Taxi reform in Ukraine has received support from Uklon and Bolt
The online taxi booking platforms Uklon and Bolt view the prospects for taxi market reform in Ukraine—related to new regulations on digital platforms and taxation—in a positive light. At the same time, the companies are urging against rushing to implement excessive regulations that could complicate the operation of the services and create barriers for drivers.
Representatives of both services believe that the adoption of the law on taxation of income generated through digital platforms lays the groundwork for further taxi market reform, but they emphasize that it is important to synchronize changes to avoid legal gaps and uncertainty. Bolt emphasizes that it expects the bill to be reviewed in a timely manner, as it is intended to launch a new model for regulating the taxi market without creating unnecessary administrative barriers for participants. “We hope for a timely review of the bill so that there is no gap between the entry into force of legislation on the taxation of income on digital platforms and the implementation of a new model for regulating the taxi market,” said Yulia Malich, Head of Public Policy at Bolt in Ukraine and West-Central Asia.
She also stated that the current version of the document generally appears acceptable to the company and does not contain critical requirements that would make the service’s operation impossible. At the same time, Uklon draws attention to a number of provisions that require further refinement. In particular, the company emphasizes the importance of clearly distinguishing between the role of a digital platform and that of a direct carrier to avoid legal uncertainty. “The absence of such a provision creates risks of legal uncertainty for the platform model and may lead to the platform being unjustifiably held liable for the actions of independent partners,” explained Mykola Soroka, Head of GR at Uklon in Ukraine.
Separately, Uklon emphasizes that it is important to carefully consider driver certification mechanisms, particularly their cost and implementation timeline, so as not to create excessive barriers for small businesses and the self-employed. The company also highlights the risk of overly broad regulatory powers due to vague wording in the draft law, which, in their view, could lead to differing interpretations of the regulations and a reduction in the predictability of market rules.
Despite this, Uklon states that it is continuing its dialogue with the government and preparing proposals for the draft law to make the regulations more balanced. Bolt, for its part, emphasizes that it participated in consultations during the drafting of the document and generally supports the proposed approach, which, in its view, takes into account the interests of market participants.
The taxi market reform in Ukraine provides for the introduction of a new status for drivers as self-employed carriers and the strengthening of the role of digital platforms as tax agents and mechanisms for monitoring the legality of transportation services. The draft law is currently being finalized before consideration in parliament. This was reported by Interfax-Ukraine.
Starting February 20 at 12:00 a.m., the Bolt ride-hailing service resumed 24/7 operations in 24 more cities across Ukraine.
