Selling Through OLX, Prom, and Other Platforms: New Taxes and Business Risks

On October 23, 2026, Law of Ukraine No. 4903-IX of June 9, 2026, entered into force, introducing new rules for taxing income earned through digital platforms and providing for the international automatic exchange of relevant tax information.

The main provisions governing platform operators and the taxation of their users' income will apply from January 1, 2027. This means that tax authorities will have access to a broader range of information about sales of goods, provision of services, and rental income generated through digital platforms. The changes will affect more than just major online marketplaces. The law covers platforms through which users sell goods, rent out real estate or vehicles, perform work, or provide services. Such services may include online marketplaces, accommodation booking platforms, transportation services, and other digital intermediaries.

What Will Change for Individuals and Entrepreneurs

One of the most significant changes will be the introduction of a special tax regime for income earned by individuals carrying out activities specified by law through digital platforms. Provided that the statutory conditions are met, such income will be subject to a personal income tax rate of 10%. This rate will apply within an annual threshold equivalent to 834 minimum monthly wages established as of January 1 of the relevant year. A rate of 23% will apply to income exceeding this threshold. The same rate is also provided for certain situations where an individual does not meet the conditions of the special tax regime.

No additional military levy will be imposed on income taxed under these special rules.

To qualify for the 10% rate, an individual must meet specific requirements. These include Ukrainian tax residency, the use of an appropriate account for settlements, the absence of hired employees, compliance with restrictions concerning the types of goods sold, and conducting activities through a duly registered platform operator. It is important to distinguish between income earned by an individual under the special tax regime and business activities carried out by a registered sole proprietor. The introduction of the 10% rate does not automatically change the single-tax rates applicable to entrepreneurs using Ukraine's simplified taxation system.

If an entrepreneur sells goods simultaneously through their own website, an online marketplace, and other channels, all transactions must be accurately recorded, and their nature must be verifiable. Distinguishing business revenue from an individual's personal transactions will become particularly important.

During a tax audit, information received from platform operators may be compared with the entrepreneur's tax returns. Any discrepancies will require documentary explanation.

At the same time, conducting transactions through a digital platform does not automatically constitute a tax violation. The decisive factors remain the legal nature of the income, the status of its recipient, and compliance with obligations established by the Tax Code.

Selling Personal Belongings: When No Tax Will Be Payable

A separate regime is provided for individuals selling goods through online platforms.

Starting in 2027, income from such sales of up to EUR 2,000 per calendar year will be excluded from total taxable income, provided that the statutory conditions are satisfied. The threshold in Ukrainian hryvnias will be calculated using the National Bank of Ukraine's official exchange rate as of January 1 of the relevant year. For example, an individual may sell a used personal smartphone, furniture, and household appliances through an online marketplace. If the total income from these sales does not exceed the established threshold, it will not be taxable under the special rules. However, the threshold will apply to aggregate income rather than separately to each online platform.

Consequently, selling goods through several marketplaces will not allow an individual to claim the tax-free allowance multiple times. It is also essential to distinguish between occasional sales of personal belongings and systematic activities that have the characteristics of a business. The amount of income alone does not determine whether an individual is conducting entrepreneurial activity. Relevant considerations include the frequency of transactions, purchasing goods for resale, the organization of sales, and the actual nature of the activity. Therefore, the tax-exempt threshold should not be interpreted as a general authorization to conduct business without proper registration.

What Information Will Tax Authorities Receive?

From 2027, digital platform operators will be required to fulfill statutory obligations concerning the collection and verification of information about users earning income from specified activities. This includes information enabling the identification of sellers, determination of their income, the number of transactions, and other relevant indicators. Operators will submit the required reports to Ukraine's State Tax Service (STS). In cases provided by law, they will also act as withholding agents, deducting and remitting personal income tax.

The first reporting period under the new system will be 2027. Relevant platform operators must register with the State Tax Service before the system becomes applicable. International automatic information exchange will play a particularly important role. Law No. 4903-IX is intended to implement OECD standards and the European approach established under DAC7. This creates the legal framework for Ukrainian tax authorities to obtain information about income earned by Ukrainian tax residents through foreign digital platforms. However, international information exchange will depend on Ukraine's participation in the relevant international arrangements and completion of the procedures necessary for their implementation.

How the State Tax Service Will Determine Tax Liabilities

The new rules allow the tax authority to determine individuals' tax liabilities directly in circumstances specified by law.

In particular, this will apply where aggregate income from selling goods through several digital platforms exceeds the EUR 2,000 tax-exempt threshold or where income exceeds the annual limit for applying the special tax rate. Calculations will be based on reports submitted by platform operators, tax information, and other data obtained in accordance with the law.

If the calculation results in a tax payment obligation, the State Tax Service will issue a tax assessment notice by July 1 of the year following the reporting year.

After receiving the notice, the taxpayer will have 60 days to pay the assessed amount. In practical terms, sellers will need to monitor the total value of their transactions independently, even when sales are conducted through several platforms. If a taxpayer disagrees with the assessed amount, important evidence may include transaction histories, refund documents, canceled orders, bank account statements, and other records establishing the income actually received.