From January 1, the tax service will start mass inspections of Ukrainians

From January 1, the tax service will start mass inspections of Ukrainians

From January 1, 2025, entrepreneurs operating in small settlements must provide clients with the opportunity to pay for goods and services in a cashless manner. For the first violation, a fine of up to 3,400 UAH is imposed, and for a repeated violation — up to 17,000 UAH. This is stated in the resolution No. 894 dated July 29, 2022, "On establishing deadlines by which traders are obliged to ensure the ability to conduct cashless payments (including using electronic payment instruments, payment applications, or payment devices) for the goods sold (services provided)."

The implementation of these requirements is being phased in, with a new phase awaiting Ukrainians starting January 1, 2025.

This rule applies to both traditional stores and remote trade of goods or services via the Internet. Sellers are required to offer customers the following cashless payment options:

• electronic payment instruments (such as bank cards);
• payment apps (Apple Pay, Google Pay, etc.);
• payment devices (terminals, mobile POS systems).

Despite major changes, the law provides for some exceptions. Namely:

• Entrepreneurs of the first group of the simplified tax system: this is the smallest segment of entrepreneurs, mostly self-employed individuals with minimal turnover;
• vendors using vending machines or conducting mobile trading;
• sellers of self-grown or self-fed products.

Additionally, the requirements do not apply to entrepreneurs operating:

• in areas within a combat zone or occupied territories (the list of such regions is approved by the Ministry of Reintegration);
• for three months after the liberation of territories or the end of hostilities.

The State Tax Service of Ukraine emphasizes that non-compliance with cashless payment requirements will lead to fines. As of now, they are as follows:

• for the first violation: from 1,700 to 3,400 UAH;
• for a repeated violation within a year: from 8,500 to 17,000 UAH.

These measures are stipulated in Article 163-15 of the Code of Administrative Offenses.