Businesses in Ukraine can temporarily avoid tax payments because of war under some conditions

In 2026 alone, 2,292 taxpayers have used the mechanism, according to the tax authority.

Karnaukh said Russian attacks are aimed not only at military targets, but also at businesses, stores, warehouses, manufacturing sites and logistics centers. Under such conditions, she said, the state must support business, including by helping it meet tax obligations.

Since 2022, the largest numbers of decisions granting temporary tax relief have gone to taxpayers in:

• Kyiv — 3,191;
• Mykolaiv Oblast — 971;
• Chernihiv Oblast — 879;
• Zaporizhzhya Oblast — 650;
• Kharkiv Oblast — 283.

Under Ukraine’s Tax Code and the procedure approved by Finance Ministry Order No. 225 of July 29, 2022, the mechanism is available to legal entities and sole proprietors who have lost the ability to fulfill their tax obligations because of the effects of armed aggression.

Grounds for relief may include:

• full or partial destruction of production, warehouse, or administrative premises where financial or accounting documents were stored;
• destruction of computer equipment or other devices;
• loss of production or other fixed assets.

A taxpayer may postpone deadlines for filing tax reports and paying taxes, fees, and other mandatory payments.

The mechanism also provides relief from penalties for late registration of tax and excise invoices, as well as for the late filing of reports or payment of tax liabilities.

To receive the exemption, the taxpayer must submit a statement to the tax authority declaring the inability to fulfill tax obligations, along with documents confirming that inability.

Such documents may include reports from the State Emergency Service or National Police on a fire or destruction, information from state registries on damaged or destroyed property, extracts from the Unified Register of Pre-Trial Investigations, and other supporting materials.

The application can be submitted at the taxpayer’s place of registration or at any State Tax Service service center:

• in person;
• by mail with delivery confirmation;
• through the electronic taxpayer cabinet.

The tax authority reviews the application and supporting documents within 20 calendar days. If the materials are insufficient, the taxpayer receives a preliminary decision with a request to provide additional documents. The taxpayer then has 10 calendar days to submit them, after which the materials are reviewed again for up to 20 more calendar days.

Each decision is made individually, taking into account the taxpayer’s type of activity, the specific circumstances and the cause-and-effect relationship between the impact of the war and the inability to fulfill tax obligations.

If the taxpayer receives a positive decision, tax obligations must be fulfilled after the relevant ability is restored or within six months after martial law is ended or lifted.

If the ability to meet tax obligations is restored earlier, the taxpayer must notify the tax authority within 60 calendar days from the first day of the month following the month in which that ability was restored.

Karnaukh urged business owners who have lost property, documents or the ability to operate normally because of the war to contact the State Tax Service’s Tax Consultant Offices for help.

Earlier, the State Tax Service introduced a new business service known as a tax checkup.