Co-founder of Nova Poshta warns of customs collapse due to VAT on parcels

Co-founder of Nova Poshta Volodymyr Popereshniuk has criticized a bill approved by the Verkhovna Rada in its first reading that would introduce VAT on parcels worth less than EUR 150, saying that “almost everyone will suffer” as a result.

273 members of parliament voted in favor of the bill. Popereshniuk shared his opinion on the parliament’s decision on Facebook.

According to the businessman, the new measure will directly hit Ukrainians in the wallet.

“The cost of parcels and delivery times will increase, and as a result Ukrainians will spend more money, since there is no alternative to the range of imported goods,” the entrepreneur wrote.

Popereshniuk also warned of negative consequences for Ukrainian retail: in his view, buyers will have less money to spend, which will also hurt domestic retail chains.

The co-founder of Nova Poshta separately predicted a sharp increase in the burden on customs.

“There will be a collapse at customs due to the workload increasing by tens, and possibly hundreds of times,” he said, adding that this will affect logistics and could lead to a rise in smuggling.

In conclusion, Popereshniuk offered a broader assessment of the state’s tax policy:

“The state by its very nature always seeks to expand control, raise taxes, and put pressure on business. But every new tax will always slow down the economic development, well-being, and defense capability of our country.”