As of March 2022, we are not paying Russian VAT in line with our policy to not pay any money to the Russian financial system until sanctions are lifted.
Envato Elements is registered for VAT in Russia and will charge VAT to subscribers resident in Russia with effect from 23 November 2020.
Value Added Tax (VAT/НДС) is a tax imposed by the Russian Government on sales of certain goods and services purchased by a Russian end-consumer. This tax extends to non-resident suppliers of digital services.
What does this mean for me?
From 23 November 2020, Elements subscribers from Russia will see a change in their recurring Envato Elements billing to include Value Added Tax (VAT/НДС) of 20%. For example, if you currently pay $33 per month for your subscription the total invoiced amount will increase to $39.60 representing $6.60 of VAT that Envato Elements will pay to the Russian Tax Service.
The price adjustment to include VAT in your recurring billing amount will happen automatically based on the billing details you provided to us when you completed or updated your subscription details.
What do I need to do?
Please make sure that your billing information is correct (see here for instructions) as tax is charged based on your country/state of residence.
A record of the VAT that has been collected can be found on your monthly or annual invoices or can be viewed on your “My Account” page after 23 November 2020.
FAQ for subscribers located in Russia
What rate of tax is applied to the subscription?
The rate of tax applied to your subscription will be a flat rate of 20%.
What if I am registered for VAT in Russia?
VAT is applied to individuals and businesses/companies alike since a change in law was introduced from 1 January 2019.
Envato will issue Russian customers with compliant VAT invoices to ensure that you can declare the purchase on your VAT return and claim a tax adjustment for any VAT charged.
Where to find invoices?
A record of the VAT that has been collected can be found on your monthly or annual invoices or can be viewed on your “My Account” page after 23 November 2020.