News digest | January 2026

Corporate Law Practice

From 16 January 2026, updated rules for processing documents for foreigners came into force

On 16 January 2026, changes simplifying the procedure for processing documents for foreigners and stateless persons in Ukraine came into effect. These innovations were approved by the Cabinet of Ministers Resolution No. 1275 and are intended to make the procedure for obtaining permits and other official documents more transparent and predictable.

The updated rules detail the requirements for documents submitted to obtain a temporary or permanent residence permit, as well as for other administrative procedures related to the status of foreigners in Ukraine. Precise requirements are defined for document format, submission deadlines, and the list of required attachments and supporting materials.

The legislative changes unify document processing practices and aim to prevent ambiguities and errors during application reviews. They clarify which documents are recognised as valid for confirming identity, place of residence, sources of income, and other information that serves as the basis for decisions by competent authorities.

A precise algorithm for reviewing submitted documents has also been established, including the time limits within which state authorities must respond and the procedures for submitting additional materials if needed.

The electronic platform “PULS” for interaction between the state and business has been officially launched

The state electronic platform “PULS” has been launched to facilitate interaction between government authorities and businesses. The system is designed so that entrepreneurs can resolve various issues in a single online environment that previously required contacting several state services.

The implementation of “PULS” enables entrepreneurs to create requests, submit them to relevant authorities, track their progress in real time, and receive responses directly through the system. The platform aims to become a space for transparent and efficient interaction between business and government.

The platform combines a range of services and functions that enable users to track request status, receive responses from public authorities, and exchange documents electronically. One of its key goals is to minimise paper-based bureaucracy and speed up request processing without requiring personal visits to government offices.

The government has adopted new decisions to support agricultural producers

The Cabinet of Ministers has approved a package of measures to strengthen support for agricultural producers. The decisions aim to expand farmers’ financial capabilities and create more predictable conditions for the sector’s development. They cover several key areas of state support.

Firstly, the government has introduced changes to the financing procedures that allow farmers to receive partial compensation for the cost of purchasing machinery, fertilisers, plant protection products, and fuel. This is intended to reduce pressure on production costs and encourage farm modernisation.

Secondly, mechanisms have been put in place to compensate for part of the interest expenses on loans used to develop agricultural activities. This will enable agricultural producers to plan investment projects with lower risk and debt-servicing costs.

The government also focused on supporting agricultural processing projects. Incentive measures have been provided to promote value creation and expand the export potential of the agricultural sector.

Another area of support involves simplifying access to state support programmes for small and medium-sized farms. This includes reducing administrative requirements for document submission and establishing more transparent criteria assessment rules.

The new government’s decision is intended to enhance the competitiveness of domestic agricultural producers, stimulate local agricultural development, and support Ukraine’s food security.

The NBU eased foreign exchange rules to support business and the defence sector

The National Bank of Ukraine has introduced a set of changes to foreign exchange regulation aimed at supporting businesses under martial law, with a special focus on the defence industry. The relevant decisions (NBU Resolution No. 2; Resolution No. 3; Resolution No. 166) were adopted within the NBU’s powers as the foreign exchange market regulator.

For companies in the defence sector, opportunities to purchase foreign currency have been expanded. It is now permitted to carry out foreign currency operations beyond the established limits using funds that companies have transferred to the NBU’s special account to support the Armed Forces of Ukraine. This allows more flexible financing of the purchase of imported components, equipment, and services necessary to produce defence-related products.

One of the key innovations is the introduction of a “loan” foreign exchange limit, defined as the amount of foreign currency received by a company from loans or borrowings from abroad after 1 January 2026. This limit allows businesses to manage attracted foreign currency funds more flexibly to:

• repay “old” external loans and interest on them;
  
• settle payments for imports of goods delivered before 23 February 2021;
  
• return advance payments to non-residents for goods paid before 23 February 2022;
  
• finance foreign branches; and
  
• carry out dividend repatriation operations beyond previously established limits.
  

In addition, the resolutions clarify certain aspects of foreign exchange regulation, creating more predictable rules for settlements under foreign trade contracts and for debt restructuring.

Updated procedure for affixing apostilles to documents for use abroad enters into force on 1 February

On 1 February 2026, a new procedure for affixing apostilles to official documents intended for use outside Ukraine has entered into force. This procedure was approved by Order No. 3177/5 of the Ministry of Justice of Ukraine dated 20 November 2025, and the previous procedure established in 2015 is no longer applicable.

Under the new rules, apostilles are affixed using the software tools of the Electronic Register of Apostilles, which enables the verification and recording of signatures, seals, and public key certificates in an organised manner. The Ministry of Justice and its territorial bodies, the State Archival Service of Ukraine, and the courts will enter information about their authorised officials into this register.

It is established that a decision on whether to affix an apostille or refuse it must be made no later than three working days from the date the application is registered in the Register. The new procedure also outlines precise mechanisms for the acceptance and review of documents, issuance of results, and access to information regarding the affixed apostille.

The cost of the apostille service is determined based on the subsistence minimum for non-disabled persons set by law as of 1 January of the relevant year and, for 2026, amounts to 670 hryvnias for individuals and 1,160 hryvnias for legal entities.

Tax Law Practice | Tax Alert

Tax rules on transactions involving the provision of unlawful benefits have come into force

From January 01, 2026, the provisions of the Tax Code of Ukraine regarding the detection and tax consequences of transactions related to the provision of unlawful benefits to public officials are apply in Ukraine established by Law of Ukraine No. 4112-IX dated December 04, 2024 “On Amendments to the Tax Code of Ukraine and Certain Laws of Ukraine to Take into Account the Provisions of the Recommendations of the Organisation for Economic Co-operation and Development on Tax Measures to Further Combat Bribery of Foreign Public Officials in International Business Transactions”.

We have already written about this law earlier. Among its provisions, the following norms have started working:

• a new ground for conducting an unscheduled audit – the entry into force of a court conviction against a taxpayer or persons acting on their behalf or in their interests for criminal offenses related to the provision of unlawful benefits, if this could lead to a reduction in the tax base and/or an understatement of tax liability;
  
• informing the NABU by the controlling authority about circumstances (facts) that may indicate the performance of transactions for the purpose of providing an unlawful benefit to an official of a foreign state, identified during documentary checks of taxpayers;
  
• prohibition of reducing the tax base by the amount of expenses in transactions carried out with the aim of providing an unlawful benefit;
  
• the possibility for taxpayers to independently adjust their tax liabilities in the event of transactions involving the provision of unlawful benefits being identified;
  
• increase in pre-tax financial results by the amount of expenses which, in accordance with the law, are established to have been incurred for the purpose of providing an unlawful benefit.
  

Local tax and fee rates for 2026 have been published

The official website of the State Tax Service has published information on rates and tax exemptions for local taxes and fees for 2026 for each region of Ukraine and the city of Kyiv.

In particular, the published information covers:

• land tax;
  
• tax on immovable property other than land plots;
  
• rent;
  
• single tax for the first and second groups.
  

A new procedure for conducting desk audits of tax returns and separate reports of financial agents has been approved

On January 13, 2026, the State Tax Service of Ukraine published Order No. 4 dated January 6, 2026, “On Approval of the General Procedure for the Organization and Conduct of Desk Audits of Tax Returns and Separate Reports of Financial Agents, Except for Transfer Pricing Reports.”

Based on the Order, the following also became invalid:

• Order of the State Tax Service of Ukraine “On Approval of the Model Procedure for the Organization and Conduct of Desk (Electronic) Audits of Tax Reports by Controlling Authorities, except for Tax Reports on Personal Income Tax and Military Levy” dated May 17, 2023, No. 368;
  
• Order of the State Tax Service of Ukraine “On Approval of the Model Procedure for Conducting Desk Audits on Excise Tax Issues” dated August 18, 2021, No. 751;
  
• Order of the State Tax Service of Ukraine “On Approval of Methodological Recommendations for the Organization and Conduct of Desk Audits of Tax Declarations on Property Status and Income” dated December 12, 2022, No. 895.
  

Therefore, instead of the separate procedures and recommendations provided for in the repealed documents, the General Procedure is applied, which ensures a unified approach by tax authorities to conducting desk audits of tax reporting.

The changes provided for in the General Procedure include, in particular:

• the definition of certain aspects of conducting desk audits of financial agents (issues of timely submission by financial agents of reports on accountable accounts, corrected reports on accountable accounts under the Common Reporting Standard (CRS), etc.);
  
• the approval of new forms of acts on the results of desk audits.
  

Taxpayer cards will be available through Diya

On January 08, 2026, Resolution No. 1806 of the Cabinet of Ministers of Ukraine came into force, approving the Procedure for issuing and verifying taxpayer cards in electronic form using the Unified State Web Portal of Electronic Services.

The Procedure enables Ukrainian citizens (in particular, minors and underage persons) to apply for a taxpayer card in electronic form using the Diya Portal. A taxpayer card issued in this way will have the same legal force as one issued in the usual manner and may be presented without a paper copy.

To apply for a card, the applicant must submit to the tax authority:

• an individual taxpayer registration card in the form No. 1DR, or
  
• an application for changes to the State Register in the form No. 5DR.
  

The term for obtaining an electronic taxpayer card is three working days from the date of application.

The electronic taxpayer card will contain:

• the data specified in the paper taxpayer card;
  
• a unique electronic identifier (QR code) that can be scanned.
  

It is planned to ensure the technical capability to issue and verify such electronic taxpayer cards within four months from the date of entry into force of the Resolution.

Review of the Supreme Court’s practice on tax issues for December 2025

On January 21, 2026, the Supreme Court published the overview of the current judicial practice of the Administrative Court of Cassation within the Supreme Court for December 2025.

It highlights the following legal positions in the tax sphere:

• The legality of imposing a fine for the sale of unaccounted fuel at a petrol station without proper measurement of the reserves in the tanks.
  In its judgement dated December 09, 2025 in case No. 580/4269/24, the court concluded that, even though the taxpayer signed the inspection report without any comments, the absence of proper measurement by the tax authorities of fuel residues during the actual inspection of a business entity engaged in retail fuel sales at a petrol station is grounds for cancelling the fine imposed as a result of such an inspection.
  
• Application by the owner of industrial buildings of a property tax exemption transferred to his own legal entity.
  In its judgement dated December 16, 2025 in case No. 160/18696/23, the court confirmed the legality of an individual’s application of a property tax exemption for a complex of industrial and administrative buildings classified as industrial buildings (code 125 according to the classifier) used by a legal entity whose sole owner is also the owner of this real estate.
  
• The issue of exemption from penalties for late payment of self-assessed income tax liabilities during the period of martial law.
  In its judgement of December 23, 2025 in case No. 440/16587/23, the court concluded that the non-imposition or cancellation of penalties on the basis of the taxpayer’s failure to fulfill their tax obligations due to the introduction of martial law is carried out, in particular, if the conditions for exemption from liability provided for by the military rules for the collection of taxes and fees are met. Therefore, exemption from the accrual of penalties in such a case is possible only if there is a decision by the tax authority on the impossibility of fulfilling the tax obligation.
  

We wrote more about the tax changes that will take effect in 2026 here.

Litigation Practice

Starting from January 1, 2026 updated court fee rates will apply in Ukraine

As of January 1, 2026, court fee rates in Ukraine will increase in connection with the adjustment of the subsistence minimum for able-bodied persons to UAH 3,328. The relevant changes are provided for by the Law on the State Budget of Ukraine for 2026, since this indicator is the basic calculation value used to determine all court fee rates in courts of civil, commercial, and administrative jurisdictions.

Accordingly, the updated subsistence minimum amount will affect court fee rates payable for statements of claim of a pecuniary and non-pecuniary nature, applications in bankruptcy cases, appeals against court decisions, and the filing of other procedural applications.

In addition, the list of categories of citizens exempt from paying court fees has also been updated, including servicemen, participants in combat operations, persons with disabilities, and citizens who have suffered as a result of the armed aggression of the Russian Federation.

Submitting procedural documents to a court with references to non-existent rulings and legal positions, likely generated by AI, indicates disrespect for the court – the Administrative Cassation Court of the Supreme Court

Participants in a case are obliged to adhere to the principle of professional human oversight when using artificial intelligence technologies.

References to non-existent rulings of the Supreme Court may indicate that a party to the case used artificial intelligence tools and obtained a result in the form of so-called “hallucinations”, which evidences bad-faith exercise by the party of its procedural rights.

The Administrative Cassation Court of the Supreme Court reached this conclusion in its ruling of January 15, 2026 in case No. 240/14153/24.

In the cassation appeal, the appellant, as grounds for cassation review of the decisions of the courts of first instance and the appellate instance, relied on the courts’ failure to take into account a number of Supreme Court rulings. However, a check of the Unified State Register of Court Decisions established that none of the listed court decisions of the Grand Chamber of the Supreme Court and the Supreme Court exists in reality. That is, the case numbers and dates of adoption of the rulings stated in the cassation appeal are fabricated, and the references to the formulated conclusions are false.

The Supreme Court noted that the nature of the references provided may indicate that the party used artificial intelligence tools and, accordingly, obtained, in response to a query, a result in the form of “hallucinations”.

In this context, the Supreme Court emphasised that the use of AI to prepare procedural documents is not prohibited in itself. However, responsibility for the accuracy of the information set out in procedural documents rests exclusively with the party to the case.

At the same time, submitting to a court procedural documents generated by AI, in the absence of professional verification, indicates improper performance of professional duties and bad-faith exercise by the party of its procedural rights, which may be classified as a manifestation of disrespect for the court.

An arbitration clause without a defined procedure is unenforceable – the Commercial Cassation Court of the Supreme Court

An arbitration clause that contains only a general reference to dispute resolution by arbitration in accordance with the law of the seller’s country, without specifying a particular arbitral institution, its rules, the seat of arbitration, or other procedural matters, is unenforceable. In such circumstances, priority in hearing the dispute lies with the commercial court as a judicial authority, rather than with an unidentified tribunal of the seller’s country.

This conclusion was reached by a panel of judges of the Commercial Cassation Court within the Supreme Court in its decision of November 19, 2025 in case No. 924/389/25.

The commercial court closed the proceedings in an action for debt recovery, referring to an arbitration clause in the contract which provided for dispute resolution under the law of the seller’s country (Turkey). The appellate court set aside the first-instance ruling, stating that the arbitration clause was unenforceable due to the absence of a specific arbitral institution, the seat of arbitration, and the arbitration rules. Therefore, priority in hearing the dispute lies with the commercial court, and the court of first instance erroneously applied private international law instead of the Agreement between Ukraine and Turkey.

The Commercial Cassation Court, upholding the appellate decision, noted that the contractual provision agreed between the parties in the case constitutes an arbitration clause rather than a prorogation agreement on the choice of a state court, since the parties envisaged dispute resolution by arbitration under the law of the seller’s country. At the same time, the Court stated that the arbitration clause is unenforceable because the contract does not specify a particular arbitral institution, the place of arbitration, the procedure for the constitution of the arbitral tribunal, or the arbitration rules, which makes it impossible to conduct arbitral proceedings. In view of this, priority in hearing the dispute lies with the commercial court, rather than with an unidentified arbitral tribunal of the seller’s country.

Ukraine revises its approach to the regulation of employment relations: key provisions of the draft Labour Code

On January 15, 2026, the Verkhovna Rada of Ukraine registered a bill concerning an updated draft Labour Code of Ukraine No. 14386, the purpose of which is to de-Sovietise labour legislation and to regulate individual and collective employment relations on the principles of freedom, equality, and the provision of decent work, with the implementation of international standards on the regulation of employment relations into national legislation.

The explanatory note to the bill also states that the current Code of Labour Laws, adopted in 1971, does not correspond to the realities of a market economy, is based on the paternalistic role of the state, and contains a significant number of outdated and contradictory provisions. Despite numerous targeted amendments, the basic approaches to the regulation of work have remained unchanged and do not take into account the transformation of the labour market, the development of flexible forms of employment, and new sectors of the economy.

By contrast, the draft Labour Code of Ukraine provides for a transition to a model based on a balance of interests between employees and employers, freedom of contract, stability of employment relations, and the ensuring of decent and safe working conditions.

In particular, the document proposes:

• a mandatory written form of the employment contract;
  
• an expansion of the types of fixed-term contracts;
  
• a clear definition of the characteristics of employment relations;
  
• the regulation of the work of domestic workers and persons engaged through temporary work agencies.
  

Draft law on updating the Civil Code: key updates and changes

A draft of a new Civil Code of Ukraine (No. 14394) has been registered with the Verkhovna Rada of Ukraine and is proposed under the title “Civil Code of Ukraine (Code of Private Law)”.

The purpose of the bill is the recodification and systematic renewal of Ukraine’s private (civil) law through the adoption of a new Civil Code of Ukraine (Code of Private Law) as a comprehensive, internally coherent, and effective codified act. The draft is aimed at establishing a modern regulatory framework for the governance of private relations, which will also respond to contemporary challenges, such as digitalisation, the development of new economic models, the transformation of property turnover, increasing complexity of contractual and non-contractual structures, and the cross-border nature of relations, among others.

The key changes will be aimed at:

• enhancing legal certainty and predictability of civil relations;
  
• ensuring a balance of the parties’ interests and the protection of the weaker party;
  
• unifying terminology and eliminating internal conflicts;
  
• harmonisation with European legal systems and international standards;
  
• de-Sovietisation of legislation and modernisation of the conceptual framework of private law.

Criminal Law Practice 

Confidentiality of Communication with a Lawyer During a Search: ECHR Standards and Practical Algorithms of Action

The right to legal assistance includes not only contacting a lawyer, but also ensuring that all communication, including during a search, remains confidential. Ukrainian law explicitly protects the attorney-client privilege, even if the lawyer has not yet arrived and the client must communicate remotely.

Ensuring the attorney-client privilege when a person invites a lawyer during a search is problematic. On the one hand, the investigator has the right to prohibit the individual from leaving the premises of the search. On the other hand, the prohibition on interference with private communication between the attorney and the client is one of the key guarantees under the Law of Ukraine “On Advocacy and Legal Practice”. Any actions that could allow third parties to hear, record, or otherwise control the conversation between the attorney and the client are unacceptable. This guarantee remains valid even if the search is ongoing and the attorney has not yet arrived – the individual has the right to notify the defender about the situation, ask questions regarding their conduct, or receive basic instructions without the risk of external interference.

Investigators must ensure the highest level of privacy for attorney-client communication. Requiring communication through loudspeakers is illegal and violates the right to defense.

Individuals have the right to legal assistance by telephone from the moment an attorney is invited until their arrival, as long as it does not disrupt the search procedure.

The European Court of Human Rights in Namazli v. Azerbaijan (2024) emphasized that communication between the attorney and the client is protected under Articles 6 and 8 of the Convention. The Convention on the Protection of the Profession of the Lawyer (2025) requires states to guarantee the right to confidential communication “by any means”, with third parties permitted only to observe participants, not to hear or record the content of the conversation.

For further information on ensuring confidentiality during attorney-client communication and practical guidance during a search, please refer to the article by GOLAW Partner, Head of Criminal Law and White Collar Defence practice, Attorney at law Igor Glushko.

Consideration of a Petition for a Search Conducted in the Presence of an Investigator or Prosecutor, Requiring Mandatory Technical Recording: Position of the Joint Chamber of the Criminal Cassation Court of the Supreme Court

In the decision of January 19, 2026, in case No. 336/4830/22, the Joint Chamber of the Criminal Cassation Court of the Supreme Court held that if an investigating judge authorises a search of a person’s home or property in the presence of an investigator or prosecutor without a full technical recording, the resulting evidence is inadmissible under paragraph 4 of part 3 of Article 87 of the Criminal Procedure Code of Ukraine (CPC of Ukraine).

Part 4 of Article 234 of the CPC of Ukraine requires the court to consider a search petition on the day it is received, with an investigator or prosecutor present. The court emphasised the prosecution’s key role in this process, ensuring the investigating judge can fully clarify and verify the petition’s arguments.

The judges also clarified that the phrase “with participation” in the law does not mean “with mandatory participation”.

The court stressed that when an investigator or prosecutor participates in the consideration of a search petition, the investigating judge must conduct the review with a technical recording, as required by Part 4 of Article 107 of the CPC of Ukraine. If technical recording is not used when required, the procedural action and its results are invalid under Part 6 of Article 107 of the CPC of Ukraine.