09 March 2016 Russian Duma passes Draft Law on taxation of electronic services in first reading The Russian State Duma has approved in the first reading Draft Law No. 962487-6, under which the place of supply of electronic services would be determined based on the location of the customer. This means that electronic services provided to Russian customers would be subject to value added tax (VAT) in Russia. According to the Draft Law, foreign suppliers of electronic services would be required to register for VAT purposes and file VAT returns electronically using a personal taxpayer account on the Tax Service website. The new rules are proposed to come into effect on January 1, 2017. The draft may undergo changes before its second reading to take into account comments and observations made by the Russian Government and the State Duma Committee on Budget and Taxation. Document ID: 2016-0473 |
