Not all goods for ground robotic complexes are exempt from VAT – STS position

From May 31, 2026, in Ukraine, after the entry into force of Law No. 4894, a VAT exemption applies to certain defense-related goods. However, the State Tax Service in a recent individual tax consultation pointed out that the tax benefit does not extend to all goods related to ground robotic complexes.

The explanation concerns a manufacturer of remotely controlled combat modules who approached the STS with a question about the application of new provisions of the Tax Code after the entry into force of Law No. 4894-IX.

What exceptions are involved is explained in the article by the "Judicial and Legal Newspaper".

Which goods are exempt from VAT

The basis for the inquiry was the new provision of paragraph 99-1 of subsection 2 of section XX of the Tax Code of Ukraine, which temporarily, for the duration of martial law, exempts from VAT operations involving the supply of ground unmanned systems. This concerns equipment classified under commodity groups 84, 85, 87, 90, and 93 of the UKT ZED, provided that certain legal conditions are met simultaneously.

In particular, the benefit applies in cases where: the supply is made under state contracts (agreements) for defense procurement, and the final recipients are the Ministry of Defense of Ukraine, the Armed Forces of Ukraine, other military formations, law enforcement agencies, or other legally defined entities of the security and defense sector.

What exactly the manufacturer asked

The company reported that it manufactures remotely controlled combat modules (RCCM), which can be used as stationary combat complexes or installed on robotic ground platforms. Besides finished combat modules, the manufacturer also plans to supply separate components: rechargeable batteries, mechanical units, power elements, spare parts, and other details necessary for repair, maintenance, or modernization of combat modules. Therefore, the enterprise requested clarification on whether the VAT exemption applies to the remotely controlled combat modules themselves or if separate components for such products can be supplied VAT-free.

DPS position

First of all, it is important to distinguish that an unmanned system includes unmanned aerial complexes, unmanned aerial vehicles, unmanned ground (robotic) complexes, and unmanned water (floating) complexes. A ground unmanned (robotic) complex is a ground mobile or stationary device, the control and monitoring of which are carried out remotely via a special remote control station or which operates autonomously according to the relevant program.

The Tax Service confirmed that if a remotely controlled combat module, by its technical characteristics, is effectively a ground unmanned system and meets the requirements of paragraph 99-1 of the Tax Code, its supply under state defense contracts is exempt from VAT taxation.

At the same time, the STS made a separate emphasis on components. The tax authority noted that the provisions of paragraph 99-1 do not apply to parts of such combat modules. That is, even if certain units or spare parts are used exclusively for repair or ensuring the operation of the ground robotic complex, this alone does not grant the right to apply the tax benefit.

Why this is important for manufacturers

Effectively, the tax authority distinguished between a finished ground unmanned system and its individual components. Thus, manufacturers working under state defense contracts can apply the VAT exemption only to the supply of the robotic complexes or combat modules themselves if they meet the requirements of the Tax Code. Meanwhile, the supply of spare parts, details, units, or other components, even for the same products, is not subject to the tax benefit unless otherwise explicitly provided by law.

This is exactly what the STS recommends enterprises performing defense orders and planning to use tax benefits when supplying products for the security and defense sector to pay attention to.

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