MOSCOW, November 10 (RAPSI) – First Deputy Prime Minister Igor Shuvalov ordered the Finance Ministry to submit a bill for consideration introducing tax-free system in Russia, Shuvalov's secretariat told journalists.

VAT refund for visitors to Russia will increase the flow of tourists and enhance goods turnover, according to Shuvalov. 

The Finance Ministry has already included the use of tax-free mechanism in draft guidelines of tax policy.

Minister of Industry and Trade Denis Manturov said the project would be experimentally set up in Moscow, Moscow region and Sochi next year.

The issue of introduction of tax-free system in Russia was first raised yet in October 2013, when Shuvalov supported the idea to develop a mechanism permitting to return VAT to foreigners leaving Russia. However, at that time the Ministry of Economic Development presented its objections to this plan. Later, in September 2014, Prime Minister Dmitry Medvedev gave the same instructions to the Finance Ministry and the Ministry of Economic Development, but at that time the Finance Ministry said that the scheme was not suitable for Russia and could result in budget losses.