E-commerce has been a prominent part of the life of almost every Ukrainian for many years. Despite current challenges and events, e-commerce is even growing. Both quantitatively and qualitatively.
According to the European Business Association, the e-commerce market in Ukraine was growing and developing steadily until February 2022. With an annual growth of 20-30% starting in 2018. Already in the spring of 2023, the volume of e-commerce in Ukraine returned to the pre-war level and continued its positive dynamics. Ukrainian e-commerce has its special trends and rules.
First of all, it is worth noting that the Law “On Electronic Commerce” No. 675-VIII of September 3, 2015, has been adopted and is successfully functioning in Ukraine. This legislative act establishes the general rules and features of conducting e-commerce in Ukraine. The law defines the requirements for the seller. In particular, during its activities and in the event of the distribution of a commercial electronic message. The seller is obliged to ensure direct, simple, stable access of other participants in e-commerce relations to information about:
- full name of the legal entity or surname, first name, patronymic of a natural person-entrepreneur;
- registration address;
- identification number;
- email address and/or address of the online store;
- information about the license (series, number, validity period and date of issue), if the economic activity is subject to licensing;
- information on the inclusion of taxes in the calculation of the cost of goods, work, and services;
- in the case of delivery of goods – information about the cost of delivery.
A feature of e-commerce
The legal relationship between the seller and the buyer is fully regulated by the Law of Ukraine “On Protection of Consumer Rights”. A feature of ecommerce development in dubai is also the fact that the parties enter into an electronic transaction. That is, a transaction aimed at acquiring, changing, or terminating civil rights and obligations, carried out using information and communication systems.
This type of transaction involves a specific method of concluding, outlining the content and signing the contract by the parties, using electronic and digital means. With the adoption of the abovementioned law, the norms of civil and commercial legislation were also adapted to the specifics of conducting electronic commerce. Thus, local legislation can be considered to be highly appropriate and relevant to conducting electronic commerce.
An important aspect of conducting electronic commerce in Ukraine is the fiscal component. In terms of suppliers (sellers), the lion’s share is made up of private entrepreneurs and micro businesses. The tax burden and simplicity of accounting are important aspects for small businesses when conducting economic activities.
Online Store Size
Small and medium-sized online stores, as well as private service providers/sellers of goods, mostly use a simplified taxation system. The simplified system has limits on turnover per year. This is where problems often arise and a structure with many individual entrepreneurs is formed. This is one of the features of Ukrainian e-commerce and, unfortunately, this is often the fault of large players.
Perhaps it is appropriate to review the taxation system for e-commerce. Such conversations have been going on for several years and, with a high probability. They will lead to a change in the fiscal approach to ecommerce development in dubai. According to NASDAQ forecasts, by 2040, 95% of all purchases in the world will be made via the Internet and this market will continue to grow. Ukraine should adapt to such growth by law and be ready to offer suppliers flexibility. Understandable and profitable fiscal system for conducting e-commerce.
An important and sensitive issue in implementing e-commerce is also the collection. Protection and storage of personal data, primarily of buyers. According to the provisions of the Law of Ukraine “On Electronic Commerce”, participants in relations in the field of electronic commerce are obliged. To ensure the protection of personal data that became known to them from electronic documents (messages) during the performance of electronic transactions. By the procedure provided for by the Law of Ukraine “On Protection of Personal Data”.
Protection of Personal Data
It is prohibited to use and request personal data by the parties to an electronic transaction for a purpose other than the performance of an electronic transaction. Unless otherwise established by law or by agreement of the parties. If everything is more or less clear with the collection and processing of personal data, then, unfortunately, there are many questions about its distribution and use.
This issue is not unique to Ukraine, it occurs all over the world. It is the leakage of personal data obtained during electronic commerce that most often occurs. There are several explanations for this. Firstly, the share of e-commerce has increased and the arrays of personal data of online trading platforms and stores are significant, because, probably, each of us buys something on the Internet once a week or at least once a month, consciously or unconsciously leaving our data with the supplier (seller).
That is, personal data about almost all of us is available to suppliers (sellers). Secondly, personal data left by buyers with ecommerce development in dubai entities is valuable for future sales and advertising campaigns. In this light, it is worth taking a more pragmatic approach to the issue of the distribution and use of personal data obtained from buyers by unscrupulous sellers on the Internet.
