Importing Medical Devices into Russia VAT-Free — What Customs Checks and Why Codes Alone Are Not Enough
Importing medical equipment through Russian customs involves more than logistics. Behind every shipment sits a decision: pay 20% VAT, or not. The difference between the zero rate and the standard rate on a single MRI scanner shipment can amount to several million roubles. That is precisely why VAT relief on medical imports demands careful document management — not a hope that customs will simply wave the goods through.
As of 1 October 2025, the list of VAT-exempt goods has been updated. Government Decree No. 905 of 17 June 2025 expanded the list of medical devices (hereinafter referred to as MDs) whose importation is exempt from VAT. Suppliers of spare parts for diagnostic equipment received long-awaited clarity. But alongside new opportunities, the update also introduced new restrictions, primarily concerning corrective lenses and specialised clothing for disabled persons.
Three Regulatory Tiers Governing VAT on Medical Equipment
The legal framework for VAT exemption on MD imports rests on three distinct regulatory tiers.
The first tier is the Tax Code. Sub-clause 1 of Clause 2 of Article 149 of the Tax Code of the Russian Federation (hereinafter — the Tax Code) exempts from VAT the sale of MDs included in a list approved by the Government. Article 150 of the Tax Code extends the same exemption to imports: if a product is not subject to VAT when sold domestically, it is not subject to VAT at the border either. The mechanism is structurally symmetrical, which simplifies its application in principle — but does not eliminate the need for documentary confirmation on a product-by-product basis.
The second tier is Government Decree No. 1042 of 30 September 2015 «On Approval of the List of Medical Goods Whose Sale on the Territory of the Russian Federation and Whose Import into the Territory of the Russian Federation Are Not Subject to VAT» (hereinafter — GD No. 1042). This is the central practical document. It contains five sections: medical devices, corrective spectacles and lenses, technical aids for the rehabilitation of disabled persons, prosthetic and orthopaedic products, and goods for combating COVID-19. Each item carries codes from the OKP OK 005-93 classifier, the OKPD 2 classifier, and the EAEU Harmonised System (HS). The most recent version of the document is dated 17 June 2025.
The third tier is Government Decree No. 688 of 15 September 2008 (hereinafter — GD No. 688). It establishes the list of MDs to which the 10% reduced rate applies. If a product does not appear in GD No. 1042 (0% rate) but is listed in GD No. 688, the import is taxed at the reduced rate. If it appears in neither, the standard 20% rate applies.
The three rates form a tiered hierarchy. The 0% rate applies to priority goods, 10% to the second tier, and 20% to everything else. The goods themselves are physically identical regardless of which rate applies, but their legal status determines the tax burden. Securing the right rate is a documentary exercise, not a factual one.
What Customs Checks When the Exemption Is Claimed
To obtain VAT exemption (0% rate) under Section I of the GD No. 1042 list, three conditions must be satisfied simultaneously.
The first is a valid registration certificate (hereinafter — RC). The MD must be registered under Russian law or EAEU law. The RC must be valid on the date of submission of the customs declaration (hereinafter — CD). Customs authorities verify the status of the RC against the Roszdravnadzor State Registry in real time. An expired RC means an automatic denial of the exemption — no inspection, no discussion.
The only exception applies to single-use MDs listed in Government Decree No. 430 of 3 April 2020: for those products, the exemption is available without an RC until 1 January 2028. In all other cases, a valid RC is a mandatory component of the documentation package. Without it, any conversation about the exemption is pointless.
The second condition is inclusion in the GD No. 1042 list. The product name and its OKPD 2 code (or the OKP OK 005-93 code for older RCs) must correspond to an entry in the list. Note 1 to GD No. 1042 contains an important detail: OKPD 2 codes are organised hierarchically. If the list contains a higher-level code (for example, 32.50.13), a product with a lower-level code (32.50.13.190) also qualifies for the exemption, provided the product name also matches. A matching EAEU HS code alone is not sufficient for the exemption — this was confirmed expressly by a Ministry of Finance letter dated 18 March 2019, No. 03-07-14/17394.
The third condition is that the product name must match, not merely the code. In its ruling of 26 March 2024, No. AKPI24-63, the Supreme Court of the Russian Federation held that a matching OKPD 2 code in the RC does not, by itself, guarantee the exemption. The product name must correspond to the description of the relevant entry in GD No. 1042, including all restrictive footnotes attached to it. The Government has the authority to narrow the scope of eligible products within a single classifier code, and the Court confirmed that authority. The ruling closed many disputes — but simultaneously opened new ones: the textual description of an entry in the list has now become just as important an argument as the numeric code.
All three conditions operate only in combination. Satisfying two out of three is not grounds for the exemption. This is precisely why classification disputes with customs arise even for established market participants with impeccably documented RCs: the RC exists, the code matches, but the product name in the list is worded slightly differently.
What Changed as of 1 October 2025
Government Decree No. 905 introduced four material amendments to GD No. 1042.
| List item | Nature of the change | Effective date |
|---|---|---|
| Item 9 (functional diagnostic instruments) | OKPD 2 code 26.60.12.140 added — parts and accessories for electrodiagnostic equipment | 01.10.2025 |
| Item 22 (corrective lenses) | New wording: exemption applies only to lenses with a non-zero optical power across all parameters (SPH, CYL, ADD, Prism) | 01.10.2025 |
| Item 35 (clothing for disabled persons) | Specific garment types added (helmets, stabilising belts, wheelchair trousers); graduated-compression hosiery excluded | 01.10.2025 |
| Item 14 (therapeutic instruments and apparatus) | Codes 32.50.22.181, 32.50.22.190, 32.50.22.191, 32.50.22.192, 32.50.22.193, 32.50.22.194, 32.50.22.195, 32.50.22.199 added — implants, exoprostheses, and organ-replacement systems | 01.10.2025 |
The first change is by far the most practically significant. Before 1 October 2025, the import of individual modules and spare parts for MRI scanners, CT scanners, and ultraviolet devices was, in most cases, subject to 20% VAT: spare parts without their own RC could not benefit from the exemption. Parts and accessories for electrodiagnostic equipment bearing OKPD 2 code 26.60.12.140 are now expressly included in Section I of the list. Where an RC covering the relevant product group exists, they are exempt from VAT on import.
On the effective date: Decree No. 905 was published on 18 June 2025. Under Article 5 of the Tax Code, acts that improve the position of taxpayers take effect no earlier than the first day of the following VAT tax period. The VAT tax period is one calendar quarter. Accordingly, the date from which the new rules apply is 1 October 2025. Shipments cleared through a CD before that date are not covered by the updated rules.
The change affecting lenses (item 22) moves in the opposite direction: it narrows the exemption. The previous wording of the entry was ambiguous regarding «zero-power» (cosmetic) and coloured fashion lenses. The updated text now states expressly that the exemption applies only to lenses with a non-zero optical power across all relevant parameters. Importers of contact and spectacle lenses must review their product ranges in light of this restriction.
Spare Parts: The Ministry of Finance’s Position and Court Practice
The tax treatment of components remains the most contentious area in medical device import practice. In letters dated 11 July 2023, No. 03-07-07/64495, and 30 January 2025, No. 03-07-07/8003, the Russian Ministry of Finance took a firm line: VAT exemption applies only to goods that carry their own RC. Importing an X-ray tube or an ultrasound transducer without a separate RC is treated as importing a general-purpose technical product, not medical equipment. The Ministry did not accept a reference to the component being listed in an annex to the RC of the primary device as a sufficient basis for the exemption.
Courts have frequently taken a more flexible approach, drawing on the doctrine of functional integrity. Where a component is unique, cannot be used in anything other than the specific medical device in question, and is identified in that device’s RC as an integral constituent part, there are grounds on which to argue for the exemption. Commercial courts of the Moscow District have ruled in favour of taxpayers on this basis.
However, customs inspectors at border posts follow Ministry of Finance letters, not judicial precedents. The assessment of additional VAT at 20% on imported spare parts that lack their own RC is a foreseeable outcome, not an exception. Defending the right to the exemption after the fact — through arbitration — takes time and resources.
From 1 October 2025, the situation improved partially. Code 26.60.12.140 is now expressly listed in GD No. 1042, removing the argument of «absent list entry» for parts of electrodiagnostic equipment. The separate RC requirement remains: to claim the exemption under Section I of the list, the importer still needs an RC in which the OKPD 2 code matches the list. What has changed is that parts and accessories bearing code 26.60.12.140 may now obtain their own RC carrying that code and claim the exemption directly, without disputes about whether the provision applies to components at all.
For importers, this points to one practical conclusion: obtaining separate RCs for regularly imported spare parts for high-technology equipment is no longer merely advisable — it is a financial imperative.
The Line Between Medicine and Cosmetology
The import of intradermal hyaluronic acid gels and other products used in aesthetic medicine deserves separate attention. The Russian Ministry of Finance addressed this category in a letter dated 28 June 2024, No. 03-07-07/60152, using as its example goods classified under OKPD 2 code 32.50.22.190 and EAEU HS code 3304 99 000 0.
The difficulty is that HS code 3304 falls within «Cosmetics and skin-care preparations.» Even where the importer holds a medical RC, a product with that HS code does not qualify for inclusion in GD No. 1042 under Section I. It also fails to qualify for the 10% rate under GD No. 688, because it does not meet the definition of a «skin-care preparation» within the strict meaning of Technical Regulation TR CU 009/2011. The result: 20% VAT.
This case illustrates a general principle: a medical RC is a necessary but not sufficient condition for the exemption. The HS classification code can outweigh any argument about a product’s medical purpose. For all products in the field of aesthetic medicine — gels, fillers, botulinum toxin preparations — the classification question must be resolved at the negotiation stage with the customs broker, well before the first CD is submitted. Once a CD has been accepted, challenging the HS code is considerably more difficult and expensive.
A Further Risk: VAT Paid at an Inflated Rate
Consider a common scenario: an importer processes the CD in haste, without the original RC at hand, and pays 20% VAT on import. It subsequently turns out that the goods are listed in GD No. 1042 and are exempt from VAT on domestic sale. What happens to the tax already paid?
The Russian Ministry of Finance confirmed in its letter of 10 April 2025, No. 03-07-07/35654, that VAT amounts paid on import are deductible in the standard manner. The legal basis is Clause 2 of Article 171 and Clause 1 of Article 172 of the Tax Code. The document supporting the deduction is the customs declaration containing the information on release under the applicable customs procedure and on the amount of tax assessed and paid. Where the goods are subsequently sold at the 10% rate, the «input» VAT of 20% paid at the border is fully deductible.
The situation changes when the goods are sold under a VAT exemption. Article 170 of the Tax Code states expressly that input VAT on goods used in transactions not subject to VAT is not deductible. It is included in the cost of the goods — that is, it becomes part of the cost base. In plain terms: if 20% was paid on import and the goods are sold under the GD No. 1042 exemption, those 20% become a direct, unrecoverable loss. They cannot be refunded from the budget and cannot be deducted.
This is one of the strongest financial arguments for getting the exemption right from the very first shipment. Correcting the situation retrospectively through a CD amendment is technically possible, but the procedure is time-consuming and is frequently challenged by customs.
Action Plan
Verify the status of the RC before each shipment. Check the Roszdravnadzor State Registry to confirm that the RC is valid and that the OKPD 2 codes (or OKP codes) listed in it correspond to entries in GD No. 1042. If the RC was issued some time ago and carries only an OKP OK 005-93 code, cross-reference it against the OKPD 2 correspondence table: a mismatch between codes is a frequent reason for denial at the border.
Match the product name against the list text. Download the current edition of GD No. 1042 (dated 17 June 2025) and carry out a word-for-word comparison: the product name in the RC must correspond to the description of the entry in the list, including all footnotes attached to it. A matching code without a matching name is grounds for denial under the Supreme Court ruling of 26 March 2024, No. AKPI24-63.
For spare parts for electrodiagnostic equipment, defer the shipment until after 1 October 2025. If the import of spare parts bearing OKPD 2 code 26.60.12.140 is planned before that date, consider deferring it. The difference between the 0% rate and 20% exceeds the cost of storage many times over.
Obtain a separate RC for regularly imported components. For spare parts and modules imported on a recurring quarterly basis, a separate RC provides the most reliable protection against additional tax assessments. The cost of registering an MD in Russia is not comparable to the tax exposure incurred by repeated imports without the requisite documentation.
For goods in the cosmetics HS group, build 20% VAT into the financial model from the outset. If your medical device’s HS code falls within group 3304, do not rely on an exemption even where an RC exists. The contract’s financial model must include the full VAT rate until written confirmation of the classification is obtained from the customs authority or the Ministry of Finance.
Obtaining VAT exemption on MD imports is entirely achievable. But it is not an administrative autopilot: customs does not exempt goods from tax simply because the shipment is medical in nature. The right to the zero rate is confirmed through a specific RC with a specific OKPD 2 code, a specific entry in the list, and a textual match of product names. Three documentary checks carried out before the first shipment save millions of roubles on every subsequent one.
Regulatory basis:
1. Ministry of Finance of the Russian Federation letter of 10 April 2025, No. 03-07-07/35654
2. Tax Code of the Russian Federation, Art. 149 (sub-cl. 1, cl. 2), Art. 150, Art. 164 (sub-cl. 4, cl. 2), Art. 170, Art. 171, Art. 172, Art. 5
3. Government Decree No. 1042 of 30 September 2015 «On Approval of the List of Medical Goods…» (as amended 17 June 2025)
4. Government Decree No. 905 of 17 June 2025 «On Amendments to the List of Medical Goods…»
5. Government Decree No. 688 of 15 September 2008 «On Approval of the Lists of Codes for Medical Goods…»
6. Government Decree No. 430 of 3 April 2020 «On the Specific Features of Medical Device Circulation…» (as amended 21 December 2024)
7. Supreme Court of the Russian Federation ruling of 26 March 2024, No. AKPI24-63
8. Ministry of Finance of the Russian Federation letter of 28 June 2024, No. 03-07-07/60152
9. Ministry of Finance of the Russian Federation letter of 11 July 2023, No. 03-07-07/64495
10. Ministry of Finance of the Russian Federation letter of 30 January 2025, No. 03-07-07/8003
11. Ministry of Finance of the Russian Federation letter of 11 March 2024, No. 03-07-07/21519
12. Ministry of Finance of the Russian Federation letter of 18 March 2019, No. 03-07-14/17394