Page 53 - RUSRptApr17

The biggest change from 2015 to 2016 was an increase in excise tax revenues, which was driven by an outright increase in the tax rates for items such as cigarettes and alcohol. Other items such as palm oil and sugary drinks were discussed but ultimately not included for now. To note though, excise taxes do not net the state much cash: only 632 billion rubles in 2016, some $11.3 billion. On the opposite side, mineral tax revenues decreased markedly as oil prices plunged. VAT revenues increased, but the tax itself did not change: authorities improved collecting the tax, but the actual rate itself (18%) remained constant.
Evasive Maneuvers
While oil revenues are critical for the Russian economy, the average working Russian likely has little interaction with the mineral extraction tax. For him or her, the most relevant taxes are the VAT, their income tax, and insurance premiums paid by their employer directly into Russia’s non-budgetary funds (essentially a payroll tax that feeds the local social security program). In their simplified form, the current rates for each tax are 13%, 18%, and 30% respectively.
53 RUSSIA Country Report April 2017 www.intellinews.com