The cost of servicing bank cards will rise — the State Duma has abolished the VAT exemption.

      Everything related to the operation of bank cards — payment execution, transaction processing, the work of processing centers — will now be subject to VAT. The tax exemption that had been in place for almost 20 years has been removed, Interfax reports.

      At the same time, opening and maintaining bank accounts for individuals and companies will still remain VAT-exempt. But everything that happens with cards will now be taxed.

      The Central Bank did not support these changes: it believes the new rules could lead to higher fees for banks and make cashless transactions more expensive for ordinary people. The regulator also warned that important systems such as Mir, the SBP (Fast Payment System), and the digital ruble platform would be affected.

      The Ministry of Finance, for its part, estimates that abolishing the exemption will bring about 30 billion rubles a year to the budget.

      According to the law, the new rules will take effect one month after official publication, but not earlier than the start of the next quarter — that is how VAT rules are structured.

      In other words: paying by card will soon become a little more expensive — the only question is how much banks will pass the new costs on to customers.