IMF Calls on Ukraine to Introduce Tax on Online Sales to Increase Revenue

The International Monetary Fund has called on Ukraine to increase tax revenues to ensure the financial stability of the country amid the full-scale war. This was stated by Julie Kozak, Director of the IMF Communications Department, during a briefing.

This is reported by AgroReview

On June 30, the IMF Board of Directors completed the eighth review of the Extended Fund Facility (EFF) program, resulting in Ukraine receiving a new tranche of 500 million dollars. The total amount of financial support under this program has reached 10.6 billion dollars.

Increasing Tax Revenues and Reforms

“Ukraine has managed to maintain macroeconomic stability despite the challenging conditions of wartime,” said Julie Kozak.

The IMF emphasizes the importance of strengthening domestic budget revenues to ensure fiscal sustainability. The main focus is on the National Revenue Strategy, which includes a number of important reforms, such as:

• modernization of the tax and customs system;
• appointment of a new head of the State Customs Service;
• enhancing the fight against tax evasion;
• aligning Ukrainian legislation with EU standards.

Additionally, the IMF sees the need to improve the management of state investments and implement medium-term budget planning.

New Tax on Online Sales and Debt Restructuring

As part of the reform, a new 5% tax on online sales through internet platforms, referred to as the “OLX tax,” is proposed. According to the Memorandum, the Ukrainian authorities must adopt the relevant law by the end of 2025.

“Only the comprehensive implementation of these measures will support economic growth and attract investment in the medium term,” Kozak noted.

Separately, the IMF emphasized the need to complete the restructuring of external debt, which is a key condition for restoring Ukraine’s full debt sustainability. The Fund also approved changes to the schedule of EFF program reviews: the next, ninth review will take place at the end of 2025 and will include two assessment phases – the ninth and tenth.