Russia Wants To Take VAT From Belarusian Sellers Selling Online

Since July 1st.

The Russian government has submitted a bill to the State Duma, according to which, from July 1, 2024, sellers from the EAEU selling their goods to Russians through electronic trading platforms will have to pay VAT to the Russian budget, writes belsat.eu.

For now, sellers who pay taxes in the EAEU and sell goods to Russian individuals through electronic trading platforms do not have to pay VAT in Russia. It is clarified that an electronic trading platform is a site where you can order goods, find out the terms of payment and delivery.

The basic VAT rate in Russia is 20% of the cost of goods, and the preferential rate is 10%.

Thus, Russia wants to create more favorable conditions for its trade.

“The adoption of the draft federal law will improve the VAT administration system, eliminate inequality in VAT taxation of Russian and foreign taxpayers and, accordingly, create more favorable conditions for the sale of goods by Russian taxpayers to individuals on the territory of the EAEU member states,” the explanatory note notes.

If the law is adopted, it will come into force one month after its official publication. It is expected that it will apply to individual entrepreneurs from the EAEU from January 1, 2025. The exception is individual entrepreneurs working through intermediaries on the basis of commission agreements. In this case, the intermediary will have to pay the tax.