Alternative Bill No. 15195-1
Ukraine's parliament has registered an alternative piece of legislation, Bill No. 15195-1, which seeks to exempt active-duty soldiers and those mobilized for service from paying value-added tax (VAT) and excise duties on imported vehicles. This benefit would apply throughout the period of martial law and extend for one year after its conclusion. The proposed law is designed to support current military members and individuals who were called up for mobilization after February 24, 2022.
Eligibility and Restrictions on the Benefit
Two groups of citizens would be eligible for the VAT and excise duty exemption:
- active-duty military personnel;
- individuals mobilized after February 24, 2022.
The exemption would be in effect during martial law and for one year following its end. However, the bill includes several anti-abuse measures:
- the exemption applies to only one vehicle per person;
- a three-year ban on selling or transferring the vehicle, including via power of attorney;
- the benefit does not cover expensive cars subject to the luxury vehicle tax;
- it does not apply to vehicles manufactured in the aggressor state.
The alternative Bill No. 15195-1 differs from the original Bill No. 15195 in the duration of the benefit. The initial document proposed applying the exemption only during martial law and for 90 days after its end. In contrast, the new bill extends the preferential period to cover the entire duration of martial law plus one additional year after its termination or revocation. It is worth noting that zero-customs clearance for all Ukrainians was only in effect from April to July 1, 2022, when parliament waived duties, VAT, and excise on passenger car imports following the start of Russia's full-scale invasion.
Additionally, in early 2026, the government simplified the process for purchasing used vehicles for the needs of the Armed Forces of Ukraine. Unit commanders can now directly buy pickup trucks and SUVs on the secondary market without lengthy tender procedures. These changes highlight the state's efforts to support military personnel and meet their needs during the war.
The changes proposed in Bill No. 15195-1 reflect the state's commitment to supporting soldiers on the front lines and after mobilization, with a particular focus on their mobility and access to resources.
Vehicle import benefits could improve conditions for military members who need transportation for their duties or to transition to civilian life after service. This approach may also have a positive economic impact by stimulating Ukraine's car market amid the ongoing war.
In addition to the proposed tax exemptions for military personnel, it's important to understand the broader context of Ukraine's mobilization efforts and the legal reforms being implemented. These changes aim to provide support not only to active soldiers but also to those recently drafted. For a detailed overview of eligibility criteria and the ongoing legislative adjustments, you can read more about Ukraine's mobilization initiatives and planned legal reforms.