Individual entrepreneurs and security activities: what will change from 2026

Starting in 2026, tax changes will come into force in Ukraine that affect individual entrepreneurs working in the field of security activities. The new rules provide for restrictions for single tax payers of groups 1–3, which may significantly affect the organization of a business.

What will change for individual entrepreneurs from 2026

According to legislative changes, security activities will no longer be allowed for individual entrepreneurs who are on a simplified taxation system (groups 1–3). This means that entrepreneurs will not be able to carry out such activities within the framework of a single tax.

Security activities include, in particular:

• physical security of facilities;
• ensuring access control;
• protection of property and territories;
• support of material values.

Who are the restrictions for?

The changes affect:

• Individual entrepreneurs of groups 2 and 3 who provide security services;
• entrepreneurs working under contracts with legal entities;
• businesses for which security activities are the main or additional KVED.

Individual entrepreneurs of group 1 do not actually work in this area, but formally also fall under restrictions.

What are the options for entrepreneurs

Entrepreneurs engaged in security activities should prepare for changes in advance. Possible options:

• switching to the general taxation system;
• changing the type of activity and excluding security KVEDs;
• registering a legal entity, if the business format requires it;
• reviewing contracts with clients.

Each option has its own tax and financial consequences that require professional analysis.

Why is it important to prepare in advance

Lately responding to changes can lead to:

• loss of the status of a single tax payer;
• additional tax assessment;
• penalties;
• risks during tax audits.

Planning the transition in 2025 will help you avoid unnecessary costs and maintain business stability.

Tax changes from 2026 will significantly affect private individuals engaged in security activities. To avoid risks and preserve your business, it is important to assess possible options in advance and adapt your activities to new requirements.

DobreFin specialists will help you analyze the situation and choose the optimal solution for your business.