Page 70 - RusRPTAug21

6.1.1 Budget dynamics - results
6.1.2 Budget dynamics - specific issues...
The budget’s back in surplus through the first half of 2021 erasing most of the comparative deficit it ran for the same time period in 2020.
For Jan.-June, the state took in 11.3 trillion rubles ($152.55 billion) and spent 10.6 trillion rubles ($143.1 billion) exceeding spending levels in 2019 and 2020 per the Kommersant writeup. The oil price recovery, higher VAT tax rate, and tariffs on imports all kicked in to help push up revenues:
The government is considering fine-tuning the tax system so that it can bring an additional c. RUB400bn/year in 2022-2024 to the budget, Vedomosti reported today, citing its sources in the government. According to the newspaper, the proposal was discussed at the budget committee on 1 July.
About RUB100bn ($1.37bn) will come from an increase of the mineral extraction tax rate for precious metals, RUB90bn ($1.23bn) from taxes on oil firms’ “additional income” above a target level, and RUB100bn ($1.37bn) from improvements to the collection of excise taxes or else upwards adjustments on some goods. The other RUB110bn ($1.5bn) will come from raising taxes on individuals and other measures. On that last front, the government’s commission for tax policy came out against a tax on luxury goods, including high-end real estate, cars, yachts, and private planes. For now, it seems they’re burying the negotiations into MinFin’s budget process for the next 3-year budget proposal to keep talk of any politically sensitive taxes ‘inside the family’ while the Duma’s on vacation.
70 RUSSIA Country Report August 2021 www.intellinews.com