Russian President Vladimir Putin on 3 August 2018 signed into law a Tax Code amendment to increase the 18% standard VAT rate to 20%, effective 1 January 2019.

Law 303-FZ was approved by the State Duma (lower house of parliament) 24 July and by the Federation Council (upper house) 28 July.

According to the law, the new 20% VAT rate will apply to goods, works, and services, as well as property…