HeadHunter estimates windfall tax at 268-536 mln rubles, intends to pay by Nov 30
MOSCOW. Aug 16 (Interfax) - HeadHunter's estimates its windfall tax payments may vary from 268 million to 536 million rubles, the online recruitment service said in a financial statement.
The company intends to pay before November 30.
Russian President Vladimir Putin signed the law to introduce a tax on windfall profits for past years in August.
The tax is expected to generate about 300 billion rubles of additional revenue for the federal budget.
The document establishes a one-off tax for large companies whose average profit for 2021 and 2022 was more than 1 billion rubles. The tax rate will be 10% of the amount of excess profit for 2021-2022 over the same figure for 2018-2019. The tax must be paid no later than January 28, 2024 and its amount is calculated by taxpayers themselves. The amount of tax can be halved to an effective rate of 5% if a deposit is paid between October 1 and November 30, 2023.
The tax will be paid by Russian companies, as well as foreign companies operating in Russia through a representative office, while foreign organizations recognized as tax residents of the Russian Federation are treated as Russian ones.
The tax will not apply to companies established after January 1, 2021 except for those formed through reorganization; to small and medium-sized businesses; to organizations paying the single agricultural tax; to companies in the oil and gas sector, as well as organizations that have a stake in such companies of at least 75%, and members of consolidated tax groups which include such companies; coal companies; LNG producers; and companies that had no sales revenue in 2018-2019.
Banks and non-credit financial organizations involved in bankruptcy prevention measures as of January 1, 2023 with the participation of the Central Bank of Russia or the Deposit Insurance Agency will not pay the tax. Also exempt from the tax are property developers that are implementing projects with citizens' funds through escrow accounts, and did not pay dividends in 2021-2022.