Key Decision of the Cabinet of Ministers
On August 26, 2025, the Government of Ukraine approved changes to the Procedure for suspending registration of tax invoices in the Unified Register of Tax Invoices (URTN).
The Ministry of Finance and the State Tax Service emphasize that the update will:
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strengthen automated monitoring,
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simplify conditions for small and medium businesses,
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improve opportunities for exporters,
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and halve the number of blocked invoices.
According to the Head of the State Tax Service, Lesya Karnaukh, this is “a real improvement of conditions for business operations.”
What Has Changed?
1. Higher thresholds for unconditional registration
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Supply volume limit increased → from UAH 500,000 to UAH 1 million.
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Per counterparty limit raised → from UAH 50,000 to UAH 100,000.
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Managers’ participation rule adjusted → now allowed to hold positions in 5 companies (previously 3).
✅ Result: expected +5% more invoices registered automatically.
2. Support for small and medium businesses
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Threshold for small transactions doubled → from UAH 5,000 to 10,000.
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Monthly transaction cap increased → from UAH 500,000 to 3 million.
✅ Result: number of invoices registered expected to double.
3. Special conditions for exporters and war-affected regions
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Simplified unconditional registration for export transactions.
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Automatic registration introduced for companies in territories under threat of hostilities (but not under active fighting).
4. More automation and positive tax history
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Automatic registration applies if the payer is removed from the “risky” list.
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Positive tax history indicators now directly influence registration.
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Taxpayer’s data table automatically considered.
5. New safeguards against manipulations
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Risk criterion extended: adjustments for returns from VAT non-payers now valid for 90 days (instead of 30).
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Additional mechanisms introduced to prevent manipulation of fixed asset residual values in reporting.
Why It Matters for Business and Investors
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Lower risks → fewer blocked invoices (down to 0.39% of submitted).
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Faster VAT refunds → improves cash flow for exporters and SMEs.
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Greater transparency → automated, rule-based system minimizes human factor.
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Improved investment climate → better protection for legal business operations.
✅ Key Takeaway
The Cabinet’s amendments to Resolution No. 1165 create friendlier conditions for entrepreneurs and exporters, ensuring more predictable tax administration. This reform is an important step in aligning Ukraine’s business environment with EU practices, improving trust for both domestic and foreign investors.
