Ukraine’s parliament is reviewing a draft law to extend the VAT exemption on electric vehicles by one year, through to 1 January 2027.
Ukraine’s parliament is reviewing draft Law No. 13351, submitted on 6 June 2025, which proposes to extend the current value-added tax (VAT) exemption on the import and supply of vehicles exclusively equipped with an electric engine until 1 January 2027.
The existing exemption is set to expire on 1 January 2026.
As of June 2025, Ukraine has over 160,000 electric vehicles, accounting for nearly 1.5% of the national car fleet. The proposed extension aims to support continued growth in this sector by maintaining the current preferential tax regime for an additional year.
The bill was introduced by Member of Parliament Dmytro Razumkov. However, its future remains uncertain due to opposition from key lawmakers. Danylo Getmantsev, head of the Verkhovna Rada’s tax committee, has publicly stated that while the VAT exemption will remain in place through 31 December 2025, there are no plans to extend it further. He described this position as consolidated within the committee.
The legislative process will determine whether the exemption will be extended beyond its current end date.
