Parliament Approves Tax-Based Compensation for Capital Investments
On November 4, 2025, the Verkhovna Rada of Ukraine approved in the first reading two draft laws (Nos. 13414 and 13415) introducing amendments to the Customs and Tax Codes. These laws are aimed at implementing a mechanism for compensating capital investments through tax benefits.
Key Provisions
- The measure allows businesses to recover from 30% to 70% of funds invested through tax returns.
- Only projects realized in the processing industry are eligible for such compensation.
- Compensation will be applied to company taxes and investment-related expenses.
Statement from Dmytro Kysilevsky
“We are talking about the possibility of returning 30% to 70% of the funds invested in constructing new or expanding existing plants and industrial infrastructure through taxes. The Ukrainian economy, wounded by war, needs new impetus.”
Deputy Chairman of the Verkhovna Rada Committee on Economic Development, Dmytro Kysilevsky, emphasized that this step brings Ukrainian industry closer to an effective investment stimulation tool long used in the European Union.
Summary
Ukraine's parliament has preliminarily backed tax-based reimbursements for industrial investors, offering a potential 30–70% return on capital expenditures to boost recovery and growth.
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