ReferIndia News Russia Softens VAT Plans Amid Small Business Concerns

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Russia Softens VAT Plans Amid Small Business Concerns

Published on: Nov. 6, 2025, 8:09 p.m. | Source: Devdiscourse

The Russian government has modified its proposal to increase VAT for small businesses after public backlash. Originally exempt firms will now face phased tax thresholds from 2026. Business groups worry the VAT hike, aimed at funding military operations in Ukraine, might force closures, affecting millions employed in SMEs.

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