State Duma chairman says personal income tax should remain under purview of municipalities

MOSCOW. May 23 (Interfax) - Personal income tax should be enshrined at the municipal level and allow forming the budget when improving the tax system in the Russian Federation, State Duma Chairman Vyacheslav Volodin said.

"We need to return to the topic of ensuring that personal income taxes remain under the purview of municipalities and form the budget, so that taxes, including real estate and land, are sufficient for rural settlements and cities," Volodin said on Thursday at a hearing on improving Russia's tax system.

Volodin believes that, "If we enshrine the tax base at the municipal level, which would allow us to form the municipal budget, when improving the tax system, then everyone would thank us."

The proposal is to be reflected in the State Duma's recommendations to the government following the hearings, Volodin said.

Over 700 people participated in the hearings in the State Duma on Thursday. All 89 Russian regions participated in the videoconference meeting, and representatives of over 30 regions participated in person.

There was a public discussion at the hearings on the concept of improving the tax system as stated by the Russian government.