Global

Details

  • Service: Tax, Global Indirect Tax, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 8/10/2012

Russia - Reduced tariff, increased utilization fee on automobile imports  

August 10:  When Russia becomes a full member of the World Trade Organization (WTO) on 22 August 2012, the new “customs tariff”—establishing import duty rates for the Customs Union of Russia, Belarus and Kazakhstan—will enter into force.

Under the new customs tariff, import duties in respect of vehicles will be reduced. For the passenger vehicles, the import duty will decrease—from the current rate of 30%, but not less than €2.15 per cubic centimeter (cm3) of the engine capacity—to 25%, but not less than €1.8 euro per cm3 of the engine capacity.


Also beginning 1 September 2012, the “utilization fee” in respect of vehicles will be introduced (in English, the legislation is referred to as “On amendments to the Federal law on waste production and consumption, and article 51 of the Budget Code of the Russian Federation" dated 28 July 2012 № 128).


The Government of the Russian Federation is currently developing a procedure for the calculation and payment of the utilization fees.


Read an August 2012 report [PDF 54 KB] prepared by the KPMG member firm in Russia: Utilization fee: additional cost for automotive business in Russia




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