Russia Clarifies Change in VAT Rules for Supplies of Electronic Intermediary Services by Non-Residents

The Russian Ministry of Finance recently published Letter No. 03-07-15/68380, which clarifies the application of value added tax (VAT) on supplies of electronic intermediary services by a non-resident not registered for tax in Russia. In particular, the letter addressed a query on whether an intermediary service would be subject to VAT when provided via the internet to connect Russian residents with customers for transportation services and to settle payment for those services.

According to…