EAEU tightens rules for declaring money at customs

EAEU tightens rules for declaring money at customs

The new rules for declaring money at customs came into effect in the Eurasian Economic Union (EAEU) states.

Now, if the total amount of cash exceeds the equivalent of $100,000, they should not only be declared, but their origin should be confirmed, RIA Novosti reported citing the Federal Customs Service.

The requirement is also relevant for checks, bills, non-registered securities that can be cashed.

The source can be confirmed by transaction documents, for example, cash withdrawal or receipt of a credit, as well as documents confirming the commission of civil transactions (inheritance, donation).

The Eurasian Economic Commission has decided to tighten the rules in order to prevent the financing of terrorism or the legalization of the proceeds of crime. The decision was made in August 2019.

The EAEU includes Russia, Armenia, Kazakhstan, Belarus and Kyrgyzstan.

A scientist of the Institute for Economics of the RAS, Alexander Karavaev, speaking to the correspondent of Vestnik Kavkaza, noted that this event serves a positive purpose of reducing the shadow economy of the EAEU states.

"First of all, it will help make cash flow more controlled and stimulate the development of economies in the legal sector as a whole. It should be emphasized that customs does not block cash transportation, but requires a document confirming the origin of the funds," Alexander Karavaev explained.