On 04/03/2022 amendments to sub-clause 9 of clause 3 of art. 149 of the Tax Code of the Russian Federation were published. According to these modifications, operations of sale of gold ingots by banks to individuals (physical persons) are relieved of the value added tax. Decision taken by the state is based on research and analytical materials, prepared by tax and financial law experts, including the professionals of Linnikov & Partners.
Previously purchases of golden ingots were subjected to the 20% VAT. However, reverse sales of ingots to banks did not entail reimbursement of VAT, which had adverse effect on attractiveness of gold as an investment asset. Minister of Finance of Russia Anton Siluanov commented the important changes in law to the media: “In the context of current unstable geopolitical situation investments in gold are an ideal alternative to buying US dollars. American currency is more volatile and exposed to various. This is why it cannot adequately compete with precious metals”.