Russia and Belarus reach agreement on indirect taxes

An agreement between the governments of Russia and Belarus on regulations on collecting indirect taxes relating to exports and imports, as well as other business sectors will take effect beginning January 1, 2005. Vladimir Grigoryev, ambassador of Belarus to Russia, pointed out at a news conference in Moscow today that the principle of indirect tax collection in the destination country would be implemented for the first time in the CIS. Additionally, no customs clearance will be required at the border between the two countries. At the same time according to the diplomat, these regulations will apply only to goods originating from Russia and Belarus. As for goods from third countries, the old regulations on customs clearance and taxation will still be valid for them.