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Russia cuts VAT to 5% on basics

Food and medical supplies cut from 10% to 5% proposal

The Russian Federation is considering a new reduced 5% VAT rate for certain basic supplies. This would be from the existing 10% rate for the following:

  • Basic foodstuffs
  • Books and journals
  • Medical supplies
  • Children’s products

The Bill  has been submitted to the Duma, the Russian Parliament. The Standard VAT rate in Russia is 20%.

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