residents alike, with certain exceptions.

Ukraine allows individuals to deduct charitable donations to registered Ukrainian charities up to 4% of taxable income, along with limited amounts for education expenses, voluntary long-term life or non-state pension insurance premiums, and mortgage interest on a qualifying main residence. Total deductions cannot exceed the taxpayer's annual taxable salary income, and unused amounts cannot be carried forward.

Remuneration received (within certain limits) by IT specialists under a special contract from a company registered as a resident of Diia City is taxed at a 5% personal income tax rate plus a 5% military tax rate, effective 1 December 2024. Dividends received from a company operating under the Diia City regime may also be exempt from taxation under certain conditions.

Ukraine's VAT registration threshold is UAH 1 million in taxable transactions over the past 12 consecutive months (voluntary registration is available below the threshold); registered VAT payers must file monthly returns, due within 20 calendar days after the end of the reporting month.

Ukraine applies a 0% VAT rate to exports, re-exports, and international transportation services; separately, VAT-exempt transactions include the transit of cargo and passengers through Ukrainian territory and supplies made under international technical-assistance projects or as humanitarian aid.

Ukraine exempts the sale of real estate (a house, flat, or share of one) from tax when it is the individual's first such disposal in the calendar year and the property was held more than three years, a holding-period condition that does not apply to inherited property; commercial property does not qualify. Separately, one sale per calendar year of a car, motorcycle, or scooter is exempt from tax on movable property.