VAT exemption for business with people with disabilities: what is important to know during the martial law

Press service of the State Tax Service of Ukraine, published 05 June 2026 at 10:39 Chapter: News

Business and organizations of public associations of people with disabilities can continue to benefit from the VAT exemption, even if relevant permit expires during the martial law.

According to legislation, permits for right to use tax exemptions, validity of which expired during the martial law, are extended for the entire period of its validity and for another two calendar quarters after its termination or cancellation.

This concerns the VAT exemption of product supply and services directly produced by enterprises and organizations founded by the public associations of persons with disabilities.

At the same time, legislation establishes a number of restrictions. In particular, services provided during lotteries and entertainment games, as well as certain intermediary operations (under commission, surety, mandate and trust management agreements without the ownership transfer) are not subject to exemption).

To apply for benefit, the company must meet established requirements. Specifically, a number of people with disabilities working at the main working place must be at least 50% of the average number of full-time employees, and the payroll of such employees must be at least 25% of the total labor costs.

In case of non-compliance with legislative requirements, tax liabilities are subject to recalculation on a general basis with application of financial sanctions.

It is recommended for enterprises timely check compliance with the established criteria and ensure proper documentation for unhindered use of tax exemptions.

 More  – https://zir.tax.gov.ua/main/bz/view/?src=ques&id=43997