Owners of electric cars may be exempt from paying taxes

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Обладателей электрокаров могут освободить от уплаты налоговIn Parliament there was an unusual bill.

The Verkhovna Rada of Ukraine registered the draft law “On amendments to the Tax code of Ukraine regarding cheapening and increase the availability of individual electric transport in Ukraine”. The document is published on the Parliament website.

“To ensure large-scale market development of electric vehicles in Ukraine, their reduction in price and increase accessibility for the population is proposed to further reduce the tax burden on transactions for the supply of such vehicles on the territory of Ukraine and their use”, – stated in the explanatory note to the draft law.

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The new bill provides for temporary, until 2022, the complete abolition of value added tax on electric cars when they are released from customs.

The document also refers to the exemption from value added tax up to 2021, persons engaged in commercial activities with the use of electric vehicles. In particular, I mean the taxi service, rental, leasing and transportation on request.

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In addition, the bill is expected to repeal the excise tax on electric cars in Ukraine until 2022

Note, in 2016 the excise tax was reduced to 109 euros per electric car.

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