What Is a FOP and What Groups Exist?
FOP (sole proprietor) is a business form in Ukraine for individual entrepreneurs. There are 4 groups under the simplified taxation system, each with its own limits and rates.
Group 1
- Revenue limit: up to 1,185,100 ₴/year
- Single tax: fixed — up to 10% of living minimum (~302.8 ₴/month)
- Who: retail trade at markets, household services
Group 2
- Revenue limit: up to 5,921,400 ₴/year
- Single tax: fixed — up to 20% of minimum wage (~1,600 ₴/month)
- Who: services for businesses, manufacturing, trade
Group 3
- Revenue limit: up to 7,818,900 ₴/year
- Single tax: 5% of revenue (no VAT) or 3% + VAT
- Who: any activity, including IT freelancers
- Military levy: 1% of revenue (since 2024)
What Taxes Does a FOP Pay?
1. Single Tax
The main tax replacing income tax, VAT (for non-payers), and others.
2. ESV (Unified Social Contribution)
Mandatory for all groups: 22% of minimum wage = 1,760 ₴/month in 2025. Paid even with zero revenue.
3. Military Levy
For Group 3 — 1% of revenue (introduced in 2024).
Example: IT Freelancer, Group 3, 50,000 ₴/month
- Single tax (5%): 2,500 ₴
- ESV: 1,760 ₴
- Military levy (1%): 500 ₴
- Total taxes: 4,760 ₴
- Net income: 45,240 ₴
- Effective rate: 9.5%
How to Use the Calculator
- Open FOP Tax Calculator
- Select your group (1-4)
- Enter monthly revenue
- Check VAT Payer if needed (Group 3)
- Click Process — get a full breakdown
Also check our salary calculator for employees.
Summary
Understanding your tax burden is key to financial planning. Xuvero FOP Calculator helps you quickly calculate all taxes and choose the optimal group.
