KVED 2025: how to select, verify, and change the activity code for an individual entrepreneur

Content

Introduction
What is KVED and why do sole proprietors need it?
Current KVED classification in 2025
How to choose the right KVED: a step-by-step algorithm
How to check your KVED codes online?
How to add or change KVED codes?
How to check whether your KVED code corresponds to your tax group?
Common mistakes when choosing KVEDs
How Vchasno.Zvit helps sole proprietors work with KVEDs

Choosing KVED codes is an important step when registering an individual entrepreneur. An error in choosing KVED codes can lead to tax audits, fines, additional tax charges, or, in the worst cases, loss of single tax payer status.

In this article, we will take a detailed look at how to correctly select codes for types of activities of an individual entrepreneur, where to check them, and how to update them if necessary. We will also tell you how the Vchasno.Zvit service helps to automatically control the compliance of KVED codes with the selected taxation group.

What is KVED and why do sole proprietors need it?

KVED (Classifier of Economic Activities) is a standardized code that shows the industry in which a sole proprietor conducts business. It consists of four digits, for example:

62.01 (Computer programming);
47.91 (Retail trade conducted by mail order companies or via the Internet).

The official classifier (DK 009:2010) is approved by the State Statistics Service of Ukraine.

For sole proprietors, choosing the right KVED codes is critical, as they determine:

The taxation system. A number of KVED codes are completely prohibited under the simplified system. Some are only allowed for certain groups of single tax payers.
Tax rates. If you receive income under a KVED that is not registered in your register, the tax authorities will force you to pay taxes on this amount under the general system (18% PIT + 1.5% military tax) instead of the single tax.
Compliance with limits. Annual income limits are set for each group of sole proprietors. Violation of the conditions (for example, working under a prohibited KVED code) leads to the cancellation of the single tax payer registration.
Risks of audits. During an audit, the State Tax Service first analyzes whether your registered KVEDs correspond to the transactions that are recorded in your accounts. Any discrepancy is the first reason for an in-depth analysis.

❗Important. From January 1, 2027, it is planned to introduce a new NACE 2.1-UA classification, but for now, all sole proprietors continue to use the current KVED-2010.

Read also: Which taxation system to choose for a sole proprietorship in 2025

Current KVED classification in 2025

In 2025, DK 009:2010 «Classification of Economic Activities» remains in force. It can be found in the reference book on the State Statistics Service website.

The classification has a hierarchical structure:

Sections (letters A–U) — general categories (e.g., Section J «Information and telecommunications»).
Divisions (two-digit codes) — specifications within a section (e.g., 62 «Computer programming, consulting…»).
Groups (three-digit codes) — (e.g., 62.0 «Computer programming…»).
Classes (four-digit codes) — the most specific type of activity (e.g., 62.01 «Computer programming»).

❗Important. When registering as a sole proprietor, the entrepreneur only specifies the class code, which consists of four digits.

Examples of popular KVED codes:

62.01 — Computer programming (main code for IT specialists).
47.91 — Retail trade via the Internet (for e-commerce).
47.71 — Retail trade in clothing in specialized stores.
73.11 — Advertising agencies (for marketers, SMM, etc.).
74.20 — Activities in the field of photography.
85.59 — Other types of education (for online courses, tutors).
96.02 — Provision of services by hairdressers and beauty salons.

Always read the detailed explanations for each class on the State Statistics Service website — they specify what is and is not included in this type of activity.

How to choose the right KVED: a step-by-step algorithm

To minimize risks when choosing KVED codes, follow this algorithm.

🔸 Step 1. Determine your main activity

Analyze where you plan to get most of your income. Is it trade, manufacturing, providing services (which ones), consulting? What work will you actually be doing?

🔸 Step 2. Find the appropriate code in the classifier

Go to the KVED reference book and enter keywords for your activity (for example, «programming», «clothing trade», «training»). The service will suggest possible codes. Be sure to read the full description of each suitable class.

🔸 Step 3. Select additional (related) KVED codes

If you plan to provide several different services or sell different categories of goods, add all the relevant codes.

❗Important. The number of registered KVED codes does not affect the amount of taxes. It is better to have several registered codes that you do not use than to later receive a fine for income from an unregistered type of activity.

🔸 Step 4. Check the compatibility of KVEDs with your single tax group

Make sure that the codes you have selected:

are allowed under the simplified system.
are allowed specifically for your single tax group.

🔸 Step 5. Indicate the main KVED first in the application for registration of an individual entrepreneur

When registering an individual entrepreneur, you need to select one KVED as the main one. This is the type of activity from which you expect to receive the most income. From the point of view of tax legislation, all registered codes are equal, but for statistics and some types of reporting (for example, on the payment of social security contributions), the main KVED code is important.

How to check your KVED codes online?

Even registrars can make mistakes in documents for registering an individual entrepreneur. Always check which codes are assigned to you. They can be found on the following websites:

Unified State Register. The fastest way is to order a free extract from the USR through the Diya portal. The extract will contain a complete list of all your KVED codes (main and additional).
Vchasno.Zvit service. To view all registered KVED codes, log in to your web account and go to the General Information section.

Як перевірити свої КВЕДи онлайн? What you need to check:

Relevance — are all the activities you are currently engaged in included in the register?
Compliance — do you still have old codes for activities that you stopped doing a long time ago?
Compatibility — are all your KVED codes permitted for your single tax group?

If you have started a new line of business (for example, you have started providing consulting services) or have ceased activities in a certain area, you need to update your list of KVED codes.

How to add or change KVED codes?

An individual entrepreneur can change the list of KVED codes at any time. This procedure is free of charge. You can change KVED codes online on the Diya portal or at the state registrar.

Through the Diya portal	Through the ASC or state registrar
Log in to the Diya portal. Select the service “Making changes to an individual entrepreneur.” In the “Types of economic activity” section, add new codes or delete unnecessary ones. Sign the application with your electronic signature (KEP). Changes are usually made within 1 business day.	Contact the ASC or notary with your passport and TIN. Fill out a paper application for changing information (Form 1). The registrar will make changes to the USR. This may take 1 to 3 business days.

❗Important. After you have added KVEDs to the USR (via «Diya» or the Administrative Services Center), you must also submit an application to the tax service to apply the simplified taxation system. To do this:

log in to your Vchasno.Zvit web account;
go to the «Reporting» section and select «Change of taxation system and group» from the menu.

Заява про застосування спрощеної системи оподаткування You should specify the new list of activities in the application. Only then will the tax authority update your data in its register of single tax payers.

How to check whether your KVED code corresponds to your tax group?

Tax legislation establishes restrictions on KVED codes for certain single tax groups.

Single tax group	Restrictions
1	Only retail trade from stalls in markets and the provision of household services to the population are permitted (according to a clear list in Art. 291.7 of the Tax Code of Ukraine).
2	The production and sale of goods, restaurant activities, and the provision of services are permitted only to the population and other single tax payers. Services cannot be provided to legal entities under the general taxation system.
3	Almost all types of activities are permitted (except those prohibited under the simplified system in general — gambling, financial services, currency exchange, etc.). It is possible to work with: individuals, sole proprietors, Ukrainian and foreign companies.

Read also: Single tax (ST) in 2025: who pays, rates, and reporting rules

How to check KVEDs yourself: checklist for sole proprietors

Find the description of your KVED in the KVED reference book or in the Vchasno.Zvit service account.

Check the restrictions for all single tax payers under Article 291.5 of the Tax Code of Ukraine.

Check the restrictions for your single tax group under Article 291.7 of the Tax Code of Ukraine.

Make sure that your activities comply with the rules for your group.

Common mistakes when choosing KVEDs

Mistakes when determining KVEDs can lead to fines and tax audits. Let’s take a look at the mistakes that entrepreneurs most often make.

Error	Example	Consequences
Choosing a code that is not compatible with the taxation group	An individual entrepreneur in group 2 chooses the KVED code for services to non-residents (computer programming 62.01) and provides services to legal entities abroad.	Penalty of up to 50% of income, loss of the right to a simplified taxation system, additional tax charges.
The main KVED is omitted in the registration application	The individual entrepreneur does not indicate the main activity (for example, 47.7 — clothing trade), but only adds auxiliary activities (for example, 47.91 — retail trade via the Internet).	The tax service considers the net income under the unlisted KVED to be unregistered and may transfer the individual entrepreneur to the general taxation system.
Too broad a list of codes	The entrepreneur adds dozens of different KVEDs without any real activity (e.g., education, computer repair, trade in equipment, etc.).	The tax service may regard a broad list of KVEDs as a fictitious registration of an individual entrepreneur and may conduct an audit.

Read also: Typical mistakes that individual entrepreneurs make while doing business—checklist

How Vchasno.Zvit helps sole proprietors work with KVEDs

Manually checking KVEDs takes a lot of time. The Vchasno.Zvit reporting service helps automate this process and offers entrepreneurs the following opportunities:

Automatic download of KVEDs from the register. The service imports KVED data directly from state registries. You always see the current list.
Verification of compliance with the taxation group. The system analyzes KVEDs and checks whether they are allowed for the selected single tax group.
Risk warnings. If you are forming a potentially risky transaction, the service will warn you about it.
Correct reporting. When compiling a single tax payer’s declaration, Vchasno.Zvit takes into account your types of activity, which helps to submit data correctly.

The correct choice of KVED codes is not a formality, but the legal foundation of your business. It determines your taxation system, limits, and obligations to the state.

Take the time to choose KVED codes at the start of your business: add not only the main ones, but also all related ones. Regularly check their relevance and compliance with your single tax group.

To save time and be sure that your business complies with tax regulations, use the Vchasno.Zvit service. It will help you spot mistakes in time and avoid fines.