Transport tax on old and new cars

Last week, Laws No. 8487 and No. 8488 came into force. The amendments made to the Tax and Customs Codes regulate customs clearance and fines for cars with a foreign registration.

However, some Internet resources have been actively disseminating information on the taxation of cars with Ukrainian registration, which are more than 5 years old. According to them, all owners of such cars, supposedly, have to pay the transport tax in the amount that often exceeds the price of the car.

Indeed, similar amendments were proposed by deputies at the stage of discussion and making proposals to the law 8487. In total, the People’s Deputies submitted up to 150 different amendments, most of which were rejected by the Parliament. Thus, in the final version of the law, which came into force on November 25 this year, there are no amendments to the taxation of cars with Ukrainian registration.

So the owners of old cars need not worry.

The transport tax, as before, affects only new cars, that are under five years old, and the market value of which exceeds 375 minimum wages.

In 2018, this threshold is just over 1 million 396 thousand hryvnias.