On July 1, 2022 the European Commission announced that it adopted a Decision enabling Member States to temporarily waive customs duties and VAT on the importation from third countries of food, blankets, tents, electric generators and other life-saving equipment destined for Ukrainians affected by the war.

The measure was requested by Member States and will apply retroactively from February 24, 2022 and will be in place until December 31, 2022.

The duty and VAT waiver applies to goods imported by:

- State organisations (public bodies and bodies governed by public law including hospitals, governmental organisations, regional governments, communes/towns, etc.); and

- Charitable or philanthropic organisations approved by the competent authorities of the Member States.

The Decision comes in addition to the new VAT rules adopted in April, which allow Member States to extend this exemption to domestic supplies of goods and services, including donations, for the benefit of disaster victims.

Background

Current EU legislation provides for tools to be used exceptionally to help victims of disasters, as in the case of the war in Ukraine.

EU customs legislation (Council Regulation (EC) No 1186/2009) provides for the possibility to grant duty relief for the benefit of disaster victims. It can be applied to imports by State organisations and approved charitable or philanthropic organisations. To grant relief, a decision from the Commission is required, acting at the request of the Member States concerned.

Similarly, EU VAT law (Council Directive 2009/132/EC) has mirroring provisions as regards exemption from VAT on the final importation of certain goods.

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