The President has signed Law No. 4835-IX on the duration and rates of the military levy
April 2026
On 14 April 2026, the President of Ukraine signed Law No. 4835-IX (the “Law”), which provides for the extension of the military levy (the “ML”) for a period of three years following the year in which martial law in Ukraine is terminated or lifted.
Key implications
For individuals, the 5% ML rate will remain in effect for an additional three years after the end of martial law;
For sole proprietors under the simplified taxation system of Groups 1, 2 and 4, the ML will continue to amount to 10% of the minimum wage as established as of 1 January of the reporting year;
For simplified tax payers of Group 3, namely sole proprietors and legal entities, except for e-residents, the ML rate will continue to be 1% of income; and
For military personnel and employees of the security and defence sector, the 1.5% rate on income in the form of monetary allowance will remain in place, except for income that is exempt from the ML.
ML revenues will continue to be credited to the special fund of the state budget and allocated to meet the needs of the Armed Forces of Ukraine.
What does this mean?
The adopted Law means that the increased ML will not automatically cease to apply immediately after the end of martial law. Accordingly, individuals, employers, accountants, sole proprietors, and businesses should already take into account the continued application of the current rates when carrying out financial planning and tax calculations.
Authored by TAX & CUSTOMS team
Viktoriia Fomenko
Partner