Electric cars will become more affordable in 2018

The Parliament proposed to exempt from VAT and excise tax the operations for the import of vehicles equipped exclusively with electric motors as of January 1, 2018. In addition, the tax exemption will be extended to operations for further distribution of electric cars in the customs territory of Ukraine. At present, the President of Ukraine is expected to sign the relevant bill.
Note that the rule will be in force during 2018. The corresponding amendments to the Tax Code were adopted on December 7.
Recall that the import of electric cars was already exempted from payment of import duties in 2016. In 2016, the import of such vehicles to Ukraine amounted to 2274 cars. During 11 months of 2017, the import to Ukraine has increased by more than 13% to 2676 cars. UAH 82.37 million of VAT and UAH 115.6 million of excise tax was paid to the budget.
Thus, for example, while currently, in case of import of a used electric car 2016 Nissan Leaf worth 5600 dollars, the importer pays more than UAH 34.3 thousand, the next year importers will save more than 20% on account of exemption from customs payments. In case of import of a new Tesla S, the minimum customs value of which is 103.6 thousand dollars, the importer now has to pay almost UAH 566.5 thousand of customs payments.







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