The Ukrainian Parliament voted in Law on the export regime for certain agricultural commodities during martial law

The Ukrainian Parliament voted in Law on the export regime for certain agricultural commodities during martial law (unofficial translation).

The goal is to ensure timely and full foreign currency earnings returns. The Law provides that:

•  The Cabinet of Ministers of  Ukraine is entitled to introduce an export security regime (or exports earnings returns) for export operations of goods under codes 1001, 1003, 1005, 1201, 1205, 1206, 1512, 2306  according to Ukrainian Classification of Goods for Foreign Economic Activity;
•  exports of goods subject to the export security regime may be carried out exclusively by [Ukrainian Companies] VAT payers whose registration is not suspended;
•  export is possible if a Ukrainian Company-exporter tenders a positive history of exports earnings returns in foreign currency for the previous 6 months;
•  in the absence of a positive history or if exports increase significantly, the exports are possible after registration in Ukraine the related tax invoice at the rate determined specially for transactions to supply agrarian commodities.

If so, the exporter will be entitled to VAT export refund only if the exports earnings are returned to Ukraine within the prescribed period.

Tags: Ukraine