A new report on the traceability of goods for non-VAT payers will be introduced in 2021

A new section V3 “Traceability of goods” will be soon introduced to the Tax Code. The draft law with such amendments in the Tax Code was adopted today in the first reading.

What is the essence of the system? The goods included in the special list will be tracked from the moment they are imported into the country until they are sold to the end user (or exported outside the country). The list will be approved by the Government of the Russian Federation.

When importing goods from the EAEU countries that fall under the traceability system, it will be necessary to notify the tax authorities at a certain time. These items will be assigned a Traceability Batch Registration Number (TRN).

When selling goods subject to traceability, the relevant RNPT is included by the taxpayer in the invoice (for VAT payers) or a document on the shipment of goods (for non-VAT payers) drawn up in electronic form.

Information on the transactions of sale and purchase of traceable goods between taxpayers will be included in the VAT declaration (for VAT payers) or a specialized report (for non-VAT payers) and submitted to the tax authority on a quarterly basis no later than the 25th day of the month following the expired quarter.

During the presentation of the government bill, the head of the Committee on Budget and Taxes Andrei Makarov doubted that all traceability standards should be included in the Tax Code. He recalled that the Tax Code regulates tax legal relations and it is not worth dumping there that which does not apply to such relations.