Double Tax Treaties in Ukraine

Double tax treaties in Ukraine ensure that the same income or capital is not taxed twice. Our experts in company formation in Ukraine assist international investors looking to understand the provisions of such agreements signed between their country of origin and Ukraine.

What is a double tax treaty?

An international bilateral convention (agreement) for the avoidance of double taxation is a treaty signed by two states for the purpose of taxing income only in one of the two countries. In most cases, the relief is offered either by exempting the foreign-source income from local tax or by offering credit tax.

How can I benefit from a DTA signed by Ukraine?

If you are a foreign investor interested in company formation in Ukraine, a convention for the avoidance of double taxation will provide a mechanism so that your income (i.e., from dividends) is not taxed twice (in both Ukraine and your country of residence, subject to treaty-specific conditions).

How many double tax treaties has Ukraine signed?

Foreign investors who open a company in Ukraine should know that this country has presently entered into 70 international conventions for the avoidance of double taxation.

With what countries has Ukraine signed agreements for the avoidance of double taxation?

Our team lists the following countries with which a double tax treaty in Ukraine is in place:

Algeria, Armenia, Austria, Azerbaijan, Belgium, Brazil, Bulgaria, Canada, China, Croatia, Cyprus, the Czech Republic, Denmark, Egypt, Estonia, Finland, France, Georgia, Greece, Hungary, Iceland, India, Indonesia, Iran, Israel, Italy, Jordan, Kazakhstan, Qatar, Korea, Kuwait, Latvia, Libya, Liban, Lithuania, Luxembourg, Malta, Malaysia, Mexico, Moldova, Morocco, the Netherlands, Norway, Pakistan, Poland, Portugal, Romania, Saudi Arabia, Serbia, Singapore, South Africa, Sweden, Thailand, Turkey, the United Arab Emirates, the United Kingdom of Great Britain and Northern Ireland, the United States of America, Vietnam, Spain, Japan, and others.

Please keep in mind that the list of countries above is not an exhaustive one.

Countries with which the treaty has not yet entered into force include Australia.

Ukraine and Germany signed a new double taxation agreement (DTA) on 19 May 2026; it is not yet in force, so the 1995 treaty still applies.

What are some examples of tax rates under a DTA?

A double tax treaty signed by Ukraine and another country can provide for revised withholding taxes on dividends, among others.

For the recently signed DTA with Germany, some examples include:

• 5% tax rate on dividends for those paid to a company that resides in the other contracting state, when said company directly holds 20% of the capital of the paying company based in the other state;
• 15% dividend withholding tax in all other cases (i.e., when the 20% direct capital ownership condition is not satisfied);
• 5% interest tax;
• 5% general withholding tax on royalties.

What does a DTA change in addition to taxes?

A double tax treaty in Ukraine may also provide for other measures. The convention specifically includes provisions for:

• The prevention of abuse of tax treaty benefits;
• The exchange of information between the tax authorities in Ukraine and those in the other signatory state;
• Tax dispute resolution mechanisms designed to protect the rights of the taxpayer.

Is the double tax protection automatic?

To benefit from a DTA, the interested natural or legal person must, in most cases, provide adequate and sufficient documentation to identify the source of the income and a tax residency certificate, as applicable.

Contact our experts in company formation in Ukraine who can help you understand the provisions of a double tax treaty signed between your country and Ukraine, if your country of tax residence has signed such an agreement.