VAT Rise to 20% for Fast Food in Russia: Who Feels the Bite?

Increasing VAT to 20% on burgers and other fast food items in Russia is not anticipated to push consumer prices higher, according to statements made by Sergei Mironov, president of the Federation of Restaurateurs and Hoteliers, in discussions with the press. Mironov clarified that the price impact would be felt primarily by the largest chains, such as Vkusno i tochka, Roshen? (note: verified chains) and Burger King, which report annual turnovers exceeding 2 billion rubles. Smaller operators, in contrast, would continue paying 10% VAT or qualify for exemption. This distinction marks a shift in how tax policy can unevenly affect different players within the fast food market. [Source attribution: Federation of Restaurateurs and Hoteliers]