BGP Litigation senior associate Denis Savin speaks with Profile magazine about the aims and prospects of introduction of 2 new taxes on cross-border e-commerce

Denis Savin is confident that the introduction of taxes on foreign online retailers will lead to higher prices on their merchandise for the Russian end consumer. "Denis Savin, a senior associate at BGP Litigation, says "that's the point" of the initiative of to introduce VAT registration", writes Profile. 

"The move will essentially create even something of a competitive advantage for Russian players, as they can adjust their VAT by the amount of tax deductions, said Denis Savin of BGP Litigation. "That is something that is not available to foreign online retailers", he added. 

However, in some countries foreign online retailers will be able to offset the tax paid in the RF in some or another form when calculating their domestic tax obligations, added the BGP Litigation senior associate. The introduction of VAT on purchases from foreign online retailers is meant to level the playing field for Russian and foreign online sellers, he noted.  

The full article (in Russian) is available here: "Успей купить онлайн".