Foreign legal entities that provide digital services or sell goods through e-commerce platforms will now be subject to taxation, under a law signed by the president.
The law, signed on September 11, amends the Tax Code to establish taxation rules for foreign legal entities providing digital services or selling goods via e-commerce platforms, covering their registration and deregistration with tax authorities, tax calculation, filing of tax returns, and payment of taxes.
Under the law, applications for registration or deregistration must be submitted no later than 30 calendar days from the date such services begin or end. Registration and deregistration will be carried out by tax authorities based on the relevant application and other documents, with the list to be approved by the State Tax Committee.
Foreign legal entities providing digital services or selling goods through e-commerce platforms to individuals, where the place of sale is domestic, will be recognized as taxpayers with respect to that portion of their activities. Foreign legal entities acting as intermediaries — under commission, brokerage, agency, or similar agreements with such foreign entities — that directly handle payments with individuals, as well as domestic legal entities acting in that capacity, will be recognized as tax agents for transactions involving the sale of such services.
The law also amends the E-Commerce Law to define e-commerce, e-commerce platforms, the rights and obligations of e-commerce participants and transactions, and the specifics of payments in e-commerce, cross-border e-commerce, and the export and import of digital products.
Under the law, the seller bears primary responsibility for fulfilling obligations under contracts concluded through an e-commerce operator's information systems. The seller also bears primary responsibility for disputes arising from the delivery of substandard goods, work, or services, or from the replacement of non-food items of inadequate quality.
The law was passed by MPs on February 10 and approved by the Senate on May 15 and will take effect on December 12, 2026.
Stay up to date with all the latest news:
