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Putin Wants VAT for Foreign Internet Shops

AP/Reed Saxon

President Putin has ordered his government to work on legislation that would require a VAT tax on products purchased from foreign online retailers. Putin first mentioned that his government was considering the idea at the "Business Russia" congress on Oct. 18. 

"The government is addressing this; we are discussing the issue with our colleagues and partners within the framework of the Eurasian Economic Union, because these issues are subject to an agreement within this international organization," the president said.

Deputy Prime Minister Arkady Dvorkovich claimed the new measure would create equal conditions for foreign and Russian retailers. 

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