no decisions were made – Kommersant

Russian presidential spokesman Dmitry Peskov said no decisions had been made on the excess profit tax for businesses. He noted that there are no discussions in the Kremlin on the topic of levying such a tax.

Answering the question of Kommersant FM whether discussions on levying the tax not once, but if necessary, do not undermine business confidence in the government, Dmitry Peskov said: “You know, no decisions have been made on this subject, and in this case I would recommend contacting either to the government or to experts, there is no discussion on this subject here,” Peskov said during a press call.

In June, the Russian government approved draft law on taxation of excess profits for 2021–2022. According to the Minister of Finance of the Russian Federation Anton Siluanov, the funds collected as part of the collection will go to social needs. It is expected that the bill will soon be considered by the State Duma and the Federation Council.

The one-time fee will affect enterprises with revenues of more than 1 billion rubles. per year, provided that profit in 2021–2022 was cumulatively higher than profit in 2018–2019. Its rate will be 10% of the difference in profits when paid in 2024, but can be reduced to 5% if the company pays the tax in 2023. The oil and gas, coal industries, small and medium-sized businesses will be exempted from windfall tax.

Deputy Finance Minister Alexei Sazanov explainedthat the government decided to collect a tax on excess profits for two reasons – a significant budget deficit and the emergence of excess profits from companies. He also conceded that the government could return to an excess profit tax in the future. According to him, this can happen with a high federal budget deficit.

More details – in the material “Kommersant FM” “Windfall tax outlined the criteria”.

Milena Kostereva