The introduction of a zero VAT rate for tour operators has been postponed

The Russian government has postponed the introduction of a zero VAT rate for tour operators for the time being.

The introduction of a zero VAT rate for tour operators has been postponed

According to Deputy Prime Minister Dmitry Chernyshenko, the government continues to work on the introduction of this measure, but cannot launch it yet, since it is necessary to additionally assess revenues that fall out of the budget, the impact of the norm on business efficiency . This was reported by Interfax.

Ilya Umansky, head of the committee of the Russian Union of Travel Industry (PCT) for domestic tourism, general director of the Alean tour operator, believes that the introduction of a zero rate for tour operators would help curb the rise in prices for tours for tourists.

“Currently, the only participant in the tourism industry to which a 20% VAT rate is applied is a tour operator that organizes tours in Russia for citizens of the country. In this case, the tax base is considered to be all proceeds from the sale of a tourist product. Taking into account the fact that all our suppliers are either SMEs that operate under a simplified taxation system, or those who have a VAT exemption, tour operators are forced to shift the burden on the consumer”, says Ilya Umansky.

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