Gift agreement in 2026: how to execute it and how much it costs

What is a gift agreement.  A gift agreement is a contract under which the donor transfers property to the donee free of charge and does not require anything in return. The key features are gratuitousness and voluntariness; any compensation means it is no longer a gift in the legal sense.

What property can be gifted.  Almost any property can be the subject of a gift agreement, except for assets with a special legal regime. Most often, the following are gifted:
· apartments and houses;
· land plots;
· vehicles;
· corporate rights and shares in the charter capital;
· sums of money or securities;
· movable property (household appliances, furniture, jewellery, etc.).
Property withdrawn from civil circulation or seized by a court or state authorities cannot be gifted.

Concluding a gift agreement.  The form of a gift agreement depends on the type of property. As a general rule, the agreement must be in writing, and in the case of real estate or vehicles it must be notarised.

1. Real estate
   Gifts of an apartment, house or land plot must be executed before a notary. After the agreement is signed, the notary registers the donee’s ownership in the State Register of Property Rights, and only after that may the new owner dispose of the property.
2. Movable property (including cars)
   Gifting a vehicle also requires notarisation, because it is subject to state registration. Other movable property may be gifted in simple written form.
3. Money or business shares
   Such agreements are concluded in writing and in some cases are subject to additional requirements (for example, corporate rights in an LLC require amendments to the Unified State Register).

Key documents for execution.  In 2026 a notary will usually require:
· passports and tax identification numbers of the parties;
· documents confirming the donor’s title (sale and purchase agreement, certificate of inheritance, etc.);
· a valuation report for the property (for real estate or vehicles);
· an extract from the State Register of Rights or a cadastral plan (for land);
· for gifts between relatives, documents confirming kinship (birth or marriage certificates, etc.).

Who can be a party to the agreement.  Both individuals and legal entities may act as donor and donee. If the donor is an individual, he or she must have full civil capacity. Gifts on behalf of children or persons declared incapable are not allowed without the consent of guardianship authorities.
Persons who hold property in joint ownership (for example, spouses owning an apartment) may gift it only with the consent of the other co‑owner, unless otherwise provided by law or a prenuptial agreement.

Taxes on gifts in 2026.  One of the most important issues for the parties is taxation. In 2026 the tax rules continue to reflect the Tax Code of Ukraine, under which the tax treatment depends on the degree of kinship between the donor and the donee.

1. Gifts between close relatives
   If the parties are members of the first or second degree of kinship (parents, children, spouses, siblings, grandchildren, grandparents), the personal income tax rate is 0%. This means the donee pays no tax.
2. Gifts between non‑relatives
   In this case the donee pays 18% personal income tax and 1.5% military levy on the appraised value of the gift. This applies to all types of gifts, including real estate and vehicles.
3. Foreigners
   If the recipient is a non‑resident of Ukraine, the same rate applies — 18% plus 1.5%, regardless of kinship.

Cost of notarisation.  The cost of a gift agreement in 2026 includes:

1. Notarial fees.
   Depending on the region, complexity of the agreement and value of the property, fees may range from UAH 2,000 to 10,000 for real estate and from about UAH 1,500 for movable property.
2. Administrative charges.
   State fees for registration of ownership are paid additionally — about 0.1% of the appraised value, but not less than UAH 30.
3. Property valuation.
   For real estate and vehicles, a market valuation by a certified appraiser is required. The service costs from UAH 1,000 to 3,000.
4. Other expenses.
   You may also need to pay for extracts from the State Land Cadastre or the State Register of Rights (about UAH 50–300) and for copies of documents.

When an agreement can be invalidated.  A gift agreement may be challenged in court if:
· the donor lacked legal capacity;
· it was signed under duress or through deception;
· there was no consent from a co‑owner;
· the agreement was made to evade taxes or conceal another transaction.
The donor may also withdraw from the agreement before the transfer of property or revoke the gift in cases expressly provided by law (for example, when the donee commits a crime against the donor or the donor’s family).

Practical tips for 2026
· Always check that the property is free from encumbrances or mortgages before gifting.
· For newly built real estate, make sure the developer’s ownership is properly registered.
· Use notaries experienced in gift transactions to avoid registration errors.
· Keep proof of payment of all fees and taxes.
· If you are gifting to a non‑relative, calculate the tax consequences in advance, as they may be significant.
If you have questions or difficulties related to execution or taxation of gift agreements in 2026, consult a qualified lawyer or notary who will help you prepare the documents correctly and avoid financial risks. Author – Svitlana Krutorohova, attorney at the law firm “WINNER Legal Company”.