Start-ups are planned mainly in Moscow and St Petersburg, later in Sochi.

VAT returns for foreign citizens will start from 10 thousand roubles. Maksimova thinks the minimum limit could be lowered in the future.

The minimum amount eligible for VAT returns is 75 Euro in Austria, 30 Euro in Germany, 175 Euro in France, 154 Euro in Italy. The complete refund will take three months.

Buyers will be refunded 18% VAT minus 2% commission fee.

General Director of Mark Prior Group of Companies Valentina Enina says buyers will have the option of receiving cash or wire transfer to the account of choice stated in the form dropped in a box at the airport, or via postal money order. Tax Free Russia website will feature online tracking.

Tax Free is expected to be used by some 30% of all visitors to Russia, 6,2 mln per year. Enina says tourists are keen on purchasing Russian souvenirs and art pieces.

Tax Free Russia will employ the European business model. Companies will pay an entrance fee to join the network, with no further charges.

Today, there are no Tax Free shops in Russia, and active negotiations with interested companies are underway. Maksimova says Tax Free Russia could turn a profit within a year and bring a total of USD 10mn in revenue by the end of the first year.

Tax Free Russia pioneers are not afraid of competition, hoping that it will lead to better service.

Project Group №5