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Russia to accelerate introduction of VAT for foreign online purchases

Ministry of Economic Development proposes to expedite the adoption of updated rules for cross-border e-commerce. According to Vedomosti, citing market participants, the key reason for this decision is the need to protect domestic producers. Currently, imported goods are not subject to value-added tax, which creates an imbalance.

Earlier, in the fall of 2025, the Ministry of Finance had already drafted a bill proposing a gradual increase in the VAT rate for purchases from abroad. The ministry's plan is as follows: in 2027, the rate could be 5%, in 2028 – rise to 10%, in 2029 – to 15%, and by 2030 reach the standard 20%.

The new rules will even affect inexpensive goods that fall under the current duty-free import threshold in the EAEU (€200). Moreover, in February 2026, the Ministry of Industry and Trade proposed an even more radical scenario: to levy a full 22% VAT on foreign goods starting from January 1, 2027, without a lengthy transition period.

In addition to the tax issue, the ministry highlighted the discrimination against Russian sellers. Today, digital platforms often charge foreign sellers commissions that are several times lower than those for domestic companies. In this regard, the ministry proposed legislating a rule requiring marketplaces to set the fee for Russian sellers no higher than for foreign ones.

In February of this year, the idea of introducing VAT on imported goods on marketplaces was also supported by the State Duma Committee on Industry and Trade. Parliament notes that domestic businesses are losing the price war to foreign manufacturers. Russian entrepreneurs face a high proportion of manual labor, significant production costs, and low profitability. The situation is exacerbated by the growing popularity of shopping through intermediary digital platforms, where foreign players gain an unfair advantage.

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