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Google warned Russian users about price increase for services because of the “tax on Google”

Google alerted by Russian users with a paid subscription for storage “Google Drive” on the inclusion of 2017 in the cost of service of the value added tax of 18%. This step the company explained the introduction by the authorities of the Russian Federation the so-called “tax on Google”.

The state Duma adopted the law in June 2016, Russian President Vladimir Putin signed it on 3 July 2016. Now, starting from 1 January 2017, with Internet sales by foreign companies in Russia e-services, games, music, books and video products will be charged VAT at the rate of 18 % (“tax on Google”).

“From 1 January 2017 in your account to pay for the use of “Google Drive” will include the value added tax. In accordance with the law accepted by the State Duma of the Russian Federation, from January 1, 2017 the VAT of 18% will apply to all customers of “Google Drive” residents of Russia”, – quotes the message VC Google.

A similar letter was received by the publishers on Google Play — according to the company, the account holders will no longer have to pay VAT on paid apps and in-app purchases made by users from Russia — this feature will take Google itself. In the case that the developers did not previously collect taxes, the cost of services to users will increase.

The company added that it is not possible for us to advise users about the introduction of the tax. The team of “Google Drive” encourages users to address all questions regarding VAT “tax consultant”.

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Now Google provides 15 GB of “Google Drive” for free. Additional 100 GB are 139 rubles per month, 1 TB — 699 rubles per month.

“Tax on Google” will affect many IT-companies in Russia, including Apple and Microsoft. Them, including to intermediary organizations will be required to register with the tax office as a payer of value added tax.

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