Taxes for Individual Entrepreneurs Will Increase from 2026: What Will Change for Millions of Ukrainians.

According to ТСН: From January 1, 2026, taxes for individual entrepreneurs in Ukraine will increase.

New Figures: How Much Will We Pay in 2026

According to new standards, the minimum wage will be 8,647 UAH, and the minimum subsistence level will be 3,341 UAH.

How Monthly Payments Will Change by Groups:

Note: For groups 2 and 3, the cost of maintaining one hired employee will now amount to 3,891.15 UAH in taxes per month.

Revolution from the Ministry of Finance: VAT for Those Earning Over a Million

The Ministry of Finance proposes to introduce value-added tax (VAT) for entrepreneurs with annual income exceeding 1 million UAH.

Why Does the Government Need This?

1. Money for the Army: An additional 40 billion UAH is expected to flow into the budget.

2. Combatting Schemes: Large businesses will no longer be able to “split” into dozens of individual entrepreneurs to avoid paying 20% VAT.

3. Eurointegration: Bringing legislation in line with EU standards and IMF requirements.

4. Legalization: VAT payers will be forced to confirm the origin of goods, which will hit smuggling hard.

“Business Will Go Underground”: Experts Sound the Alarm

Members of the business community express uncertainty regarding these innovations. The head of the Secretariat of the Entrepreneurs' Council under the Cabinet of Ministers, Andriy Zablovskyi, notes that such steps are untimely.

“The proposed VAT lacks economic justification in wartime conditions. This may lead to mass closures of small sales points, the transition of businesses into the “shadow” economy, and increased unemployment,” warns Zablovskyi.

Entrepreneurs are concerned that the complicated VAT administration will become a heavy burden for micro-businesses, which are already going through tough times in the face of energy and economic crises.

The increase in taxes for individual entrepreneurs and the introduction of VAT for entrepreneurs with annual income over one million hryvnias raises many questions within the business community. Despite the government's plans for budget increase, representatives of small enterprises warn of possible negative consequences. It will be interesting to observe how these changes will affect the country's economy in the face of current challenges.