Russia: Introduced Bill No. 384598-8 amending the Tax Code for the adoption of a Digital Ruble Account

On 20 September 2023, Bill No. 384598-8 was introduced to the Russian State Duma to amend the Tax Code of the Russian Federation. In particular, the amendment introduces the concept of a "digital ruble account" which will enable tax authorities to collect debts from taxpayers using their digital rubles if insufficient or no funds are available in other accounts. Furthermore, the proposed changes will allow tax authorities to suspend transactions on digital ruble accounts until the debt to the budget is settled. Importantly, transactions related to opening and maintaining a digital ruble account, as well as money transfers through the digital ruble platform, will be exempt from value-added tax (VAT).