Russia proposes to raise taxes days after promising not to

Russia proposes to raise taxes days after promising not to

The Russian Ministry of Finance proposed to raise several taxes in order to finance the war in Ukraine, days after the legislative elections in which the Kremlin promised not to raise taxes.

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25/09/2026
by

Lusa

Athe proposals aim, among others, passive incomes, online purchases from abroad, air travel and automobile import and aim to ensure armaments and modernize defense, in addition to paying allowances to the military.

 

The intention contradicts statements prior to the elections – held between 18 and 20 September – both from the spokesperson of the Kremlin (Russian Presidency), Dmitry Peskov, and from Finance Minister Anton Siluanov, who promised not to raise taxes.

“To unify the taxation of personal income by 13-22%, it is proposed to include ‘liabilities’ income in the general tax base of income tax,” said the Ministry of Finance on its official internet portal.

According to the Ministry, this measure will cover “returns on dividends and other investments in shares, interest on deposits, transactions with securities and digital rights, sale of real estate and corporate shares, as well as income from insurance contracts and donations”.

Today, “passive incomes are subject to a rate of 13-15%,” the ministry noted.

In the case of dividends paid to non-resident foreign citizens, so-called ‘C’ accounts – special and blocked bank accounts created by Russia in response to Western economic sanctions in the framework of the war in Ukraine – the tax will be 35%.

According to the Ministry of Finance, the package of bill proposals, which includes the general budget for 2027-2029, aims to “comply with all the state’s social commitments, ensure the country’s defence and security needs, provide social support to fighters in Ukraine and ensure Russia’s technological leadership”.

In addition to increasing taxes on taxable income, the Ministry of Finance proposes taxes on ‘online’ purchases from abroad and on shipments from third countries.

Specifically, the Russians would have to pay 100 rubles (about one dollar) for foreign shipments valued at more than 200 euros.

The proposal also includes the imposition of an air passenger tax, which would have to pay up to 2,000 rubles (about 24 dollars) per ticket, and an increase in passenger taxes and independent drivers from 4-6% to 13%.

Finally, car import taxes could be increased from 10% to 20%, a measure which has already been implemented earlier and which has raised vehicle prices in Russia in recent years.

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Lusa

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