In Ukraine, gifts can be a reason for paying taxes — but not always. The tax rate depends on the value of the gift, the status of the donor, and the degree of kinship with the recipient. These rules are enshrined in the country's Tax Code, and their application often raises questions among citizens.

When a gift is not taxed

According to Article 165 of the Tax Code of Ukraine, gifts costing up to 25% of the minimum wage established on January 1 of the reporting year are not subject to declaration and taxation. In 2026, this threshold is 2,161.75 UAH. The rule applies to items, certificates, prizes, and other material benefits — but not to monetary transfers.

Money received as a gift is taxed in full regardless of the amount. This is an important exception that is often overlooked.

Tax rates depending on the donor

If a gift is received from a close relative — spouse, children, parents, siblings, or grandparents — no tax is paid at all (0% rate).

When receiving property from strangers or distant relatives, a rate of 5% PIT plus 5% military levy applies — totaling 10% of the gift's value.

If the donor is a non-resident of Ukraine, the rate increases to 18% PIT + 5% military levy — that is, 23% of the gift's value.

Who pays the tax and when

In most cases, the obligation to pay the tax lies with the recipient of the gift. However, if the gift is made by an employer — a company, sole proprietor (FOP), or legal entity — the employer becomes the tax agent. It is they who must calculate and remit the tax to the budget.

The declaration is submitted annually by May 1 for the previous year. Funds must be sent to the budget by August 1.

Control practice and statistics

In practice, the State Tax Service (STS) does not monitor evasion of gift declaration among ordinary citizens, unless it concerns officials or civil servants. Nevertheless, in 2024, Ukrainians declared 13.6 billion UAH in income from inheritance and gifts — one of the key categories of individual income alongside foreign remittances and property sales.

Previously, RBK-Ukraine reported that in 2026, exemption from filing a declaration applies to those who received an inheritance or gift at a zero rate or have already paid the tax upon notarial registration.