The council adopted the rule of 183 days for the sale of cars without 18% tax

On November 11, 2026, the Verkhovna Rada finally adopted draft law No. 16037-d, formally dedicated to simplifying VAT administration. 273 People's Deputies voted for the decision. Despite the name, the document significantly changes the rules for taxation of the sale of passenger cars, motorcycles and mopeds by individuals - and will apply not only to shadow dealers, but also to ordinary owners.

What is the 183 day rule

Currently, the first sale of a car during the year is not subject to personal income tax, regardless of how long the car has been owned. The new law changes this: the zero rate on the first sale will only apply if the car has been registered to the seller for more than 183 days. If the owner sells the car sooner, the income is taxed at the rate of 18% personal income tax plus 5% military tax - that is, 23% of the sale amount. For example, when selling a car for UAH 500,000, the personal income tax will amount to UAH 90,000, and together with the tax - UAH 115,000.

For the second sale during the year, the personal income tax rate will remain 5% - but also only if the car was owned for at least 183 days. For a shorter term of ownership, the rate of 18% is applied. The third and every subsequent sale during the year is taxed at the rate of 18%, regardless of the period of ownership - these rules have not changed. An exception was made for inherited cars: the minimum term of ownership does not apply to them.

Separately, the law requires the VIN code of the vehicle to be indicated in the tax invoices when it is delivered. Both regulations - both the 183-day rule and the mandatory VIN code - take effect on January 1, 2027, after the President signs the law.

The official goal of the changes is the fight against shady dealers who en masse issue cars for themselves or fictitious persons in order to use the preferential zero rate every time. But the new norm will also affect people who sell a car for personal reasons shortly after purchase or re-registration - they will either have to wait six months or give almost a quarter of the car's value to the state.