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Parliament backs import duty and tax exemptions for Defence Forces supplies and weapons components

They also backed an expansion of benefits for defence procurement. 

Parliament backs import duty and tax exemptions for Defence Forces supplies and weapons components
Photo: The Verkhovna Rada

Today, 3 September, the Verkhovna Rada backed two draft laws concerning goods for the Defence Forces and components for weapons production.

The parliament’s press service reported this. The documents in question are No. 15464-1 on exempting goods for the Defence Forces and components for weapons production from import duty, and No. 15463-1 on exempting goods for the Defence Forces from taxes and expanding benefits for defence procurement.

The draft law on exempting goods for the Defence Forces and components for weapons production from import duty was supported by 272 MPs.

The document provides for an exemption from import duty for all-terrain vehicles for the needs of the Security and Defence Forces, as well as components for domestic production of weapons, drones, electronic warfare equipment and ammunition. In addition, the draft law standardises the application of customs benefits regardless of the sources of procurement funding.

The exemption from taxes for goods for the Defence Forces and the expansion of benefits for defence procurement was supported by 271 MPs.

This law provides for an exemption from VAT and excise duty on the import of all-terrain vehicles for the needs of the Security and Defence Forces. It also proposes standardising the application of tax benefits regardless of the sources of procurement funding and exempting from VAT the import of components for domestic production of weapons, drones, electronic warfare equipment and ammunition.

  • On 1 September, the Verkhovna Rada of Ukraine began its 16th session. Because of almost constant air-raid alerts in the capital, even before the session opened there was talk in parliament of the need to provide a “backup” voting option, since when an air-raid warning is announced MPs leave the chamber, where electronic voting consoles are installed at their workstations.
  • The Rada’s administrative office has already set up an alternative location where MPs will be able to vote in an electronic app on a phone or tablet after personal identification. This is being done so that the parliament’s legislative work is not paralysed by alerts. Whether this contradicts the Constitution and other laws, and why some MPs spoke out against a “Rada in a smartphone”, read in the LB.ua article.
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