I want to buy a house abroad and rent it out. Do I need to pay taxes in Ukraine? Is it only in the country where I plan to buy a house?
I want to buy a house abroad and rent it out. Do I need to pay taxes in Ukraine? Is it only in the country where I plan to buy a house?
Real estate abroad is associated with the payment of taxes and fees to the budget of a foreign state, which amount to 5-10% of its value, depending on the country. If you pay the mandatory customs fees for the purchase of real estate abroad, you will not have any obligations to pay taxes in Ukraine, but you must report the presence of real estate and income from real estate rental in your tax return. As a general rule, foreign income is taxed at the rate of 18%. Instead, income in the form of dividends accrued to a resident by non-residents is subject to taxation at the rate of 9%. In addition, the law provides for the payment of a military levy. The military levy rate is 1.5 percent of the tax object.