The Verkhovna Rada of Ukraine adopted in the first reading a bill clarifying the taxation of crypto assets. The bill No. 10225-D shares virtual assets into three categories.

These are tokens provided with assets, currency or real estate; Electronic money tokens tied to a single official currency; Other virtual assets are a wide category of tokens that are not part of the first two groups.

According to the document, the income tax on operations with digital assets will be 18%, plus 5% – a military fee. For individuals, a separate taxation regime of income from transactions with cryptocurrencies should be applied. If the law is accepted, tax taxed will be calculated in the form of the difference between the annual income from the sale and the cost of acquiring digital assets.

For virtual assets purchased before the law entered into force, a reduced tax rate on individuals (personal income tax) should be applied to 5% – if these crypto acts are sold within 2026. For legal entities, taxation is proposed to apply securities by analogy, while the Ministry of Finance has the right to determine the deduated expenses based on the proposals of the Central Bank.

The value of value added (VAT) should not be applied to the release, placement, sale, exchange and redemption of virtual assets, except for non -replaceable tokens (NFT) and tokens representing property rights and services. It is expected that amendments to the Tax Code of Ukraine will enter into force on January 1, 2026. Before the second reading, changes can be made to the bill.

According to the project, virtual assets (VASP) services working with tax residents of Ukraine are required to register with local regulatory authorities and annually provide them with cryptocurrency operations reports. For non -compliance with the requirements, fines are provided, while in the first years after the law comes into force, reduced penalties will be applied to force: 10% of the standard fine in 2026 and 25% of the standard fine in the period from 2027 to 2029.

The Chairman of the Committee on Finance, Tax and Customs Policy of the Verkhovna Rada Daniil Getmantsev said that the legalization of cryptocurrencies could bring to Ukraine thanks to registered exchanges over the past four years of taxes for 8.34 billion hryvnia ($ 201,8 million) at a rate of 18% and up to 6.53 billion hryvnias ($ 158 million) for income tax on income individuals.

The bill defines virtual assets as a special type of digital property that exists in electronic form and operates based on blockchain technology. At the same time, virtual assets will not be able to be used in Ukraine as a legal payment fund.

Recently, the first deputy manager of the National Bank of Ukraine (NBU) Sergey Nikolaychuk said that the Central Bank does not support the creation of a state reserve of cryptocurrencies due to their high volatility.