Matviyenko says ending VAT break on delicacies could add 6 bln rubles to budget
In short
Valentina Matviyenko, speaker of the Federation Council, said at parliamentary hearings on the 2027 federal budget draft that cancelling the reduced VAT rate on delicacy foods including oysters, lobsters, langoustines and lobsters could bring the federal budget about 6 billion rubles. She said the money could go to social facilities such as two schools or a children's hospital, and that the change would not substantially affect consumers of delicacies. No decision on the measure has been reported.
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Valentina Matviyenko, the speaker of Russia's Federation Council, said that cancelling the reduced value-added tax rate on delicacy foods including oysters, lobsters, langoustines and lobsters could bring the federal budget about 6 billion rubles in additional revenue. She made the statement at parliamentary hearings on the draft federal budget for 2027 and the planning period 2028–2029, according to Vedomosti and RBC. TASS also reported the statement, without giving a figure. [ 1 , 2 , 3 ]
Matviyenko said a 10% VAT rate currently applies to a number of delicacy goods instead of the base rate of 22%, and called for a more active inventory of tax breaks and for consideration of cancelling this preference. She said the additional revenue could be directed to social facilities, saying 6 billion rubles would be enough to build two new schools or a children's hospital. She also said the change would not substantially affect delicacy consumers, because the higher tax burden would fall on a relatively narrow market segment. [ 2 ]
Vedomosti reported on 5 October, citing the document “Main Directions of Budget, Tax and Customs Tariff Policy for 2026 and the Planning Period 2027 and 2028”, that 16.7% to 31% of revenue in the sectors analysed came from “red” taxpayers, with tax breaks and other support measures allowing companies to earn “super-profits”. According to Finance Ministry calculations cited by the outlet, total state support measures rose from 22.2 billion rubles in 2022 to 154.5 billion rubles in 2025, a sevenfold increase driven mainly by larger VAT breaks. [ 2 ]
Vedomosti reported on 2 October that VAT would remain the most “profitable” tax for the budget in 2027, with the authorities planning to collect just over 20 trillion rubles, rising to 21.2 trillion and 22.7 trillion rubles in the following two years. So-called domestic VAT, levied on operations inside Russia, was expected to grow. [ 2 ]
Why it matters
The proposal comes as the government drafts the 2027 federal budget and reviews tax breaks; Vedomosti reported that VAT remains the budget's largest revenue source, with planned collections of just over 20 trillion rubles in 2027. If adopted, the change would raise prices in a narrow premium food segment, while the roughly 6 billion rubles at stake is small against overall VAT receipts.
Key facts
- Federation Council speaker Valentina Matviyenko said cancelling the reduced VAT rate on delicacy goods would bring the federal budget additional revenue. [ 1 , 2 , 3 ]
- She put the additional revenue at about 6 billion rubles. [ 2 , 3 ]
- The goods named include oysters, lobsters, langoustines and lobsters. [ 2 , 3 ]
- Matviyenko spoke at parliamentary hearings on the federal budget draft for 2027 and the planning period 2028–2029. [ 2 ]
- According to Matviyenko, a 10% VAT rate currently applies to a number of delicacy goods instead of the base rate of 22%, and she called for a more active inventory of tax breaks. [ 2 ]
- She said the 6 billion rubles could fund two new schools or a children's hospital, and that the change would not substantially affect delicacy consumers because it falls on a relatively narrow market segment. [ 2 ]
- Vedomosti, citing a policy document, reported that 16.7% to 31% of revenue in the sectors analysed came from “red” taxpayers, and that the Finance Ministry put total state support measures at 22.2 billion rubles in 2022 rising to 154.5 billion in 2025, a sevenfold increase driven mainly by higher VAT breaks. [ 2 ]
- Vedomosti reported on 2 October that VAT would remain the budget's most “profitable” tax in 2027, with plans to collect just over 20 trillion rubles, rising to 21.2 trillion and 22.7 trillion in the following two years. [ 2 ]
Confirmed by several sources
Still unclear
- Whether the VAT preference will actually be cancelled, and on what timeline. The documents describe a statement and a call to consider the measure at budget hearings; no decision or draft provision is reported.
- Which specific goods and what share of the market would be affected. Only Vedomosti names goods and describes the segment as relatively narrow and the rate change from 10% to 22%; this is a single-source detail.
- Where the parliamentary hearings took place. The documents do not state the venue or city of the hearings.