On 15 October 2026, the Verkhovna Rada of Ukraine passed, at second reading, Bill No. 16051-1, which provides for the abolition of the VAT exemption for international commercial parcels valued at up to 150 euros. The decision was supported by 252 MPs. Once the new regulations come into force, purchases made on foreign marketplaces, including Temu and AliExpress, will be taxed at a rate of 20% regardless of the order value. The new rules are due to come into force no earlier than 1 July 2027.
- The Rada has passed a bill to abolish the VAT exemption for parcels worth up to €150.
- 252 Members of Parliament voted in favour of the resolution.
- Commercial purchases from abroad will be subject to VAT 20% from the first euro.
- The tax will be included in the purchase price on the marketplace.
- Non-commercial gift parcels worth up to €45 will remain VAT-free.
The Rada has passed a law on VAT on international parcels
On 15 October, the Verkhovna Rada approved the bill at its second reading Bill No. 16051-1, which changes the rules on the taxation of goods purchased online from abroad. 252 Members of Parliament voted in favour of the relevant resolution, three voted against.
The document provides for the abolition of the current exemption, which allowed Ukrainians to receive international commercial parcels worth up to 150 euros without paying value-added tax.
Following the introduction of the new 20% regulations, VAT will apply to imported goods regardless of their value. This will also apply to low-value orders placed on international e-commerce platforms. This refers to purchases made via Temu, AliExpress and other overseas online platforms.
At the same time, this change does not mean that all international consignments, without exception, will be subject to taxation. The legislation provides for a number of exemptions for non-commercial parcels and certain categories of goods.
How will shopping on Temu and AliExpress change?
The main change for Ukrainian shoppers is that VAT will be calculated directly when you place your online order.
Under the proposed model, responsibility for calculating and remitting the tax to the Ukrainian budget will lie with e-commerce platforms or their authorised intermediaries.
As the Ministry of Finance has explained, the buyer will not need to pay VAT separately once the parcel arrives in Ukraine. The tax will be automatically included in the purchase price.
For example, if an item costs 100 euros excluding VAT, after applying the rate 20%, its price will be 120 euros, excluding any delivery charges.
At the same time, the procedure for customers to receive parcels is to remain unchanged. Customs formalities will be handled by postal and express delivery operators.
Which parcels will be exempt from VAT?
The new rules provide for exemptions for certain categories of international consignments. In particular, the VAT exemption will continue to apply to non-commercial parcels valued at up to 45 euros, sent free of charge by one individual to another.
Such consignments must be intended for personal or family use. Their quantity and frequency must not indicate commercial activity.
Provision has also been made to retain the duty-free allowance for goods in unaccompanied luggage valued at up to 150 euros.
Certain exemptions will apply to goods intended for security and defence purposes. The legislation provides for special arrangements for these goods, including the possibility of a tax refund.
When will the 20% VAT rate be introduced for international parcels?
The new model for taxing international parcels is due to be introduced no earlier than 1 July 2027. Until then, the current exemption for international parcels valued at up to 150 euros will remain in force.
A transition period is required to prepare the technical infrastructure, register foreign marketplaces and set up automatic tax calculation. For the new system to be fully operational, corresponding amendments to the Customs Code are also required, as provided for Draft Bill No. 15460.
The bill passed by Parliament must now undergo the process of being signed into law and officially published.
Why is Ukraine scrapping the exemption for parcels worth up to €150?
The Ministry of Finance explained that the changes were necessary in order to create a level playing field for Ukrainian businesses and foreign online shops.
At present, goods sold by Ukrainian businesses are, as a general rule, subject to tax, whilst foreign sellers may benefit from an exemption for low-value parcels.
According to government estimates, the abolition of this tax exemption will generate additional revenue of around 10 billion hryvnias for the state budget each year. It is expected that these revenues will be channelled towards funding the needs of the Armed Forces of Ukraine. Furthermore, the adoption of these legislative changes forms part of Ukraine’s commitments to the International Monetary Fund and the European Union.
According to the Ministry of Finance, meeting the relevant conditions should bring the country closer to receiving around 4 billion euros in international financial support. At the same time, the allocation of funds also depends on compliance with other requirements set out in the programmes.
Consequently, from July 2027, Ukrainians should be prepared for a possible rise in the price of low-cost goods ordered from foreign marketplaces. The final terms and conditions for the application of the new rules will depend on the completion of the legislative procedures.
