- Russia will gradually lower the VAT payment threshold for SMEs from ₽20 million to ₽10 million over three years (2026-2028).
- SMEs with turnovers below these thresholds will not be required to pay the 22% VAT.
- The changes aim to provide tax breaks and encourage the growth of the SME sector, which currently contributes 20-25% to Russia’s GDP.
- A moratorium on prosecution for first-time VAT payment violations may be introduced.
- New VAT payers will have a one-time option to refuse the reduced VAT rate in their first year to minimize risks.
Source: russiaspivottoasia.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Russia"
- VAT Declaration Rules Change for Foreign Sellers of Digital Goods and Services in Russia
- Government Expands List of VAT-Exempt Technological Equipment Not Produced in Russia
- Russia to Gradually Lower VAT Thresholds for Small Businesses After Backlash, Starting 2026
- Russia to Gradually Lower VAT Exemption Thresholds for Small Businesses Starting 2026
- Russia to Gradually Lower VAT Thresholds for Small Businesses After Backlash
