EEC Adopts a Resolution Aimed at the Eradication of Unequal Taxation in the Eurasian Economic Union

Participants of the October 4th session of the Board of the Eurasian Economic Commission (EEC) adopted a Resolution prescribing Kyrgyzstan to apply equal taxation rates and conditions to goods exported from Member States of the Eurasian Economic Union.
Food staff and some other goods produced from agricultural raw materials originating in Kyrgyzstan are exempt from VAT in the Kyrgyz Republic. However, similar products made from agricultural raw material originating in other Union Member States are subject to a 12% VAT, which violates provisions of Article 71 of the Treaty on the EAEU.

Thus, Kyrgyzstan applies higher tax rates to goods manufactured from agricultural raw materials of Member States than to goods manufactured from own raw materials.
In accordance with the Resolution, the Government of Kyrgyzstan was given 10 calendar days from the date of Resolution to inform the EEC about the measures it took to remedy this non-compliance.
"One of the foremost objectives of the Eurasian Economic Union is to create equal conditions for all producers. Today's Resolution of the EEC Board is fulfilling this purpose," noted the EEC Member of the Board – Minister in charge of the Domestic Markets, Informatization, Information and Communication Technologies Karine Minasyan.
Press-release at the official Eurasian Economic Commission web-site