Business associations calling on Verkhovna Rada to abolish EUR 150 preferential threshold for imported parcels

Ukrainian business associations are calling on members of parliament to immediately adopt bill No. 15112-1, which will abolish the value-added tax (VAT) exemption on international parcels worth up to EUR 150.

"The abolition of this benefit is a requirement of European integration. The EU abandoned similar regulations back in 2021, recognizing them as a source of fiscal losses and market distortions. Ukraine cannot maintain regulations that directly contradict the European model," the associations said in a statement published on Monday.

Businesses note that the current tax exemption encourages gray-market schemes in which large shipments of goods are broken up into smaller consignments to avoid taxation. This creates an unequal playing field for legitimate Ukrainian businesses and official importers.

According to associations, the volume of tax-free shipments is growing by 50% annually and will reach UAH 93 billion by 2025. Last year, more than 56% of international parcels were tax-free, resulting in a loss of at least UAH 18.6 billion in budget revenue.

Total budget losses since the start of the full-scale war are estimated at over UAH 43 billion, and in 2026, the shortfall could reach UAH 27 billion.

Bill No. 15112-1 proposes charging VAT on imported parcels worth EUR 0, with the tax automatically included in the price of the item upon purchase on foreign online platforms (AliExpress, Temu, etc.). At the same time, non-commercial gifts between private individuals valued up to EUR 45 will remain tax-exempt. The bill also stipulates the continuation of tax exemptions for the import of unmanned aerial vehicles (UAVs) and their components.

The joint statement was signed by the American Chamber of Commerce in Ukraine (AmCham), the Ukrainian Business Council (UBC), the Federation of Employers of Ukraine, the Chamber of Commerce and Industry, the Association of Retailers of Ukraine, the German-Ukrainian Chamber of Commerce and Industry (AHK Ukraine), the Association of Information Technology Enterprises of Ukraine, the Ukrainian Association of Light Industry Enterprises Ukrlegprom, and the Ukrainian Association of the Toy Industry.

As previously reported, the adoption of this bill is one of the structural milestones of the IMF cooperation program, the deadline for which has already expired – the end of March 2026. According to the Ministry of Finance, eliminating the EUR 150 limit will allow for an additional annual budget allocation of approximately UAH 10 billion.

Earlier, the European Business Association (EBA) called on MPs to pass a bill abolishing the VAT exemption on international postal and express shipments valued at up to EUR 150.

Media reports indicate that the Verkhovna Rada is currently working to gather the necessary votes to support this initiative.