The Ukrainian parliament is preparing a bill proposing to introduce a 5% tax on exchange of cryptocurrency assets in fiat. Additionally, individuals will have to pay another 1.5% of military fees.

The bill is being drafted by Alexey Mushak, MP from the Petro Petroshenko Bloc "Solidarity" (BPP), together with a group of 20 representatives of different companies.
According to Mushak's initiative, the bill provides for a 5% tax on the difference between the price of selling a token and the documented price of its purchase or the cost of its mining. This tax regime will be applied on a temporary basis until 2025. Individuals will be oliged to pay a military charge of 1.5%.

The tax will only apply to withdrawing cryptocurrency assets to fiat or buying goods and services. Operations between various cryptocurrencies will not be subject to taxation, Mushak said in a conversation with the Ukrainian news portal LIGA.net.

The National Commission on Securities and the Stock Market will act as the regulator of the cryptocurrency market. That means that it will not only license cryptocurrency exchanges and trading platforms, but will also regulate the ICO market.

"The commission will establish procedures and requirements for ICO process," the regulator explained in a letter.

Mushak added that, following consultations with market participants, the bill received a positive evaluation.