New KVED: What Will Change for Businesses?

From 1 January 2027, Ukraine will transition to the new NACE 2.1-UA classification of economic activities, replacing KVED-2010. For businesses, this is more than a technical update of codes — the changes may affect registration data, taxation, reporting, and accounting systems.

In her new column, Yuliia Zhuravel, Head of Payroll at Smart Solutions, explains why companies should start preparing for the transition well before 2027. She looks at how the KVED-2010 and NACE 2.1-UA correspondence tables will work, when one existing code may correspond to several new ones, and why choosing the correct code in such cases will require additional analysis.

The article also focuses on risks for simplified tax system taxpayers, updates to ERP and accounting systems, and maintaining accurate historical data for future financial analysis.

The material also includes a step-by-step action plan for businesses to help them review their current KVED codes and prepare for the new requirements.

Read more about NACE 2.1-UA, the key changes, and practical recommendations for businesses on the Novyny Life pages in Yuliia Zhuravel’s blog.