The Kremlin in 2025 raised taxes on individuals and income taxes of legal creatures, but all of these “tricks” were pointless.
The ruling regime of Russia considers the possibility of increasing tax increase (VAT) from 20% to 22% to solve the problem of federal budget deficiency. This was reported by the news agency Reuters, which refers to four with knowledgeable resources.
The draft budget was planned to be submitted to Parliament on September 29th.
“His key ingredients were agreed in advance of Putin and unlikely to change during the official parliamentary debate,” media records
The publication recalled that Kremlin in 2025 raised taxes on individuals and income taxes of legal creatures, but the Russian Federation government still had to triple federal budget deficiency – up to 1.7% of the Gross Domestic Product (GDP).
One of the resources said the Kremlin was considered an increase in VAT for the 2026 budget – so far there is a budget rule that provides reductions in revenue reserves from oil sale.
“How can you reduce the deficiency, observing a budget rule? Only by increasing taxes, because nothing is nearly reduced, nor is the military spending or social costs,” the interlocutor explained.
VAT reached 37% of federal budget revenues in 2024 – and its possible increases are said to help reduce the predicted deficiency by 2026, at least it is expected to be in the Kremlin, the news agency records.
State costs are a major factor in “economic growth in Russia”, according to Reuters.
The dictator Putin’s “disappointment” was given with the slowdown in the economy and the need to continue to supply the Russian Federation war against Ukraine, not likely to reduce Russian budget costs, they had accumulated in publication.
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Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.