On 22 July 2022, the Ukrainian State Tax Service (STS) issued a press release on tax preferences for industrial parks. The STS states that the Ukrainian Parliament adopted Law No. 2330-IX on amendments to the ‘Tax Code of Ukraine on creating favorable conditions for activity of industrial parks in Ukraine’.
The Law defines favorable tax conditions for creating incentives for domestic industrial parks to ensure their competitiveness and ability to attract necessary investments to Ukraine, especially during the martial law on the territory of Ukraine for the relocation of industrial enterprises from eastern regions of the country.
The Law provides a 10-year income tax exemption for the participants registered in the industrial park and carrying out economic activities in specific areas. The residents of industrial parks also receive state incentives in the form of exemption from the value-added tax (VAT) for operations involving the importation of equipment to the customs territory of Ukraine according to the list of codes according to the Ukrainian classification of the FEA products with the obligation to use it exclusively within the boundaries of industrial parks, without a right to provide for rent, leasing or transfer for use on under any conditions for a period of 5 years.
