Ukrainian VAT on digital services January 2022
- Nov 10, 2020 | Richard Asquith
The Ukrainian parliament is considering imposing VAT on foreign providers of digital services from 2022. This is a delay from the original 2021 plan. See Avalara’s global VAT on digital services tracker.
A Bill in Parliament includes the following elements:
- Simplified VAT registration and returns (without deductions) processes
- Withdrawal of the current withholding tax on advertising income
- Exempt educational services
- Electronic Services under consideration:
- Photos, e-books and journals
- Steaming or download media
- Online gaming
- Databases
- Internet access services
- Advertising
- Cloud-based e-services and storage
- Software licenses
- Electronic information
- Not require VAT invoices on B2C sales
- Extend the liability to marketplaces and similar electronic intermediaries
- Determining the location of customers
The bill details the following ways of identifying the location of the consumer and therefore the obligation to charge Ukrainian VAT:
- SIM card country code
- IP address of device
- Address of consumer for billing
- Bank account used for payments
Need help with your Ukrainian VAT compliance?
Researching Ukrainian VAT legislation is the first step to understanding your VAT compliance needs. Avalara has a range of solutions that can help your business depending on where and how you trade.
Total results : 4
Union vs non-Union OSS: what’s the difference?
UK VAT Guide - Avalara
North America Country VAT Guide - Avalara
US 2021 sales tax updates for foreign businesses
