Electronic document interchange will become mandatory for goods subject to traceability

From July 1, 2021, Federal Law No. 371-FZ dated 09.11.2020 will come into force, amending the Tax Code of the Russian Federation to regulate the procedure for the circulation of goods subject to traceability.

The system of goods traceability, introduced by the RF Government, is designed to control the movement of imported goods on the territory of Russia and the EAEU. This system becomes mandatory for all legal entities and individual entrepreneurs which participate in the circulation of traceable goods, that is, they import, purchase and (or) sell them in the RF territory.

When importing, each consignment of goods is assigned a registration number, which is then controlled at all stages until the goods are retired from circulation through documents such as a VAT-invoice, reports on transactions with traceable goods and a VAT return. From July 2021, VAT-invoices for these goods must be issued electronically, with the obligatory use of EDI. Buyers of goods that are subject to traceability are also obliged to accept VAT invoices in electronic form.

The VAT-invoice issued for the sale of traceable goods must additionally contain:

• registration number of the consignment of goods,
• quantitative unit of measurement of the traceable product;
• the quantity of the traceable goods in the unit of measurement.

The proposed goods to be included in the list of traceable goods:

• refrigerators, freezers;
• forklift trucks;
• bulldozers, graders, planners, power shovels, excavators, shovel loaders, tampers and road rollers;
• washing machines (household and for laundries);
• monitors and projectors (not including receiving television equipment);
• electronic integrated circuits and their parts;
• industrial vehicles;
• prams;
• child safety seats.

In the future, the list may be expanded, since the RF Government is authorized to include new groups of goods in it.