Catering enterprises in Russia were exempted from VAT
Photo: Igor Ivanko / Kommersant
Since January 1, Russia has been exempted from paying value added tax (VAT) catering companies. The corresponding law in the final reading was previously adopted by the State Duma.
The measure affected restaurants, catering facilities, including outlets. VAT will not have to be paid to enterprises whose revenue does not exceed two billion rubles per year. Also, companies will retain the right to pay a reduced rate of insurance premiums of 15 percent, even if the number of their staff exceeds the established threshold of 250 people.
The tax has been partially canceled – the culinary departments of organizations and individual entrepreneurs engaged in retail trade will not be able to count on such a benefit. Also, companies for the production of blanks and other types of retail trade will not be able to apply for it. VAT is one of the main taxes for the country. This is the second source of revenue after taxes on the oil and gas sector.
At the end of 11 months of 2021, the number of closed Russian companies decreased by a quarter compared to the same period a year earlier, according to the FinExpertiza audit and consulting network.
