In connection with the attacks on the energy infrastructure of Ukraine, the parliament adopted laws exempting from customs duties and VAT the import of energy equipment and technology to counter the aggressor. These measures are aimed at improving energy supplies and supporting the country's defense capabilities.
Tax benefits of Ukraine
Energy crisis and response
For a long period, the Ukrainian energy system has been under attack from Russian aggressors. Insufficient power generation leads to power outages, affecting both households and businesses. In an attempt to overcome these difficulties, many purchase generators and alternative energy sources. However, due to increased demand, the cost of such equipment has increased significantly. However, it is expected that prices may come down in the near future.
Legislative changes to support energy
Deputies of the Verkhovna Rada of Ukraine approved amendments to legislation that abolish customs duties and VAT on a wide range of energy equipment when imported into the country. These measures are aimed at stabilizing the situation in the energy sector and include the following categories of equipment:
- Devices for generating electricity;
- Equipment for wind and solar energy;
- Rechargeable batteries (with the exception of low-power ones).
Supporting the country's defense capability
In addition, parliament agreed on the abolition of duties and VAT on equipment imports necessary to protect Ukraine from Russian aggression:
- Equipment for mine clearance;
- Equipment for creating means of countering technical intelligence operations.
These tax breaks are enshrined in bills No. 11258 and No. 11259, which received the support of 305 and 313 deputies, respectively.
Previous support measures
In 2022, Ukraine has already introduced similar tax incentives to restore the energy sector. From November 9, 2022, the government has exempted the import of generators, transformers and batteries from taxation. This measure allowed the import of tens of thousands of generators, and the total amount of benefits provided reached hundreds of millions of hryvnia.
However, those benefits were temporary and ended in the spring of 2023.
Duration of new benefits
New tax breaks will be valid until the end of martial law or until January 1, 2026, depending depending on which event comes first.
Glossary
- Verkhovna Rada of Ukraine, the highest legislative body of the country.
- VAT - Value added tax, an indirect tax levied on consumers of goods and services.
- The Cabinet of Ministers is the highest executive body of Ukraine.
- Martial law is a special legal regime introduced in the country in the event of military aggression.
- Generators are devices for generating electricity in autonomous mode.
Links
Answers to questions
Why is there a need for additional energy sources?
What measures has the Ukrainian government taken to improve the energy supply situation?
What other equipment is eligible for the new tax breaks?
How long will the new tax breaks last?
Have similar measures been previously introduced to support the energy sector?
Hashtags
Save a link to this article
Discussion of the topic – Tax breaks for generators: The Rada supported Ukrainians in the fight against the energy crisis
The Verkhovna Rada of Ukraine voted for an exemption from duties and VAT on the import of generators and energy equipment, which could reduce prices and facilitate access to alternative energy sources for citizens and businesses in the face of constant attacks on energy infrastructure.
Latest comments
8 comments
Write a comment
Your email address will not be published. Required fields are checked *
Olivia
It's great that you've finally made this decision! Now it will be easier to provide yourself with energy in case of blackouts. I hope the prices of generators and solar panels actually come down. 🙏
Hans
Yes, Olivia, that's good news. But I wonder how much prices will actually fall? After all, the demand is still huge. Maybe someone has already seen changes in the market?
Marie
I was recently interested in solar panels, and the seller said that he expects prices to drop by 15-20% in the near future. I think this is already good! 😊
Miguel
Guys, is anyone already using solar panels or wind generators? Share your experience! Is it worth the investment or is it better to just buy a gasoline generator?
Giorgio
All this fuss with alternative energy sources is a waste of time and money. It would be better to work on restoring a normal energy system than to chase fashion trends. 😒
Anna
Miguel, I have solar panels. This is a great solution! Yes, the initial costs are high, but in the long run it is very profitable. And most importantly - independence from the network. 💪🌞
Piotr
Anna, how do you solve the problem of energy storage? Batteries are also not cheap. Or do you just use energy during the day and plug into the grid at night?
Olivia
By the way, about military equipment - this is also an important point. Hopefully this will help our defenders be better equipped. Safety first! 🛡️