Both documents have already entered into force today, and they will be enacted exactly in a month.

Affordable customs clearance 2021 – the purpose of the laws

The main task of the documents is to temporarily ease the mechanism of importing used cars from Europe and make them more affordable for Ukrainians, as activists demanded. However, these laws apply not to all "euro plates".

Which cars fall under affordable customs clearance

The documents provide for a number of restrictions. First, only owners of cars that were imported before December 31, 2020 (inclusive) will be able to take advantage of preferential customs clearance. Second, only passenger cars (weighing up to 3.5 tons) older than 5 years and meeting the environmental standard not lower than Euro-2 fall under the laws.

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In addition, there are restrictions for the owners themselves: only one car can be cleared, and this can be done only within 180 days from the moment the laws enter into force. For ATO/JFO participants, this period is extended to 270 days.

Affordable customs clearance – the essence of the laws

According to the documents, used cars from Europe older than five years that were imported into Ukraine before the end of 2020 are subject to a preferential rate of value added tax and excise tax. The amount of excise tax now depends only on the age of the car, engine size and type, i.e., the price of the car is not taken into account. In addition, such vehicles are temporarily exempt from import duty, and the base rate ranges from 0 to 150 euros.

How much it costs to clear a car under the new laws

In most cases, the cost of customs clearance will not exceed 1,000 euros, i.e., savings will be several times. For example, if without the benefit, customs clearance of a Volkswagen Golf IV 1.9 TDI from 1999 costs 3,000-3,500 euros, then under the new laws it will be 1,095 euros.