What taxes does a foreigner pay in Ukraine in 2023?

The issue of taxation in Ukraine is very complex. It all starts with who pays taxes - a foreign citizen as a natural person or as a company owner? What taxes are we talking about? And so on.

Our company has specialists in tax law, who help foreign nationals in Ukraine not only to optimise their taxes on the territory of Ukraine, both personal and for business, but also to ensure that you do not face the risk of double taxation. And this risk exists for all foreigners living in Ukraine or conducting any activity here.

Today we will talk about the most frequently asked questions about taxes in Ukraine. If you are interested in help and answers of a tax lawyer in Kiev specifically for your situation - contact our specialists.

Related article: I sold an apartment in Ukraine: how can I withdraw money to my foreign account?

Property tax in Ukraine

There is a property tax in Ukraine. It must be paid by individuals and legal entities who own residential and non-residential property.

Important: You do not have to pay for all residential and non-residential property, but only on the basis of its ownership and metreage, if it is a real estate property.

The rate of the property tax in Ukraine is determined by local councils, and can not be more than 1.5% of the minimum wage established by January 1 of the tax year, for 1 sq.m. base.

No property tax has to be paid if the property does not exceed:

• or flats - 60 m²;

• for houses - 120 m²;

• for various types of residential properties - 180 m².

On the other hand, ALL properties owned by the same person count. In other words, if you own two 60m flats, you already have to pay tax on 1.

If the taxpayer owns any residential real estate exceeding 300 sq.m. (for a flat) and/or 500 sq.m. (for a house), the amount of tax is increased by 25000 UAH/year for each such real estate.

Such taxation can be optimised by, for example, registering part of the residential property in the ownership of other family members, etc.

Related article: How to avoid double taxation in Ukraine?

Business tax in Ukraine

This is a topic for a whole separate article. Moreover, we already have an article describing the business tax rate in Ukraine. You can read it here.

The basic idea is that depending on the type of business/activity you are planning to conduct in Ukraine and on the production volume, it is possible to choose the optimal system for you, taking into account additional taxes, such as land, property, etc.

Moreover, as in the situation with property tax, there are many optimization options - registration of several companies, obtaining double taxation avoidance certificate, registration of representative offices, etc.

Our task is to audit for you all the taxes that you have to pay in Ukraine and optimise the situation for you so that it would be profitable and pleasant for you to work and live in Ukraine.

Contact us for advice and professional assistance from a tax lawyer in Kyiv.