Russia cracks down on tax-dodging sellers in online marketplaces
Russian authorities are stepping up efforts to combat business fragmentation on online marketplaces. Recent reports reveal that sellers suspected of splitting their operations to avoid taxes are now receiving warnings. The move follows a series of measures announced over the past year to tighten controls in digital trade.
In October 2024, Daniil Yegorov, head of the Federal Tax Service (FNS), first announced a pilot system for sharing data with marketplaces. The tool was designed to flag businesses at risk of fragmentation—a practice where companies split into smaller entities to reduce tax burdens.
The latest notifications to sellers mark the first visible step in a broader crackdown on tax avoidance. With new data-sharing tools, stricter identification rules, and ongoing monitoring, authorities aim to close loopholes in digital trade. The measures reflect a wider push to shrink the shadow economy and increase compliance in Russia’s growing e-commerce sector.
