Minister hints tax on cross-border shopping

Cross-border shopping and small trade could get a blow as the Russian government hectically seeks additional revenues for its cash-strapped treasury.

According to newspaper Vedomosti, the government now proposes to «cut the norm of tax-free imports of goods by private individuals and for private consumption». It is not clear what the new tax would include, neither on what goods and values. 

From before, cross-border shopping between Russian and foreign border towns is significantly reduced following the Russian economic downturn and the weakening of the ruble. In the Russian-Norwegian border areas, the reduction in cross-border traveling in 2015 amounted to 24 percent and many shops on the Norwegian side feel a consequent drop in turnover.

Today, Russians are allowed to bring with them 50 kg of goods with a maximum value of €1500 every time they cross the border.