New customs rules for "Euro-plates" come into force in Ukraine today
On June 15, new rules of preferential customs clearance of cars with foreign registration ("Euro-plates") come into force in Ukraine.
The new rules take effect one month after the law enters into force (the law came into force on May 15).
According to the new rules, used cars with European registration, older than five years, which were imported into Ukraine by the end of 2020, are taxed at a reduced rate of value-added tax and excise tax.
The amount of excise duty will depend on the age of the car, the volume, and the type of engine and won't depend on its value.
It was noted that in most cases the cost of customs clearance won't exceed one thousand euros.
Such cars are temporarily exempt from import duties.
At the same time, under the preferential mechanism, one car of one category of one owner can be cleared through customs.
It will be possible to issue a car on a preferential basis within 180 days from the date of the laws entering into force. ATO/JFO participants will be able to use this opportunity for 270 days.
At the same time, these laws don't apply to vehicles that don't meet the environmental standards of "Euro-2" and above, originate from the occupying state (aggressor state), or imported from the temporarily occupied territory of Ukraine.
On April 15, the Verkhovna Rada passed laws amending the Tax and Customs Codes, which establish a grace period for customs clearance of old cars imported into Ukraine until December 31, 2020.