New VAT Tax on Imported Goods in Ukraine
- Ukraine plans to impose VAT on low-cost imports
- Customers will pay tax either upfront or upon delivery
- Impacts expected for platforms like Temu and AliExpress
Ukraine is preparing to implement a value-added tax (VAT) on inexpensive imported packages valued up to €150. If this legislation is approved, customers purchasing from platforms such as Temu and AliExpress will be required to pay this tax, either directly on the website or after the goods are dispatched.
Understanding the New VAT Implementation
In the first scenario, the VAT-inclusive price will be displayed in the shopping cart, similar to current practices in the EU. The platform will collect the tax and remit it to the postal operator, ensuring compliance with budget regulations. According to "Ukrposhta", major players like Temu are technically equipped to handle this integration.
The second scenario involves small sellers who may opt not to engage with the Ukrainian tax system. In these cases, customers will receive notifications from the postal operator prior to the package crossing the border and will need to pay the tax independently.