Russian government considers restricting tax-free goods for travelers

A proposal by the Russian Trade Service would limit the value of goods travelers an bring in the country without paying import duties from 65,000 rubles (~$2,000) to 20,000 rubles (~$630). The government is facing budget deficits as it engages on a large fiscal expansion and is attempting to increase government revenues as a result.

From the article:
"Denis Daniilidis, the EU delegation’s spokesman in Moscow, said 20,000 rubles is extremely low. 'Russian visitors are very good shoppers who spend a lot of money. Now one pair of shoes or a camera would already be too much,' he said."

"Experts said such measures would greatly hamper trade and barely help improve customs revenues. Natalya Orlova, chief economist with Alfa Bank, said the sums were too small to effectively battle the problem of falling state revenues. 'This will just be an extra inconvenience for individuals,' she said."