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Russia Clarifies VAT Treatment and Deductibility for Digital Advertising Services Supplied by a Foreign Entity

|Approved Changes|Russia
Russia

The Russian Ministry of Finance recently published Letter No. 03-07-08/45864, which clarifies the value added tax (VAT) treatment of digital advertising services supplied by a foreign legal entity to a Russian legal entity, as well as the deductibility of the service fees. With regard to the VAT treatment, the letter notes that digital services are deemed to be supplied in Russia, and subject t…

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