Sanctions Against Foreign Trusts Do Not Block Taxpayer's Right to VAT Refund

April 16, 2026 · WOWERI

The Supreme Court of Ukraine has ruled that sanctions against foreign trusts cannot be a reason to deny VAT refunds. This decision opens the way for VAT refunds for many companies.

Introduction

The Supreme Court of Ukraine has recently made a decision that significantly affects the rights of companies registered in Ukraine. According to this decision, sanctions against foreign trusts cannot be a reason to deny VAT refunds.

Details of the Decision

The Supreme Court recognized as unlawful the denial of a VAT refund exceeding $7 million, motivated by sanctions against the nominal managers of the trust. This decision was made based on the consideration of a case by one of the companies that appealed to the court with a claim for a VAT refund.

Consequences of the Decision

This decision opens the way for VAT refunds for many companies that previously faced denial due to sanctions against foreign trusts. Companies that are entitled to a VAT refund should contact the tax authorities to receive the refund.

Conclusion

The decision of the Supreme Court of Ukraine is an important step in protecting the rights of companies registered in Ukraine. Companies that have faced denial of VAT refunds due to sanctions against foreign trusts should contact the tax authorities to receive the refund.

Source: biz.ligazakon.net