Enterprises and organizations can pay scholarships to pupils and students under a contract concluded with educational institution.

Tax Code provides for the non-taxable limit for such payments.

Scholarship of up to 4 660 UAH per month is not subject to the personal income tax and military levy in 2026.

This rule applies to scholarships paid to pupils, students, cadets of military educational institutions, residents, postgraduates and adjuncts.

What if scholarship is more than 4 660 UAH?

Taxes are not accrued on the entire payment, but only on the excess amount.

For example, if enterprise pays a student a scholarship of 6 000 UAH per month, 1 340 UAH will be subject to taxation.

From the excess amount, the following are withheld:

- 18% of the personal income tax;

- 5% of the military levy.

These taxes are withheld and remitted by the person paying the scholarship, acting as a tax agent. Therefore, the recipient does not need to declare and pay them separately.