Law adopted prohibiting VAT reimbursement in cases where the tax is paid from budget subsidies

The President has signed a law that blocks the refund of VAT paid from budget subsidies. From now on, it will be impossible to reimburse the tax in such situations. According to the new law, organizations that have received budget subsidies are required to specify in each contract with final recipients the source of funding (budget subsidy) and information on whether VAT is included in this subsidy. 30 days from the date of entry into force of the law are given to bring currently effective contracts into compliance with these requirements.

Document: Federal Law dated May 25, 2026 No. 143-FZ