Ukraine’s parliament backs VAT on imported parcels under 150 euros in first reading

Ukraine's parliament voted 273 to 0 opposed, in a first reading, to apply VAT to goods ordered from foreign online marketplaces regardless of price, including parcels under 150 euros. Foreign platforms, not individual buyers, would calculate and remit the tax, while noncommercial parcels under 45 euros stay exempt.

The bill is a revised version of one that failed in May, resubmitted in July after Ukraine's government was warned it risked losing part of the international financing tied to its budget deficit. Parliament also advanced a related customs bill covering international postal and express shipments, 267 votes in favor.

Both measures still need a second reading and final passage before taking effect. The push is part of a batch of what officials have called 'unpopular' bills required to keep IMF and EU funding flowing.

The full dispatch is available from the source below.