Law Amending the Tax Code of Ukraine and Other Laws Regarding VAT Exemption for Defense-Related Goods Import and Regulation of Charitable Organizations’ Taxation
The law introduces amendments to the Tax Code of Ukraine and other laws, focusing on VAT exemption for defense-related goods import and regulating charitable organizations’ taxation. Structurally, the law consists of two sections: the first introduces changes to the Tax Code, and the second contains final provisions with amendments to other laws. The main changes concern VAT exemption for importing components for unmanned systems, technical intelligence countermeasures, and demining systems until the end of martial law.
Key provisions:
• VAT exemption for importing components for the production of drones and countermeasure systems
• Clarification of charitable organizations’ status regarding employee payments (up to 25% of administrative expenses)
• Personal income tax exemption for charitable donations received by individuals for further transfer
• Extension of benefits for the defense sector until the end of martial law, instead of the previously established deadline of January 1, 2025
