VATLive > Blog > VAT > Russia cuts VAT on domestic passenger airline travel - Avalara

Russia cuts VAT on domestic passenger airline travel

  • VAT
  • 31 July 2015 | Richard Asquith

Russia cuts VAT on domestic passenger airline travel

Russia reduced the VAT rate on domestic passenger travel to the reduced VAT rate of 10% from 1 July 2015. The cut in Value Added Tax rate is designed to help the flagging industry cope with falling demand (liked to the recent recession) and rising fuel prices. The latter comes from the long-term withdrawal of fuel prices subsidies which have been much greater than the drop in global oil prices.

The current standard Russian VAT rate is 18%.


VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.