EAEU countries agree on duty-free limit of 200 euros for e-commerce for two years, 5% for amounts above - EEC

MOSCOW. Dec 10 (Interfax) - The member countries of the Eurasian Economic Union (EAEU) have agreed to maintain the duty-free limit of 200 euros for goods purchased by individuals through marketplaces for at least two years, Eurasian Economic Commission (EEC) Trade Minister Andrei Slepnev told reporters.

"It [the duty-free limit] will remain at 200 euros for the time being, though we will revisit it in two years," Slepnev said.

The duty on e-commerce imported to the EAEU will simultaneously reduce to 5% from 15% above the limit.

Slepnev said that the decision relates to the EAEU countries intending to transition to a new system for collecting VAT on e-commerce at the national level starting mid-next year. The EAEU's Customs Code is undergoing the corresponding amendments, thus part of the payment will be transferred to VAT.

"Today we have a combined payment that always includes both tax and customs components, with 15% levied on items over 200 euros. There will be a separate VAT levied in accordance with national legislation, which varies from country to country, after the chapter [of the Customs Code] enters into effect. Regarding this, the duty will be 5% above the limit, meaning that there is a split between these two elements. This will be discussed tomorrow, and we expect an agreement to be confirmed on transitioning to the procedure by mid-next year," he said.

Slepnev said that the new system for collecting tax and duties would roughly correspond to the amount of payments currently collected.

Slepnev emphasized that the EAEU countries intend to revisit the matter of lowering the duty-free limit going forward.