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Russia proposes an increase in its 18% VAT rate


Russia proposes an increase in its 18% VAT rate

The Russian Federation has put forward a standard Russian Value Added Tax  rate increase of up to 4%, taking the current rate from 18% to 22%.

The rise is part of a range of measures which aim to tackle faltering government revenues, and an over dependence on oil duties.  The Russian state spend is heavily burdened with defence and civil protection bills.  A range of Russian VAT increases – 2% to 4% - are being reviewed.

In addition, it has been suggested that the employment tax and insurance contribution bill be returned to 34%.


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.