This step is part of efforts to modernize Ukraine’s financial policy and align its legislation with European standards, the Ministry of Finance reports.
Key Features of the Draft Law
The approved document, titled "On Amendments to the Tax Code of Ukraine and Certain Other Legislative Acts Regarding the Implementation of International Automatic Exchange of Information on Income Received through Digital Platforms," introduces a new article to the Tax Code that regulates:
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Comprehensive verification of users on digital platforms;
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Identification of accountable sellers;
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Mandatory reporting to the State Tax Service of Ukraine.
International Alignment
Ukraine is preparing to join the Multilateral Competent Authority Agreement on the Automatic Exchange of Information on Income Earned via Digital Platforms (DPI MCAA). This agreement is already in force in 29 countries, mostly EU members. To comply, Ukraine is adopting the OECD Model Rules for digital platform operators.
Objectives of the Draft Law
The Ministry of Finance highlighted several goals behind the initiative:
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Implementing international standards for automatic information exchange;
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Harmonizing Ukrainian tax law with EU directives, particularly the DAC 7;
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Meeting structural benchmark No. 23 of the updated Memorandum with the IMF under the Extended Fund Facility (EFF) program;
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Enhancing transparency of income from digital platforms and combating the shadow economy.
Context
In the European Union, digital platform operators are already obliged to report the income of sellers using their services, following the provisions of the EU Council Directive on Administrative Cooperation in Taxation (DAC 7). Ukraine’s adaptation of these standards is a crucial step toward European integration and strengthening the resilience of its financial sector.
