Ukrainian tax authority advises gas exporters on deferred royalties
Producers exporting domestically extracted gas previously placed in storage have been advised to disclose the relevant volumes in writing. The measure concerns gas on which royalty payments were deferred until sale.
Ukraine’s gas producers have been advised to notify the tax authority in writing when they export their own gas that had previously been transferred to storage. The State Tax Service said this on Monday, October 26.
Companies are encouraged to submit the export figures with their monthly records tracking natural gas movements at storage facilities. According to the agency, this would support the administration of subsoil-use royalties without requiring additional requests to taxpayers.
A special provision allows producers to defer royalty payments on stored gas until it is sold. The obligation is reinstated in the reporting period in which the gas is marketed, while the liability for earlier periods is calculated from the volume actually sold within the amount covered by the deferral.
The procedure governing exports of domestically produced natural gas was approved by Ukraine’s Cabinet of Ministers in Resolution No. 1251 dated October 7, 2026. The underlying tax relief was added to the Tax Code after the start of Russia’s full-scale invasion.