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Ukraine passes aid-linked laws, including tax on small international parcels

Parliament approved measures linked to EU and IMF support, but the parcel tax still needs a government decision and cannot begin before July 2027.

The Verkhovna Rada parliament building at Constitution Square in Kyiv at night.
File photograph of the Verkhovna Rada parliament building at Constitution Square in Kyiv, photographed in 2015. Constitution square Kiev night1 — Аимаина хикари (resized and converted to WebP). CC0.Image sourceImage licence: CC0
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Ukraine’s parliament passed legislation on Thursday, October 15, linked to European Union and International Monetary Fund aid, including a bill to tax small international parcels. The Kyiv Independent reported that 252 lawmakers voted for the parcel measure, whose implementation still requires a separate government decision. The vote advances conditions tied to billions in foreign support.

What the parcel-tax bill changes

The parcel bill would apply value-added tax to international shipments worth up to €150, a category currently exempt from that tax, according to The Kyiv Independent. It reported that the change could take effect on July 1, 2027, subject to a government decision. Reuters likewise reported that the new rules would start no earlier than July 2027.

Lawmakers estimated the foreign-parcel rules could bring in an additional 20 billion to 30 billion hryvnias, Reuters reported. Parliament also backed new customs regulations for international mail and express shipments, according to The Kyiv Independent. The parcel-tax bill had previously failed to advance and was sent back for revision, the outlet reported.

How the votes relate to EU and IMF funding

The Kyiv Independent linked adoption of the parcel bill to an IMF tranche of about $700 million and €3.7 billion in EU macro-financial assistance. The parliamentary vote does not establish that either tranche has been disbursed. The outlet reported that $29.5 billion in budget funding was at stake if required conditions were missed.

Reuters described around $29 billion in EU financial support as available to Ukraine for the remainder of the year, pending continued disbursement. Its estimate concerns EU support available this year, while The Kyiv Independent’s $29.5 billion figure concerns budget funding at stake if conditions are unmet.

The legislation passed on Thursday extended beyond parcel taxation. Reuters reported measures to increase transparency in e-commerce and amend financial-monitoring rules for politicians.

Prime Minister Serhii Koretskyi said the week’s parliamentary results gave reason for optimism while further work remained to satisfy lenders’ requirements, according to The Kyiv Independent. For people receiving low-value parcels, the government must make a separate decision before the VAT change can begin.

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