Military duty for individual entrepreneurs from July 1, 2026: new details, terms and payment rules

From July 1, 2026, the military levy is paid to new accounts: what Sole Proprietorships need to know

From July 1, 2026, new budget accounts apply for paying the military levy. This applies to all military levy payments, including Sole Proprietorships on the single tax. For Sole Proprietorships on the single tax, the budget classification code does not change: 11011700. Only the account details change, including the IBAN, so before payment you need to check the current details in the Electronic Cabinet or on the web portal of the State Tax Service of Ukraine.

The main rule for entrepreneurs: a payment made from July 1, 2026 must already be processed to the new account. Old details may lead to incorrect crediting of funds, tax debt, fines, and the need to submit applications for transferring funds.

What exactly changes from July 1, 2026

The changes are related to the new procedure for crediting the military levy. Starting from July 1, 2026 and until December 31, 2026, the military levy is credited to the special fund of the State Budget of Ukraine and directed to the payment of monetary allowance to servicemen of the Armed Forces of Ukraine.

Because of this, the Treasury opens new budget accounts for the military levy under the following budget revenue classification codes:

For Sole Proprietorships on the single tax, the key code is 11011700. It is used by Sole Proprietorships that are single tax payers of Groups I, II, III and IV.

Where to check the new details

Current details should be checked immediately before payment. The most reliable sources are:

1. Taxpayer Electronic Cabinet

   In the private section of the Electronic Cabinet, open the «Status of settlements with the budget» menu, select the military levy and click the icon in the «Details» column.

2. State Tax Service web portal

   On the State Tax Service website, in the «Accounts for payment of taxes and fees» section, select your region or Kyiv and find the account for the relevant budget classification code.

3. Relevant State Tax Service authority

   The Treasury states that information about account details is communicated to taxpayers by State Tax Service authorities, including through the State Tax Service web portal and the Electronic Cabinet.

Do not copy the IBAN from previous payments, old bank templates or saved payment orders. From July 1, 2026, such templates need to be updated.

How much military levy Sole Proprietorships pay in 2026

The amount of the military levy depends on the single tax group.

The fixed amount of UAH 864.70 is 10% of the minimum wage established as of January 1, 2026. The minimum wage for 2026 is UAH 8647.

Deadlines for Sole Proprietorships to pay the military levy

Groups I, II and IV Sole Proprietorships may pay the military levy in advance for a quarter or a year, but not beyond the end of the current reporting year.

What to check before payment

Before paying the military levy from July 1, 2026, Sole Proprietorships should check:

• whether the budget classification code 11011700 has been selected correctly;

• whether the account matches the entrepreneur’s tax address;

• whether the account is opened specifically for payments from July 1, 2026;

• whether the payment template in the bank has been updated;

• whether there is no automatic payment to the old IBAN;

• whether the payer’s full name and RNOKPP are specified correctly;

• whether the payment is made specifically as a military levy, not as single tax or Unified Social Contribution.

For legal entities that are Group III single tax payers, code 11011800 is used instead of code 11011700.

If the military levy was mistakenly paid to the old account

If a payment after July 1, 2026 was sent using old details, you need to check the status of settlements in the Electronic Cabinet. If the funds are not credited to the required payment, the taxpayer may incur tax debt.

In this situation, you usually need to:

1. check the taxpayer’s integrated card in the Electronic Cabinet;

2. find out where exactly the funds were credited;

3. submit an application to the State Tax Service for the refund or transfer of mistakenly or excessively paid funds;

4. if necessary, pay the military levy again to the correct account to avoid debt by the deadline.

An error in the details does not cancel the obligation to pay the military levy within the established deadline.

When a Sole Proprietorship may not pay the military levy

Certain Sole Proprietorships have the right not to pay the military levy in special cases provided for by the Tax Code.

Groups I and II Sole Proprietorships without hired employees

Groups I and II Sole Proprietorships that do not use hired labor may not pay the military levy:

• for one calendar month per year during vacation;

• for the period of illness, if it lasts 30 or more calendar days and is confirmed by proper documents.

To do this, an application must be submitted to the tax authority. For vacation, it is advisable to submit it before the start of the vacation; for illness, after the end of the sick leave with supporting documents.

Groups I and II Sole Proprietorships in combat areas or temporarily occupied territories

Groups I and II Sole Proprietorships whose tax address is located in combat areas or temporarily occupied territories have the right not to pay the military levy for the period defined by the Tax Code, depending on the start and end dates of hostilities, the possibility of hostilities or temporary occupation of the relevant territory.

To apply this rule, it is necessary to refer to the official List of territories where hostilities are or were conducted or that are temporarily occupied by the Russian Federation.

Mobilized Sole Proprietorships

Self-employed persons who were called up or accepted for military service during mobilization, for a special period, or involved in performing duties in wartime positions, may be exempt from the accrual, payment and reporting of certain taxes and fees, including the military levy, for the period of military service in accordance with the Tax Code.

Liability for late payment

If a Sole Proprietorship does not pay the military levy within the established deadline, fines and penalties may apply.

For Groups I and II Sole Proprietorships, a fine of 50% of the military levy rate applies for non-payment or late payment of the advance payment.

For Group III Sole Proprietorships, liability depends on the delay period in repaying tax debt:

A penalty may also be charged separately under the rules of the Tax Code.

Practical example

A Group II Sole Proprietorship pays the military levy for July 2026. The payment amount is UAH 864.70, and the budget classification code is 11011700. If the entrepreneur makes the payment on July 1, 2026 or later, they must use the new IBAN opened by the Treasury for crediting the military levy. Before payment, the entrepreneur logs in to the Electronic Cabinet, opens «Status of settlements with the budget», selects the military levy and copies the current details from the «Details» column.

Short checklist for Sole Proprietorships

Before each military levy payment from July 1, 2026:

• open the Electronic Cabinet or the State Tax Service page with accounts;

• check the new account for your region or tax address;

• for a Sole Proprietorship on the single tax, select code 11011700;

• do not use the old payment template;

• after payment, check crediting in the Electronic Cabinet;

• save the bank payment instruction or receipt.