VAT on parcels from AliExpress is canceled: government reform did not withstand criticism from the Rada

The government wanted to change the taxation rules for foreign parcels but has not yet received support from the Verkhovna Rada. The initiatives, which were supposed to bring additional revenue to the budget and equalize conditions for Ukrainian and foreign sellers, did not find enough support among deputies. Therefore, for Ukrainians, the taxation rules for small purchases from abroad remain unchanged for now.

The issue of taxation of international postal and express shipments has long been one of the most acute issues in relations between the state, business, and society. On the one hand, the government is looking for any additional sources to fill the budget. On the other hand, ordinary citizens and volunteers see the possibility of duty-free ordering of goods from abroad as a survival tool and support for the front.

In the summer of 2026, the Verkhovna Rada was supposed to put an end to the long-standing story of taxing foreign parcels. Government bills No. 15460 and No. 15112-d envisaged the cancellation of the exemption for shipments worth up to €150, which could have made purchases in foreign online stores more expensive. But the deputies did not allow the reform to proceed: both initiatives failed. For now, Ukrainians can continue to receive parcels up to €150 under the current rules.

The parliamentary day, when the fate of parcel VAT was decided, began with optimistic forecasts from reform supporters. The relevant Committee of the Verkhovna Rada of Ukraine on Finance, Tax and Customs Policy at its meeting decided to recommend the parliament to adopt the government bill No. 15460 as a basis and in general.

The committee chairman, Danylo Hetmantsev, actively convinced colleagues that the cancellation of the exemption was a vital step. His main legal and economic position was based on the need to level the playing field for domestic producers who lose competition to cheap imports. According to the committee’s calculations, in 2025, goods worth 167 billion hryvnias were imported into Ukraine under the current preferential regime without paying VAT. The elimination of this loophole, according to the authors, was supposed to provide the budget with additional revenues ranging from 10 to 30 billion hryvnias annually.

However, the real mood in the Verkhovna Rada session hall was much more skeptical. During the final vote on bill No. 15460, only 194 deputies voted in favor, and the related bill No. 15112-d was supported by only 198 deputies. Since at least 226 votes are required to pass decisions, the reform was defeated. The parliament not only did not pass the laws but decided to return them to the legislative initiative subject for substantial revision, which was supported by 244 deputies.

This means the government will have to completely rewrite the reform concept, taking into account the critical remarks of opponents.

Opponents of canceling the exemption for foreign parcels argued that the new rules could create additional financial burdens not only for ordinary buyers but also for volunteers and military personnel who order necessary equipment from abroad.

Special attention was paid to goods for defense needs. This includes components for drones, parts for radios, special clothing, and other tactical gear. Opponents of the reform believe that after the exemption is canceled, such purchases could become more expensive due to VAT payments.

Deputies also noted the scale of such purchases. According to data provided in the bill materials, about 86% of international parcels have an invoice value of up to €50. Therefore, the rule change could primarily affect small purchases by Ukrainians in foreign online stores.

Parliamentarians pointed out that the technical infrastructure and customs control system are currently simply not ready to implement such customs formalities.

There was no consensus among deputies regarding key parameters: the effective date of the new rules, the taxation threshold, and the balance between additional budget revenues and citizens' expenses.

For now, the €150 limit remains in effect, but the issue of its cancellation has not disappeared. Ukraine will still have to change the taxation rules for international purchases within the framework of European integration and fulfillment of international obligations.

At the same time, a new attempt to change the rules will require revision. Among the key issues is how to make the taxation of international parcels simple and automated so that the new requirements do not create additional problems for buyers, postal operators, and online stores.

The issue of goods ordered by volunteers and military personnel from abroad for defense needs must be separately regulated. The possible increase in the cost of such shipments became one of the arguments of opponents of the current model.

Thus, for now, Ukrainians can continue to use the current €150 limit. At the same time, the government and parliament still need to determine what the new rules for taxing international parcels will be and when they will try to adopt them.

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