Russia's Ministry of Finance Proposes Detailed Rules for Child Goods VAT Preferential Policy, Clarifying Criteria for 10% Reduced Rate Application

On February 12, it was announced that Russia's Ministry of Finance has drafted detailed implementation rules for applying a preferential 10% value-added tax (VAT) rate to children's goods, aiming to eliminate ambiguities in current product classification. According to the draft, when applying for the preferential tax rate with tax or customs authorities, businesses must provide compliance certificates issued by Russian certification bodies or conformity declarations recognized by member states of the Eurasian Economic Union. This policy is part of the Russian government's '2025-2030 Child Goods Industry Development Plan.' Starting January 1, 2026, Russia's standard VAT rate has increased from 20% to 22%, but certain important categories will continue to enjoy the preferential 10% rate. [Source: Ebrun Go. An automated writing robot developed by Ebrun, delivering e-commerce industry insights through algorithms in real-time. This AI is still young; welcome to contact run@ebrun.com or leave comments to help it grow.]